How To Know What Energy Markets Are Doing

Transcription

1 Friday 16/10/2015 Energy Markets Contract Unit Contract High Contract Low Yesterday High Yesterday Low Close Change Day-on-Day Oil Brent Front Month $/bbl Gas NBP W-16 p/th Gas NBP S-16 p/th Coal API2 Cal-15 $/t Carbon EUA /t Power Germany Baseload Cal-15 /MWh Power Belgium Baseload Cal-15 /MWh Power UK Sum-15 Baseload /MWh Power UK Winter-16 Baseload /MWh Power UK April 15 Annual /MWh Financial Markets EUR-GBP EUR-USD USD-GBP EUR-SEK Agricultural Markets Wheat UK Liffe /t Barley MATIF Malt Barley /t Sugar UK Liffe $/t Palm Oil Malaysia Crude $/t Commodity Markets Aluminium LME 3M $/t Plastic PET Grade /t Plastic HDPE /t Plastic LDPE /t

2 $/t p/th $/bbl Oil - Brent Oil steadied on Friday, snapping a week long decline as investors closed positoins at the end of a volatile week that saw prices slide nearly 10% on reviewed signs a global supply glut was here to stay. Oil prices had been tredning downwards for the majority of last week as it started above $52/bbl on monday before dropping to just above $48/bbl. The Brent crude contract is currently trading at just above $/bbl Brent Crude Brent Crude Gas NBP UK NBP prompt contracts settled above their closing points the previous day on Thursday. Downward pressure was applied to prices for the majority of the day with an oversupplied system however high exports alleviated this pressure and ensured contracts moved into positive territory.the majority of curve contracts softened on Thursday as the pound regained strength over the euro and the Brent crude contract also slide. The EUR/GBP exchange rate and oil price fluctuations should continue to drive oil prices in the coming week NBP Gas Seasons 2015 Winter-16 Summer-16 Coal No pertinent news Coal Page 2

3 Exchange Rate /MWH /t Carbon Over the last week EUA prices have shaken off the recent bearish trend that began at the end of August. Prices are lilkely to consolidate at current levels this week amid mixed signals from key inputs. Carbon prices are currently trading at around 8.36 per tonne Carbon EUA Dec-15 Power UK UK power prompt contracts softened on Thursday as the bears held a firm grip on both the peak and baseload contracts. Bearish pressure from the prompt and a stronger pound to euro exchange rate undermined the front month. Prices on the rest of the near curve settled fairly flat to their last assessments. This was a result of intra-day strength from the front of the gas curve contracts which relieved some of the bearish pressure. A soft Brent crude contract pressured further dated contracts into negative energy UK Baseload 2015 Summer-15 Winter-15 FX Movements The euro's consistent rise came to an end as a European Central Bank policymaker voiced concerns about its ability to tackle inflation, raising expectations of further easing in order to propel the eurozone's fragile economy. The EUR/GBP pair has made a loss of 0.16% from yesterdays closing price. It is currently trading at The dollar pulled away from seven week lows today, after positive US inflation data kept alive bets that the Federal Reserve would raise interest rates this year. The EUR/USD exchange is currently priced around $ Fx Movements EurGBP EurUSD

4 Agriculture European Union wheat prices were mostly lower on Thursday as Egypt overlooked French supplies at a tender and weekly data showed a slowdown in the pace of exports. Egypt choose Black Sea origins in a 2,000 tonne purchase on Thursday.The fact that French wheat was no longer the cheapest on a free-onboard basis, before adding higher freight costs, showed the struggle facing France in Egypt's tenders this season. Wheat is currently trading at around 114. Sugar is currently trading at around $ Agricultural Markets Wheat /t Barley /t Sugar $/t Plastic HDPE spot prices gained in Europe this week. A combination of triggers were responsible for the price rise including tight regional product availability and hectic buying trends witnessed in the spot market. HDPE is currently trading at 1,325 per tonne. LDPE spot prices also rose this week in Europe. Prices firmed on the back of strong buying witnessed in the spot markets coupled with constrained regional product availability. LDPE is currently trading at 1,2 per tonne. 1,700 1,0 1,300 1, Plastics HDPE /t LDPE /t PET Bottle Gr UK /t Aluminium Aluminum prices on the London Metal Exchange (LME) languish near 6-year lows and after the Midwest premium AL-PREM paid on top of futures for physical delivery fell an unprecedented 66 percent from its peak in January. Despite the plunge in prices to levels below many smelters' costs of production, output has risen in China, the world's leading producer and consumer, and the resulting rise in exports has pressured primary producers elsewhere in the world Aluminium $/t Aluminium Page 4

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