Crude prices remained range-bound, at 74.5 $/b for the September ICE Brent contract, bond yields continued to slide lower, as the 10y Treasury bond touched 1.24% yesterday. However, this continued outflow from the commodity complex was balanced by strong fundamental data from the US. According to the EIA (detailed content here: Weekly EIA Report – Week to…
Prices rebounded in most European gas markets yesterday, supported by tight pipeline supply and technical rebound. Russian supply was almost stable, averaging 247 mm cm/day, compared to 248 mm cm/day on Wednesday, with flows to Mallnow (landing point of the Yamal pipeline) still at 0 because of maintenance. Due to an unplanned outage at the…
The exit from the “reflation trade” continued yesterday with a strong decline in equities and new lows for bond yields (1.25% for the US 10y). China fueled growth fears by signaling it could ease its policy very soon again. But the trend seems to be reversing (1.33% now): the sharp fall in bond yields has likely been amplified…
The European power spot prices were mixed yesterday, up in Germany on forecasts of dropping wind output, slightly down in France and Belgium likely due to the weaker clean fuels costs and steady in the Netherlands, torn between both. The day-ahead prices hence reached 98.28€/MWh on average, +0.49€/MWh day-on-day due to Germany observing a 9.60€/MWh…
ICE Brent prompt contract collapsed further yesterday, at 73.2 $/b for the September contract. The move was likely caused by two drivers: A broad selloff in commodity futures, as inflation hedges were less demanded by financial players, given how global bond markets are rallying, with the 10Y T-bond at 1.3% and inflation expectations consistently declining…
