IEA Warns Recovery From Hormuz Supply Shock Will -2-

0802 GMT - India's government is likely to follow up its gold and silver tariff hikes with more moves to reduce precious metal imports, Nomura analysts say. The tariffs follow Prime Minister Narendra Modi's appeal to citizens to conserve foreign exchange and avoid purchasing gold and jewelry. With India's balance-of-payments deficit tracking at over $70 billion, Nomura sees the tariffs as aimed at reducing imports of precious metals and narrowing the current-account deficit. Nomura estimates that imports of precious metals--including platinum--have risen sharply to 2.7% of GDP. Modi's appeal suggestsreduced policy appetite for a further deepening of the twin deficits. Next steps could include disincentivizing other nonessential imports like electronics; a diaspora bond to mobilize FX deposits; or fuel-price increases to reduce the fiscal burden. ([e-mail])

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London's Miners Gain as Copper Reaches Record Highs -- Market Talk

0750 GMT - London's miners are among the FTSE 100 index's largest gainers in opening trade, with Chilean copper miner Antofagasta rising over 5%. Copper's rise to record highs is a reminder that the AI story isn't only about chips and software, Hargreaves Lansdown's Matt Britzman writes. Markets have been distracted by the conflict in the Middle East but AI growth, construction of data centers and electrification efforts continue. Futures are climbing on strong Chinese demand and mounting supply concerns, Britzman says. LME three-month copper futures are up nearly 1% to $14,080 a metric ton. Anglo American gains 4.5%, Rio Tinto is up 4% and Glencore rises 3.3%. ([e-mail])

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Gold Rises Despite Inflation Data, U.S.-Iran Impasse -- Market Talk

0731 GMT - Gold prices rebound after this week's pullback attracted fresh buying interest, even as stronger-than-expected U.S. inflation data and stalled U.S.-Iran talks cloud the outlook. "Markets now price in more than a 40% probability of a Fed rate hike by year-end, driving U.S. bond yields higher and weighing on non-yielding gold," says Soojin Kim from MUFG. "Despite the pressure from rising rates and elevated energy-driven inflation, gold has remained relatively resilient due to strong demand from central banks." In early European trading, futures in New York are up 0.6% to $4,714.30 a troy ounce. Silver rises 2.2% to $87.52 an ounce.([e-mail])

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Oil Falls as Market Remains in Limbo, Traders Await Trump-Xi Summit -- Market Talk

0729 GMT - Oil prices fall after a three-day rally as investors await developments in U.S.-Iran negotiations and brace for a two-day summit between Washington and Beijing. In early European trading, Brent crude is down 1% to $106.67 a barrel, while WTI futures slip 1.2% to $97.37 a barrel. "Ten weeks on from the start of the Iran war and energy markets remain in limbo," analysts at ING say. The two parties have been unable to find common ground, with extended disruptions to oil supplies in the Gulf and shrinking inventories clouding the outlook. Meanwhile, the EIA assumes the Strait of Hormuz will remain closed until late May. But even if shipping begins to pick up in June, shipments likely won't reach prewar levels until later in the year, the U.S. agency says. ([e-mail])

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Iron Ore Edges Lower, Current Levels Appear Stretched -- Market Talk

0315 GMT - Iron ore edges lower in early Asian trading. Molten iron output, a strong signal of iron ore's demand, remains steady, according to Nanhua Futures analysts in a commentary. However, further demand upside is limited due to a seasonal slowdown, they note. While port stocks are still falling, the current price level looks stretched, they add. The most traded iron-ore contract on the Dalian Commodity Exchange is 0.1% lower at 816.5 yuan a ton.([e-mail])

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Copper Rises Amid Signs of Strong Chinese Demand, Mounting Supply Risks -- Market Talk

0139 GMT - Copper rises in early Asia trade amid signs of stronger Chinese demand and mounting supply risks, ANZ Research analysts say in a note. Recent economic data showing better-than-expected industrial activity in China, which has seen only limited impact from the Iran war, has boosted market sentiment. The rally in artificial-intelligence-related stocks has also strengthened expectations for further investment in data centers, supporting copper demand. Meanwhile, concerns over a looming supply crunch continue to build as disruptions to sulphuric acid supplies from the Persian Gulf persist, adding upward pressure to prices. The three-month contract on the London Metal Exchange is up 0.6% at $14,109 a ton, just shy of its record high of $14,500 a ton. ([e-mail])

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JBS, Tyson Foods Remain Under Pressure from High Cattle Costs -- Market Talk

A cattle shortage continues to drive up costs for JBS and Tyson Foods, weighing on the meatpacking giants' bottom lines. JBS says its North America beef business recorded record sales in the latest quarter, up 12% from a year ago, though the segment's profitability came under pressure from an increase in live cattle prices, driven by low cattle availability. Rival Tyson, meanwhile, last week reported a steeper fiscal second-quarter loss in its beef division from the year-ago quarter, as its beef sales price rose while sales volumes fell. ([e-mail])

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(END) Dow Jones Newswires

05-13-26 1103ET