• NZUs back below the cap
Spot NZUs are back below the cap – closing at $24.82 in quiet trade.
We appear to have hit a bit of a lull at present, the market was unable to push through much beyond $25 as momentum dwindled and some volume came to market at $25. It was probably no surprise that demand started to dwindle once we hit and breached the cap. In reality it was starting to happen prior given the net present value of the cap was probably hit around $24.60.
Nevertheless, we expect demand to remain at…