Europe

Brent crude prices soared above $100 per barrel on Wednesday as the escalating conflict engulfing the Middle East fueled fears of energy-driven inflation and sent global stock markets tumbling in advance of a number major central bank decisions. Brent crude futures rose by as much as 3%, reaching a session-high of $100.95. This was the first time the price has surpassed the symbolic level since July 24. After Iran claimed it had fired ballistic missiles on a U.S. military base in Jordan, and both sides claimed they had attacked vessels, oil supply concerns from the region were raised. The latest...

The price of oil topped $100 per barrel for the first time since six weeks on Wednesday as the escalation of fighting between U.S. forces and 'Iranian forces raised concerns about the supply coming from the region. This also raised fears over inflationary pressures, and increased energy costs for businesses and consumers. Brent, the global benchmark for oil, has increased by 25 percent since early last week as hope fades of a permanent solution to the six-month old U.S./Iran conflict. This week, the rally intensified after Iran-backed Houthi attacked Saudi energy installations and set them ablaze. The increased risk of...

Gold rose on Wednesday, supported?by a softer U.S. Dollar, as?investors? weighed inflationary forces from renewed attacks in Middle East, and awaited price data to get clues about the Federal Reserve policy outlook. Spot gold increased 1.1% per ounce to $4401.60 by 1116 GMT. U.S. Gold Futures for December Delivery gained 0.1% at $4445.30. As the U.S. Dollar weakened, greenback bullion became more affordable to buyers overseas. Lukman Otunuga is a senior research analyst with FXTM. He said that the weaker dollar, as well as technical buying have helped gold bounce from its 100-day moving mean. Gold and oil do not...

Oil prices have risen to $100 per barrel, the highest since July, after a new round of back-and forth in the "Iran War". Meanwhile, the U.S. has banned some Canadian imports, the latest salvo in a spiraling trade dispute. Brent crude prices have risen to three-year-highs and natural gas prices are also up. This is because Iran has attacked U.S. base again on Wednesday, in response to U.S. destructions of some of its oil tanks. Iran-backed Houthis attacked energy facilities and Saudi Arabian cities on Tuesday. The traffic through the Strait of Hormuz is once again at a crawl as...

Gold rose on Wednesday, aided by a weaker?U.S. Investors weighed the price pressures of renewed attacks in the Middle East, and awaited important inflation data to get clues about the Federal Reserve policy outlook. Spot gold increased 1.1%, to $4401.09 an ounce, by 8:25 GMT. U.S. gold contracts for December delivery rose 0.1%, to $4445.10. The U.S. Dollar has weakened, making greenback priced bullion more accessible to buyers abroad. Lukman Otunuga is a senior research analyst with FXTM. He said that a weaker US dollar and technical buying are providing ample support for gold. "Normally, an oil-driven inflation fear would...

Benchmark Brent crude oil futures surpassed $100 per barrel on Wednesday, reaching a six-week high. They also broke the symbolic barrier for the first since July 24, as the intensifying conflict in Middle East increased concerns about oil flow from the region. Brent crude futures rose $2.01 or 2.05% to $99.93 per barrel at 0802 GMT after touching $100.19 earlier. U.S. West Texas intermediate crude gained $1.49 or 1.60% to $94.52 per barrel. Brent crude prices are up by a quarter compared to early last month, as the hope for a permanent solution to the six-month old U.S./Iran conflict fades....

Investors focused on interest rate outlook as gold prices rose by 1% on Wednesday, as dollar remained subdued. By 0633 GMT, spot gold had risen 1% to $4,399.45 an ounce. U.S. Gold Futures rose 0.1% to $4,443.20. Dollar remained tame, allowing holders of other currencies to afford greenback-priced gold and silver. In the gold market there is a short-term tug of war between bulls and bears. This 'kind of movement may continue until the CPI report at the end of the week," said Kelvin?Wong, senior market analyst at OANDA. While the expectation of a hawkish Fed is weighing on gold...

Kevin Buckland gives us a look at what the future holds for European and global markets. Brent crude is on the verge of hitting $100 per barrel. This was a level that was last seen at the end of July as renewed fighting in the Middle East has fuelled fears that the conflict may spiral out into a wider regional war. This backdrop is limiting the risk appetite on Asian equity markets - at least in'stocks' that are not part of the AI trade. The yen has refused to follow its usual pattern. The yen is not following the usual...

Brent crude climbed to $100 per barrel Wednesday, keeping Asian stock markets calm as the attacks intensified in the Middle East. This stoked inflation fears ahead of closely-watched U.S. consumer price indices. As traders exited their short positions, the yen rose to a near seven-month high against the dollar. This was due to expectations of faster Bank of Japan rate hikes as well as a possible rush of Japanese capital repatriation. The euro climbed ahead of Thursday's European Central Bank policy announcement, as markets were expecting an increase amid inflationary pressures due to the Iran War. Iranian-backed Houthis launched attacks...

Interfax reported that Kazakhstan's Ministry of Justice suspended enforcement proceedings against the North Caspian Operating Company, which operates the Kashagan Oil Field. NCOC is a joint-venture between Shell, TotalEnergies,?ExxonMobil, and China's CNPC. It runs Kazakhstan's 'offshore Kashagan' field. It did not respond immediately to a request for comment. NCOC is embroiled in a long-running?legal dispute with the Kazakh Government, who accuses NCOC of?environmental violation related to sulphur storing, and ordered NCOC pay a large penalty. NCOC and its contractors have rejected the fine, as well as the allegations that led to it. The case is now being heard by international...

The calm on global markets was broken Monday and Tuesday as U.S. stocks returned from Labor Day holidays. A fresh surge in the Japanese yen brought it to its highest levels since February. This move was more of a repositioning before what appears to be a 'near certainty' Bank of Japan rate hike next week. The case for a BOJ interest rate increase was strengthened on Tuesday following an upgrade of Japan's second quarter GDP estimates, and the largest annual rise in real wages since five years. Recently, there have been rumors that the BOJ may consider a rate increase...

The yen surged Tuesday while Asian markets struggled to find direction due to a mix of regional economic data, and new 'Iranian' threats in the Persian Gulf. The Nikkei 225 index fluctuated between gains, losses and a slight gain of 0.2%. Meanwhile, the yen rose as high as 0.6% at 153.51, reaching its highest level since February 18. The KOSPI, MSCI's broadest Asia-Pacific share index outside Japan, was up 1.2%. S&P 500 futures fell 0.1% on Monday after the U.S. holiday. Westpac analysts stated that while U.S. Labor Day was a quieter week in terms of trading volume, the weekend...

Copper prices reached record levels on Wednesday due to a shortage of supplies in the United States. As 'hostilities' in the Middle East flared, concerns were raised about global demand and growth. The price of three-month copper at the London Metal Exchange fell 0.5% by 1045 GMT to $14,641 per metric ton after reaching an all-time record high of $14 779 on Tuesday. After the escalation of attacks by Iran and the U.S., oil prices soared above $100 per barrel. This is a six-week high. Ewa Manthey is a commodities?strategist with ING. She said that copper?is easing off record highs,...

Volkswagen is exploring a partnership with the Indian conglomerate JSW Group in order to increase 'competitiveness' and profitability?in -the?third largest?car market?in the world. A company spokesperson stated on Wednesday that the partnership aims to expand Volkswagen's India portfolio, strengthen local sourcing, and increase manufacturing. The Economic Times newspaper was the first to report on this move. The proposed deal is timely as 'Volkswagen' has been struggling to expand its presence in India. India is a critical?market for the German automaker to?expand outside Europe. It also highlights the challenges that global automakers have to overcome in order to remain competitive on...

Investors were cautious on Tuesday due to escalating tensions in the Middle East, and higher oil prices. Novartis also suffered its biggest one-day drop in history after reporting another setback in its drug development pipeline. The pan-European STOXX 600 fell 0.05% to 649.6. Novartis' 10.9% drop in the benchmark Swiss index weighed on the overall index, which fell by 1.6%. Novartis, the Swiss drugmaker, was the largest faller in the STOXX 600 index after it announced that its experimental treatment of a muscle-wasting condition had failed a late-stage study. News of the failure came just a day after Novartis revealed...

On 'Tuesday', the bonds of Ukraine's biggest steelmaker, 'Metinvest', experienced some of their largest falls since Russia invaded in early '2022. This was after one of 'the firm's main plants' was severely damaged by a Russian missile strike. Metinvest announced at the weekend the five deaths caused by the strike at its Kamet Steel Plant in the eastern Dnipro Region. The plant was forced to halt all production. Metinvest only controls two steel mills in Ukraine. Tradeweb data revealed that the firm's bonds on the international market were down as much as 4.44 cents per dollar, as U.S. Investors got...

The 'price of copper' continued to rise on Tuesday. It reached a record high on speculative purchases on the backs of tight supply outside the U.S. and weak mine production. In open-outcry official trading, three-month copper on the London Metal Exchange rose 1.3% to $14,503 per metric ton, breaking the previous record. LME copper is up 18% in this year. This is largely because a large amount of metal has been moving to the U.S., anticipating?tariffs to be imposed on refined copper. Alice Fox, an analyst at Macquarie, stated that falling inventories outside of the U.S. - including in China...

EU regulators will warn the?Hong Kong listed mining and metals?MMG about its plans to purchase Anglo American's Brazilian Nickel business? based on competition concerns?, according to three people familiar with this matter. This step is a reflection of the growing concern in Europe about China's export controls on vital minerals that are essential to renewable energy, defence and technology. According to the people, the European Commission, which is the EU's competition enforcer is about to issue a "statement of objections" or a "charge sheet",?outlining the concerns and issues that need to be addressed before the deal can be approved. The?people...

Solvay, a Belgian chemicals company, is currently in discussions with One Investment Management regarding a possible strategic partnership for its rare earths division. Solvay announced this on Tuesday. OneIM, led by former SoftBank executive Rajeev Mitra, would gain exposure to 'rare earths processing. This deal would complement its existing investments in this sector, which is dominated primarily by China. Sources with knowledge of the situation said that Solvay has been in talks with OneIM about Solvay’s rare earths operations since March. Rare earth minerals play a crucial role in the energy transition and electronics industries. The West is looking to...

The dollar was weaker on Monday and the prospects of shortages outside the U.S. boosted the price of copper. The traders said that the U.S. holiday meant volumes would be muted and that they were focusing on copper and zinc. The benchmark copper price on the London Metal Exchange was 0.2% higher, at $14.443 per metric ton. It reached $14,467 earlier in trade, its highest level since January's all-time high of $14,527.50. Since President Donald Trump proposed import tariffs last February, traders and producers have shipped large amounts of copper to the U.S. Comex copper stock levels are at a...

Volkswagen announced on Monday a preliminary agreement that will see one of its German plants switch over to defense production. This is a major step in the automaker’s effort to restructure factories struggling to compete against lower-cost Chinese competitors. The deal could be a blueprint for other Volkswagen plants facing an uncertain future, as Europe's biggest carmaker embarks upon its largest ever restructuring in order to revive margins while combating chronic overcapacity on its stagnant European markets. Volkswagen, under the initial terms of this deal, will sell its Osnabrueck factory to Israel's Aurelius Capital, and Volkswagen's own state of Lower...

Volkswagen shares reached a?11-week peak after the supervisory board of Europe's biggest automaker late Thursday struck?an ambitious turn around agreement that focused on sweeping cuts in jobs and avoided a conflict between major stakeholders. The agreement on the largest restructuring in the group’s 89-year-old history includes another 50,000 job reductions, bringing the agreed total to 100,000. It also leaves the future of four German plants open. Volkswagen is also under pressure, along with most of its European counterparts, from the 'painful tariffs' in the United States and the falling sales in China, a former cash cow, as well as aggressive...

Hungary's Prime Minister Peter Magyar announced on Thursday that the maximum fine for large manufacturers, including battery manufacturers, will be raised to $5 billion forints. This is a change from his predecessors efforts to attract EV battery plants. Former premier?Viktor Orban who was ousted from power by Magyars in April after 16 years of rule, made a big bet on EV batteries. He attracted foreign investment, mostly from South Korean and Chinese companies, and turned Hungary into a major hub for Europe. Magyar stated that a new environmental authority, announced by the government earlier this summer will monitor strictly battery...

A record low smelter treatment term, a year of underperformance by mines and a scramble to get metal at the London Metal Exchange. If you think this is the description of the copper markets, then think again. Zinc is under pressure now, even though copper may face a structural shortage in the future. LME zinc for three months hit a four-year-high of $3,990 per ton on Monday. LME stocks have remained low throughout the year. The registered inventory is 100,525?tons but nearly a third are in the form?cancelled warrants? awaiting physical loading-out. The time-spreads will be emphasized in a similar...