A major obstacle for power traders is the inability to store generated power. However, hydro power has a unique flexibility that most other power producers do not: operators can turn these facilities on and off in the blink of an eye. This practice can turn hydro dams into huge storage facilities. Ninety percent of British […]
In 1848, trading started at the oldest mercantile exchange in the world, the Chicago Board of Trade (CBOT).[1] In the beginning, CBOT allowed producers of grains to sell their products through contracts to buyers. This was just the beginning of a global commodity trading industry. Then, producers of various products were able to secure their […]
Many power traders and analysts study different factors that impact the dynamics of the electricity market. Factors like seasonality, time of the day, and unusual weather conditions can affect the load, which will in turn affect prices. In this blog, I analyze recent temperature fluctuations in the U.S. to find a correlation between electricity prices […]