On a rising trend : 23.5 million tons traded in the Intercontinental Exchange this week

March 25, 2019 by maitreyi.karthik@climate-connect.com

CaliforniaCarbon.Info 25th Feb, 2019:

This week saw a total of 23.5 million tons of California Carbon Allowances (CCAs) being traded in the Intercontinental Exchange(ICE). This was a healthy rise in volume as compared to the previous week, where 14.6 million tons were traded in the market. Dec19 delivery was the most traded followed by Mar19 and Dec20 deliveries. This trend was similar to a week before last, where 31 million tons were traded, indicating high volumes of trade as the 2019 calendar touches the month of March.

Price Trends

There was  a gain of 12 cents along the front on Monday from previous week. The prices continued to rise throughout the day for other deliveries. Prices dropped by 12 cents on Tuesday and dropped further down 2 cents towards the end of the week. There was a week-on-week gain of a cent from the previous week.

Follow our CCA tracker for a detailed look into the current price trends:

Weekly Traded Volume

Healthy volumes of CCAs were traded last week which totalled to 23,473,000 tons in volume, which was an increase of 8.8 million tons from the previous week. Major chunk of volume was contributed by the Dec19 delivery which traded at 13.9 million tons. The total traded volume for V19 vintage was 18,393,000 tons. Out of this, Tuesday showed 4.1 million tons and Wednesday showed 3.2 million tons for Dec19 delivery. This along with 2.3 million tons for Monday, 0.3 million tons for Thursday and 1.2 million tons for Friday. Dec19 delivery contributed 11.1 million tons of V19 volume. Vintage wise V18 traded 2,955,000 tons that contributed to 12.6% of the total volume traded in the market. Further, V20 traded 450,000 volumes and V21 traded 1,675,000 volumes contributing to 1.9% and 7.1% respectively of the total .

Open Interest

This week saw 5,435,000 contracts that exchanged hands in the market. The week saw a closure of 1,223,000 contracts across Jun19, Sep19 and Dec19 deliveries. Dec19 delivery currently holds a majority adding 76,985,000 contracts in total followed close by Mar19 with 18,194,000 contracts.

Analyst contact:

Maitreyi Karthik (maitreyi.karthik@californiacarbon.info)

Lonava Tahreen (lonava.tahreen@californiacarbon.info)

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