Monday’s session brought only a marginal reversal in the European carbon market after moderate gains over the previous two trading days. The EUA Dec’26 contract closed at €74.74, down €0.16 from Friday, continuing to oscillate around the €74.50 level for the fourth consecutive session.

Trading activity also remained subdued, with only 15.27 million allowances changing hands—well below this year’s daily average of 32.2 million. The limited volume, combined with modest price fluctuations, reflects a market still lacking a clear directional signal.

The European gas market also appeared calmer, entering a more balanced phase after a period of sharp volatility driven by the U.S.-Iran conflict. The front-month TTF contract gave back the modest gains recorded on Friday, closing Monday 0.48% lower.

The downward move followed media reports that Iran had advanced a proposal to Washington aimed at reopening the Strait of Hormuz. According to the Associated Press, citing two officials, “Iran offered to end its chokehold on the Strait of Hormuz if the U.S. lifts its blockade on the country and ends the war in a proposal that would postpone discussions on the Islamic Republic’s nuclear program.”

In the short term, attention across energy markets will remain firmly focused on the ongoing U.S.-Iran negotiations, with participants closely monitoring any signs of progress toward a deal that could ease regional tensions and support the full reopening of the Strait of Hormuz.