BHP Record Full Year Iron Ore Output, Copper Production Up 9%

Australian mining giant BHP, said on Thursday quarterly iron output at 72.7 mln metric tons. This put annual iron ore output for FY23 at 285.3 mln metric tons, a record. Quarterly iron ore output rose, aided by a continued ramp-up at its South Flank project. South Flank is on track to hit full capacity by end 2024. BHP said unit costs at its Western Australia iron ore operations and Chilean copper mine Escondida are expected to be towards the upper … Continue reading “BHP Record Full Year Iron Ore Output, Copper Production Up 9%”

Exxon Plans Massive Lithium Plant in Arkansas to Improve Energy Transition Security for the U.S.

Fresh on the heels of buying Dallas based pipeline operator Denbury (DEN) for $4.9 billion, Exxon Mobil is planning to build one of the world’s largest lithium processing facilities in Arkansas according to people familiar with the matter the Wall Street Journal reported Thursday. The plant would have a capacity to produce 75,000 to 100,000 metric tons of lithium a year. This would equate to around 15% of all finished lithium produced globally last year at scale. Australia is the … Continue reading “Exxon Plans Massive Lithium Plant in Arkansas to Improve Energy Transition Security for the U.S.”

Commodity Traders Outlook: Falling US Dollar Lifts Oil and Copper Prices

The U.S. Dollar Index dropped a solid 2.4% this week to 99.96 with the lower greenback and soft-landing view commodity prices rose this week, including oil (+1.9%) and copper (+3.8%). The key commodities ignored weak data out of China that almost routinely triggered more calls for more policy stimulus. Chinese trade figures disappointed. Imports fell by 2.6% y/y and exports fell by 12.4% y/y (consensus -10) in USD terms but also fell by 8.3% y/y in yuan. The strong U.S. … Continue reading “Commodity Traders Outlook: Falling US Dollar Lifts Oil and Copper Prices”

Commodity Traders Outlook: Natural Gas Slumps, Oats and Orange Juice Soar

In a shortened but volatile week we saw weather impact futures on both ends of the spectrum. Oats and orange juice soared while US benchmark HH fell 8.4% for the week giving back some of that 31.89% gain in the second three months of the year. Gold futures got our attention on Friday after the U.S. Department of Labor’s June jobs report having the largest daily percentage gain in a month on Friday. The move reversed gold prices slumping to … Continue reading “Commodity Traders Outlook: Natural Gas Slumps, Oats and Orange Juice Soar”

Commodity Traders Quarterly: Natural Gas, Cattle Strongest; Corn, Palladium Weakest in Q2

Commodity price volatility often uses natural gas as it’s poster child, a look at the first two quarters of 2013 illustrates that. Natural gas futures rallied into the close of June, and the second quarter and first half of the year during one of the hottest weeks of summer so far. The US benchmark HH rose 3.17% for the week. Natural-gas prices on the New York Mercantile Exchange rose 31.89% in the second three months of the year. Wheat sank … Continue reading “Commodity Traders Quarterly: Natural Gas, Cattle Strongest; Corn, Palladium Weakest in Q2”

Commodity Traders Weekly Outlook: Wheat and Lumber Bounce, Rice and Palladium Plunge

Grains price volatility picked up this week with grains on both ends of the spectrum. Weather and the increasing fragile Ukraine/Russian framework adding spice. Wheat futures followed up last week’s 9% with another 8% gain. 9 and 12%. At the other end corn was down 9%. Gold and silver continue to underperform, lower despite a weaker US dollar pulling back on yields. Palladium the worse hit in this space down over 9.5%. No surprise with the equity markets pullback, VIX … Continue reading “Commodity Traders Weekly Outlook: Wheat and Lumber Bounce, Rice and Palladium Plunge”

Commodity Traders Weekly Outlook: Natural Gas on Fire with Oats as Rice and Cotton Pull Back

NYMEX natural gas futures soared over 16% this week, joining in on the swift rebound in European and UK gas prices. Oats, soybean oil and wheat futures were all up between 9 and 12%. Orange Juice (FCOJ) reversed its recent pull back rising nearly 3% after falling 7.9% and 4% in the past fortnight. Both gold and silver were lower despite a weaker US dollar pulling back on yields. Last week’s riser, rough rice pulled back 7% as volatility in … Continue reading “Commodity Traders Weekly Outlook: Natural Gas on Fire with Oats as Rice and Cotton Pull Back”

New Twist in Gupta $590 Billion Nickel Fraud, Reuben Brothers Sue Trafigura

The Saga whereby Trafigura Group was defrauded by around $590 million has taken another twist. Bloomberg reports, citing documents, that Trafigura one of the largest commodity traders in the world is being sued by the Reuben brothers alleging that the fraud didn’t just involve thousands of tons of missing nickel, but also counterfeit shipping documents. Hyphen Trading Ltd., owned by the Reuben brothers accuses a Singapore freight forwarding company of being involved and raises questions about Trafigura’s own actions, saying … Continue reading “New Twist in Gupta $590 Billion Nickel Fraud, Reuben Brothers Sue Trafigura”

Commodity Traders Weekly Outlook: Soybean Oil and Rice Prices Surge, Orange Juice Fall Continued

CME Soybean futures soared almost 11% this week, Orange Juice (FCOJ) gave back another 7.9% after falling 4% the week before. FLOJ has given back most of it’s much heralded 13.48% jump three weeks ago on the USDA crop forecast. Natural gas recovered, soaring in the EU and the UK with the benchmark Henry Hub futures rising 4%. Both gold and silver ran bounced along with a weaker US dollar pulling back on yields. The Bloomberg Commodities Index rose 1.1% … Continue reading “Commodity Traders Weekly Outlook: Soybean Oil and Rice Prices Surge, Orange Juice Fall Continued”

Trafigura Paid Out Record $3 Billion To Its Traders From $5.5 Billion Net Profit for First Half of 2023

Swiss-Singapore trading giant Trafigura Group reported record half-year results on the back of volatility in commodity and shipping markets. The trader said it earned $5.5 billion in net profit in the six months through March, more than double its earnings in the same period a year earlier. Of that profit Trafigura has paid out a record $2,985 million dividend in March 2023to its top traders and staff The payout is the highest in Trafigura’s 30-year history and works out at … Continue reading “Trafigura Paid Out Record $3 Billion To Its Traders From $5.5 Billion Net Profit for First Half of 2023”