Profit taking after an historical rally dragged overbought EUA prices sharply down on Thursday with a record daily loss of €8.68/ton for the benchmark Dec-21 contract which briefly traded below the €80/ton mark. The correction filtered through power curve prices on the back of reports that the French government is considering an increase of the ARENH…
ICE Brent futures remained supported, above 74 $/b at the prompt, but could experience high volatility today during US market hours, as the BLS releases US inflation data for November. Survey expectations are above 6% y/y for the CPI index, which would maintain the US economy in a highly inflationary environment. Refined products inventories in the ARA built…
European gas prices weakened yesterday, pressured by the rebound in Norwegian flows, which were back to normal, reaching 351 mm cm/day on average, compared to 293 mm cm/day on Wednesday. Russian supply was almost stable, at 279 mm cm/day on average, compared to 280 mm cm/day on average on Wednesday. However, the stabilization in Asia…
Profit taking in the equity markets yesterday, particularly in the wake of the anti-Covid measures taken in the UK, reminded everyone that the fact that the Omicron variant is not very aggressive in the first place would not prevent negative economic consequences in the short term. The fact that it is also highly contagious may also…
ICE Brent front-month contract trades now above 76 $/b, combined with an unusual worsening backwardation, below 30 cents at the prompt. The recovery in equity markets and declining volatility is boosting outright prices. Yesterday, the EIA showed a higher than average seasonal build in US refined products stocks, with implied diesel and jet demand experiencing sharp…
