Metals Traders Post Record Profits for Second Straight Year

Metals traders are reporting billions of dollars in record profits for a second consecutive year. Several top trading houses achieved new profit highs. Trafigura Group, a major metals trader, made about $2 billion in metals trading profit for its financial year ending in September.

Glencore also saw some of its highest-ever profits. However, a $480 million provision related to iron ore trader Radiant World affected its overall results. The strong earnings coincided with London Metal Exchange Week, where traders reported career-best earnings and received job offers.

Opportunities for metals traders expanded due to ongoing uncertainty over potential U.S. tariffs on refined copper. Copper, gold, and silver prices rose to record highs. The market for semi-processed copper concentrate, a key commodity for physical traders, remained exceptionally tight.

Mercuria Energy Group expects annual operating profits to match or exceed last year’s level, above $300 million. The company invested over $4 billion in metals deals globally. IXM, the metals trading arm of CMOC Group Ltd., also expects a record year in operating revenue.

Vitol Group, building its metals trading business, projects profits above $100 million this year. This marks an improvement from last year but places it behind competitors like Mercuria. Vitol is expanding its metals team, hiring Billy Henty for iron ore trading and holding discussions with former IXM CEO Kenny Ives.