Crude oil prices rose on Wednesday even as OPEC+ producers agreed to unwind their historic supply cuts from August. Brent gained 2.1% to hit USD 43.79/barrel and US benchmark WTI rose 2.3% to USD 41.20/barrel after the US reported a higher-than-expected weekly draw on crude inventories of 7.5 million barrels, compared to a consensus estimate of 2.1 million barrels. Gasoline and distillate inventories also fell more than expected.
European gas hubs yesterday rose faster than US benchmark, with UK NBP gaining 5.3% to USD 1.71/MMBtu and Dutch TTF rising 2.8% to USD 1.75/MMBtu. Henry Hub rose 1.8% to USD 1.78/MMBtu, and CME’s JKM futures were virtually unchanged at USD 2.16/MMBtu.
The European carbon price dipped 2.7% in Wednesday’s session, with the month-ahead futures contract for ETS carbon allowances (EUAs) closing at EUR 28.75/tonne – leaving the EUR 30/tonne threshold again out of reach, at least for now.
Front-month futures and indexes at last close with day-on-day changes (click to enlarge):
Time references based on London GMT. Brent, WTI, NBP, TTF and EU CO2 data from ICE. Henry Hub, JKM and API2 data from CME. Prices in USD/MMBtu based on exchange rates at last market close. All monetary values rounded to nearest whole cent/penny. Text and graphic copyright © Gas Strategies, all rights reserved.