The latest Market Talks covering Commodities. Published exclusively on Dow Jones Newswires throughout the day.
0341 GMT - BRC Asia's earnings are likely to peak in FY 2027-FY 2028, says CGS International's Natalie Ong in a note. The Singapore steel fabricator's order book hit a high of S$2.2 billion at end-December, she says, noting the company is likely benefiting from Singapore's elevated construction activity from 2025-2029. While labor bottlenecks and safety-related work stoppages could result in construction delays, BRC Asia is managing these risks by taking on smaller projects and reducing its exposure to large projects, she says. This in turn enhances its earnings resilience, Ong adds. She raises her FY 2026-FY 2028 earnings per share estimates by 8%-19% to reflect higher sales volume estimates. CGSI raises its target price to S$5.40 from S$4.90 and maintains an add rating. Shares rise 1.1% to S$4.71. (megan.cheah@wsj.com)
0245 GMT - Palm oil prices rise in early Asian trading, driven by strength in soybean oil prices overnight on the Chicago Board of Trade. Palm oil's discount to soybean oil nears the widest in two years, a pricing gap that could help revive demand in months ahead, AmInvestment Bank says in a note. Technical analysis suggests CPO futures sentiment remains bullish and is likely to stay on an upward momentum, it says, adding that any pullback may present a buying opportunity to build long positions. AmInvestment Bank expects crude palm oil futures to find support at 4,044 ringgit a ton and face resistance at 4,190 ringgit a ton. The Bursa Malaysia Derivatives contract for May delivery is higher by 27 ringgit at MYR4,144 a ton. (yingxian.wong@wsj.com)
0209 GMT - Base metals are broadly higher in Asian trading hours. The complex appears to be stabilizing rather than trending, with rallies meeting resistance and volumes clustering near turning points, Sucden Financial analysts say in a note. "We expect sideways trading to remain the dominant near-term pattern," they add. The three-month copper contract on the London Metal Exchange edges up 0.1% to $12,819.00 a metric ton. Aluminum rises 0.2% and zinc gains 0.15%, while nickel falls 0.3%. (megan.cheah@wsj.com)
0113 GMT - Nestle (Malaysia)'s plan to sell its ice cream unit to Froneri would allow management to focus on higher-margin core segments such as beverages, dairy, prepared foods and nutrition, MBSB Research says in a note. The move follows its parent company's decision to divest most of its global ice cream operations. Ice cream typically faces seasonal demand and heavier working capital needs, it notes. A sale could trim revenue but lift margins, it says. Although near-term earnings visibility may soften, the move aligns with Nestle's shift toward more resilient, higher-growth categories, potentially strengthening earnings quality over time, it adds. MBSB maintains a sell rating on Nestle and keeps the target price at MYR94.50. Shares are unchanged at MYR109.50. (yingxian.wong@wsj.com)
2337 GMT - Gold edges lower in early Asian trade on possible position adjustments, but losses are likely to be limited by U.S.-Iran tensions. President Trump is weighing an initial limited military strike on Iran to compel the country to meet his demands for a nuclear deal. "Despite ongoing diplomatic efforts, tensions in both the Middle East and Eastern Europe have intensified, casting doubt on the viability of current peace talks," FXEM's Abdelaziz Albogdady says in an email. "This persistent fragility continues to embed a geopolitical risk premium into global markets," which underpins the precious metal's appeal, the manager of Market Research & Fintech Strategy adds. Spot gold is 0.1% lower at $4,997.92/oz. (ronnie.harui@wsj.com)
1940 GMT - Live cattle futures close up 0.4% to $2.43525 a pound, turning back toward the record high set last year. This is in part because of a decrease in cattle slaughters for the week, says ADM Investor Services in a note. "Traders are waiting to see what cash bids do this week, at the same time seeing slaughter for the week likely will be down with lower beef prices," says the firm. Also boosting cattle is snowfall in the northern plains, with up to a foot falling in states like Minnesota and North Dakota. Lean hog futures settled up 1% to 93.5 cents a pound. (kirk.maltais@wsj.com)
1930 GMT - Oil futures settle at their highest level since last summer as trader expectations of U.S. military action against Iran increase, raising concerns about eventual oil-flow disruptions. President Trump said a decision will likely be made over the next 10 days, while the U.S. still looks to reach a deal with Iran. U.S. inventory data added support to prices, with the EIA reporting an unexpected 9 million barrel crude stock draw for last week. "This surprisingly bullish data adds to an already red-hot crude oil market amid rising tensions between the U.S. and Iran," Mike Castle of StoneX says in a note. WTI and Brent settle up 1.9% at $66.43 and $71.96 a barrel, respectively. (anthony.harrup@wsj.com)
1920 GMT - Wheat futures surge 3% driven by speculator buying, says AgResource in a note. "An exact fundamental for the wheat rally is lacking, but the market has been technically based for most of the past week," says the firm. AgResource dismisses weather issues in areas of the U.S. Midwest and in Western Europe as the principal cause of the rush. "It's just too early to kill a wheat crop that is a grass and often has nine lives," the firm says. Soybeans rise 0.7%, and corn is down 0.1%. (kirk.maltais@wsj.com)
1918 GMT - U.S. natural gas futures settle lower with nearby months fluctuating around the key $3 level. The EIA reported a 144 Bcf inventory withdrawal for last week, which was slightly smaller than expected. The deficit against the five-year average shrank to 123 Bcf from 130 Bcf the week before. "Storage withdrawals are likely to trend lower from here," Andy Huenefeld of Pinebrook Energy Advisors says in a note. "We now expect inventories to find a seasonal bottom near or above 1.8 Tcf in March before the onset of net injections this spring." Nymex gas for March delivery settles down 0.5% at $2.996/mmBtu. (anthony.harrup@wsj.com)
1850 GMT - Issues with the U.S. farm economy may be smaller than many think, says Nate Kauffman, senior vice president with the Federal Reserve Bank of Kansas City. Kauffman says that agricultural land values have been resilient at historically high levels, in a presentation at the USDA Agricultural Outlook Forum. "If there was more fundamental weakness in agricultural markets, I think you'd see evidence of pressure on land values and cash rents," Kauffman said. That doesn't mean areas of the farm economy are not under strain, Kauffman cautions, but many farmers have the assets needed to stay afloat in weak times like last week. (kirk.maltais@wsj.com)
1745 GMT - The state of U.S.-Canada trade relations was a hot topic at the USDA's Agricultural Outlook Forum. Under Secretary of Agriculture for Trade and Foreign Agricultural Affairs Luke Lindberg and USTR chief agricultural negotiator Julie Callahan both told attendees that the goal continues to be to turn the trade flow from a deficit to a surplus for the U.S. President Trump has opened the door that the U.S. could negotiate separate trade deals with Canada and Mexico rather than renegotiate the three-way trade agreement between the countries. As for American wine, spirits and beer being pulled from shelves in most Canadian provinces after President Trump initiated a series of trade battles last year, Lindberg calls it "bad behavior" on Canada's part, making further bilateral negotiations necessary.(kirk.maltais@wsj.com)
1703 GMT - The USDA is trying to figure out how to turn direct government payments that help farmers survive into something that will bolster overall profitability across the industry. How that happens is unclear, says USDA chief economist Justin Benavidez. "If we continue federal support, it has to be a bridge to something," says Benavidez in a presentation at the USDA's Agricultural Outlook Forum in Arlington, Va. Benavidez says the two things that the USDA's policy needs to support are "a robust safety net" and "better demand conditions" for U.S. farmers. "I think most producers agree, government support is not the way out for most producers," says Benavidez. (kirk.maltais@wsj.com)
(END) Dow Jones Newswires
February 20, 2026 00:15 ET (05:15 GMT)
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