A new act in the nickel drama
As the global market struggles to shrug off the effects of the nickel crisis, which broke out on the London Metal Exchange (LME) last March and is still sending shockwaves through the industry, more bad news has come to the fore.
A downhill slide for banks and oil
Inflation across major global economies has been running rampant over recent years, fueled by the COVID-19 pandemic and the energy crunch, with central banks forced to tighten their monetary policy and raise interest rates in response.
China is betting on coal
As we have written in our previous publications, the European Union last year suffered a setback on its way towards decarbonization and low carbon power generation.
Fossil fuels make a comeback in Europe
Although energy price inflation in the euro area is slowing (from 41.5% last October to 13.7% in February), prices remain high, while consumers have to increasingly rely on fossil fuels as a more easily available source. Against this backdrop, carbon prices climbed above €100 per tonne in late February, for the first time ever.
End of TTF’s dominance?
Over the past two decades, gas pricing in Europe has moved away from oil indexation towards hubs as the preferred price formation mechanism driven by supply and demand, with gas-on-gas pricing making up 77% of gas volumes in 2021. This pricing model is observed mostly in Northwestern Europe, while oil indexation is prevalent in the Mediterranean region.