Parallels between the Australian Open and the NEM

Each quarter the market faces the same question: should I buy, sell, or wait? The current Q3-25 quarter is no exception and is on track to deliver a substantial Seller's premium as the laws of probability have played out.

For any market participant, large consumer or trading house with exposure to the spot price and financial market, it is challenging to develop optimal risk-adjusted trading or hedging strategies. Based on our many years of experience, we have developed a rewarding and effective approach.

The Q2-25 forward price gradually declined well below pre-quarter expectations given the softer spot outcomes. This affected the sentiment for all future quarters causing expectations and forward prices to soften. However, before the quarter ended, the stars aligned and June gripped with vengeance.