Optimism was back with a vengeance on markets yesterday and the trend was confirmed in Asia overnight: stocks on the rise despite bond yields reaching new highs, higher commodity prices with the exception of safe-haven assets such as gold, lower USD, the EUR/USD nearing 1.22. The reasons are well known: recovery expectations reinforced by prospects…
The power spot prices dropped further in north western Europe yesterday amid forecasts of milder temperatures and stronger wind production. Prices fell by 8.49€/MWh to 36.56€/MWh on average in Germany, France, Belgium and the Netherlands. The 6°C above-average temperatures continued to dampen the French power consumption yesterday which dropped by 1.95GW from Monday to 55.83GW…
European gas prices rebounded yesterday, supported by lower pipeline supply and forecasts of lower temperatures. Indeed, due to a series of unplanned outages, Norwegian flows dropped again yesterday, averaging 302 mm cm/day, compared to 318 mm cm/day on Monday. Russian flows were stable, at 262 mm cm/day on average, but still significantly below the 319…
Brent prompt future contract slipped back to 65.3 $/b amid a significantly more bearish API release than expected. US crude stocks grew by close to 1 mb, as refining runs collapsed by 2 mb/d. Only distillate stocks drew at a rapid pace. US crude oil output is restarting at a faster pace than refining, as most…
The rise in bond yields is not worrying according to Jerome Powell as it reflects greater confidence in the US economic recovery. The surge in inflation will be temporary and the Fed has no reason to envisage ant policy change I the foreseeable future. Here are the main (unsurprising) messages of the Fed Chief’s testimony…
