During the third week of August, Brent oil futures for the Front Month on the ICE market reached their weekly low of $65.79/bbl on Tuesday, August 19, before climbing to a weekly high of $67.73/bbl on Friday, August 22, marking a 2.9% increase from the previous Friday. Early-week optimism over potential peace talks in Ukraine weighed on prices, but stalled negotiations, the risk of new U.S. sanctions on countries importing Russian oil, and declining U.S. oil reserves pushed prices higher. Additionally, expectations of U.S. interest rate cuts announced on Friday contributed to the upward trend.
TTF gas futures for the Front Month on the ICE market also rose during the week. They hit a weekly low of €31.23/MWh on Tuesday, August 19, and climbed to a weekly high of €33.57/MWh on Friday, August 22, an 8.2% increase from the previous Friday. Price pressures were driven by stalled Ukraine peace talks and scheduled maintenance in Norway, which reduced gas flows.
CO2 emission allowance futures for the December 2025 contract on the EEX market recorded a weekly low of €71.18/t on Tuesday, August 19, and peaked at €72.61/t on Thursday, August 21. The Friday settlement was slightly lower at €72.51/t, still 2.6% higher than the previous Friday.
Overall, geopolitical tensions, supply constraints, and market expectations influenced oil, gas, and CO2 futures in Europe during the third week of August, AleaSoft reports.
