Daily (07.09.2018): Carbon Contracts gained more than 5% on Thursday, due to limited allowance supply

07/09/2018 15:32 Daily

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Oil crude prices extended losses on Thursday, on worries about China’s demand amid growing trade disputes. Moreover, gasoline and distillate stocks at Cushing, Oklahoma delivery hub were at their highest level in four years, pressuring prices. Brent crude decreased by 1% to close at $76.50 a barrel, while WTI crude slumped by 1.4% to $67.77 a barrel.

After the impact of last week’s unscheduled shutdowns, UK gas contract prices continued to gain ground on Thursday, due to a slightly undersupplied system. NBP spot price jumped by 1.5% to 73.50 p/therm. October 2018 delivery contract traded 1.7% higher at 72.39 p/therm, on forecasts for cooler weather.

 

Lower demand due to approaching holidays and higher wind and nuclear outputs led to a decline in European power prices on Thursday. Both German and French electricity contracts for day-ahead delivery have been affected, decreasing by 4.4% to settle at 62.43 EUR/MWh and by 2.8% to close at 65.10 EUR/MWh respectively.

 

On the power curve, electricity prices had a bullish evolution, in line with related coal and carbon markets. The Cal’19 contracts were 2.4% up at 58.10 and 52.95 EUR/MWh, in France and Germany respectively.

 

EU carbon contracts were bullish on Thursday, because power prices continued to rise and new allowance supply was curbed in a rare auction-free session. Carbon prices rose by more than 1 euro per contract after previous declines, surpassing the €21 level. The contract expiring in 2020 settled 5.3% up at 22.23 euros a tonne.

 

Daily (16.10.2018): EU carbon prices dropped by more than 9% in a weaker session on Monday as Brexit deal not reached yet

16/10/2018 11:23:00

Oil prices increased on Monday, backed by geopolitical tensions after the disappearance of a Saudi journalist, fueling supply worries from the world’s top crude exporter. The price increase was tempered nonetheless by long-term demand concerns. Therefore, Brent crude price rose by 0.4% to settle at $80.78 a barrel.

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16/10/2018 09:03:00

Romania has the lowest energy consumption per capita in the European Union and needs to increase its domestic consumption by expanding distribution networks and investing in new natural gas-based power plants.

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Scottish Power to use 100% wind power after sale to Drax

16/10/2018 08:57:00

Scottish Power will become the first major UK energy company to generate all its electricity from wind power instead of coal and gas, after selling its final gas and hydro stations to Drax.

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