Emissions Trading / Carbon Market News (19/04/2022)

Dear Madam or Sir,

The ongoing war between Russia and Ukraine with no sign of a truce is currently driving oil supply fears as demand is expected to pick up as the holiday season approaches in Europe and North America.

In addition, Russian production fell by 7.5% in the first half of April compared to March, and EU governments have already announced that they are preparing proposals to end Russian crude oil imports.

Even though China refined oil 2% less in March than a year earlier, on slowing economic growth and concerns over further corona measures in China, bulls have held the upper hand in the oil market and Brent crude prices in comparison increase by almost nine percent compared to the previous week.

The prices for European carbon emission allowances, on the other hand, were unaffected by this and closed just below the EUR 80 mark almost unchanged, continuing the sideways movement that has been ongoing since mid-March.

In this trading week, due to Easter Monday, a total of 6,957,000 EUA will be auctioned at the Leipzig EEX on just three trading days.

This and the approaching deadline at the end of next week could push prices back above the 80s level barring any clearly bearish news.

  (Average Quotes Exchange / OTC)   
EUA (Spot-Market)80.15 EUR79.88 EUR-0.27 EUR
EUA (December-2022-Future)80.09 EUR79.97 EUR-0.12 EUR
VCU (Voluntary Carbon Units ø)11.45 USD11.53 USD+0.08 USD
VER (Gold Standard Spotmarkt ø)5.98 USD6.06 USD+0.07 USD
nEZ (German National Carbon Units)30.00 EUR30.00 EUR+0.00 EUR
ICE Brent Crude Oil (Benchmark Future)102.27 USD111.41 USD+9.14 USD
EURO (Currency, Forex)1.0875 USD1.0810 USD-0.0065 USD

(The average exchange quotes and OTC-prices shows the average between bids and ask of several exchanges and OTC markets for carbon emission rights in the ETS. Bid and ask has usually in Spot Market a visible spread. The VER quotes are average rates (carboncredits.com), which can be used within the framework of CORSIA and voluntary carbon offsetting. Crude Oil and Euro Currency shows day-end-exchange quotes. This market information has just an informational character and are no advice or offer to trade carbon emission rights or their futures and options. If you want to unsubscribe, please reply to this mail.)

Please call our international carbon desk if any further questions exist: +49.2831.1348220.

With kind regards,

Advantag Services GmbH