Crude oil prices closed lower on Monday, starting the week with a negative performance, as concerns about the surging number of coronavirus cases in many countries overshadowed positive impact from COVID-19 vaccine news and smaller than expected increase in output by the OPEC+ alliance. Heightened tensions between the United States and China put further pressure on WTI price.

 

Hence, Brent crude declined by 0.9% to settle at $48.79 a barrel. Meanwhile, WTI crude decreased by 1% to end at $45.46 a barrel.

 

British near-term gas prices fell on Monday as temperatures remain below seasonal average. Consequently, NBP spot shed by 3% to 41.25 p/therm.

Along the forward curve, the gas price for year-ahead delivery settled at 37.24 p/therm, posting a 0.5% daily loss as a result of lower oil and carbon prices.

Plummeting renewable energy supply in Germany combined with uncertainty over a strike at nuclear plants in France this Thursday spurred electricity spot contracts on Monday

The German day-ahead power price jumped by 31.7% to 61.08 EUR/MWh, while the French equivalent contract settled at 66.73 EUR/MWh, notching a 30.7% fall day-on-day.

Year-ahead power contracts lost little ground, tracking a bearish energy complex. Thus, the German Cal’21 power slipped by 0.2% to 43.39 EUR/MWh, while the similar contract in France ended at 46.90 EUR/MWh, easing by 0.3% on a daily basis.

EUAs expiring in 2021 dropped by 1.6% to 29.82 EUR/tonne on Monday as weekend Brexit trade deal failed to materialize.