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| Glencore profits hit by oil and metal price slowdown | Glencore profits hit by oil and metal price slowdown |
| (34 minutes later) | |
| Commodities giant Glencore has reported a first half loss of $676m (£431m) after being hit by falling oil and metal prices. | Commodities giant Glencore has reported a first half loss of $676m (£431m) after being hit by falling oil and metal prices. |
| The mining and trading firm had one-off charges including a $792m cost after it pared back oil operations in Chad. | The mining and trading firm had one-off charges including a $792m cost after it pared back oil operations in Chad. |
| Glencore said investment spending next year was expected to be lower than this year. | Glencore said investment spending next year was expected to be lower than this year. |
| Chief executive Ivan Glasenberg said the firm was "well positioned" to take advantage of any rise in prices. | Chief executive Ivan Glasenberg said the firm was "well positioned" to take advantage of any rise in prices. |
| "We remain by far the most diversified commodity producer and marketer and are well positioned to benefit from any improvement in pricing when it finally and inevitably materialises," Mr Glasenberg said. | "We remain by far the most diversified commodity producer and marketer and are well positioned to benefit from any improvement in pricing when it finally and inevitably materialises," Mr Glasenberg said. |
| The firm's one-off charges of around $1.6bn, included a $377m of largely foreign exchange related income tax expense. | The firm's one-off charges of around $1.6bn, included a $377m of largely foreign exchange related income tax expense. |
| Glencore reported adjusted first half earnings of $6.46bn, a 29% fall from the same period last year. | Glencore reported adjusted first half earnings of $6.46bn, a 29% fall from the same period last year. |
| Falling prices | |
| Glencore's share price fell to a record low of 168.80p this week, less than a third of its debut price of 530p in 2011. | |
| The firm's share price has fallen around 40% so far this year, compared with a 26% fall in the FTSE 350 mining index. | |
| The firm makes about a quarter of its earnings from commodities trading, which had previously allowed it to withstand the steep fall in oil and metal prices slightly better than other large mining companies. | |
| Oil prices are down because of a supply glut, and both Brent and US crude have lost more than half their value compared with a year ago. | |
| The price of copper, Glencore's biggest earner, is at six-year lows after an economic slowdown in China. The country is one of the world's biggest consumers of metals and other raw materials. | |
| Coal prices, another major commodity for Glencore, have also been weak and show no sign of reversing as a supply glut. |