Gold Approaches Record High

Source: CME Group 
JANUARY 2025 PLATINUM FUTURES NYMEX 
INTENT DATE:   01/29/2025          DELIVERY DATE: 01/31/2025 
 
FIRM    ORG   FIRM NAME                   ISSUED     STOPPED 
190      H    BMO CAPITAL                                  4 
365      C    MAREX CAPITAL M                              1 
435      H    SCOTIA CAPITAL                               1 
657      H    MORGAN STANLEY                               1 
661      C    JP MORGAN                                    1 
905      C    ADM                              8 
 
                            TOTAL:             8           8 
                    MONTH TO DATE:                     2,681 
 
 
Write to Linda Rice at csstat@dowjones.com 
 

Source: CME Group 
JANUARY 2025 COMEX 100 GOLD FUTURES 
INTENT DATE:   01/29/2025          DELIVERY DATE: 01/31/2025 
 
FIRM    ORG   FIRM NAME                   ISSUED     STOPPED 
323      C    HSBC                           300 
363      H    WELLS FARGO SEC                            407 
435      H    SCOTIA CAPITAL                             200 
624      H    BOFA SECURITIES                              7 
686      C    STONEX FINANCIA                  4 
732      H    RBC CAP MARKETS                300 
737      C    ADVANTAGE                        5 
905      C    ADM                              5 
 
                            TOTAL:           614         614 
                    MONTH TO DATE:                    22,538 
 
 
Write to Linda Rice at csstat@dowjones.com 
 

Silver rose to over $31 per ounce on Thursday, the highest in over six weeks, tracking the strong momentum for bullion as traders assessed the Fed’s policy outlook this year.

The US central bank held its rates unchanged, as expected, and refrained from giving major hints on its outlook to allow markets to continue pricing two rate cuts this year, favoring assets that do not pay coupons.

In turn, strong retail demand and stateside industrial optimism drove the Silver Institute to forecast that the silver market will remain in a supply deficit for the fifth straight year in 2025, despite rising output from China, Canada, and Chile, and the combination of a stronger dollar and higher Treasury yields.

On the other hand, markets continued to assess the outlook for industrial demand through Chinese solar panel producers, a major source of global industrial demand.

The broad market exchange-traded fund SPDR S&P 500 ETF Trust was up 0.2% and the actively traded Invesco QQQ Trust advanced 0.4% in Thursday's premarket activity amid mixed corporate earnings reports.

US stock futures were mixed, with S&P 500 Index futures up 0.2%, Dow Jones Industrial Average futures slipping 0.1%, and Nasdaq futures gaining 0.4% before the start of regular trading.

The advance estimate for the Q4 gross domestic product and the weekly jobless claims bulletin will be released at 8:30 am ET.

The National Association of Realtors pending home sales index for December is due at 10 am ET, followed by the weekly EIA natural-gas supplies report at 10:30 am ET.

In premarket activity, bitcoin was up by 0.8% and the cryptocurrency fund ProShares Bitcoin Strategy ETF was 0.8% higher.

Power Play:

Health Care

The Health Care Select Sector SPDR Fund advanced 0.3%. The Vanguard Health Care Index Fund was up 0.5% while the iShares US Healthcare ETF was inactive. The iShares Biotechnology ETF was flat.

Cigna Group stock was down 9.7% premarket after the company reported lower Q4 adjusted earnings that trailed analysts' estimates.

Winners and Losers:

Technology

Technology Select Sector SPDR Fund retreated 0.1%, and the iShares US Technology ETF slipped 0.1%, while the iShares Expanded Tech Sector ETF was flat. Among semiconductor ETFs, SPDR S&P Semiconductor ETF was inactive, while the iShares Semiconductor ETF rose by 1.3%.

Dynatrace shares were up 8.5% in recent Thursday premarket activity after the company reported higher fiscal Q3 non-GAAP earnings and revenue in addition to lifting its fiscal 2025 guidance.

Financial

Financial Select Sector SPDR Fund advanced 0.7%. Direxion Daily Financial Bull 3X Shares was up 2.2%, while its bearish counterpart Direxion Daily Financial Bear 3X Shares was 2% lower.

Lazard shares were up 8% pre-bell Thursday after the company reported higher Q4 adjusted net income and net revenue.

Industrial

Industrial Select Sector SPDR Fund advanced 0.6%, and the Vanguard Industrials Index Fund was up 1.3%, while the iShares US Industrials ETF (IYJ) was inactive.

Caterpillar stock was down 3.4% before the opening bell after the company reported lower Q4 adjusted earnings and revenue.

Consumer

The Consumer Staples Select Sector SPDR Fund was up 0.2%, while the Vanguard Consumer Staples Fund was inactive. The iShares US Consumer Staples ETF was inactive, and the Consumer Discretionary Select Sector SPDR Fund gained 0.8%. The VanEck Retail ETF was inactive, while the SPDR S&P Retail ETF was 0.3% higher.

PulteGroup shares were up 3.4% pre-bell after the company said its board had approved a $1.50 billion increase to its stock buyback plan.

Energy

The iShares US Energy ETF retreated 0.04%, while the Energy Select Sector SPDR Fund was up by 0.1%.

Murphy Oil stock was down 2% before Thursday's opening bell after the company reported lower Q4 adjusted earnings and revenue.

Commodities

Front-month US West Texas Intermediate crude oil declined 0.2% to $72.46 per barrel on the New York Mercantile Exchange. Natural gas gained 0.6% to reach $3.19 per 1 million British Thermal Units. United States Oil Fund lost 0.5%, while the United States Natural Gas Fund advanced 1.3%.

Gold futures for April were up 0.9% at $2,818.50 an ounce on the Comex, and silver futures rose 1.9% to $31.98 an ounce. SPDR Gold Shares were up 0.8%, while the iShares Silver Trust was 1% higher.

Sponsored by

Railroads Are Tracking Bigger Profits; How Chips Slip by Export Controls By Paul Page

Cost-cutting is picking up speed at U.S. railroads. Norfolk Southern boosted its net earnings by nearly 40% in the fourth quarter to $1.13 billion, in part because of improved operating efficiency and other savings the railroad used to cut its overall expenses by more than $370 million.

The WSJ's Owen Tucker-Smith reports the profit growth came as operating revenue slimmed down by about 2% and volumes expanded only marginally in the last three months of the year. The improvement came after rival rail operator Union Pacific's earnings expanded last quarter in part from efficiency improvements and fuel savings.

That suggests the railroads are sharply focused on costs as they look to protect operating margins amid a period of tepid freight demand.

Norfolk Southern has been under pressure from activist investors to improve operations, and struck a settlement with Ancora Holdings just last November. The improved efficiency showed up in Norfolk Southern's operating metrics. Average train speed increased by 1.8 miles per hour while average dwell time at terminals fell by 2.5 hours.

CEO Mark George says Norfolk Southern is now looking to surpass its original target of $150 million in expense reductions for 2025.

C.H. Robinson Worldwide's profit jumped last quarter as efficiency improvements offset slumping revenue in a tepid U.S. freight market. (WSJ) CONTENT FROM: PENSKE LOGISTICS Gain X-Ray Vision. Gain Ground with Penske Logistics.

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Learn More Quotable Government & Regulation

Writing export controls for highly complicated equipment in the fast-moving technology sector apparently isn't that easy. Authorities believe that DeepSeek, the Chinese startup that has shocked the artificial intelligence world with its rapid advances, was helped in part by the rocky introduction of U.S. export controls. The WSJ's Stu Woo and Raffaele Huang report that the Biden administration in 2022 placed barriers on advanced semiconductors that were being sold to Chinese companies. AI chip giant Nvidia came up with a new product for China that complied with the limitations but was still powerful enough to allow DeepSeek to push forward.

Nvidia designed a new, less-powerful chip after the rules were tightened in 2023. But industry experts say Chinese researchers could have stockpiled leading-edge Nvidia chips ahead of the tougher U.S. restrictions. DeepSeek could also be accessing Nvidia-enabled computing power from countries outside the U.S. and China.

High demand for fiber-optic materials for AI infrastructure helped Corning swing to a $310 million fourth-quarter profit. (WSJ) Number of the Day In Other News

An American Airlines regional jet carrying 64 people collided with a military helicopter on approach to Reagan Washington National Airport, plunging both aircraft into the Potomac River. (WSJ)

The Federal Reserve is pausing its moves to cut interest rate cuts. (WSJ)

Tesla's fourth-quarter revenue rose 2% to $25.7 billion , but automotive revenue fell 8% and annual deliveries contracted for the first time in more than a decade. (WSJ)

Volvo's orders for heavy-duty trucks jumped 24% in the fourth quarter, including gains in North America and Europe. (WSJ)

The U.K. government threw its support behind a third runway at London Heathrow Airport. (WSJ)

Starbucks says business continued to slide at cafes and its profit fell in the most recent quarter. (WSJ)

The Senate confirmed Sean Duffy to be secretary of transportation by a 77-22 vote. (The Hill)

Authorities confirmed that a fire on a containership in the Red Sea wasn't connected to the Houthi activity. (gCaptain)

A report says China has used $57 billion in loans and a web of financial mechanisms to gain control of critical minerals supply chains. (Mining.com)

Global air cargo traffic reached a record level last year as demand rose 11.3%, including 6.1% growth in December. (Air Cargo News)

The body setting freight classification for less-than-truckload pricing will release proposed changes to the standards today. (DC Velocity)

An investment report says Kuehne + Nagel's restructuring last year has led to weakened execution . (ShippingWatch)

Amazon is preparing to launch drone delivery in the U.K. (Chain Store Age)

BJ's Wholesale is building a fourth distribution center in Ohio. (Supermarket News)

About Us

Paul Page is editor of WSJ Logistics Report. Reach him at [paul.page@wsj.com].

Follow the WSJ Logistics Report team: @PaulPage , @bylizyoung and @pdberger . Follow the WSJ Logistics Report on X at @WSJLogistics .

This article is a text version of a Wall Street Journal newsletter published earlier today.

Arabica coffee futures extended their rally, surpassing $3.70 per pound, driven by dwindling supplies from top producer Brazil and ongoing concerns over the upcoming harvest. Further support came from the recent strength of the Brazilian real, which discouraged Brazilian coffee producers from selling their exports.

Although Brazil’s weather has improved after a severe drought last year, the country’s upcoming arabica crop is expected to be 4.4% smaller than last year, according to Brazil’s food supply agency Conab.

Meanwhile, global coffee supplies remain limited.