In general quite a quiet week last week. Prices in the short term increasing a little bit. Further out along the curve though, prices falling away.
The main driver for gas prices at the beginning of the week was as a result of the increase and demand following the Bank Holiday weekend and the colder weather. Also, there was some concern around earthquake damage at the Groningen gas field, which helped support prices. However, there was a bit of over exaggeration in that and it was re-corrected around about Thursday time, but as the week closed, prices started to increase again, mainly as a result of fears of the colder weather that is expected this week.
Further out along the curve though the impact of oil prices did seem to have an effect. Oil prices have been falling off quite rapidly over the last week and as a result, we saw a fall off in prices out in the further seasons and years.
The drop off in oil prices can mainly be attributed to the increase in production and output from the US, which is counteracting the production caps that the OPEC nations have been trying to impose over the last few months.
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