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Oil prices have become the dominant factor in shaping European Union consumer energy costs, according to Daniel Kral. He highlights a significant rise in the correlation between oil prices and consumer energy prices, following a recent period when gas prices caused an unusual market anomaly.
Kral's analysis suggests that, after the brief shock from gas prices, oil has returned as the primary influence on the region’s energy pricing trends.
Kral previously reported that all EU states recorded goods trade deficits with China in 2023, marking a notable shift from earlier years (link). He also observed a rise in headline inflation across most European countries since January, with Luxembourg seeing the largest increase at 2.2 percentage points (link). These recent trends have set the backdrop for heightened attention to consumer energy costs.