Photo: Igor Ageenko / RIA Novosti
The European gas and electricity markets prepared for higher prices in anticipation of the cold cyclone, coming from the East, writes Bloomberg.
The publication refers to weather forecasts that say about the imminent frosts in most parts of Europe. It is expected that they will come at the end of January. The evidence for them is warm air in the stratosphere that normally precede cold on the ground.
Autumn and early winter in most European countries was soft, which led to the fall in the price of the gas and electricity markets. Now, analysts expect a rise in price. A similar situation was observed a year ago, when the cold was sharp and the strongest since 2010, and the gas on the London exchange ICE rose to three times.
Now growth will be softer because of warm weather and low demand, traders have been able to restock — even in the summer they did not reach the five-year average values.
At the end of December 2018, “Gazprom” has reported on a protracted fall in demand for its products in the European market. It lasted for three consecutive months and was associated with unusually warm weather on the continent. So, in October of last year, deliveries declined by six percent in November and 12 in the first half of December — eight.
Video, photo All from Russia.