Another bad week for the Nordic hydrological balance

NVE came out today with the precipitation forecast for week 8, a dataset that many market participants are following closely the last few weeks. The announced hydrological balance reached –24 TWh in week 7, from –21.4 TWh in week 6, and slightly above week 7’s historical minimum of –25.3 TWh. As explained in a previous update, the increasing deficit in the hydrological balance is attributed to the low precipitation and the record-low snow energy content, despite the relatively normal reservoir levels.