The power market saw few trades yesterday with new highs set almost totally across the curve over the last few days, buyers have been re-evaluating. A lack of liquidity is quite normal after a big rally, as buyers are sceptical at buying at the top of the market and sellers step back in an attempt to keep the rally continuing, the result a wider bid offer spread and no trading. The bad news is that the fundamentals suggest that these highs will remain for some time until, everyone works out that they are all based round one another and that they themselves have put prices at these levels. Government pressure will come soon, with petrol prices likely to be the biggest political nightmare. Moreover, balance sheets will be under pressure on those heavy power and gas users and it is assumed that their raw products will rise to reflect the change in costs. There is no doubt that the city institutions will be looking for more risk management for companies with reasonable power exposure.