(Bloomberg) — The commodity trading industry reaped its second-best year ever in terms of profits, banking over $100 billion and building up a mountain of cash to spend on assets and breaking into new markets.
While earnings fell from 2022’s blockbuster records, profits across the sector still easily eclipsed prior highlights such as in 2008-2009, according to analysis from consultancy Oliver Wyman LLC.
“We saw pretty good margins overall and that is practically because things continue to be a little bit tight on the supply-demand side,” consultant Adam Perkins said in an interview.
Results for many players across the industry are not yet public, but profits at the biggest independent trading houses are expected to show an average drop of over 30% from 2022’s record levels, the report shows.
For the rest of this article: https://www.bnnbloomberg.ca/global-commodity-trading-profits-topped-100-billion-for-second-best-year-ever-1.2048086#:~:text=(Bloomberg)%20%2D%2D%20The%20commodity%20trading,and%20breaking%20into%20new%20markets.