Before revision:  In this paper , we obtain first empirical results pointing in the direction of a period of exuberance in EUA prices . This period overlaps with the recent upward trend in prices. We further investigate several abatement-related fundamentals and show that they do not display explosive behavior which could have driven the allowance price movements. We conjecture that this price exuberance could either be caused by an adaption process or an overreaction of prices to the announcement of the reform.
After revision:  In this paper , we obtain first empirical results that detect explosive behavior in prices from February 2018 on. Such behavior could reflect an adaption process or an overreaction of prices to the announcement of the reform.