2-year yields rose by 10bps in the US after the release of a report showing 431k new jobs created in March and a sharp rebound in hourly wages to +5.6% yoy. Yields on longer maturity Treasuries are also rising, but at a much slower pace, resulting in an inversion of the yield curve with the 2-year rate…
European gas prices were mixed yesterday as the impact of colder weather was partly offset by still-comfortable supply. In particular, Russian flows were up yesterday, averaging 250 mm cm/day, compared to 245 mm cm/day on Friday. Norwegian flows were stable, at 323 mm cm/day on average. Note that the Kremlin said yesterday Russia was working…
Anti-Covid measures in China, particularly in Shanghai, have led to a sharp fall in oil prices, with Brent 1st-nearby falling from $120/b at the end of last week to below $110/b last night. It has since stabilised at around $111-112/b. The resumption of negotiations between Russia and Ukraine is also contributing to this moderation, although a ceasefire…
The European power spot prices slightly increased yesterday with support from forecasts of weaker solar production and higher power demand, and firmer clean gas costs. The day-ahead prices averaged 247.41€/MWh in Germany, France, Belgium and the Netherlands, +19.09€/MWh day-on-day. The carbon prices rose by 4% on Monday morning after the European Securities and Markets Authority…
Negotiations resume in Turkey between Ukrainian and Russian representatives with a view to reaching a ceasefire. The Ukrainian counter-offensive on the ground suggests that the balance of power may be shifting, but caution is needed. Similarly, it is difficult to assess the economic consequences of the anti-Covid restrictive measures in China. The prospects for monetary tightening in the…
