March 1, 2022

CarrZee comment:

With Dutch natural gas surging 21% today, something has to give to protect profits from generating power. Is that something EU carbon futures?

Comments my way: mathew@carrzee.net

Relevant Tweets and remember CarrZee’s take from the weekend.

EU carbon plummets *15%* to €69.50 – level not seen since late Nov.

This will leave nasty scars for investors who saw EUAs as a relatively safe 1-way bet.

Mkt will be discussing fallout for months, incl trying to figure out exactly how much was owned by Russians.#EUETS #OCTT https://t.co/W3PKDU9eZG

— 🇺🇦Mike Szabo🇺🇦 (@MikeSzaboCP) March 1, 2022

EUA -16% shows a massive sell-off and drops below critical 38,2% Fibo R. Watch 200-DMA at 66,77€. Meanwhile TTF breaks above resistance again and Brent aims at 116$. OPEC+ tomorrow 2.3.22.#porrapool #EUETS #OCTT #OOCC #OPEC #Brent pic.twitter.com/nTV17Rhfob

— Wattiox (@wattiox_energy) March 1, 2022

#EUETS price crashed to €70 https://t.co/Vz0ehEzzrL

— Yan Qin (@YanQinyq) March 1, 2022

See this thread:

But one thing the situation shouldn’t alter: Europe’s ambition on climate. And here’s why: never waste a crisis.
In this case, for 3 reasons:
1/now is the best time for strong climate policy
2/if we don't, we risk global climate efforts
3/it reduces inflation link to fuel prices

— Jerry van Houten (@jerryvanhouten) March 1, 2022

Linked above:

EU Carbon Permits May Suffer More Drops This Week on Russia Sanctions; Oil Seen Rising (1)

–Note this more recent comment

Comment by By Mathew Carr, Feb. 27, 2022

European Union carbon permits may fall tomorrow (Monday) and later in the week because Russian banks and companies fearing sanctions will seek to liquefy any assets they hold that can be easily sold before the sanctions hit.

On Saturday, a group of nations including the United States and the EU moved to block certain Russian banks’ access to the SWIFT international payment system in a signal to Moscow to back off from its military “operation” in Ukraine.

The various banks will face sanctions over time (the timing does not immediately seem clear).

Also “we commit to imposing restrictive measures that will prevent the Russian Central Bank from deploying its international reserves in ways that undermine the impact of our sanctions,” the countries said (see press release copied below).