What is happening in the markets is quite unusual: equity markets surged upwards in Europe yesterday before a sharp fall in US indices and relative stability in Asian markets overall. Pessimism prevailed in the US after the first (seemingly inevitable) case of the Omicron variant infection in California and the Fed Chairman’s hawkish statements before the…
After a strong start, European gas prices weakened by the close yesterday as the 30 mm cm/day of day-ahead transport capacity at Mallnow booked by Gazprom suggests Russian supply is likely to at least remain flat. The spread with Asia JKM prices (+2.43% on the spot, to €112.127/MWh; -1.24% for the January 2022 contract, to…
The power spot prices were mixed in northwestern Europe yesterday, slightly up in France and the Netherlands, but down in Germany and Belgium amid rising temperatures and surging wind output. The day-ahead prices reached 189.17€/MWh in the four countries, -7.25€/MWh with prices ranging from 91.00€/MWh in Germany to 280.10€/MWh in France. The carbon prices started…
Crude prices remained volatile, with an intraday correction of 3%, to end up gaining back most of it, at 72 $/b for the February ICE Brent contract. Oil-specific volatility remained markedly above equity volatility, which has usually moved in tandem during episodes of expected downward demand revision akin to the one we are experiencing. The…
It was to be expected: the simultaneous emergence of the Omicron variant and the peak of inflation (the inflation rate in the euro zone reached 4.9% in November!) is confusing the financial markets. After Moderna’s CEO’s statements on the probable ineffectiveness of existing vaccines against the new variant, other less pessimistic comments from other laboratory…
