Euro Markets: EUAs erase five days of losses as short-covering pushes market through technical levels
European carbon allowances erased the last five days’ losses after a steep mid-morning rally on Wednesday was triggered by closing out of short positions that helped prices breach technical resistance levels, as the weekly Commitment of Traders data showed investment funds had only marginally added to their bearish bets.
Read MoreEuro Markets: EUAs post modest gain after cross-market price spike halts downward momentum
European carbon allowance prices clawed back early losses to end Tuesday modestly firmer, after a momentary spike in natural gas and power on reports of a North Sea outage halted the market’s downward momentum and paved the way for a gradual recovery after several days of steady selling pressure.
Read MoreEUAs could trade below €55 for next two years without impacting market demand –analyst
EUAs could trade at between €50-€55 for the next two years without leading to any significant increase in emissions, and the same price level through to 2030 would not trigger a tightening of the market, according to a bank analyst.
Read MoreEuro Markets: EUAs reverse morning gains as sellers persist, correlation with gas stretches
European carbon allowances handed back early gains and ended Monday modestly weaker, after EUA prices had started the day on a bullish note, testing their recent correlation to natural gas until a resumption of selling pressure drove the market down.
Read MoreEuro Markets: Steady selling forces EUAs down 3.6% on the week as gas falls 1.7% amid tightening correlation
EU Allowance prices extended their weakness for a fourth session, with the benchmark contract losing 3.6% on the week as it tracked weakening natural gas prices amid easing geopolitical tensions, while bearish positioned traders continued to pressure the carbon market.
Read MoreEuro Markets: EUAs “stuck” amid modest trading activity and calm energy markets
European carbon prices ended the session marginally weaker on Thursday, moving in a narrow range after tracking fluctuations in a relatively calm natural gas market as traders awaited renewed direction.
Read MoreEuro Markets: Carbon extends losses along with gas amid milder temperatures as funds add length
European carbon prices continued to track the TTF market on Wednesday, falling away as warmer temperatures dampened demand for gas and power, while weekly positioning data showed investment funds boosted length and marginally trimmed bearish bets last week.
Read MoreEuro Markets: EUAs resume close link to natural gas as energy weakens on easing Middle East tensions
European carbon prices continued to strengthen their correlation to natural gas on Tuesday, fluctuating in line with the TTF after the two markets had disconnected early in the month, as they followed the energy complex lower amid easing geopolitical tensions in the Middle East.
Read MoreEuro Markets: Carbon extends gains amid renewed close links with natural gas
European carbon prices resumed their upward trend on Monday as participants continued their accumulation after last week’s short-squeeze rally was triggered by investment funds amassing the largest net short position since March, while energy markets posted steady gains amid forecasts for lower temperatures.
Read MoreEuro Market: EUAs re-test six-month lows as selling pressure continues to dominate
European carbon allowance prices came under renewed pressure on Tuesday amid continued gloomy macroeconomic and geopolitical sentiment, but sustained selling encountered support marginally above Monday’s six-month low.
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