Clean spark spread prices in Winter’s 11 and 12 are trading below £5.00MWh (closing at £4.87 and £4.59 respectively). The equivalent Summer’s are not that much stronger. These levels even include the gains recorded in both the NBP gas markets and Power markets towards the end of the trading week. The sentiment in the market though is that next week will see some of these gains squeezed out again (helped in part by dampened demand for gas in response to gas infrastructure maintenance limiting export and storage injection capacity). Is there any more downside to be had? The reality is probably not because at these levels the power and gas companies will be struggling to make decent returns. We are at, or approaching, fundamental lows so expect some bumping along in the coming weeks.