EGM Monthly Report – November 2021 Macroeconomic and forex Global output lags behind global demand and recruitment difficulties are not easing, which fuels inflationary pressures. Central banks resist market pressure and defy rate hike expectations, pushing equity markets to record-high levels. The euro may not have bottomed out yet. Oil The current high prices for…
Yesterday’s Short Term Energy Outlook published by the EIA showed a relatively balanced global oil market, with stock builds in H1 22, which was a key report for the US administration to decide whether an SPR release was needed. While the STEO was relatively underwhelming, the API survey showed another set of stock draws across…
The European power spot prices rebounded yesterday, driven up by forecasts of lower wind and solar generation and colder temperatures strengthening the power demand. The day-ahead prices averaged 200.15€/MWh in Germany, the Netherlands, France and Belgium, +25.06€/MWh day-on-day with the largest gains posted by the two latter which rose to respectively 232.40€/MWh and 215.47€/MWh. After…
European gas prices dropped yesterday as the long-awaited rise in Russian flows seems to materialize. Indeed, Gazprom said yesterday it had started to implement a plan for gas injection this month into five of its European storage facilities. Yesterday, Russian supply was higher (to 269 mm cm/day on average, compared to 252 mm cm/day on…
The decline in long term bond yields was accentuated yesterday, pulling the US 10 year down to 1.43%, mainly on the idea that Joe Biden might decide to replace Jerome Powell with Lael Brainard, the advocate of “infinite QE”. In reality, both have always voted exactly the same way at Fed meetings and a change in the head…
