Crude prices rallied yesterday, with front-month ICE Brent futures reaching 83 $/b, as natural gas prices soared in Europe and Asia, putting pressure on diesel and fuel oil winter markets. Yet, US and Japanese inventories increased across the board, with notable builds in US gasoline inventories, according to the API. Japanese crude oil and winter…
European gas prices increased again strongly yesterday, supported by ongoing concerns on supply scarcity, to which has been added the downward revision of temperatures forecasts for the coming days. The rise in Asia JKM prices (+14.37%, to €116.378/MWh, on the spot; +21.98%, to €126.161/MWh, for the December 2021 contract) and in parity prices with coal…
The European power spot prices surged above 180€/MWh yesterday, driven up by the sky-rocketing gas prices, higher EUAs, and the forecasts of stronger demand and dropping renewable generation for the upcoming hours. The day-ahead prices averaged 182.54€/MWh in Germany, France, Belgium and the Netherlands, +22.81€/MWh day-on-day. The spiking gas prompt prices buoyed the carbon market…
Yesterday’s sharp rebound in equity markets should quickly come up against the wall of interest rates: the US 10-year yield rose above 1.57% this morning, its highest level since June. Inflation expectations are simmering. The 10-year break-even inflation rate in the UK is above 4% for the first time since 2008. Asian markets have already turned…
Despite a rather weak expiry, expectations of demand were boosted on the December 2021 ICE Brent contract by comments from the Chinese government starting to acknowledge the depth of the energy crisis in China. Energy supplies must now be secured at all costs according to the energy and industrial sector supervisor. Internal OPEC sources said that…
