Glencore's Trading Division Looks Underappreciated

Dow Jones08-12

0848 GMT - Glencore's marketing division is underappreciated by the market, Citi bank analysts write. The division houses its metals and energy traders, and posted $3.3 billion for the first half of the year compared with $4 billion in the first half of 2022 when Russia invaded Ukraine. It has made more money in an arguably disproportionately less volatile environment, they say. Conflict in the Middle East has disrupted energy and freight markets, shifted trade flows and widened regional price differentials. This has created substantial trading opportunities. Glencore continues to show that its traders can continue to generate cash every time volatility hits commodities markets, the analyst say. Shares rise 0.4% to 576.60 pence.

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