Emissions Trading / Carbon Market News (2017-07-31)

Dear Ladies and Gentlemen,

In the known yo-yo effect, which is feared by not a few people, a reduction diet results first in the desired fat and weight loss. The energy stores in the body are activated, which makes the view on the scale and in the mirror additionally pleasing. But the lack of food also leads to an energy saving program in the muscles. This “emergency operation” remains active even after the person has resumed their usual eating. However, the fat stores are quickly replenished and not infrequently one has more pounds on the scale than before the diet.

The global oil market has been facing a similar dilemma for several years. In order to achieve the desired prices on the market, the OPEC, together with other countries, prescribe themselves a diet for the production output. But as soon as the price reaches a level above the $ 50 mark, the relative expensive fracking method in the US is worthwhile and the stocks are filled so well that the price drops again just as quickly as it rose before.

At the beginning of last week, OPEC and Russia representatives met again to discuss more effective measures, and the oil price actually rose again to over USD 52.00. But this time, too, the yo-yo effect will not fail to appear. In a diet, you can curb the effect when regular exercise is added. With the oil price, however, we will still be looking for a suitable solution for quite a long time.

The carbon market has benefited from the oil rally last week and has clearly ended its last downward course. With an average price cut of around 25 cents in relation to the previous week, the price moved more or less sideways, but made up ground shortly before settlement on Friday.

The new trading week starts today with a promising auction result of 5.23 EUR and changes from tomorrow to the summer mode with halved auctions.


(Average Quotes Exchange / OTC)      
Instrument 2017-07-28 2017-07-21 Change
EUA (Spotmarket) 5.17 EUR 5.08 EUR +0.09 EUR
EUA (December-2017-Future) 5.18 EUR 5.09 EUR +0.09 EUR
CER (Spotmarket) 0.20 EUR 0.21 EUR -0.01 EUR
ICE Brent Crude Oil (Benchmark Future) 52.19 USD 47.98 USD +4.21 USD
EURO (Currency, Forex) 1.1752 USD 1.1661 USD +0.0091 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 have usually in Spot Market a visible spread. CER CP1 and ERU are eligible in ETS until end of March 2015 and must be swapped into EUA. Crude Oil and Euro Currency shows day-end-exchange quotes. These 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 or +44.20.79790283.



With kind regards,


Advantag Services GmbH