NA Markets: Prices drift as Ontario auction surprises market
California carbon prices edged lower this week, giving up last week’s gains as traders absorbed the result of Ontario’s final auction of 2017.
The Dec-2017 vintage 2017 futures slipped from $15.19 on Monday to as low as $15.05 on Thursday. Just 654,000 tonnes changed hands in the week to Wednesday, the lowest total since April.
“I think traders had noted that the back year has been cheaper than the front, and decided to bid for the back year,” said Nicolas Girod of ClearBlue Markets. “This concentration of bids boosted the clearing price.”
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