UKAs slide rapidly on policy and political turmoil

Uncertainty around EU policy developments and the UK Labour party leadership have prompted a major sell-off of UKAs.

From a high of GBP 57.89/t on Tuesday, the benchmark Dec-26 UKA contract dropped sharply on both policy uncertainty from the EU and political instability within the Labour government. During trading this morning, prices reached a low of GBP 42.88/t, a drop of 25% from Tuesday’s high.