Mixed to lower moves were seen across U.S. next-day market on Wednesday, March 7, as most locations were pressured by calls for slack Thursday demand.
Despite mixed fundamentals, the front-month April natural gas futures contract managed to defend early gains and closed the midweek session up 2.8-cents at $2.777/MMBtu.
AccuWeather.com said in a March 7 forecast that "heavy snow, travel disruptions and power outages will ramp up as the latest nor'easter strengthens along the mid-Atlantic and New England coasts into Thursday."
Looking at the nuclear generation supply, total U.S. nuclear plant availability was near unchanged from March 6 at 90.62% early March 7.
East dailies biased higher as nor'easter hits region
As a storm batters parts of the East, next-day power prices leaned mixed to higher on Wednesday despite calls for mostly subdued Thursday demand.
Along next-day markets, power at the New England Mass hub shed close to a dollar and ranged in the mid- to high $30s, while New York Zone G packages changed hands in the low $30s, steady to Tuesday. PJM West transactions were quoted in the high $30s, up by around $2 from Tuesday.
Demand is set to fall in the Northeast with New England possibly topping out at 17,000 MW on Wednesday and 16,500 MW on Thursday, while load in New York should crest at 19,755 MW on Wednesday and 19,619 MW on Thursday.
Following slack demand outlooks, day-ahead markets in the Northeast fell. Power at the Mass hub, New York Zone A and New York Zone J eased by about a dollar and averaged $37.73, $26.71 and $37.12, respectively, while New York Zone G trades fell by roughly $5 and averaged $28.88.
Conversely, mixed demand may be in store for the mid-Atlantic towards the latter part of the workweek. The PJM Mid-Atlantic region should reach highs of 38,095 MW on Wednesday and 37,301 MW on Thursday, while the PJM Western region could touch peaks of 54,894 MW on Wednesday and 56,093 MW on Thursday.
Western power markets sag on declining demand outlooks
Outlooks of slack Thursday demand helped fuel daily power price losses in the West on Wednesday.
Power packages in the Northwest saw the largest declines with Mid-Columbia deals dropping roughly $10 from Tuesday and spanning the low $20s, while losses of more than $5 were noted at the California-Oregon Border where power was priced in the high $20s.
The California ISO is calling for load highs of 27,499 MW on Wednesday and 27,292 MW on Thursday. Bogged down by load, power at South Path-15 changed hands in the mid-$30s to low $40s, dropping from a Tuesday index of $43.25.
In the Southwest, Palo Verde deals changed hands in the mid- to high $20s, dropping by roughly $4 from Tuesday.
Midwest DAMs ease on mixed load forecasts
Pressures from varied load forecasts helped keep day-ahead markets in the Midwest tethered to the downside on Wednesday.
Losses of less than a dollar defined day-ahead trading in the Midwest with deals at PJM AEP-Dayton and PJM Northern Illinois averaging $36.18 and $38.95, respectively.
In terms of peak demand, the PJM AEP region should near 17,223 MW on Wednesday and 18,000 MW on Thursday, while the PJM ComEd region might hit 12,665 MW on Wednesday and 12,606 MW on Thursday.
Texas values find no midweek support
Power values in Texas spent a quiet midweek session unsupported by subdued Thursday demand forecasts.
The Electric Reliability Council of Texas is projecting peak loads of 41,479 MW on Wednesday and 40,894 MW on Thursday.
In addition, power at Into Southern changed hands in the high $20s, up by less than a dollar from Tuesday.
Market prices and included industry data are current as of the time of publication and are subject to change. For more detailed market data, including power and natural gas index prices, as well as forwards and futures, visit our Commodities Pages.
