Overview

EUAs have been swinging wildly this week, but not finding enough conviction to break out of the €70-73 trading range seen for the past few weeks. After the headline-driven start to June saw prices exceed €75 before clumping back, the past few weeks has been more about trading sentiment and movements in natural gas seeing buying rallies which have quickly fizzled out and then led to a retracement. This week’s pricing trend has been bullish, but resistance has been found in the mid €72s, this morning saw a more sustained softening back towards €71 and a lacklustre auction result, but then the December 25 futures contract pushed back off €71.3 to trade above €71.5 once more.

Not that exciting, but this is a good thing for shipping companies for whom finalising ETS arrangements with their stakeholders is much more important ahead of the September surrendering deadline