The latest Market Talks covering Basic Materials. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0913 GMT - Air Liquide's improvement in the margin target confirms investor confidence in the French industrial-gases company, despite no sight of volume acceleration, Equita analyst Massimo Bonisoli says. Air Liquide targets recurring earnings and operating margin growth in 2026, with a margin expansion goal of 200 basis points between 2026 and 2027. For 2025, the company posted an operating margin growth of 80 basis points to 20.7%. Air Liquide posted a solid set of results, the analyst adds in a research note. Shares trade 3.3% higher at 173.16 euros. (nina.kienle@wsj.com)
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)
0146 GMT - BRC Asia, a steel mesh manufacturer, stands to continue benefiting from Singapore's construction upcycle, UOB Kay Hian analysts say in a research report. Singapore's Building and Construction Authority forecasts total construction demand to remain steady at S$47 billion-S$53 billion in 2026, supported by awards of additional packages across several projects, the analysts note. Demand in Singapore is also projected to average S$39 billion-S$46 billion per year from 2027 to 2030, which should translate into sustained demand for steel reinforcement bars, benefiting BRC Asia. The brokerage raises the target price to S$5.10 from S$4.90 based on higher FY 2026 price-to-earnings multiple versus peers and maintains a buy rating. Shares are 1.1% higher at S$4.71. (ronnie.harui@wsj.com)
1440 GMT - Canadian net trade will be a positive for 4Q GDP, but that doesn't mean exports are recovering particularly strongly from the declines seen over the spring of 2025, says CIBC Capital Markets' Andrew Grantham. Exports were up in December, but export volumes remained almost 5% lower on a year-over-year basis, Grantham says. "There remains great divergence by sector, with exports of products hit hardest by U.S. tariffs generally still depressed, which highlights the importance of renegotiating CUSMA and maintaining the tariff exemption for other products covered by that trade deal." (robb.stewart@wsj.com; @RobbMStewart)
1426 GMT - Canada's merchandise-trade deficit was cut in half in December to about C$1.3 billion, a smaller shortfall than economists expected in what can be a choppy indicator. While that looks to be a solid result on the surface, BMO Capital Markets' Douglas Porter says once again the export gain for the month was flattered by a snap-back in gold sales. Strip out precious metals, and exports sagged 0.7% on-month. Porter says the surging value of gold exports partially masked a deterioration in Canada's net trade in 2025, as U.S. tariffs weighed on exports. But at about 1% of GDP for both the merchandise trade deficit and the current account gap overall, the imbalances aren't overly concerning, the economist says. (robb.stewart@wsj.com; @RobbMStewart)
1403 GMT - The gains in Canadian export and import volumes in December confirm net trade had a positive affect on 4Q GDP, through volatility behind the numbers suggests export demand remains very weak, Capital Economics' Alexandra Brown says. Exports and imports each rose 1.4% on-month in volume terms, which means exports rose more than 8% annualized in 4Q while imports edged up closer to 1%. Brown says volatile gold swings drove the increase in exports, supported by an another volatile category, aircraft, which surged thanks to big business jet shipments to the U.S. The economist notes the majority of other categories posted monthly declines.(robb.stewart@wsj.com; @RobbMStewart)
1018 GMT - Palm oil prices ended higher, supported by strong overnight gains in rival oils, Kenanga Futures analysts say in a note. Prices were also lifted by lingering concerns over slowing growth in overall tropical oil productions, they added. Kenanga Futures pegs support and resistance for the May futures contract at 3,990 ringgit a ton and 4,085 ringgit a ton, respectively. The Bursa Malaysia Derivatives contract for May delivery closed 101 ringgit higher at 4,117 ringgit a ton. (amanda.lee@wsj.com)
(END) Dow Jones Newswires
February 20, 2026 04:20 ET (09:20 GMT)
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