US economic reports may be too good for markets as they both tend to fuel inflationary fears and lower the need for a big stimulus package. The positive trend in the stock market has started to reverse. Asian markets also suffered from confirmation of the tough stance of the Biden administration vis-à-vis China. The Italian…
The European power spot prices fell further yesterday amid forecasts of stronger wind output and milder temperatures. Prices eroded 7.33€/MWh in Germany, France, Belgium and the Netherlands to reach 43.82€/MWh on average. The French power consumption eased further by 1.40GW to 62.07GW on average as temperatures continued to rise. The latter are however expected to…
European gas prices were mixed yesterday, torn between the bearish impact of lower residential gas demand and weaker Asian prices and the bullish impact of higher EUA and coal prices (which increased parity prices with coal for power generation). In Asia, system baseload spot power prices on the Japan Electric Power Exchange for delivery today…
Brent prompt futures continued to rally to 54.7 $/b on early Thursday as Saudi Arabia guaranteed that their voluntary supply cut would last two months starting in February. The US weekly report reported rising refining runs leading to a large stocks draw of 8 mb. On the product side, US oil product markets weakened. Overall…
Whatever the reason, the same story repeats again and again: each downward correction on financial markets is seen as a buying opportunity by many. This is mainly linked to abundant liquidity. Economic fundamentals have little to do with this behaviour and the fact that markets completely ignored rather bad Chinese economic indicators released overnight just…
