The latest Market Talks covering Basic Materials. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0933 ET - The EU should limit costs in its landmark emissions-trading system in order to protect the bloc's industry, three major European steelmakers argue. The long-running ETS, which sets a price on carbon emissions in an attempt to limit global heating, could destroy Europe's industrial base by spiking costs and lessening competitiveness against global steel rivals, ArcelorMittal, Thyssenkrupp and Voestalpine say in a joint release. They point to rising production costs and call for a pause in the costs emitters pay into the system. The three European companies have committed to decarbonizing their operations but say the industry needs safeguards. "Reform must help successfully bring climate protection and industrial development together for the future of Europe," Thyssenkrupp Steel Chief Executive Marie Jaroni says.(joshua.kirby@wsj.com; @joshualeokirby)
0931 ET - Oil futures stabilize after the U.S.-Iran agreement due to be formally signed Friday sent prices to their lowest since early March. In its latest monthly report, the IEA sees global demand falling by 1.1 million barrels a day in 2026 then rising by 2 million b/d in 2027. Supply is predicted to fall by 3.9 million b/d this year and grow by 8 million b/d in 2027. "While improving supply prospects and weaker Chinese refinery activity remain bearish, tightening inventories, restocking demand, and lingering geopolitical uncertainty could limit downside pressure," analysts at Kotak Neo say in a note. Still, volatility is likely to persist "as markets weigh supply normalization against resilient demand," they add. WTI is up 0.7% at $76.60 a barrel and Brent rises 0.8% to $79.59.(anthony.harrup@wsj.com)
0925 ET - Analysts watching gold prices think that a return to levels around $5,000 a troy ounce remain possible this year, but highs of around $6,000/oz--called for during the heyday of gold's surge last year--may no longer be in the cards. "I think the $6,000/oz forecast is maybe a little out of reach," says Rick Kanda with The Gold Bullion Company in a note. "But if global central banks maintain their gold buying momentum, gold has a good chance at hitting that $5,000/oz value mark." Kanda also notes that macroeconomic factors have changed, making gold less attractive of a safe-haven asset than it was last year. Gold futures are flat at $4,353.50/oz in morning trade. (kirk.maltais@wsj.com)
0300 ET - Gold prices are largely unchanged early Wednesday as traders await the signing of the U.S.-Iran interim peace agreement which should ease the energy and inflation shock triggered by the conflict. Easing inflationary pressures would typically weigh on non-yielding assets like gold but the precious metal is supported by lingering geopolitical uncertainty and cautious investor sentiment, MUFG's Soojin Kim writes. Markets are also waiting for guidance from the U.S. Federal Reserve on the outlook for inflation and interest rates, she adds. New York gold futures trade 0.2% lower at $4,344.70 a troy ounce.(adam.whittaker@wsj.com)
0257 ET - Copper demand is likely to be supported by AI-driven data center expansion, according to BofA Securities in a research note.Copper remains essential for power delivery and short-distance interconnections, while rising power demand further supports grid-related usage, the analysts say. Coupled with ongoing supply constraints, BofA expects continued support for copper demand and pricing. BofA's top pick is Zijin Mining, the largest copper producer in China, given the bank's positive view on copper prices and the company's volume growth. The bank also likes CMOC, a leading Chinese copper supplier. (tracy.qu@wsj.com)
0100 ET - Roughly 5% of iron ore supply looks to be losing money at current prices, according to UBS. "This continues to provide a degree of cost-curve support, even as market fundamentals appear softer, including elevated Chinese port inventories," the bank says. Spot iron ore trades at around $102 per ton, effectively in line with the 95th percentile of the industry's cost curve, says UBS. Yet with inventories building, positioning net short and incremental supply rising, UBS sees "downside risk emerging if demand does not recover and marginal tons begin to exit." If iron ore prices fall, the stocks of higher-margin producers including BHP and Rio Tinto would likely fare better than lower-margin operators including Fortescue and Mineral Resources, UBS says. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
2354 ET - Wildcat Resources stands out as one of the best lithium developers on the ASX, says Macquarie. It initiates coverage of the stock with an outperform rating and A$0.90/share target. The company has a large-scale hard-rock development asset close to key infrastructure in the "tier-one" mining jurisdiction of Western Australia, Macquarie says. Wildcat has completed a prefeasibility study and is advancing towards a definitive study in "a market hungry for lithium," says the bank. "We believe WC8 screens attractively on an EV/MRE [mineral resource estimate] basis relative to more established peers, particularly given the size of its resource base and advanced project status," Macquarie says. Shares are up 16% at A$0.55. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
2226 ET - Nickel falls in Asian trade, with the three-month contract on the London Metal Exchange declining 0.2% to $17,965.00 a metric ton. The nickel market could be entering a period of volatility, ANZ Research analysts say, citing reports of China warning against repercussions for Indonesia's protectionist policies for the sector. Weaker-than-expected Chinese economic data is also likely to be denting market sentiment, say the analysts. (megan.cheah@wsj.com)
2221 ET - Margins in Sims's metals businesses are widening as expected, with the company benefiting from higher ferrous and nonferrous scrap prices over recent months, RBC Capital Markets says. "While it is difficult to predict the exact timing of a steel price reversion from the currently elevated levels, for now we believe Sims remains a key beneficiary," says RBC. The broker reiterates an outperform rating on Sims's stock, with a speculative risk qualifier. It has a A$29.25 price target. RBC also views the narrowing of Sims's SLS guidance as an incremental upgrade, and says that business has been benefiting from a rebound in DDR4 prices in recent weeks. Sims shares are up 0.7% at A$29.64. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
2214 ET - Iron ore prices are lower in early trade following China's weak monthly economic data for May. China's crude steel output continues to fall as the property sector shows no signs of recovery, ANZ Research analysts say in a note. China's crude steel output in May fell 2.7% on year to 84.35 million tons, bringing year-to-date volumes to 415.53 million tons, down 3.9% on year, they note. However, they reckon there's hope that India may offset some of this weakness as it increases infrastructure spending. The most-traded iron ore contract on the Dalian Commodity Exchange is down 1.5% at 756.00 yuan a ton. (sherry.qin@wsj.com)
2133 ET - Canaccord Genuity expects a three-month shutdown at Greenbushes' CGP3 lithium-processing facility partly owned by IGO, followed by ramp-up at the operation. "Footage from the event appears to show a belt fire [generally the most typical source of process plant fires]; however, it is far from clear what the extent of the damage is or how it started," the broker says. There could be options to work around the damage and operate at reduced capacity if the fire didn't spread, or for the operation to use higher-grade ore to reduce the impact of the event, CG adds. It keeps a buy rating on IGO, but pares its target on the stock to A$10.00 from A$10.80. IGO owns Greenbushes with Tianqi Lithium and Albemarle. IGO shares are up 0.6% at A$8.82. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
2116 ET - Gold edges higher in early trade. Improved market confidence, due to easing concerns over energy supply disruptions, higher inflation, and interest rates, is creating a better environment for gold, says Zaheer Anwari, CEO of The Revacy Fund. Traders are focusing on several central bank decisions this week. While the Bank of Japan's rate hike has supported Japanese bond yields and could limit gold's gains, investors expect the Fed to hold rates. If the Fed's updated economic and inflation outlook appear positive, it could further boost gold's rally. Continued buying from central banks should also provide strong structural support. Anwari sees stable support around $4,000 an ounce. Spot gold is up 0.2% at $4,337.22 an ounce.(jason.chau@wsj.com)
(END) Dow Jones Newswires
June 17, 2026 12:20 ET (16:20 GMT)
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