Author: Fiona Craig

Intercontinental Exchange (NYSE:ICE) began trading precious metals derivatives in London this week, introducing futures contracts covering gold, silver, platinum and palladium.

The contracts are linked to the daily auction prices operated by ICE in London and range in duration from same-day settlement to six months. Clearing will take place through ICE’s London operation, which also handles Brent crude oil futures.

London is a major centre for physical bullion trading, with more than $190 billion of over-the-counter physical gold transactions conducted daily and approximately $1.4 trillion of bullion held in the city, according to the supplied material.

Contracts Linked to London Physical Market

ICE’s new futures contracts will settle against the physical auction prices it manages for all four precious metals.

Chris Rhodes, president of ICE Futures Europe, said: “Derivatives markets generally are there to support the physical market.”

“The physical market is in London. We believe that if you were to enable people to manage their risk in a different way . . . that could be an attractive prospect, particularly if it’s linked into the auction price.”

London’s bullion pricing systems are used as benchmarks for transactions and investment products internationally.

ICE acquired the gold benchmark approximately 10 years ago. Since then, participation in its auction has increased from four firms to 20, including Jane Street, DRW, Goldman Sachs and Citi.

Daily auction volumes have risen to more than 424,000 ounces, representing growth of more than 30% since 2015, according to the supplied material.

Previous London Gold Futures Markets Closed

London has previously hosted gold futures markets, although recent initiatives did not remain operational.

The London Metal Exchange closed its gold futures contract in 2022 following five years of low trading volumes. An earlier London Gold Futures Market ceased operations in the mid-1980s.

In the U.S., CME Group’s gold futures contract averaged approximately $125 billion in daily trading volume during the first half of the year, according to the supplied material.

Gold reached a record of more than $5,500 per troy ounce in January.

Gold Storage Patterns Shift

Changes in trade policy, economic sanctions and geopolitical considerations have also affected the movement and storage of physical gold.

Following trade measures introduced in April 2025, dealers transferred substantial quantities of gold to the U.S. as New York futures prices traded above physical prices in London, according to the supplied material.

Central banks have also reconsidered the location of some gold reserves. Last month, the Dutch central bank transferred more than 78 tonnes of gold from New York to London, citing “increasing geopolitical unrest” and concerns about potential government action.

Hong Kong and Singapore are expanding gold storage facilities, while France and India have transferred gold back to their domestic markets, according to the supplied material.

Venezuela is also working to transfer approximately $4 billion of disputed reserves from the Bank of England to New York.

ASOS (LSE:ASC) shares fell on Tuesday after customers received a notification through the online fashion retailer’s app containing a claim that hackers had accessed company data.

The shares dropped as much as 13.2% before reducing losses to trade around 9% lower.

ASOS had not commented on the notification at the time covered by the supplied material. It therefore remains unconfirmed whether the company’s systems were breached or whether any customer data was accessed or compromised.

Notification Claims Access to Snowflake Instance

The message, which was addressed to ASOS’s data protection officer and IT employees, stated: “We have fully compromised the Snowflake instance. Engage with us, or we will leak it.”

The claim has not been independently verified in the supplied material.

The notification included a link to a Telegram channel identified as the Xuanye group gateway. Cybersecurity company Sophos said it had not previously encountered the group and that it did not appear on the Telegram channels or forums monitored by the company.

Snowflake is a cloud platform used for storing and analysing data. According to the supplied material, it hosts Simon AI, which combines behavioural, transactional and demographic customer information into individual profiles.

Customers Report ASOS Website Issues

Nearly 500 customers reported problems with the ASOS website shortly before 10 a.m., according to Downdetector.

The website and app appeared to operate normally until 9:41 a.m., and the supplied material does not establish whether the reported technical problems were connected to the notification or the alleged security incident.

The ASOS website and app subsequently continued to appear operational, with no indication of the alleged incident beyond the notification.

No confirmation that customer information was accessed, obtained or disclosed is provided in the supplied material.

Crude oil prices moved lower on Tuesday after shipping data showed Gulf exports recovering during September, while G7 countries committed to releasing crude and diesel from emergency stockpiles.

At 04:12 ET, Brent crude futures declined 0.2% to $100.17 a barrel. U.S. West Texas Intermediate futures were down 0.8% at $88.67 a barrel.

The market was assessing signs of higher crude flows from the Middle East despite continuing risks to regional shipping routes. The planned release of G7 emergency reserves also introduced the prospect of additional supply.

Gulf Oil Shipments Exceed Pre-War Levels for 14 Days

Gulf oil exports exceeded levels recorded before the Iran war for 14 days in September, according to Kpler shipping figures cited by Reuters.

The seven-day moving average for crude exports from the region stood at 18.3 million barrels per day on 30 September.

The figures indicated that crude shipments continued despite risks affecting tankers and other commercial vessels. According to the supplied material, Iran largely closed the Strait of Hormuz following the start of the war, affecting a waterway that previously carried approximately one-fifth of global oil and liquefied natural gas flows.

The conflict has subsequently affected other parts of the region, including Yemen and the Bab el-Mandeb Strait.

Saudi Pipeline Incident Highlights Continuing Supply Risks

Reports on Monday said Saudi Arabia’s East-West Pipeline had again been targeted but that operations were not disrupted.

ING analysts described the incident as a “reminder that flows remain at risk.”

The Wall Street Journal separately reported, citing Kpler figures, that crude exporters had been able to increase shipments using alternative routes and logistical adjustments.

Refined-product shipments, including gasoline and diesel, remained more limited, however, partly because of damage to regional refineries, according to the report. The supplied material said reduced availability had contributed to higher global prices for these fuels.

Emergency Reserve Release Adds Potential Supply

G7 countries have pledged to release 100 million barrels of crude and diesel from emergency reserves.

The group has also agreed not to impose energy export restrictions, according to the supplied material, following pressure from U.S. President Donald Trump.

The planned stockpile release would provide additional barrels to the market, although the eventual effect on oil and refined-product prices will depend on the timing and composition of the releases as well as broader supply and demand conditions.

Energy prices are also being monitored by central banks because of their potential contribution to inflation. According to the supplied material, policymakers are considering the trajectory of fuel costs as they assess interest-rate policy for the remainder of the year.

Gold prices rose on Tuesday as lower crude prices reduced some concerns about energy-driven inflation and investors assessed the potential implications for U.S. monetary policy.

At 04:52 ET, spot gold gained 0.3% to $4,151.89 an ounce, while gold futures increased 0.5% to $4,179.15 an ounce.

Brent crude futures were trading at $99.50 a barrel after indications that Gulf oil exports had recovered during parts of September. G7 countries have also pledged to use emergency energy reserves in response to potential supply disruptions.

Lower oil prices could reduce some inflationary pressure, although the implications for Federal Reserve policy will depend on broader inflation, employment and economic data.

Gulf Oil Shipments Exceed Pre-War Levels on 14 Days

Gulf crude exports exceeded levels recorded before the Iran war on 14 days during September, according to Kpler shipping data cited by Reuters.

The seven-day moving average for regional crude exports reached 18.3 million barrels per day on 30 September.

The figures showed continued oil flows from the region despite risks affecting tankers and other commercial vessels. According to the supplied material, Iran largely closed the Strait of Hormuz after the outbreak of the war, affecting a route that previously handled approximately one-fifth of global oil and liquefied natural gas flows.

The conflict has also affected other regional shipping routes, including the Bab el-Mandeb Strait near Yemen.

The recovery in oil exports, together with the G7 pledge regarding emergency reserves, coincided with the decline in Brent crude prices.

Fed Expectations Shift Following Employment Data

Recent U.S. employment figures came in below expectations, adding another factor for investors assessing the Federal Reserve’s interest-rate outlook.

According to the supplied material, current expectations indicate that the Fed will leave rates unchanged in October before increasing borrowing costs in December. This represents a market expectation rather than a confirmed policy decision.

Investors are also awaiting minutes from the Federal Reserve’s September meeting, when policymakers raised interest rates for the first time in three years.

Changes in interest-rate expectations can affect demand for gold because the metal does not generate interest income. U.S. Treasury yields declined after renewed selling in the bond market on Monday, while the U.S. dollar index also moved slightly lower.

ANZ Cites Decline in October Rate-Hike Expectations

ANZ analysts said gold had recovered from last week’s decline as investors reassessed global fiscal pressures and expectations for monetary policy.

The analysts also cited weaker U.S. employment data as a factor behind lower expectations for an October rate increase.

According to ANZ, markets were pricing an approximately 20% probability of an October rate increase, compared with around 70% one week earlier.

The figures reflect market expectations cited by ANZ and do not represent a confirmed decision by the Federal Reserve.

European equities moved higher on Tuesday morning as French government bond yields stabilised following recent volatility in sovereign debt markets.

The Stoxx Europe 600 gained 0.5%, while Germany’s DAX rose 0.4% and France’s CAC 40 advanced 0.2%. The CAC 40 had fallen as much as 1.1% during Monday’s session.

Spain’s IBEX 35 gained 0.7% as investors also assessed the announcement of a snap election.

The moves followed volatility in French government debt that widened the yield spread between French and German bonds and coincided with declines in the euro. French sovereign yields paused their recent increase after the release of the government’s draft 2027 budget, according to the supplied material.

Sovereign Bond Yields Remain in Focus

European markets entered the fourth quarter following increases in government borrowing costs across several major economies.

According to the supplied material, yields on 10-year US Treasuries, French government bonds and UK gilts recently reached multi-decade highs.

Markets have also been assessing developments in the Middle East and their potential implications for energy prices and inflation.

Higher energy costs could influence expectations for monetary policy if they contribute to inflationary pressures. Investors have consequently continued to monitor interest-rate expectations alongside developments in sovereign bond markets.

Oil Prices Stabilise After Decline

Crude oil futures stabilised after falling nearly 2% overnight, according to the supplied material.

Maritime shipping data indicated a gradual recovery in Middle Eastern export volumes, while Saudi Arabia had resumed operations through its East-West Pipeline and loadings from Yanbu on the Red Sea.

G7 countries also pledged to coordinate potential releases from strategic reserves and measures to increase supply flows.

The impact of these developments on future oil supply and prices remains dependent on regional conditions and any further disruption to production or transportation.

Eurozone Retail Sales and Earnings Season Ahead

Investors are awaiting August eurozone retail sales data later in the session for further information on consumer spending.

Attention is also turning towards the third-quarter corporate earnings season, which is due to begin next week.

The reporting period will provide further information on company revenues, margins and costs at a time when businesses are operating with higher borrowing costs and continued input and wage pressures.

European and British wholesale natural gas prices rose on Tuesday as market participants assessed continued risks to tanker traffic in the Middle East alongside an increase in liquefied natural gas shipments through the Strait of Hormuz.

The benchmark Dutch front-month natural gas contract gained 3% to €75.74 per megawatt-hour, reversing losses from the previous session.

In Britain, the equivalent wholesale gas contract increased by 3 pence to 189.00 pence per therm.

LNG Shipments Through Strait of Hormuz Increase

The increase in European gas prices followed a quieter start to the week, when market participants considered data indicating higher regional supply flows.

According to maritime tracking data cited in the supplied material, volumes of liquefied natural gas cargoes leaving the Strait of Hormuz increased in September to their highest monthly level since February.

The increase coincided with the partial resumption of regional pipeline networks and loading terminals.

At the same time, drone and missile attacks targeting commercial tankers and energy infrastructure across the Persian Gulf and Red Sea have continued. The supplied material said shipping insurance costs remain elevated and transit routes have become less predictable.

Potential disruptions to maritime traffic remain relevant to European gas markets because LNG cargoes transported by sea supply European regasification terminals.

EU Gas Storage Reaches 72%

European Union underground natural gas storage facilities are currently 72% full, according to data from Gas Infrastructure Europe cited in the supplied material.

That compares with a storage level of 66% at the same point last month.

The increase provides additional stored supply ahead of the winter heating period. However, according to the supplied material, current inventories remain below historical benchmarks.

Future European gas prices could be affected by a range of factors, including temperatures, supply flows and developments affecting maritime LNG transportation.