UK gas markets softened slightly on Thursday. The NBP spot contract eased by 0.8% to 149.25 p/therm as traders discounted the likelihood that a Bab el-Mandeb blockade would significantly affect LNG deliveries to Europe.
Further out the curve, the Winter 2026 contract edged 0.5% lower at 149.93 p/therm, although geopolitical uncertainty and concerns over Europe's winter storage remained supportive.
European spot power prices rose on Thursday. The German spot price advanced by 11% to 130.53 EUR/MWh as forecasts pointed to a 68% drop in wind generation on Friday. Meanwhile, the French spot price remained broadly unchanged at 112.39 EUR/MWh, with Météo-France indicating that temperatures had returned to seasonal norms across most of the country, except in the south.
On the forward curve, weaker carbon prices kept contracts under pressure. The German Cal-2027 contract traded at 109.98 EUR/MWh, and the French Cal-2027 slipped by 0.3% to 69.47 EUR/MWh.
European carbon markets corrected lower on Thursday after speculative buying lost steam and broader demand failed to materialise. Traders also cited growing concerns that higher EUA prices could trigger renewed calls for market intervention as energy costs continue to rise. Consequently, the EUAs expiring in Dec-2026 dropped by 3.2% to 83.88 EUR/tonne.