Pricewatch | 5 Nov 2020 | Gas Matters Today

Crude oil prices rallied further yesterday during a tumultuous day of vote-counting in the US, with Brent and WTI gaining 3.8% and 4% to close at USD 41.23/barrel and USD 39.15/barrel, respectively. While incumbent Donald Trump has vowed to contest the outcome in the courts, Joe Biden is at the time of writing most likely to be the next US president – and oil traders seem to have clung onto that relative certainty.

US gas benchmark Henry Hub’s front month contract stymied losses and fell by 0.4% yesterday to close the session at USD 3.05/MMBtu, while European hubs NBP and TTF gained more than 1% to hit the equivalent of USD 5.18/MMBtu and USD 4.77/MMBtu. CME’s December-dated JKM futures contract gained 0.8% to close at USD 6.86/MMBtu to bring an end to its recent losing streak.

The European carbon price made strong gains, as month-ahead ETS allowance (EUA) futures rose another 3% to close at EUR 25.11/tonne. API2 coal rolled over into the November-dated contract, which fell marginally in the session to USD 50.85/tonne (USD 2.03/MMBtu). This represents a 9.8% discount on the final closing price of the expiring October contract.

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.