Demo Account   Live Account  

Glencore slump points to commodity rout

29th September 2015

Shares in mining firm Glencore dived 30 per cent to a record low of 67 pence on Monday, pushing the FTSE 100 down two per cent.

They also tracked lower in Hong Kong overnight, sliding 27 per cent amid fears over its £20 billion debt burden and a weak commodity market.

The company’s troubles have analysts worried, with Investec saying low metal prices could see “almost all equity value eliminated” at the Swiss-based firm.

But with the company’s shares rallying on Tuesday, analysts at Citigroup say the sell-off has been overdone.

Glencore’s troubles reflect a 15-month rout in commodity prices as the so-called super-cycle comes to an end.

A Bloomberg index of commodity futures has dropped 50 per cent since a 2011 high, as demand from China dries up.

In addition to Glencore, US aluminium giant Alcoa said this week it will split in two, while Royal Dutch Shell is to abandon a $7 billion Arctic drilling programme because of low crude prices.

Begin trading today! Create an account by completing our form

Privacy Notice

At One Financial Markets we are committed to safeguarding your privacy.

Please see our Privacy Policy for details about what information is collected from you and why it is collected. We do not sell your information or use it other than as described in the Policy.

Please note that it is in our legitimate business interest to send you certain marketing emails from time to time. However, if you would prefer not to receive these you can opt-out by ticking the box below.

Alternatively, you can use the unsubscribe link at the bottom of the Demo account confirmation email or any subsequent emails we send.

By completing the form and downloading the platform you agree with the use of your personal information as detailed in the Policy.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.3% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Back to top

English Footer

Office network

One Financial Markets is the trading name of Axi Financial Services (UK) Ltd, a company registered in England with company number 6050593. Axi Financial Services (UK) Ltd is authorised and regulated by the Financial Conduct Authority in the UK (under firm reference number 466201) and the Financial Sector Conduct Authority in South Africa (with FSP number 45784).

The information on this site is not directed at residents of the United States, Belgium, Poland or any particular country outside the UK and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

www.onefinancialmarkets.com is owned and operated by Axi Financial Services (UK) Ltd.

Award winning broker
We have been presented with a number of awards that recognise the quality of our service and dedication to our clients :

Best FSA Regulated Broker
Saudi Money Expo

Best Education Product
Saudi Money Expo

Best Broker - Online Trading
IAIR Awards

Best Institutional Broker
Saudi Money Expo

Best FX Services Broker
CN Forex

Top International
FX Broker 2015
Saudi Money Expo

Broker of the Year
Online Trading – Middle East
IAIR Awards

Best Forex
Customer Service 2018
JFEX Awards

We accept the following payment methods:

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.3% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.