LONDON, Jan 25 (Reuters) - European Union carbon emissions futures rose in Monday’s early trade as prices for German power and British natural gas firmed, traders said.
The benchmark contract for EU Allowances CFI2Zc1 was up 12 cents or 0.91 percent at 13.25 euros ($18.72) a tonne at 0748 GMT, having opened at 13.05 euros. Volume was light at 323 lots.
Prices hit an intra-day high of 13.33 euros in the first hour of trade.
“There has been a little rally this morning. There doesn’t seem to be any reason for this except German power is up and gas seems firmer,” an emissions trader said.
Oil prices CLc1 fell slightly but hovered near a four-week low below $75 a barrel on Monday, on continued market unease over possible tighter monetary policy in China and a U.S. proposal to tighten bank trading rules. [O/R]
German Calendar 2010 baseload power BY1DE-1Y rose 60 cents or 1.23 percent to 49.35 euros per megawatt hour.
British prompt natural gas prices GA1NB were up 2.10 pence at 36.25 pence per therm, while February delivery prices GM1NBG0 were up 0.45 pence at 34.80 pence per therm.
U.N.-backed certified emissions reductions CEREZ0 were 12 cents or 1.04 percent higher at 11.66 euros a tonne. (Reporting by Nina Chestney; Editing by Anthony Barker)