Pricewatch | 18 Jan 2021 | Gas Matters Today

Only Subscribers can read the full Article

Crude prices fell by more than USD 1/barrel to end the week, with growing Covid-19 cases in the north of China – seen as the major oil demand driver – the main factor behind the crude price slump. Three cities in China, including Shijiazhuang – the capital of Hebei province – Xingtai and Langfang, have been placed under fresh lockdowns, leading to over 20 million people being told to stay at home.

News of the fresh lockdowns in China saw front-month Brent and WTI both fall by 2.3% on Friday, with Brent closing in the USD 55/barrel range for the first time in four days.  

European gas prices fell for a third consecutive day on Friday amid expectations of milder weather, which is expected to ease gas demand. Front-month UK NBP and Dutch TTF closed 6.6% and 5.8% lower respectively to settle at the equivalent of USD 8.07/MMBtu and USD 7.16/MMBtu, respectively.

CME’s month-ahead JKM started to fall on Friday, with the price closing 1.4% lower to end the week. US natural gas benchmark Henry Hub stopped the rot, closing 2.7% higher on Friday to settle at USD 2.74/MMBtu.

The European carbon price fell for a third day, closing 5.3% lower on Friday.

Front-month futures and indexes at last close with day-on-day changes (click to enlarge):

Time references based on London GMT. Brent, WTI, NBP, TTF and EU CO2 data from ICE. Henry Hub, JKM and API2 data from CME. Prices in USD/MMBtu based on exchange rates at last market close. All monetary values rounded to nearest whole cent/penny. Text and graphic copyright © Gas Strategies, all rights reserved.

Subscription Benefits

Our three titles – LNG Business Review, Gas Matters and Gas Matters Today – tackle the biggest questions on global developments and major industry trends through a mixture of news, profiles and analysis.

LNG Business Review

LNG Business Review seeks to discover new truths about today’s LNG industry. It strives to widen market players’ scope of reference by actively engaging with events, offering new perspectives while challenging existing ones, and never shying away from being a platform for debate.

Gas Matters

Gas Matters digs deep into the stories of today, keeping the challenges of tomorrow in its sights. Weekly features and interviews, informed by unrivalled in-house expertise, offer a fresh perspective on events as well as thoughtful, intelligent analysis that dares to challenge the status quo.

Gas Matters Today

Gas Matters Today cuts through the bluster of online news and views to offer trustworthy, informed perspectives on major events shaping the gas and LNG industries. This daily news service provides unparalleled insight by drawing on the collective knowledge of in-house reporters, specialist contributors and extensive archive to go beyond the headlines, making it essential reading for gas industry professionals.

Did you know that your Internet Explorer Browser is out of date?

Your MS Internet Explorer browser is out of date, and will not be fully compatible with our website. For best browsing experience we recommend that you upgrade your IE browser to a more recent version or use an alternative, more recent browser.