This newsletter was published 20.5.2026 at 16:06pm CEST

The current prices on the European carbon market are as follows:

The carbon market remained largely rangebound over the past week, with the December 2026 EUA futures contract continuing to consolidate around the 75 EUR level. In the absence of a clear directional catalyst, price action has remained closely linked to developments across the broader energy complex and macro-economic events. Ongoing geopolitical tensions and elevated energy prices continued to provide underlying support to the market. Front-month TTF gas prices extended higher, with the contract trading comfortably just above 50 EUR/MWh. The rally reflects continued concerns around supply availability, with disruptions to Middle Eastern flows and tighter LNG markets supporting prompt pricing. Positioning data continues to point to limited conviction among market participants. According to the latest CoT report, investment fund exposure remained broadly unchanged over the week, reinforcing the current sense of indecision in the market. Trading activity has also remained relatively muted, as average daily volumes declined considerably. At the same time, primary market dynamics remain constructive. EUA auctions throughout the week continued to clear at a premium to the secondary market, although premiums were only marginal. Meanwhile, UKAs and EUAs continued to trade with a high degree of correlation, driven primarily by ongoing political ambitions around a potential market linkage rather than by underlying fundamentals. Overall, the market appears to remain balanced around the 75 EUR level, with supportive energy fundamentals offset by cautious positioning and the continued lack of a decisive catalyst.

German power prices are up by 1.63 EUR since last week, with the front-year contract trading at 93.40 EUR/MWh. API2 coal prices are up by 8.00 USD since last week, with the Cal-27 contract trading at 128.50 USD/tonne. Front-year gas prices are up  by 1.130 EUR since last week, with the TTF Cal-26 trading at 38.305 EUR/MWh. EUR/USD is down by 120 points since last week and is currently trading at 1.1590.

Price development of EUA Dec2026 futures contract