Emissions Trading / Carbon Market News (30/08/2021)

Dear Sir or Madam,

Last Friday, the European CO2 emission rights increased significantly and closed in a weekly comparison with a plus of 8.5% compared to the previous weekly closing price at 59.00 euros in the EUA December contract (ICE). A new all-time high was previously marked at 59.95 euros, but this has already been stopped at the beginning of the new trading week today, after the EUAs are currently quoted at well over 60 euros.

The prices were driven by the fact that during this trading week, due to the Bank Holiday and the EEX conference, only 5.6 million EUA will be auctioned on three days of the week. Speculators with a short-term orientation in particular managed to fuel the bull market.

The emission rights received further support from the rise in electricity and gas prices as well as the resurgent crude oil price, which rose in the Brent variety by a strong 11.6% on a weekly basis to 72.59 US dollars.

After oil reached a monthly low of just under 64.97 US dollars on August 20, 2021, it was above all high deliveries to India and the report on the explosion on an oil platform in the Gulf of Mexico, which is why the operator stopped the production of 125 oil wells stopped and produced 420,000 barrels less per day and production losses were also recorded in Russia.

It remains to be seen whether the 60 euro mark can be maintained this week, as the regular weekly auction volume of 11.4 million EUA will be offered again in the coming week.

  (Average Quotes Exchange / OTC)   
EUA (Spot-Market)54.32 EUR58.94 EUR+4.62 EUR
EUA (December-2021-Future)54.38 EUR59.00 EUR+4.62 EUR
CER (Voluntary Spot-Market ø)3.26 USD3.26 USD+0.00 USD
VER (Gold Standard Spotmarkt ø)14.03 USD14.03 USD+0.00 USD
ICE Brent Crude Oil (Benchmark Future)65.03 USD72.59 USD+7.56 USD
EURO (Currency, Forex)1.1698 USD1.1795 USD+0.0097 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. CERs and VERs are average prices in the voluntary carbon offsetting market (eco securities). 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