Bookmark and Share

Another Greek Crisis Casualty – EU Carbon Prices Fall from 17 Month High

0 Comment

EU Carbon prices which had gone ups after the 2009 lows on the back of economy recovery are also falling again.Would make sense since the economy would slow down requiring less amounts of carbon offsets by industries. Note I am not a fan of the carbon offsets where big industries and financial players are reaping the benefit of carbon trading at the expensive of the small people. I think a carbon tax with sufficient safeguards would work better than Kyoto protocol mandated carbon trading model.But don’t think that is going to happen with China and  USA both opposed to a global agreement. Europe and Japan are leading the way in climate change but they can only do that much .

EU carbon falls on euro, Greek debt worries – Reuters

European carbon prices fell on Friday, pulled lower by ongoing worries over the euro and the Greek debt crisis, traders said.

EU Allowance futures for delivery in December opened at 16 euros and fell as low as 15.71 euros a tonne in early trade, down 48 cents or 3 percent, before clawing back above 16 euro mark.

The benchmark futures were trading down 9 cents or 0.6 percent at 16.10 euros by 0710 GMT.

“We’re seeing interest from utilities who are buying on the dips,” said one emissions broker.

“The Greek bail (out) continues to have a short term effect, but we’re still bullish on carbon prices.”

Dec-10 EUAs are down nearly 4 percent from a 17-month high hit on Tuesday, but are still up around 25 percent since the end of March.

PG

Sneha Shah

I am Sneha, the Editor-in-chief for the Blog. We would be glad to receive suggestions, inputs & comments on GWI from you guys to keep it going! You can contact me for consultancy/trade inquires by writing an email to greensneha@yahoo.in

No Responses so far | Have Your Say!