Veles Weekly Report Archive
1st December 2022

NQH2O up $1.41 or 0.14% to $985.96

Futures trading at a discount to index.

Futures above the 5,10,20 day moving averages, sitting on the 30 day moving average and below the 100 and 120 day moving average.

Volatility is mixed.

Stochastic is flattening out, indicating price stability.

NQH2O up 34.34%.

 

Drying Salton Sea to get Fed funding.

Ecosystems and rural communities bear brunt of drought.

California facing $3bn drought loss.

 

State of Arizona investing in ASU water research.

Liberty Gold Corp purchases Black Pine Mine Water Rights.

 

Spanish medieval irrigation canals rehabilitated to fight drought.

Anglian Water fined for sewerage release.

Scotland spends £2m to protect river ecosystems.

 

Water is part of the climate solution.

Indian water sector investment estimated at $210bn.

Energy positive wastewater treatment in Montpellier.

 

Palestine accuses Israel of stealing groundwater.

24th November 2022

NQH2O up another $6.00 or 0.61% to $984.54.

Near term futures at a discount to index.

All futures volatility at premium to index volatilities.

Futures are above the 5,10 and 20 day moving averages but below 30,100 and 120 day moving averages.

 

Questions arise on water rights over new proposed dam

NOAA predicts La Nina effect in 90 day outlook, with a 76% chance of lasting till February.

Southern California water agencies join other states to agree less water usage.

Santa Ana winds blow in Southern California for Thanksgiving.

 

100 year old rules on Colorado River coming into question.

Texas AG vows to protect Rio Grande Compact signed in 1938.

Largest dam removal in US approved to save endangered salmon.

 

Microsoft and others faces rising drought risk for data centres.

Novus miniature water purification technology ensures safer water for armed forces.

 

Dry weather in Southern EU raises concerns for winter crops.

Australian food producers call for banning of Murray Darling Basin Plan.

Gujarat in India has gone from water deficit to water surplus.

 

 

$2.5 trillion dollar blue economy investment opportunity.

17th November 2022

NQH2O up $7.8 or 0.74% to 978.54.

Futures are trading at a discount to the index.

Futures volatility higher than index volatility.

NQH2O up 33.33% Year to Date.

 

‘It’s eat or pay the water bill’

More desalination for Monterey.

Recharge ponds being built to harness megastorms and floods in CA.

 

First US Special Envoy appointed for Biodiversity and water resources.

Plan to pump rural groundwater to Las Vegas may re appear.

 

Water firms may owe UK water users £163m for spillages.

Jordan under acute water stress.

Southern Europe drought  sparks grain price hike.

 

Water buy backs remain on agenda to protect Murray Darling Basin.

ADB announces mobilising $200m for water resilience program.

 

NASA mission will measure all of earth’s water.

10th November 2022

NQH2O down $20.37 or 2.05% to $971.36.

All futures volatility higher than index volatility.

NQH2O up 32.36% Year to Date.

 

Desalination may supply between 10%-50% of all potable water in CA.

As California dries, dust control becomes more expensive.

Rural farmers face fines for violating drought orders.

 

Supreme Court will hear Navajo Nation’s water rights case.

Foreign owned farmers guzzle water to feed cattle overseas.

Mississippi capital to receive $35.6m in federal water funds.

 

Creation of an Ocean Sustainability Bank.

Europe has warmest October on record.

France maize crop down due to drought.

 

Water is the essence of carbon sequestration.

Belize cuts its debt by using Blue Bonds to fight Global Warming.

 

Tanzania manages water in sanitation battle.

3rd November 2022

NQH2O down $11.41 or 1.15%.

Futures at a discount to index.

Big change in one month relative volatility.

 

Two global weather systems are battling it out over the Western US.

Pacific North American Oscillation (PNA) and La Nina.

November looks to be ruled by PNA which means rain in the West, including California.

 

Hooper Valley Indians sue US over CA water contracts.

Most CA water agencies fall short of 15% voluntary conservation.

Change is coming to Westlands Water District Board.

 

Mega water project in Guangdong China, moves forward.

Drought threatening wine industries.

 

Seedling mortality increasing in SE Asian forests.

27th October 2022

Mixed signals for water price.

NQH2O down a further $25.64 or 2.49% to $1003.22

Futures at a discount to index.

Volatility signals mixed.

NQH2O up 36% Year to Date.

 

La Nina is predicted to persist till January in CA bringing a dry warm winter.

Cadiz buys ATEC systems.

Agave is turning into a potentially favoured crop in CA.

 

Colorado snowpack at 229% of average, great news for Lake Mead.

United States of Megadrought Map.

 

Universal access to safe drinking water requires increased investment: World Bank, WHO, UNICEF.

Excessive water extractions and not climate change to blame for drying of Darling River in Australia.

Water security must be enhanced in India.

Peru is scaling up nature based resilience in water and climate.

 

China’s investment in water conservancy reaches record high.

20th October 2022

NQH2O down $20.91 or 1.99% to $1028.86

Down 20% from its high.

NQH2O is still up 40% Year to Date.

 

Futures at a discount to the index.

Volatilities are high and mixed.

 

Fitch upgrades Mojave Water Agency Bonds to AA+.

Coalinga pays up 1284% for its water.

Gov Newson outlines $1billion plan to recycle water.

Metropolitan calls for banning of non-functional turf.

 

‘Water Batteries’ combined with renewables seen as a solution to power in CA.

Gila River tribe to take offer to conserve water in Lake Mead.

Austin is looking for water storage space.

 

World Bank steps into mediate India Pakistan water dispute.

Mexico to invest $200m in damaged water infrastructure in Baja.

Anglian Water fines £1.2m for causing pollution.

 

Drought threatens next years crops in England.

August 25th 2022

NQH2O at $1233.04 up $18.98 or 1.56%.

Another new all time high, for the 12th week in a row.

Mixed signals this week from the moving averages.

Volatility reversal where index volatility higher than futures.

 

530,000 acres unplanted in CA. up 36% on last year.

San Diego’s ‘drought proof’ water is getting more expensive.

Will Agave be CA’s new crop?

 

Tribes need to be involved in water talks.

Arizona agri groups pitch a payment plan on water.

Water will become an Environmental Disclosure item for companies.

 

Wales may sell water to England at a profit.

Flooding wetland may become a new carbon capture technique.

$320m doubles Perth’s rainfall independent water sources.

August 17th 2022

NQH2O up another $12.14 or 1.01% to $1214.06.

Another new all time high for 11th week in a row.

 

But below 5, 10 and 20 day moving averages.

Futures at a discount for first time in months.

Futures volatility has jumped versus the index.

 

Four things to know about Colorado Water and California.

Is SGMA compatible with farmland preservation?

Climate change doubles the likelihood of a mega flood in California.

 

Drought pushing the power grid to the brink.

Pipe dream? Mississippi water for the West?

 

Billion year old water found in South Africa.

Irreversible declines in freshwater storage in Asia by 2060.

Eastern Australia faces floods this spring.

India uses more groundwater than US and China combined.

 

Value of Murray Darling water rights hits $30 billion.

August 4th 2022

NQH2O up another $27.46 or 2.4% to $1171.60 another new all-time high.

Futures still at a premium to fair value.

Futures volatility higher than index volatility for all expiries.

 

NQH2O up 65.86% Year to Date.

 

Many hurdles still exist for tunnel to bring Northern Ca water to the Southern regions.

AVEK develops another water bank.

Desert agency to pay $8500 per AF for valley water rights.

More recycling of waste water to drinking water in SW.

Water sector debt can cause a market crisis.

 

$1.8bn plan to save MurrayDarling may fail.

Indian groundwater becoming ‘poisonous’.

 

National hosepipe ban in Britain.

July 28th 2022

NQH2O reaches its 8th consecutive all time high at $1144.14 up $3.15 or 0.28%.

But technical analysis shows price may be peaking as it is sitting on the 5 day moving average.

Futures sitting at a premium to fair value.

Volatility is mixed.

 

Monsoon activity from Mexico feeding moisture into the US affecting as far east as New York.

25% of LA water supply affected by drying of Colorado River.

EIA to be released for Delta tunnel.

 

Water wells may be taxed.

San Joaquin valley may repurpose 100,000 acres of farmland.

The Colorado River is the first climate disaster the US has legally had to deal with.

 

Drought threatens England as Southern Water applies for a drought permit to continue using River Test as a source of drinking water.

China’s new mega tunnel will send water from 3 Gorges Dam to Beijing.

Rajasthan to get Australian assistance for water sector.

July 21st 2022

Once again it is drought, drought and more drought news interspersed with fires and more water shortages in California.

 

NQH2O is at $1140.99 up $50.32 or 4.61%.

Near term futures still at a premium to fair value.

All futures volatilities higher than the index volatilities.

 

Second town in Tulare County runs dry, relying on hauled water.

Thinning of forests to avoid mega fires remains controversial.

Californian idle cropland may double.

 

Calls for water buy backs on Murray Darling in Australia.

Traditional landowners resort to AI and aerial footage to restore wetlands.

 

Heavy rains continue in Karala, India.

July 14th 2022

NQH2O at $1090.67 up $68.48 or 6.08% another new all time high.

Futures still at a premium to fair value.

Volatilities mixed.

 

Drought salinity barriers being considered.

Relooking CA water rights again.

Desalination always a consideration but often hampered by environmental concerns plus decreasing energy supplies as hydro diminishes.

 

Phoenix commits to leaving Colorado Water in Lake Mead.

Texas river flows approach new record lows.

Louisiana does little to regulate ground water.

 

Heavy rains in India cause state to urge Karnataka to increase dam discharge.

New South Wales city goes for week without drinkable water due to flooding.

 

1.2 billion year old groundwater discovered in mine in South Africa.

July 7th 2022

NQH2O at $1028,19 up $29.24 or 2.93%.

Futures at premium to fair value.

Volatility is variable over different time periods.

 

Spring river run off is up year on year.

97.5% of California in ‘severe’ drought.

California planning fossil fuels and possibly nuclear as back up to blackouts as hydro fails.

 

Hualapai Basin aquifer seeks to prevent depletion.

US Dept of Agriculture investing to expand rural water infrastructure.

 

World leaders looking at causes of water scarcity.

South Africa looking at alternative methods for groundwater identification.

Gas shortage may force Hamburg to ration hot water.

Indian Government drawing up plans for desalination plants along he coastline.

 

 

Will water pricing be the next carbon pricing?

June 30th 2022

NQH2O at $998.95 up $11.14 or 1.13% another new all time high for the 4th week in a row.

Mixed volatility signals between futures and index.

Futures still at premium to fair value.

 

Who is winning and losing in CA drought?

CA water supply to be audited to prevent last year’s early releases.

 

Bond market may be tapped to find new water resources in Arizona.

Mississippi water for parched West?

Saudi company pumping Arizona groundwater.

 

Milan turns off fountains in drought in Italy.

Mexico may offer fiscal benefits for firms saving water.

 

India- Bangladesh cross border diplomacy crucial to water management.

June 23rd 2022

NQH2O at $987.81 up $26.88 or 2.80%.

New all time high for third week in a row.

Futures at a premium to fair value.

Mixed signals on the volatility with convergence occurring between futures and index volatility.

 

Start of monsoon season may bring some relief to Sothern California and Arizona.

Lake Oroville has peaked at 50% capacity.

Drip irrigation in California showing massive water savings.

Deepening fissures in the land threaten Arizona agriculture. Mini Grand Canyons forming.

Nearly 80% of Texas is in drought.

 

 

Saudi desalination using RO brings water to Makkah and Jeddah.

Major water transfer project to start in China.

Bagladesh’s economic success comes at the expense of its river.

Delayed Monsoon hits hydropower in India.

Snowy Hydo in Australia has too much water.

June 16th 2022

NQH2O at $960.93 up $18.19 or 1.93% another new all time high.

Futures still trading at a premium to both spot and fair value.

Mixed signals in volatility.

 

Record fallowing numbers in CA.

98% of CA in severe drought.

Antelope Valley continues groundwater storage study.

CA releases $193m grant funding for water infrastructure.

 

World Bank approves $385m for Horn of Africa groundwater development.

Groundwater depletion accelerating in Punjab.

Chilean reservoirs turn to desert.

 

Turkey and Iran squabble over transborder water management.

Mexican drought fuels anger over water equality.

Water imbalance in Asia puts 2 billion people at risk.

June 9th 2022

Good Morning
NQH2O reaches a new all time high mirroring the drought conditions in CA.
CA calls on all water agencies to submit water usage data sooner to foster transparency.
CA considers $1.5bn senior water rights purchase.

Navajo Nation leaders finalise Utah Water Settlement Act.
Arizona prepares to break open its Water Bank.

Tariffs could increase Indian sense of ownership of water and reduce wastage.
Collapse of ocean current could mean La Niña becomes the norm.
South Asian countries lose over $14.2bn a year due to lack of water sharing deal.

June 2nd 2022

Drought, drought and more drought news out of California.

 

Mixed signals from the water derivatives, indicating we may have seen the worst of it.

NQH2O is down $18.37 or 1.96% to $917.08.

Below the 5,10,20 and 30 day moving averages but still above the 100 and 120 day.

Futures still trading at a premium to the index.

 

Old dam projects from the 1950’s are being dusted off and reconsidered.

Does CA have enough water for new homes?

Wildfires contaminate West’s water with ash.

 

Concretisation is causing declining groundwater and uprooting trees in Delhi.

Maharashtra dams at 38.47%, no water crisis if Monsoons arrive before June 10th.

Fixing the water climate nexus in Pakistan.

Severe water shortages strain wheat harvest in Iran.

Private water donations may help restore Australia’s wetlands.

May 26th 2022

NQH2O price at $935.45 up $0.07 or 0.01%

Market is moving sideways just below all time highs.

Below the 5 day moving average but above all other moving averages.

Stochastic has turned downwards indicating potential softening of price.

 

California to test solar panels over irrigation canals.

Largest US dam removal project in Northern California.

Some Sacremento farmers not getting water for first time in 60 years.

 

Arizona water crisis. Just the beginning!

Mesa declares ‘stage one’ water shortage.

2700 foot tunnel in Texas provides 350 million more gallons a day.

 

Rethinking water for sustainable development in Africa.

Final months of Murray Darling Basin plan.

Israel probes PFAs in water.

May 19th 2022

NQH2O at $935.38 up 0.48 or 0.05%.

June futures trading at a premium.

Futures above all moving averages.

Stochastic moving up sharply indicating more upside potential in the short term.

NQH2O up 32.35% Year to Date.

 

Mojave Water Agency imports water to store in an aquifer.

Hydropower’s future clouded by drought, floods and climate change.

 

Waiting for the water train in scorching India.

45.3% of Gambia’s population relies on contaminated water.

Water services in South Africa deteriorate despite billions being spent.

After fires and floods, climate conscious independents may determine Australia’s election.

May 12th 2022

NQH2O at $934.90 or down $0.68 or 0.07%.

Mixed signals from technical analysis and volatilities, which may indicate market has peaked in the short team but may rise and peak higher in the next few months.

 

2022 driest year on record so far in California. Ominous sign for summer and fall.

 

California used 19% more water year to date in 2022 than in 2020.

Desalination still a regulatory problem in California.

 

Arizona desalination costs estimated at $3000 per acre foot, where market price is has been $150 and lower.

Arizona farmers see tech industry as competition for water.

 

Dam in Queensland may create ‘most expensive water’ in Australia.

Large groundwater found under Antarctic ice sheet.

Understanding trading ground water entitlements and water allocations in Australia.

Chile’s miners race for scarce commodity: Water.

May 5th 2022

NQH2O price down $3.01 or 0.32%.

Futures at a premium of $25 to $60 this past week.

Short term futures volatility at large discount to index volatility.

Near term futures below 5 day moving average, above the rest of the moving averages, potential first sign of market being ‘toppish’.

Upwards trend still intact.


Central valley could see a ‘mass migration’ of farm workers as land is fallowed under the state groundwater act.

Beyond paper: the complexities of fully leveraging tribal water rights.

Lack of ‘frozen water’ is alarming.

Metropolitan pushes ahead with ambitious water recycling plan.

Lake Powell: Water or electricity.


A reckoning Is coming to MurrayDarling Basin in Australia and its $13bn management plan.

Wetlands protection law delays building of new homes in England.

Water tanks a part solution to the water crisis in South Africa.

India’s Chennai South to take up emergency flood mitigation.

Risk of lower groundwater levels in Northern Sweden with warming climate.

April 28th 2022

NQH2O at $938.59 up 4.35% or $39.09.

Small farmers paying $2000 for small parcels of water to insure against crop loss.

 

A new June 2023 Futures contract showing a bid offer of $960@$1020 allowing water users to plan a year in advance.

 

One week futures volatility at 7.52% discount to the index.

NQH2O up 32% Year to Date.

 

April showers have lessened drought conditions but situation remains severe in California.

California desalination plant hits regulatory hurdle.

Water deliveries cut as Lake Powell approaches crisis level.

Reservoirs at 39% storage capacity.

DWR to make proactive fish stock changes to lower impact of drought.

 

Nebraska Governor signs a law to build a canal to divert the Colorado River from an agreement reached 100 years ago.

 

New study on water Resources in Himalayas.

5 states in India extract nearly 50% of the groundwater.

Brunei commits to tackling water challenges.

April 21st 2022

 

NQH2O up $106.89 or 13,34% to $899.50.

New short term price target $1015.

Monthly and weekly volatilities have reversed with the one week and one month index volatility at a premium to the futures volatility .

May contract futures premium reduced from +$78 to +$35.

 

NQH2O is up 27.34% this year.

 

Sonoma Court unveils first ever well water fees, pioneering Californian groundwater law.

‘Its not your groundwater, its our groundwater, we are all drinking from the same milkshake’ David Noren a resident of Sebastopol and Santa Rosa Advisory Board Member.

 

Oregon tribe opposes water release for farmers.

Fed plan for Colorado River helps Lake Powell but hurts Lake Mead.

Northern Arizona may see drinking water cut off.

 

Argentina: Fires then floods.

Indian PM Modi turning water conservation into a Mass Movement.

 

South Africa’s Kwazulu Natal has worst floods in history. 

April 14th 2022

 

NQH2O up $0.19 or 0.02% to $792.61.

 

Futures premium to index ranging from +$13.39 to +$16.58.

Futures volatility is converging downwards to the index volatility.

 

Dryness a concern for Californian wildfires.

Drought and aquifer overdraft sink canals.

Lake Powell hydropower problem looms.

Tribes assert water rights on Colorado River.

 

Ancient water system being brought back to life in Spain.

Blue economy presents vast opportunities in Africa.

Chile to ration water rights for first time after 13 years of drought.

 

March 31st 2022

NQH2O price at $792.99 down 0.21 or 0.03%.

Futures have been at a premium of $45 to $72 to index.

Futures volatility way exceeding index volatility, implying a move is imminent.

NQH2O up 12.26% this year.

 

3% of Chinook salmon survived last year, saved by water releases, this year there is less to release.

 

Water battle over healthy ecosystems and healthy economy.

CA State releases $30 to fix Fruent-Kern Canal.

CA to pay farmers to grow less in $2.9bn package.

 

Snowpack at 46% of average.

‘Cold content’ of snow from aerial surveillance shows how soon it will melt.

 

Record investment in water infrastructure by Australian Government.

Netherlands and India join hands in Global Water Pact.

Water conservation promotes sustainable development in Northern China.

 

Bill Gates and Blackrock backing start up using hydropanels to make water out of thin air.

 

Shifts in El Nino may be driving extremes in both hemispheres.

March 24th 2022

NQH2O at 793.20 up $0.16 or 0.02%

Near month futures trading at record premiums to index and fair value.

Futures volatility at record premiums to index volatility.

Futures dipped below 5 day moving average but above all other moving averages.

Stochastic oscillating but maintaining at a high level indicating potential large moves upward.

 

When the well runs dry we will know the worth of water.

 

Early summer and the drought monitor showing large degradations including a 22.4% Class 1 degradation in D3 conditions.

Sacramento Valley temperatures may hit 90 earlier than usual.

30% of Water in CA comes from State Water Project and the DWR has cut allocations to 5%.

$2.2bn Fed Loan for NCal reservoir.

 

Water levels dip in Chennai reservoirs in india.

Water security a ‘challenge’ for Central Australia.

Tesla’s German factory will exhaust the areas water supply.

March 17th 2022

 

NQH2O price up at $793.06 up $0.29 or 0.04% basically flat.

Futures prices above all moving averages.

Futures at premium to fair value.

Futures volatility at premium to index, possible indications of a move to come in the index.

Short term price target still $910.

 

Fears of a groundwater grab.

Fewer days for salmon fishing in Bay area.

Water Law Alert: Modifications to annual diversions and more.

 

Millions of acres in rangelands ‘failing’.

Closed Chevron mine cannot sell water rights.

Irrigation boosts land values in Kansas.

 

Infrastructure upgrade on Murray Darling.

Vietnam water crisis threatens food security.

 

India’s depleting groundwater shaping the land above it.

March 3rd 2022

NQH2O price at $792.56 up $2.87 or 0.36%.

Premium of the futures prices to index reducing from $47 to $24.

Futures price has dipped below the short term 5 and 10 day moving averages, above mid and long term moving averages.

 

The ‘untouchable’ nature of water rights is being looked at.

Californian Agriculture takes a $1.2bn hit from drought last year. Loss of 8745 jobs.

‘Massive dollars’ needed to clean tainted Kern County groundwater.

New IPCC report doubles down on water crisis.

 

Iran to launch major water transfer project from Sea of Oman.

Record flooding in Australia.

Severe lack of water forces farmers in Morocco to migrate to Cities.

February 24th 2022

NQH2O at $789.69 up $31.14 or 4.11%.

Futures premium ranging from $15 to $46.

Index weekly volatility at biggest premium to futures volatility in 2022 indicating futures may have had their move and index is to follow.

March futures have broken above all moving averages.

 

SGMA could bolster Habitat Restoration.

More destructive wildfires pose new threats to water supply.

Divided opinions on desalination.

Elon Musk laughed at idea Tesla using too much water.

 

Continued drought may reduce almond production.

Billions flow to water systems from Federal Pandemic Relief Fund.

Water rights versus cannabis in New Mexico.

 

Six water technology trends in 2022.

 

Flood waters rise in Ironbridge and Bewdley in UK.

Portugal drought worsens.

Iran pursuing Helmand River water rights.

New South Wales Government in Australia issues controversial flood plain harvest licences.

Gange water sharing deal between India and Bangladesh stands the test of time.

February 17th 2022

NQH2O price at $758.55 up $64.47 or 9.29%

All futures at a premium to index.

Index volatility higher than futures volatility.

Price breaks the 100 day moving average for first time in 2022.

 

This is a price reversal.

Next target $910.

 

Sustainable ground water use will mean lower crop yields.

Implementing Sustainable Ground Water Management Act (SGMA) has challenges and opportunities.

Current drought worst in 1200 years.

Lake Oroville only reservoir above last years levels.

 

Water Market Reforms supported in Murray Darling Basin.

Guangdong in China to face ‘severe’ water shortage.

India donates 8.8 million euros to boost drinking water in Northern Mozambique.

February 9th 2022

NQH2O up $4.47 or 0.65% to $694.08.

All futures now trading at premiums to index.

The forward curve is still steep.

Futures and index volatility converging as index chases the futures volatility.

 

The futures are above the 5 and 10 day moving averages and breached the 20 day moving average for first time this year. 30 day moving average looks like the next to be breached.

Still below the 100 and 120 moving averages.

 

Groundwater becomes more important during drought, up to 60% of water usage.

Importance of SGMA grows.

First February heat warning in LA.

 

Comparing Californian and Australian water laws.

 

Mixed result in decade long India groundwater survey.

Australian coolest year in a decade still warmer than the average.

EQT to sell $3.4bn stake in French water services firm SAUR.

February 3rd 2022

NQH2O at $689.61 up $3.64 or 0.53%.

Near futures discount to index has narrowed.

June Futures at a premium, futures curve is steepening.

NQh2O price above the 5 and 10 day moving averages.

 

There has been no more snow and none is forecast in the short term.

While drought conditions have lessened 100% of CA is still in some form of drought.

 

With a Budget surplus in CA, now is the time to fund vital water projects.

Reduced risk pesticides are widespread in CA streams.

 

Saudi AgriTech start up Red Sea Farms to expand to the US.

Digital technologies key to addressing Global Water Challenges.

 

Game changing India river study may help water resources.

Iran water rights from Helmand not fulfilled.

Germany’s DEG injects $25m in HK listed China Water Affairs Group.

January 27th 2022

 

Good Morning

 

A promising start and a sudden stop.

The spectre of further drought is still there.

 

NQH2O price at $685.97 down $21.09 or 3.09%.

 

February Futures at a discount, April and June at a premium to index.

Futures volatility and index volatility converging indicating price stabilisation.

 

Wetlands provide billions in filtration value.

 

Indian budget 2022 creates many opportunities for making Indian water secure.

Iran and Iraq exchange accusations over water flows.

Morocco allocate $260m to secure water supply.

China takes stock of ground water for first time.

 

 

 

Best Regards

January 20th 2022

Drought conditions have improved in California but all of California is still in some form of drought.

The generous snowpack is not enough.

Very dry week last week and this looks to persist even though dry spells in winters are not unusual.

 

NQH2O price moved up $1.48 or 0.21% to $707.87.

Price is still above our bearish target of $703.00.

Above the 5 day moving average but below the 10 day, 20 day, 30 day, 100 day and 120 day.

Weighted average of price indicators is pointing downwards.

 

US plans $50bn wildfire fight.

How long can Arizona rely on underground water?

Murrumbidgee $126bm project approved in water efficiency program in Australia.

Mismanagement causing water shortage and devastating floods in Iran.

China milking India of millions of dollars in exchange for hydrological data.

January 13th 2022

 

NQH2O price is $706.39 down $27.51 or down 3.75%.

Futures trading volume has jumped.

Open interest at a record level.

Near futures at a discount to the index.

Market levels are below all the moving averages.

River flows and reservoir levels still low.

 

CA state is flush with cash which should be good news for water infrastructure.

Arizona to invest $1bn into desalination.

Phoenix voluntarily forgoes some Colorado River water.

 

No there will not be a water war!!

 

Brunei deploys rugged smart water meters.

Satellites can improve flood preparation.

Upholding Australia’s water supply chain.

India and Nepal partner on hydropower.

 

Brazil hydro dams back at 2016 highs.

January 6th 2022

NQH2O price up $0.07 or 0.01% to $733.90.

Exceptional drought conditions (D4) have improved by 22.27% (from 23.11% to 0.84%). This is a big move in one week.

Extreme drought conditions (D3) have improved 46.51%( from 79.44% to 32.93%). This is also a big move in one week.

100% of CA still in moderate drought conditions or D1.

Below both 5 and 10 day (first time in 5 weeks) moving averages. So potentially bearish.

Above the 20 day moving average, below the 30 day moving average, so mixed.

Below both the 100 and 120 day moving average. Potentially bearish.

Near term January futures are stable whereas  longer term June futures adjusting downward.

Futures volatility is higher than index volatility.

Good snow in the Sierras.

New surface water rights sought for Snake river Plain aquifer recharge.

World Bank to help Karnataka in India to take up drinking water project in 3 cities.

Water innovation saves 23mcm of ground water in Jordan.

Ukraine’s water wars.

China’s water under stress.

December 30th 2021

 

NQH2O price $733.83 up $1.38 or 0.19%.

January Futures settle around spot.

Futures volatility still at premium to index volatility indicating potential prices moves to come.

BUT for the first time in 4 weeks the NQH2O price is BELOW the 5 day moving average.

Mixed signals abound as the NQH2O price still above the 10 day, 20 day and 30 day moving averages but below the 100 and 120 long term moving averages.

The stochastic indicator has also turned down.

Technical analysis starting to reflect the fundamental conditions.

Central Valley precipitation 166.81% above the average.

California awards $53m for drought relief.

Bill introduced to allow Colorado River Indian Tribes to lease some water rights.

New report reveals gaps in Indian Groundwater Management.

 

Water crisis hits Dharamsala in India due to reduced glacial water flow.

December 23rd 2021

NQH2O at $732.45 up $4.01 or 0.55%.

Futures at premium to index for first time since Sept 2021.

Futures volatility remains at a premium to index volatility.

Futures above short and medium term moving averages but below the 100 and 120 day moving averages.

Sudden change of weather gives CA wettest start in the Water Year for 40 years .

Average snow pack has gone from 18% to 98% in 2 weeks .

Aquifer levels still dropping in a race to the bottom.

Reservoirs are still dryer than average.

 

Willis Towers Watson PLC designs a parametric cover underwritten by Munich Re for debt restructuring in Belize.

First Nations water rights decreasing in Australia.

Age old harvesting tanks called havelis facilitate groundwater recharge in India.

December 16th 2021

NQH2O price up $0.17 or 0.02%.

Futures above 5 and 10 day moving averages, plus for the first time since August above the  10 and 20 day moving averages.

Still below the 100 and 120 day moving averages.

Double whammy of an atmospheric river and cold front to hit California this week.

 

Arroyo Grande regional recycled water cost Phase 1 $2400 per acre foot, Phase 2 $1800 per acre foot.

Metropolitan buys underground stored water from San Diego.

 

Iran water crisis worsens.

Murray Darling Basin debates flood water harvesting.

Pakistan population outgrowing water supply.

Glacier loss pushing India’s mountain region towards water insecurity.

Egypt has dug 75 wells and constructed 7 dams in Uganda.

December 9th 2021

The State Water Project said participants to expect zero percent allocations of water in 2022. First time ever!

NQH2O price at $728.27 down $0.03 or 0.004% basically unchanged.

NQH2O futures have jumped circa $30, above 5 and 10 day moving averages. First time above the 10 day moving average since August 2021.

The seasonal downtrend may be over.

All eyes are on 2022 water supplies which look bleak.

BUT it is raining today in the Central Valley and will rain again later in the week.

 

9 shutters opened on Mulleperiyar Dam at night in India causing downstream communities to be inundated.

New water sharing rules in Hunter Valley concerns farmers.

Bushfire affected community in Blue Mountains ask for water storage.

December 2nd 2021

NQH2O index at $728.30 up $0.30 or 0.04%.

December futures discount to spot is narrowing, expect this narrowing to continue. Currently around $30.

June 22 futures bid at $910 ie a premium of $182.

State Department of Ecology is offering money for local Governments to buy water rights to create ‘water banks’.

Water funds are getting popular globally.

Turkeys groundwater is shrinking.

Groundwater wells in India showing levels declining by up to 2 metres near certain cities.

November 25th 2021

Water Price is down again in CA but the downward rate is decreasing showing signs of bottoming out.

NQH2O at $728 down $5.42 or 0.74%.

Discount of $40-$60 in December futures to the index over last week.

Futures price above 5 day moving average but below all other longer term moving averages.

Premium of $172 to June futures.

Futures volatility has increased versus the index.

Aquifers are not forever.

Google and water rights in Oregon city.

Israel and Jordan partner on water and energy deal.

Saudi National Water company signs 2 contracts worth $154m.

Protests over water shortages in Iran.

November 18th 2021

NQH2O down $18.68 or 2.48%.

NQH2O index down 21% from its high.

Futures down nearly 30% from their high.

December futures at $70 discount to the index.

Rare cross over in daily volatilities where the index volatility is higher than the futures.

Futures break the bearish target of $703, but index still above it. Is this a false break or more of the same?

 

5 Gallons in a 10 Gallon Hat: Groundwater Sustainability in Texas.

China reveals regulation on groundwater.

UK regulator OFWAT fines water companies £67m.

November 11th 2021

NQH2O price down $6.83 to $752.10 or 0.90%.

Futures down 23.8% from their high on May 18th.

NQH2O index down 19.66% from high on August 25th.

Futures above the 5 day moving average for first time in 6 weeks.

NASA satellites to give better groundwater usage picture in Arizona.

$1bn of Infrastructure Bill to be allocated to water storage.

Delhi water supplies to be hit in various areas today.

South African court rules water rights may be transferred.

November 28th 2021


NQH2O is down a further $26.26 or 3.34% which totals down 17.82% from its high 10 weeks ago.

Futures sitting at a $30 discount to the index.

Drought is not broken YET!

Near term futures and index volatility converging indicating potential price stabilization.

Over 23million AF of precipitation fell in Northern CA region in recent deluge.

Water is next NET-ZERO target.

Water stress drives investors to address supply shortage.

What India’s new water policy seeks to deliver.

 


October 28th 2021

NQH2O down $5.46 or 0.69%.

November Futures at a $35 discount to the index.

Volatility rates are increasing slightly versus the index.

Dry soil absorbs large portion of the rainfall.

Lake Oroville level increases by 16 inches.

Southern CA and Arizona collaborate on water recycling concept.

Iraqi minister proposes taking Iran to The Hague over water.

Access to climate finance discussed for Fiji and Cook Islands.

Indian farmers to get 90% finance on drip irrigation.

October 21st 2021

 

Frontal system from NW Pacific bringing precipitation to the region.

NQH2O is down a further $22.95 or 2.82%.

Near month futures at a discount to the index.

Futures volatility at a premium to the index volatility.

Facebooks water positive goal.

Flooding could affect municipal debt.

 

Iraq to reduce winter crop area by 50% due to water shortage.

October 13th 2021

NQH2O down $122 or 13% from its high of $936.22 six weeks ago.

Futures volatility at premium to index.

Precipitation has reached Southern California.

New protection for Californian aquifers.

No short term answers for water and drought shortages.

Portugal has low exposure to ecological shock, Mozambique and Angola have high exposure.

 

Climate refugee crisis beckons in India.

October 6th 2021

NQH2O futures still trading at a discount to the index.

CA to get $238m from Congress, including $205m for storage projects and $12m for 4 desalination plants.

Groundwater markets may facilitate solution to Western US water problems.

NOAA says drought will persist. Hence probabilities are for a 0% allocation for this coming water year.

Four temporary power units supporting CA grid due to lack of hydropower.

140% of average rainfall needed to have a drought recovery.

Underground water storage growing in importance.

Walton Family pushing for a market based solution to the Colorado River crisis.

This was a record Monsoon year is SW US.

What US and Iran can learn from each other in water.

Climate catastrophe is a huge investment opportunity.

Europe power crisis moves Northward as water shortage persists.

Delivering Investable Water Solutions in Developing countries.

September 30th 2021

 

NQH20 price still easing back.

New CA rainy season theory being put forward.

CA authorises $5.2bn for water quality and drought relief.

LA to increase recycling of water.

CA may get more cuts from Colorado River.

Samsung seeking water for plant in Taylor.

Arizona exploring the importing of water.

Queensland’s decision to lower Paradise Dam wall under fire.

Pepsi to replenish groundwater in Pakistan.

 

Belize Blue Bond tender approaches first deadline.

September 23rd 2021

NQH2O price down $0.97 or 0.11% to $871.96.

Short term futures volatility higher than index volatility as market seeks new price trend.

Satellite imagery showing retraction of Monsoonal effect plus potential build up of frontal activity from NW Pacific.

Models showing potential for more precipitation this oncoming winter than previous winter.

California water agencies resolve Colorado River water dispute.

Marin County competing with Saudi Prince for 3 desalination plants.

Water markets and water trading can help bring CA groundwater into balance.

Water transfers helped farmers survive this year, now all eyes on next year.

Antelope Valley studies water recharge project options.

Does Big Oil have the solution to the West’s water problem?

Farmers restore native grasslands as groundwater disappears.

Turkey’s Mumcular Dam recedes to worrying levels.

Climate change ETFs become controversial.

Fresh VC thinking needed for water.

September 16th 2021

NQH2O was down $41.04 or 4.49% to $873.

Technicals are showing a price reversal in Californian water.

Near month futures offered at a discount to the index.

The futures volatility is lower than the index volatility.

Satellite picture shows frontal conditions moving towards N California from the NW Pacific.

Topsoil still very dry in North Western US.

Here is what is in the one Trillion dollar Infrastructure for Western Water.

Google sets new water goals.

Zero mass water. Why all the hate?

Water crisis could lead to conflict in Middle East.

Johannesburg can no longer rely on its water supply.

Chile seeks to guarantee water rights.

September 9th 2021

NQH2O price down $4.48 or 0.49% to $913.97. Up 82% YTD.

Near Month futures at discount to index for first time since March.

Cyclone of Mexican coast may bring precipitation to CA.

Desalination may increase household water bills.

El Paso County to use ‘Endless Water Loop’ to fight future water shortages.

Reno using ‘smart’ irrigation scheduling.

Flagstaff AZ had 3rd wettest Monsoon rainfall on record.

Blue Bonds need new standards.

Belize moves to restructure its bonds, including marine assets.

Dispute over Krishna water.

Investment is enhancing water security in Western Australia.

September 2nd 2021

NQH2O taking a breather, down $17.77 or 1.90% to $918.45. Up 83.75% Year To Date.

Time to talk about managing Water Risk.

Establishing a desalination plant jointly operated by US and Mexico could help bolster resilience in Colorado River Basin.

Scientists to use radar, balloons and cameras to collect water data in SW by monitoring Colorado snow areas.

Arizona stored water to help shortages. What happens when we start using it?

 

Digital Tech to help African Island States cope with climate change.

August 26th 2021
NQH2O new record high of $936.22. Up 87.31% Year to Date. Farmers face $10000.00 a day fines if they pull water from rivers in CA. Risk of Sacramento- San Joachim Delta becoming too salty. Almond farmers may have to let trees die. Capture of storm water runoff to become a new important source of water. Derivative trading in water can help US manage drought. Benefits of water futures trading explained. PERC calls for expanded use of water markets. A system based approach to water is a necessary condition to approach water climate related risks seen in US, Mid East and Brazil.
August 19th 2021
NQH2O up $23.14 or 2.57%. September Futures are new front month and trading at $8.46 premium. One week futures volatility below index volatility indicating price consolidation. Is Water Risk being priced? Water shortage declared in Colorado River for first time. Impact Finance in water is about to get big. Discussing Green versus Grey infrastructure. Pumping groundwater not a long term solution to drought. Facebook unveils Water Projects to support $800m Mesa data centre near Phoenix. Productivity Commission says reporting of foreign ownership in Australian water is sufficient. $90m of new water projects in Southern Australia. Singapore uses advanced system to turn sewerage into drinking water.
August 12th 2021

NQH2O up $8.07 or 09.% to $900.40 up 80.14% YTD.

Futures have been trading at a $10-$24 premium to the index.

One week Futures volatility has reversed and is now higher than the index volatility, indicating potentially more volatility to come.

December Futures offer negative $96 to August Futures bid implying significant seasonality in the price.

Monsoon activity has being bringing relief to the SW, with Tucson AZ receiving more rain in 5 days in July than in whole of 2020.

Westland Water District and Environmental Groups align in looming fight over water rights.

Food prices increase due to drought.

Can CA handle another year of drought?

World Bank signs $250m project to add resilience to India’s existing dams.

Blue Bonds a new form of finance.

August 5th 2021

NQH2O up 78.53% year to date.

One week futures volatility reverses to a discount to the index indicating possible price consolidation.

NQH2O index at new all-time high.

Exceptional drought conditions increased by 13.07%, mostly in the Central Valley.

Washington topsoil moisture 99% short.

 

Loans and grants being used for drinking water and wastewater projects.

July 29th 2021

NQH2O price unchanged at $842.38 Near month futures at a premium of $28-$31 to index. August futures bid price $57 higher than the December futures offer price. Near term futures and index volatilities converge further indicating price stability. Water released from Flaming Gorge reservoir in Wyoming and Utah to boost Lake Powell for purpose of guarding hydropower. Thousands of Central Valley farmers may lose access to surface water. 154 primary intrastate reservoirs gain 1.7m Acre Feet of seasonal melt, 20% of average. More companies citing water scarcity as a financial risk in regulatory filings. Most companies underestimate their water consumption cost by 3-5 times the true cost. Companies facing most water risk are food, beverage, tobacco and consumer goods. Tucson AZ water management is a model for other cities. Saudi Arabia suspends privatisation of Desalination and Power plant. Global water crisis unleashing Tsunami of Watertech.

July 22nd 2021

NQH2O up $21.52 or 2.62% to $842.38. Various signals of price stabilisation. Near term volatilities converging between index and futures providing more indications of
price levelling. 
WaterBanks are
a tool for climate resilience. 
La Nina could dash hopes of rain this winter. Monsoon promises much needed rain in short term in parched West. Farmers and ranchers in Utah have cut water use by 70-75%. Historical data no longer a reliable guide to future conditions. 

July 15th 2021

NQH2O futures premium reduced from $20 to $6. CA Diamond Valley lake which is an emergency storage reservoir is 80% full. Drought caused a 13% reduction in Almond production. Massive water recycling proposal could help relieve drought conditions.

 

July 8th 2021

NQH20 up $2.21 or 0.26%. Water Risk likely to be 3 times Carbon Risk.

July 1st 2021

NQH2O price eases by $18.61 to $839/AF. Biden Infrastructure Bill to help water storage and drought..

June 24th 2021

85,44% of CA in Extreme Drought. NQH2O down $0.94 to $857.61. July futures at $60 premium.

June 17th 2021

Western US driest in 1200 years. December future offer $128 below July Future bid.

June 10th 2021

Light rain possible in N CA. Lake Mead water conservation ICS project working. NQH2O Sep Futures offer $35 below the July bid price.

June 3rd 2021

The First Water Price Curve is Developing. NQH2O down $10.29 to$856.71. Water Allocations cut from 5% to zero.

May 27th 2021

Central Sierra Mountain snow has all melted. SW US soil driest since 1895. Wildfire Alert. NQH2O at $867.

May 20th 2021

NQH2O takes an $8.00 downward breather this week to $869.36 but still on course to $1070. Both Tulare and North Sierra Precip Indexes 2nd driest on record

May 13th 2021

Extreme drought conditions now encompass 73.31% of CA. NQH2O hits new all time high at $877.36

May 6th 2021

NQH2O up a further $8.53 to a new high of $877.05. Futures premium to index decreased by $40. Central Valley April Rainfall at 17% of average

April 29th 2021

NQH2O at New All Time High of $868.7 up73.8% Year to Date . Technical analysis indicating next level could be $1070 

April 22nd 2021

CA Governor declares drought emergency in 2counties, NQH2O up $40 to $831.97, light rain in week ahead

April 15th 2021

Snow Water Equivalent (SWE) at 37.33%of 20 year average

April 8th 2021

H2O Futures trade at a high $820 for the week. Sierra Snowpack well below average. Reservoir storage also worryingly low.

April 1st 2021

NQH2O up 12.57% to $772.10. DWR snow survey is disappointing. 

March 25th 2021

DWR Issues Allocation Reduction for the State Water Project. NQH2O up 29.52%

March 18th 2021

The March Futures Contract has settled at $529.58. With Aprils contract now the front month, will we see if the influence of summer irrigation deals effect NQH2O and the Futures.

March 11th 2021

California see’s some much needed precipitation. How will this effect drought conditions in the state.

March 4th 2021

Lake Oroville at only 38% capacity. 2021 looks to be the 3rd warmest on record.