UK GAS-Prices mixed on oversupply, weather forecasts
British wholesale gas prices were mixed on Friday, as oversupply dented prompt values, while those for January were lifted by forecasts for cooler weather.
* Day-ahead gas price down 0.20 pence at 67.00 pence per therm by 0942 GMT.
* Within-day gas price down 0.60 pence at 66.50p/therm.
* Traders said day-ahead demand for gas for heating had slipped, leading to oversupply and sending prices lower.
* Gas system oversupplied by 14.9 million cubic metres (mcm) with demand forecast at 270.1 mcm and flows at 285 mcm/day, National Grid data showed.
* Analysts at Refinitiv forecast local distribution zone (LDZ) demand at 192 mcm on Friday, down 16 mcm from Thursday.
* “(The forecast) contains some of the impending holiday impact, with next week being dominated by soft consumption,” the analysts said in a daily research note.
* Further out on the curve several contracts edged higher.
* Jan contract up 0.11 p at 69.00 p/therm.
* Traders said expectations that temperatures will be colder than normal early next year helped lift the prices.
* Q1 2019 contract up 0.09 at 68.00 p/therm
* Day-ahead gas price at the Dutch TTF hub down 0.37 euro at 24.40 euros per megawatt hour.
* Benchmark Dec-18 EU carbon contract down 0.08 euro at 24.39 euros per tonne.
Source: Reuters (Reporting By Susanna Twidale; editing by David Evans)