Equinor Posts Earning Slide, Targets Cost Cuts in 2026 -- Commodities Roundup

MARKET MOVEMENTS:

--Brent crude oil is up 0.1% to $67.38 a barrel.

--European benchmark gas is down 0.4% to 32.74 euros a megawatt hour.

--Gold futures are up 2.6% to $5,061.80 a troy ounce.

--LME three-month copper futures are down 0.7% to $13,314.50 a metric ton.

TOP STORY:

Equinor Posts Earning Slide, Targets Cost Cuts in 2026

Equinor's fourth-quarter earnings slid as weaker oil and gas prices bite, with the company targeting cost cuts and paring back capital expenditure.

The Norwegian energy major on Wednesday said its adjusted operating income-its preferred measure-fell 22% to $6.20 billion from the same period a year prior. This compares with the $5.93 billion analysts had expected according to a company-compiled consensus.

OTHER STORIES:

Why India Will Struggle to Reduce Its Reliance on Russian Oil

President Trump said India is going to stop buying Russian oil. Such a move-which would have profound effects on global crude trading-is easier said than done.

The world's most populous nation became addicted to cheap Russian oil after Moscow invaded Ukraine. The West shunned Russian energy and India was happy to snap it up-at a big discount to oil from other sources.

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Shell's Earnings Expected to Fall on Weaker Downstream -- Earnings Preview

Shell is scheduled to report results for the fourth quarter on Thursday. Here is what you need to know.

EARNINGS FORECAST: Shell is expected to post adjusted earnings--a closely watched company metric--of $3.51 billion, according to a Vara Research-polled consensus of 23 analysts. This compares with $5.43 billion it reported in the preceding quarter and $3.66 billion a year earlier.

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Archer Daniels Profit, Revenue Fall on Biofuel Policy and Trade Uncertainty

Archer Daniels Midland logged lower fourth-quarter profit and revenue, hurt by a challenging operating environment marked by trade and policy uncertainty.

The processor of agricultural commodities like oilseeds, corn and wheat on Tuesday posted a profit of $456 million, or 94 cents a share, compared with $567 million, or $1.17 a share, a year earlier.

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OMV Books Earnings Hit Amid 2025's Lower Crude Prices

Austrian oil-and-gas group OMV said operating earnings fell on year amid lower oil prices and a hit from currency effects.

Clean Current Cost of Supply operating income, which gauges profit in a way similar to the net income used by U.S. oil companies, came in 10% lower on year at 4.61 billion euros ($5.45 billion,) the company said in a release Wednesday. That was largely down to a 29% drop in the operating earnings from the mainstay energy business amid "negative market effects" and the lack of the positive one-off effects booked a year earlier, OMV said.

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Bunge 4Q Net Down as Costs Offset Sales Growth

Bungle Global's fourth-quarter net income fell as a surge in sales of grain and refined agricultural products was offset by a similar jump in costs of the crops.

The St. Louis grain processor and agricultural dealer posted earnings of $95 million, or 49 cents a share, down from $602 million, or $4.36 a share, a year earlier.

MARKET TALKS:

Grains Turn Lower on Steady South American Weather -- Market Talk

0920 ET - CBOT grain futures were lower overnight, with the U.S. dollar index turning slightly higher this morning. Market-moving news is seen as limited by analysts, with crops in Argentina and Brazil receiving adequate moisture to keep health concerns on the sidelines. With Brazil in the process of harvesting soybeans, world export markets are expected to be plentiful for buyers. "U.S. and global supply is viewed as adequate to limit buying interest while current prices are unsustainable longer term for producers, which is limiting selling interest," says Doug Bergman of RCM Alternatives in a note. CBOT corn falls 0.5% premarket, soybeans slide 0.2%, and wheat is down 0.7%. ([e-mail])

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Palm Oil Prices End Higher on Expectation of Lower Stocks -- Market Talk

1021 GMT - Palm oil prices closed higher on expectations of lower stock levels, says David Ng, a trader at Kuala Lumpur-based Iceberg X. Investors are also looking for stronger export demand in the weeks ahead, he adds. The trader sees prices supported above MYR4,200 a ton and resistance at MYR4,350. The Bursa Malaysia Derivatives contract for April delivery closed 7 ringgit higher at 4,222 ringgit a ton. ([e-mail]; @ivy_jiahuihuang)

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Gold Prices Likely to Be Volatile in Short Term -- Market Talk

0916 GMT - Gold prices are likely to be volatile in the short term, according to UOB's Heng Koon How in a research note. "Despite our positive long-term outlook, it is important to appreciate risks of further near-term volatility," the head of markets strategy says in a research note. It will take some time for speculative activities to clear and gold prices to become steady and settle down, he says. UOB expects gold to be traded at $4,800 per ounce in 1Q, $5,000 per ounce in 2Q, $5,200 per ounce in 3Q and $5,400 per ounce in 4Q. Spot gold is 2.6% higher at $5,075.93.per ounce. ([e-mail])

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Equinor's Reset Buyback Below Expectations -- Market Talk

0911 GMT - Equinor cut its share buyback by more than expected, J.P. Morgan analysts write. The Norwegian energy company reset its buyback to up to $1.5 billion over 2026. This is below expectations of between $2 billion to $2.5 billion, the analysts say. The cut is consistent with prior concerns about the company's ability to fund sector-competitive distributions, they say. ([e-mail])

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Oil Steadies, With Focus on U.S.-Iran Developments

0907 GMT - Oil prices steady as traders closely monitor developments in Iran after renewed tensions in the region. The U.S. shot down an Iranian drone aimed at the aircraft carrier USS Abraham Lincoln, and a U.S.-flagged ship outran an attempt by armed Iranian gunboats to force it to stop, though negotiations with Washington are still expected this week. "Uncertainty about how talks will play out means the market will likely continue to price in some risk premium," analysts at ING say. Brent crude and WTI settled more than 1.5% higher in the previous session, though they now trade0.3% and 0.1% lower at $67.11 and $62.07 a barrel, respectively. Separately, traders await weekly inventory data from the EIA to assess the impact of a massive winter storm that recently hit parts of the U.S. ([e-mail])

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Rising Iran Tensions Could Lift Brent Over $70

0905 GMT - Rising geopolitical risk over Iran could lift Brent oil prices back over $70 a barrel, says UOB's Heng Koon How in a note. Geopolitical risk premium has slowly been reinjected in Brent amid intensifying Iran tensions, lifting it from the $60/bbl low in December and closer to last June's high of $80/bbl, the head of markets strategy says. Still, additional OPEC supply is likely to keep oil prices contained in the long term, he says. UOB raises its Brent crude-oil price projection to $75/bbl in 1Q, $70/bbl in 2Q and $65/bbl in 2H. Front-month Brent crude-oil futures fall 0.1% to $67.25/bbl; front-month WTI is flat at $63.21/bbl. ([e-mail])

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Equinor's Midstream Unit Helps Drive Beat to Expectations -- Market Talk

0854 GMT - Equinor's slight beat to EBIT expectations was largely driven by a roughly $300 million arbitration gain in the Norwegian energy company's marketing, midstream and processing unit, RBC Capital Markets analysts write. Underlying cash flow from operations was also higher than expected, due to increased underlying pretax earnings, they say. Shares rise 1.8% to 256.4 Norwegian kroner. ([e-mail])

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Silver Climbs Toward $90 as Buying Returns After Sharp Selloff -- Market Talk

0839 GMT - Silver prices extend the previous session's rally following a historic selloff, with New York futures hovering near $90 a troy ounce. "After plunging from record highs amid elevated volatility, precious metals attracted renewed buying interest," ING analysts say. Silver's pullback was far steeper than gold's, as tight liquidity in the London market continues to amplify price swings in both directions. Goldman Sachs cautioned that thin inventories have created squeeze-like conditions, with rallies accelerating as investor demand absorbs available metal and reversing sharply when supply pressures ease. In early trading, silver futures rise 7.5% to $89.57 an ounce. ([e-mail])

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London's Miners Rise as Precious Metals Rebound Continues -- Market Talk

0837 GMT - London's miners rise as metal prices continue to rebound from the recent selloff. In New York, gold futures are up 3.4% at $5,102.60 a troy ounce while silver climbs over 8% to $90.05 an ounce. Investors view the selloff as overdone and have been enticed back into the market, ANZ analysts write. Silver and gold miner Fresnillo is up 2.2% while Hochschild Mining rises 1.9%. Commodity giant Glencore rises 1.4%, while Anglo American is up 0.7%.([e-mail])

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Gold Rises Back Above $5,100 as Sharp Retreat Attracts Buyers -- Market Talk

0831 GMT - Gold prices extend gains for a second day, climbing back above $5,100 as a historical pullback from record highs offered a buying opportunity for investors. In early trading, New York futures rise 3.4% to $5,102.90 a troy ounce following a 6% jump in the previous session. The recent correction doesn't signal a change in gold's underlying drivers, with the medium-term outlook supported by continued central-bank buying, firm ETF demand, and persistent geopolitical and economic uncertainty. Goldman Sachs sees meaningful upside risk to its $5,400-an-ounce price forecast for December, noting that additional private-sector diversification could further boost demand. "Such private sector diversification demand may be expressed through outright physical buying or through call?option structures, which tend to produce sharper price action," analysts at the bank say. ([e-mail])

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02-04-26 0942ET