Energy prices remain under bearish pressure in Europe
Gas & Power Podcast #45 In this week’s Gas & Power podcast, Julien Hoarau discusses about the reduction of the contango on the EU as…
Get more analysis and data with our Premium subscription
Ask for a free trial here
Don’t have an account yet?
The power spot prices continued to rise in northwestern Europe yesterday, buoyed by higher gas prices and forecasts of stronger power consumption and weak wind generation. The day-ahead prices averaged 145.90€/MWh in Germany, France, Belgium and the Netherlands, +4.17€/MWh day-on-day.
The EUAs sharply rebounded from Friday’s fall on Monday morning, driven up by another surge of gas prices which pushed the Dec.21 contract back above 62€/t in the first hours of trading. Lifted by a spike of gas prices, the carbon benchmark contract climbed to its intraday high of 62.69€/t mid-afternoon but the sudden rise triggered some profit taking and the emissions eventually broke their correlation with the fuels markets in a late retreat that brought the Dec.21 contract down to 61.07€/t, only 15-cent up from Friday’s settlement.
The power forward prices rose to new records yesterday, posting massive gains along the curve amid increasing gas supply concerns for this winter.