Nordic power forward prices slip on wetter weather outlook
UNG•Nordic forward power prices fell sharply on Monday as a wetter weather forecast weighed on the hydropower-reliant region. The front-quarter contract fell 5.9% to €109 per megawatt hour, while the front-year contract dropped 3.2% to €66.5.
1. Nordic contracts fall
The Nordic front-quarter baseload contract fell €6.85, or 5.9%, to €109 per megawatt hour at 1143 GMT on Monday. The front-year contract lost €2.2, or 3.2%, to €66.5 per megawatt hour.
2. Rain forecast weighs
Analysts at Mind Energy said they considered price falls the most likely scenario after a bearish weather outlook was confirmed over the weekend. LSEG meteorologist Georg Muller said Atlantic low pressure would dominate northern European weather until at least the end of the next week, bringing frequent rain or showers and near or above normal precipitation in Scandinavia. Temperatures were expected to be near or slightly above normal.
3. Water reserves and benchmarks
Nordic water reserves available 15 days ahead were 12.74 terawatt hours below normal on Monday, compared with 10.98 terawatt hours below normal on Friday. Germany's 2026 baseload contract fell 0.6% to €129.45 per megawatt hour, and front-year carbon allowances dropped 1.5% to €83.2 a ton. Dutch wholesale gas prices were largely flat, while the British front-month contract slipped lower.
