Nov. 12 (Bloomberg) -- European Union carbon advanced to its highest for more than eight months before the European Commission publishes details of a plan to temporarily delay supply.
The benchmark contract for December gained 9 percent to close at 9.08 euros ($11.54) a metric ton on London’s ICE Futures Europe exchange, the most since Feb. 27. That’s the biggest one-day gain since April 5.
The Commission will publish its plan on delaying supply from auctions as of 2013 at 8 p.m. Brussels time.
Gains may last only “a couple of days,” Trevor Sikorski, an analyst in London for Barclays Plc, said by phone today before the Brussels-based commission brought forward the announcement of its plan by two days.
Supplies sold at auctions between now and the end of the year will surge to unprecedented levels of as much as 25 million tons a week, Sikorski said today in an e-mailed research note. Prices may decline to 8 euros a ton by the end of the month, he said.
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