Latest News
-
Silver falls from its $80 peak, while gold loses value on profit-taking
On Monday, silver retreated from a record high of $80 per ounce, while gold fell from historic levels. Investors booked profits as the perception of decreased geopolitical risk curbed safe haven buying. Gold spot fell 1.4% to $4,470.56 an ounce at 1017 GMT after reaching a record-high of $4,549.71 per ounce on Friday. U.S. Gold Futures for February Delivery lost 1.3%, to $4493.20 an ounce. Spot silver fell 4.8% to $75.32 an ounce after hitting a high of $83.62 earlier in the session. Palladium fell 13.2% to $1.669.11 an ounce after falling 6% from $2,478.50, the previous day's high. Ricardo Evangelista, a ActivTrades analyst, said that the price drop this morning, following record highs is primarily due to traders taking profit before year-end. The U.S. administration's tentative optimism about progress in the Ukraine talks is also a slight headwind. U.S. president Donald Trump stated on Sunday that the United States and Ukraine were "getting closer, perhaps very close" to a peace agreement. Bullion prices have risen by 72% this year on the back of factors like a softer U.S. dollar, geopolitical tensions, and central bank purchases. Silver has gained 181% in the past year, outperforming gold. This is due to its classification as a critical mineral for the United States, a shortage of supply, and a growing industrial and investor demand. The release of the Fed’s December meeting minute, which is due on Tuesday, will provide clues about the outlook for interest rates. Two rate cuts are expected next year, according to traders. In a low interest rate environment, non-yielding investments tend to perform well. UBS analysts wrote in a report that "gold prices are trading at a premium and downside risks may emerge if the Federal Reserve makes a surprise pivot to the hawkish side and/or if large ETF withdrawals affect the market." (Reporting from Pablo Sinha, Bengaluru. Editing by Barbara Lewis.)
-
Kremlin: Ukraine should pull its troops out of Donbas. A call between Putin and Trump is expected shortly
The Kremlin stated on Monday that Ukraine must withdraw its troops from the part of Donbas it still controls, if it wants peace. If Kyiv does not strike a deal it will lose more territory. Putin and Trump spoke Sunday, ahead of Trump's Miami meeting with Ukrainian President Volodymyr Zelenskiy. Dmitry Peskov, Kremlin spokesperson, said that another call was planned for very soon. Peskov declined to comment on the idea that a "free economic zone" could be created in Donbas, or the future of Zaporizhzhia's nuclear power plant (controlled by Russia), saying the Kremlin deemed it inappropriate. Peskov, when asked about Kremlin aide Yuri Ushakov’s remarks regarding the decision?that Kyiv needs to?take against Donbas, said that Ukraine should remove its troops from those parts it still controls. Peskov stated, "We're talking about the removal of the regime forces from the Donbas." Peskov refused to give details when asked if the same applied to?Zaporizhzhia & Kherson. According to Russian estimates, Russia controls about a fifth (or a fifth) of Ukraine. This includes Crimea, which it annexed in 2014. It also controls 90% of Donbas and 75% of Zaporizhzhia and Kherson, as well as slivers from Kharkiv. Sumy, Mykolaiv, and Dnipropetrovsk. Russia claims Donbas and Zaporizhzhia as part of 'Russia, even though most countries believe that the regions are part of Ukraine. Peskov confirmed that no call between Putin and Zelenskiy is being discussed. Peskov's paraphrase of Trump's remarks about Ukraine losing more territory to Russia in the coming months without Kyiv striking a deal. (Reporting and writing by Dmitry Antonov, editing by Guy Faulconbridge).
-
The Zaporizhzhia Power Plant could be restarted in 18 months after the war ends.
According to the head of Zaporizhzhia Nuclear Power Plant in southeastern Ukraine, if the conflict ends soon, the facility could resume power production by the middle of 2027. Ramil Galiyev, a Russian state news agency reporter, was quoted as saying: "If (this) (the end of conflict) occurs tomorrow, we'll be ready to?"start up by mid-2027." Since March '2022, when Russian troops overran much of the southeastern Ukraine, the?nuclear power plant has been under Russian authority. It is currently not producing electricity, but it relies on external energy to keep the material cool and prevent a meltdown. A team from the International Atomic Energy Agency is currently working at the plant to repair the power lines. The repairs should last a few days. Galiyev stated that "serious problems" would have to be resolved before the plant could go live, including replenishing cooling ponds and preparing rail tracks. Russia and Ukraine accuse each other of shelling nuclear plants, posing the risk of a nuclear catastrophe.
-
Silver trading, from shares and coins to bars and stocks
Silver rose above $80 per ounce on Monday for the first-time, fueled by a strong industrial and investment market, persistent shortages of supply, its recent designation as "a U.S. Critical Mineral" and a wave momentum-driven purchases. Prices fell 4.2% at 0830 GMT, after a record high of $83.62 was reached earlier in the day. Investors booked profits and a easing of geopolitical tensions reduced demand for safe havens. Spot silver is up more than 160% in the last year, outpacing gold’s rise of over 70%. How does silver trade work? Over the Counter London is the largest marketplace for physical gold and silver, where banks and brokers take orders from customers around the globe to buy and sell. Trading takes place bilaterally between financial institutions (OTC), and investors must have an existing relationship with at least one of them to be able to access the market. The bullion bars that are stored in vaults at large banks like JPMorgan or HSBC, which underpin the market. London vaults will hold 27,187 tons of silver by the end of November 2025. Silver is a precious metal. Futures Silver is also traded on futures markets. Shanghai Futures Exchange, in China, and CME Group COMEX?in New York are the two largest. Futures contracts are agreements in which the seller promises to deliver silver at a future date. They are usually 'traded by a broker. Futures are usually not held for delivery, but instead exchanged for futures with a later date. Both buyers and sellers can speculate on the price of silver without having to move and store metal. Futures also offer the advantage that you don't have to pay the entire amount of silver. Instead, you only need to pay a fraction, called a margin. ETFs (Exchange-Traded Funds) ETFs are traded on stock exchanges like the NYSE, LSE and NASDAQ alongside publicly traded companies. Each share of the fund represents a certain amount of silver in a vault. Apps such as Robinhood allow small investors to trade ETFs with ease. Silver is added to the vault in order to create new shares, bringing the prices back to par. BlackRock's iShares Silver Trust, with 529 million ounces worth $39 billion in current prices, is the largest. BARRES AND COINS Silver bars and coins are also available to smaller investors from retailers all over the world. SILVER MINERS Investors can buy shares of companies that mine for silver. These are also easily traded on platforms such as Robinhood. Silver prices tend to affect the value of these shares, but other factors, such as management, debt, or performance, also influence their value. Reporting by Anmol Chaubey, Bengaluru. Editing by David Goodman
-
Copper prices ease from record highs as investors take profit
Prices of copper trimmed gains as the Asian markets closed on Monday. Investors locked in profits after a sharp rise that drove prices to new highs. As of 0740 GMT the benchmark three-month copper price on the London Metal Exchange had risen 3.27%, to $12,560 a metric ton, after earlier setting a new record at $12,960 per ton. After briefly reaching an all-time high of 102660 yuan, the most active copper contract at the Shanghai Futures Exchange has retreated below the 100,000 yuan mark, with a 0.76% increase in daytime trading to 98860 yuan ($14,105.33). Traders said that investors locked in profits when copper prices reached record highs. Others took a 'risk-off' stance. It was expected that the approaching end of the year, coupled with high prices, would also cool down spot demand and add pressure to the rally. The London benchmark copper contract, which was closed earlier in the day to the Shanghai contract due to the London exchange's holiday closure, had gained ground on the London contract. Shanghai copper rose 5.81% in the last week while London copper saw a gain of 1.93%. China announced on Friday that it will limit its copper capacity expansion in the next five-year plans, which is expected to support the gains in Shanghai copper. The traders who bet on the Fed cutting interest rates by two more times also supported the Monday rally. They are waiting for the release on Tuesday of the minutes of the Fed's meeting in December to get clues about how the policy makers plan to balance risks associated with inflation and a weakened labour market. Aluminium rose by?0.49% on the London market. Zinc gained 0.68%. Lead added 0.70%. Nickel dropped 0.13%. Tin rose by 1.60%. Aluminium rose by 0.83%. Zinc gained 0.54%, lead increased 0.78%. Nickel fell 0.86%. Tin declined 0.99%. $1 = 7.0087 Chinese Yuan Renminbi (Reporting and Editing by China C&E Team, Janane Venkatraman and Ronojoy Mazumdar)
-
Nigeria's NNPC targets an industrial boom in the country's North as the gas pipeline nears completion
After briefing President Bola Tinubu on Sunday, the chief executive of Nigeria's State Oil Company said that it was betting on a delayed gas pipeline to ignite an industrial revolution for the north. Bashir Ojulari is the Group CEO of NNPC Ltd. He told reporters the company had completed the welding of the main line for the $2.8 billion Ajaokuta - Kaduna - Kano (AKK), including the crucial River Niger crossing – a feat which has slowed progress for years. This milestone will allow the pipeline to be connected?early in the next year. According to Ojulari, this move "will bring gas in its?full?form? into the northern part Nigeria." Ojulari stated that this isn't just about energy. "It is a matter of industrialisation, i.e., fertiliser plants, gas-based industries, and power generation in Kaduna and Kano. We are expecting to see industrial parks sprout up." AKK, which was first conceived of in 2008, plays a central role in Nigeria's desire to harness its vast reserves of gas for economic growth. The completion of the AKK pipeline could revolutionize northern Nigeria, where a lack in energy infrastructure and chronic power shortages have hindered manufacturing for decades. Ojulari revealed NNPC production targets.?Oil production is expected to increase to 1.8million barrels per day - up from 1.7million this year - in 2026. Gas production will also continue to grow. He credited the structural reforms made under the Petroleum Industry 'Act, which enabled NNPC operate as a profitable company and no longer rely on 'federal allocations. Ojulari stated that President Tinubu reiterated his call for $30 billion of new investments by 2030, and a 2 million barrels a day oil production by 2027. (Reporting and Writing by Ben Ezeamalu, Editing by Lincoln Feast.
-
Asian stocks are rising, and precious metals have reached new records due to Fed rate cuts.
On Monday, Asian stocks rose to their highest levels in six weeks, and the dollar was near its lowest level in three months, on the expectation that the Federal Reserve will cut?interest rates in the coming year. This has also led to a strong rally in precious-metals. Silver rose above the $80-per-ounce mark?for a?first time? in volatile trading Monday. Platinum and palladium also fell after reaching all-time-highs. Gold fell 0.45%, but it has broken record highs several times this year. It is now on course to have its largest annual gain since 1979. Charu Chanana is the chief investment strategist for Saxo. She said that precious metals were lifted by a powerful combination of rate-cutting tailwinds as well as hedging geopolitical uncertainty and fiscal uncertainty. "Add to that supply concerns and the movement has become parabolic. But the near-vertical rise in late-year prices, particularly for silver, raises the possibility of increased volatility. The risk near-term is technical, and based on positioning." Chanana stated that the big picture of precious metals is still?positive. This is due to fiscal and geopolitical uncertainty, as well as ongoing demand for diversification. She said that any pullbacks could be viewed as an opportunity for long-term investment to rebuild their exposure. Investors were re-focused on geopolitics after U.S. president Donald Trump met Ukrainian president Volodymyr Zelenskiy. Although no agreement has yet been reached to bring peace to Ukraine, the talks were positive. China's military deployed army, navy, air force and artillery around Taiwan for "Justice Mission 2025", as the island pledged to defend democracy. STOCKS END THE YEAR STRONGLY In the stock market,?MSCI?s broadest Asia-Pacific index was 0.5%?? higher in a strong week to end the year. The majority of Asian markets are up double digits this year, as investors have shrugged off Trump’s tariff salvos in favor of AI. South Korea's Kospi climbed 1.7% to reach a two-month high, bringing its annual surge to 75%. It is on track to achieve its biggest gain since 1999. Japan's Nikkei fell 0.5% but is on track to increase by about 27% for the year. Taiwan stocks also rose 1%, reaching a new record, and are poised to rise 25% annually. As Europe returns from its Christmas and Boxing Day holiday, the buoyant mood is expected to continue. European futures are pointing towards a higher opening. The minutes of the Fed’s last meeting, due Tuesday, will be the focus for investors during the holiday-shortened week. The U.S. Central Bank cut rates this month, and forecast only one more for next year. However, traders have priced at least two additional cuts. FRAIL?YEN FIND SUPPORT On Monday, a summary of slightly hawkish opinions from the Bank of Japan policy meeting held in December was released. The Japanese yen rose 0.2% to reach 156.13 against the U.S. Dollar. The summary showed that many members of the BOJ board felt the need to increase the policy rate. BOJ raised interest rates earlier this month, a move that was well-telegraphed. However, the markets were disappointed by comments made afterwards which suggested that the central bank wasn't in a hurry to raise again. The yen was impacted and traders were worried about intervention after officials in Tokyo issued strong verbal warnings. The dollar has been under pressure due to the prospect of the Fed lowering rates next year. A new Fed chair who may be dovish or willing to lower interest rates is also looming large. The dollar index (which measures the greenback versus six rival currencies) was stable at 98.13. It is on course for a 9.5% decline for the year. This will be its steepest drop since 2017.
-
Iron ore prices rise as China promises more 'proactive fiscal policies' in 2026
Iron ore prices rose on Monday, as the top steel-making ingredient's demand was boosted by China's promise to adopt more "proactive fiscal policies" in 2026. The most-traded iron ore contract for May on China's Dalian Commodity Exchange closed morning trade at 800 yuan (114.12 dollars) per metric ton after reaching its highest level at 803 yuan at the start of?the session. As of 0343 GMT, the benchmark January iron ore traded on Singapore Exchange rose 1.32% to $106.05 per ton. The price of iron ore in January hit its highest level since November 27 at $106.3. China's Finance Ministry said on Sunday that fiscal policies would be more proactive next year, and China will boost consumption and actively expand investment in new productive forces. Everbright Futures, a Chinese broker, said that iron ore prices were also supported by "some steelmills resuming production after completing annual smelter maintenance" which meant a greater demand for feedstocks including iron ore. Mysteel, a consultancy, said that "improved?margins due to lower production costs" supported iron ore prices. The easing of concern in the real estate market was also a temporary boost to sentiment. China developer Vanke’s bondholders had approved a proposal by the state-backed company to extend the grace period of repayment for a 3.7 billion yuan loan. Coking coal and coke both rose by 1.13% and 0.611% respectively. The Shanghai Futures Exchange steel benchmarks were mixed. The rebar rose by 1.09% and hot-rolled coils increased by 0.98%. Stainless steel remained unchanged, while wire rod dropped 2.2%. $1 = 7.101 Chinese Yuan (Reporting and editing by Harikrishnan Nair; Amy Lv and Ruth Chai)
Limitations of the UN's nuclear watchdog in Iran
Since Israel's military strike on Iran's nuclear facilities on 13 June, the U.N. nuclear watchdog that polices the global Nuclear Non-Proliferation Treaty has been unable to conduct inspections in Iran. The International Atomic Energy Agency has a number of inspection powers.
IS THE IAEA UNIVERSAL IN JURISDICTION?
No. The IAEA has separate agreements with other countries and is only responsible for the 191 signatories of the NPT. Iran is a signatory to the NPT, and is therefore subject to IAEA supervision. This includes inspections to ensure that nuclear material like uranium does not get "diverted", for example to be used in atomic weapons. Israel is the only Middle Eastern country widely believed to possess nuclear weapons, despite not being a signatory to the NPT. Israel doesn't confirm or deny possessing them.
The IAEA has signed a limited agreement that allows it to supervise some materials and facilities. This is a fraction of the material and facilities Israel has, and does not include any of the nuclear weapons programme widely believed to exist in Israel. Iran, by contrast, has a Comprehensive Safeguards Agreement (CSA) with the IAEA under which it must account for all its proliferation-sensitive nuclear material, including every gram of enriched uranium.
Can the IAEA go anywhere, anytime in Iran?
No. No.
The IAEA had access to these facilities regularly until the attack. The IAEA said that since then the facilities have been "closed", and that inspectors are not allowed to enter.
HAS THE IAEA HAD PRIOR POWERS?
Yes. Yes.
The IAEA's oversight of Iran was the most extensive ever.
As part of the 2015 pact with the IAEA, Iran agreed to add the Additional Protocol to the CSAs of countries. The IAEA created this protocol to increase its ability to prevent nuclear proliferation. Iran has signed the Additional Protocol but not ratified it. The Additional Protocol grants the IAEA the ability to conduct snap inspections, which are short notice visits to places that Iran may not have declared as nuclear related.
Why does it no longer have such sweeping powers?
In 2018, President Donald Trump, during his first term in office, pulled the U.S. from the 2015 nuclear agreement, reimposing U.S. sanction on Iran, which had been lifted under the agreement.
As a result, Iran started pushing beyond the limits of the nuclear deal the following year. It also reduced the additional IAEA supervision introduced by the agreement.
In February 2021, Iran announced that it would not be fulfilling its additional commitments made under the 2015 agreement. This included the implementation of the Additional Protocol. The IAEA agreed to continue monitoring equipment, such as surveillance cameras, added under the 2015 deal. However, Iran ordered their removal in June 2022.
What was lost with the extra Oversight?
Snap inspections, an important tool for IAEA oversight, were removed. The IAEA's reduced oversight left blind spots where extra oversight was applied.
IAEA says that because it has been losing "continuity" of knowledge for many years, it won't be able fully to piece together what has happened. This includes the production of centrifuges, their inventory and some key parts of centrifuges as well as Iran’s stock of “yellowcake” – uranium which hasn’t been enriched. It is not impossible that many centrifuges, which are still unaccounted for, will be used in secret to enrich uranium at an undeclared site. A small warehouse would make it easy to conceal such a facility.
IAEA cannot guarantee that Iran's nuclear activities are entirely peaceful, but there is no evidence of a coordinated nuclear weapon programme.
What if Iran pulls out of the Non-Proliferation Treaty?
Iran has threatened withdrawal from the NPT while also saying that it will not develop nuclear weapons in the event of such a development.
Tehran complained that the non-proliferation treaty failed to protect them from an attack by the United States and Israel, two countries widely believed to possess nuclear weapons.
The NPT allows a withdrawal by a country with three months notice, "if they decide that extraordinary events relating to the subject of this Treaty have compromised the supreme interest of their country".
North Korea, the only country that has announced its withdrawal from NPT in 2003 is North Korea. It was this country who expelled IAEA inspections before testing nuclear weaponry. (Reporting and editing by Mark Heinrich; Francois Murphy)
(source: Reuters)