The last few months have been sunny and windy and the wholesale prices have been low due to the pandemic. But the owners of solar- and wind power stations in Germany receive a fixed price and the difference comes from a surcharge paid by consumers. It will likely increase by 25% in 2021 and an average household will pay 350 euros per year.

EDF said it does not yet know how the project will be funded. Humphrey Cadoux Hudson said: “it is important to get the lowest cost of capital”. Backers of nuclear power insist Britain needs to replace existing nuclear plants, given that it is committed to net zero emissions by 2050, and the country cannot rely on wind and solar power all of the time.

Output from wind farms was up by 40% compared with the first quarter of 2019 as Britain experienced the wettest and windiest February on record. Making sure the grid isn’t overloaded by wind and solar is a challenge for National Grid Plc. The grid operator asked for emergency powers to switch off renewable generators if needed to limit supply.

The UK issued its first bond with a negative yield as investors prepared for the possibility that Britain joins other European countries in having negative interest rates. Comments from UK central bank officials fuelled speculation among investors that the country may set benchmark interest rate below zero to support the economy during the coronavirus pandemic.

The asset manager Schroders is growing a new European fund focused on sustainable debt. Bonds earmarked for sustainable purposes had been expected to be more resilient in a downturn. However, the swift March slump followed unprecedented economic lockdowns and an oil collapse, leaving portfolio managers scrambling for liquidity.

A giant bond-buying program launched five years ago by the European Central Bank was conditionally approved by Germany’s highest court, but it demanded more information about its economic justification, in a move that could set limits on the ECB’s firepower and invite fresh lawsuits. The judgement was tougher than many analysts had expected.

Turkish lira slid towards an all-time low against USD as authorities’ efforts to tighten their grip appeared to backfire. Turkey’s banking regulator moved to curb currency speculation by making it harder for foreign investors to obtain lira. Countries such as Turkey have large foreign financing needs and are seen as vulnerable to a squeeze on funding.

From a family office perspective, you don’t want to take on too much risk, but you still want to deploy capital. We have seen a lot of clients saying, “Where should I invest if I want to be in the debt market.” Central banks are keeping economies afloat with cheap-money policies, making assets that used to preserve and grow family fortunes less effective.

Germany's negative electricity price rules caused €50 million in losses for offshore wind projects in February 2020. In particular, the "six-hour rule" that stops support payments, if wholesale day-ahead electricity prices go negative for more than six hours. The aim is to ensure there is no incentive to generate electricity when supply exceeds demand.

Investors fled mutual funds in Europe at the fastest rate on record in March when they redeemed €246bn. Bond funds across Europe were hit with redemptions of €140bn. Long-term index funds shed €28bn. On top of the investor outflows, Europe’s fund industry was hammered by falling markets that led to a nearly €1tn drop for long-term funds.

German government bonds have fallen for 7 consecutive days, taking their yield more than 60 basis points higher from a record low of -0.91%. It’s their longest run of losses in 2.5 years. “A move in 10-year bund yields back above zero is not sustainable but it is a very real possibility over the next week,” said Richard Kelly of Toronto-Dominion Bank.

Gold futures ended sharply lower for a fourth straight session on Friday, with a loss of more than 9% for the week. It seems that investors have been selling gold in order to cover losses elsewhere. Some investors who were reluctant to part with their equities at depressed prices were able to sell gold in order to meet the margin calls.