Europe’s Power Prices See Relief as Weather Expectations Turn
- Price of power for February drops on warmer, windier weather
- Longer-term prices rise as market volatility continues
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Warmer weather forecasts are providing relief for Europe’s power prices, bolstering a drop from record highs.
The risk of cold weather is diminishing as stronger expectations for warmer and windier weeks ahead push down the February price of power in Germany, a benchmark for the continent. That’s fallen 9.9% this week, even as the month-ahead price of European gas, a main driver of power prices, has risen about 35%.