Targa Resources to Acquire Stakeholder Midstream -2-

1012 GMT - Palm oil ended lower on weaker exports. Malaysia's palm oil exports during the Nov. 1-30 period are estimated to be 16% lower on month at 1,263,298 metric tons, cargo surveyor AmSpec Agri Malaysia said Monday. However, crude palm oil futures are expected to remain slightly bullish due to weather-related factors, AmInvestment Bank says in a note. There have been flooding in some parts of Malaysia recently, which has raised traders' concerns over output. The Bursa Malaysia Derivatives contract for February delivery closed 21 ringgit lower at 4,093 ringgit a ton.([e-mail])

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European Gas Price Drops on Warmer Weather Forecasts -- Market Talk

0955 GMT - European natural-gas prices drop as weather forecasts point to warmer temperatures ahead, suggesting heating demand would remain subdued. The benchmark Dutch TTF contract falls 2.9% to 27.99 euros a megawatt hour and is down 10% on the month. "Recent models are pointing to warmer-than-expected temperatures in Europe, which could weigh on demand for gas," analysts at ANZ Research say. "Traders seem confident that supplies will be plentiful and enable utilities to meet demand during the peak season." Still, EU storage levels are currently 75% full, below the 90% level required to be reached by Dec. 1. ([e-mail])

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OPEC+'s Output Decision Likely Shaped By Geopolitical Risks

0945 GMT - OPEC+'s decision to leave oil output levels steady was likely dictated by geopolitical uncertainties involving two key members, Russia and Venezuela, according to Rystad Energy. The group is closely monitoring negotiations to end the war in Ukraine and escalating tensions between the U.S. and Venezuela, both of which pose risks to global supply. "The group recognizes that market sentiment is fragile and that missteps, even symbolic ones, could trigger outsized price reactions," analysts at the firm say. "Preserving optionality, rather than committing to a new production path, allows OPEC+ to react quickly if conditions worsen or if geopolitical events unexpectedly tighten supply." ([e-mail])

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OPEC+ Decision to Assess Maximum Output Capacity Could Spark Tensions

0933 GMT - OPEC+'s decision to assess the maximum sustainable production capacity of members will likely stir tensions within the group, according to ING analysts. At its last meeting on Sunday, OPEC+ approved a mechanism to evaluate production capacity in order to set output baselines from 2027 and guide future production targets. "This could certainly lead to disagreement among members, with countries keen to secure higher baselines," analysts at ING say. ([e-mail])

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Gold Rises on Softer Dollar, U.S. Rate-Cut Prospects -- Market Talk

0912 GMT - Gold prices rise in early trading on a softer U.S. dollar and renewed expectations that the Federal Reserve will cut interest rates further this year. New York futures are up 0.5% to $4,276.80 a troy ounce, while spot gold gains 1.2% to $4,215.82 an ounce. The U.S. dollar index, instead, trades 0.1% lower to 99.34. According to the FedWatch tool, traders price in a nearly 88% chance of a December rate cut--a scenario that would benefit non-yielding bullion. Markets now await the release of key U.S. economic data, including PCE figures on Friday, for more cues on the Fed's policy path. Rising expectations of an interest-rate cut this month also boosted platinum and silver, with futures climbing 6.3% to $1,677.70 an ounce and 1.3% to $57.89 an ounce. ([e-mail])

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Oil Climbs 2% on OPEC+ Steady Output Plan, Supply Risks

0905 GMT - Oil prices climb after OPEC+ members decided to leave output steady and as traders monitor geopolitical tensions in Eastern Europe and Venezuela. Brent crude rises 2% to $63.66 a barrel, while WTI is up 2.2% to $59.85 a barrel. Operations at the Black Sea terminal of the Caspian Pipeline Consortium-which exports oil mainly from Kazakhstan-were halted due to damage caused by a Ukrainian drone attack, according to media reports. Shipments from the CPC terminal have averaged around 1.48 million barrels a day so far this year, according to ING. Meanwhile, President Trump said airspace surrounding Venezuela should be considered closed. Any further escalation between the two countries would put around 800,000 barrels a day of crude exports at risk, ING analysts say. ([e-mail])

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Rio Tinto Tipped to Maintain Steady Growth Through to Decade's End -- Market Talk

0320 GMT - Rio Tinto is expected to outline medium-term plans for raising volumes from its Oyu Tolgoi and Simandou mines, as well as its lithium assets, at an investor briefing Thursday, Citi analyst Ephrem Ravi says. Citi expects a 3% increase in copper-equivalent volumes in 2025 and for Rio Tinto to maintain "a steady pace" of 3%-4% annual growth until the end of the decade, he says. That should reduce Rio's reliance on iron ore to 42% of Ebitda by 2027, he adds. The market will also "be looking out for plans to narrow the cost gap with BHP in Australian iron ore and [a] significant reduction in central costs through self-help measures," Ravi says. Citi has a neutral rating on Rio, with a A$140/share target. The stock is up 0.5% at A$132.93. ([e-mail]; @RhiannonHoyle)

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Palm Oil Rises on Stronger Soybean Oil, Crude Oil -- Market Talk

0304 GMT - Palm oil rises in early Asian trade, tracking stronger soybean oil on the Chicago Board of Trade and higher crude oil prices, says David Ng, a trader at Kuala Lumpur-based Iceberg X. Ng sees support for CPO futures at 4,080 ringgit a ton and resistance at 4,180 ringgit a ton. Trading of futures and options on platforms operated by CME Group was halted on part of Friday, which affected contracts such as palm oil. Trading has since been restored. CPO prices are unlikely to be affected by the outage as the market hasn't had much of a major newsflow in the interim, Ng says. The Bursa Malaysia Derivatives contract for February delivery is 7 ringgit higher at 4,121 ringgit a ton. ([e-mail])

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Iron Ore Prices Rise; Analysts Remain Bearish in Near Term -- Market Talk

0233 GMT - Iron ore prices are higher in early Asia trade, but analysts remain bearish on the black metal in the near term. Iron ore's supply-demand dynamics haven't improved, Baocheng Futures analysts write in a note. Supply remains high and inventories are also heavy, they add. Market sentiment has been relatively positive, but analysts are concerned about short-term demand, they say. The most actively traded January iron-ore contract on the Dalian Commodity Exchange is up 1.1% at CNY801.0 a ton. ([e-mail]; @ivy_jiahuihuang)

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Crude Palm Prices May Rise on Concerns Over Weaker Production -- Market Talk

0150 GMT - Crude palm oil prices may rise this week due to concerns over lower production in Malaysia and higher prices of other edible oils, Nomura analysts say in a note. Severe weather in Malaysia and Indonesia is expected to drag palm oil supply, it says, adding that Malaysian authorities have confirmed monsoon-linked flooding and landslides in some parts of the country. Crude palm oil prices declined more than 2% in the week ended Nov. 27 due partly to a stronger ringgit and concerns about lower exports, it says. Crude palm oil was recently at 4,114 ringgit a ton, according to LSEG. ([e-mail])

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Copper Climbs; Tightening Supply in Focus -- Market Talk

0126 GMT - Copper gains in Asian trade, with the three-month LME contract rising by 0.7% to $11,270.00 a ton. The market narrative around tightening copper supply is becoming increasingly prevalent, say Sucden Financial analysts in a note. However, the metal still lacks a decisive catalyst to force a breakout in prices, they note. This leaves copper "highly sensitive to incremental bullish signals", they add, such as improvements in downstream demand and modest supply disruptions at mid-tier mines or smelters. LME copper is likely to remain reactive and lean higher in response to relatively small upward shocks, they add. ([e-mail])

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(END) Dow Jones Newswires

12-01-25 1137ET