Glencore's profits from energy trading soar as Iran war escalates
Glencore made 66 times as much money from energy trading in 2026's first half than they did the year before. They are now joining other major commodity traders who have benefited from the turbulence created by the Iran War.
Glencore reported $2.66 billion of adjusted first-half earnings before interest and tax (EBIT) in trading on Wednesday. This is up from only $40 million one year ago.
Donald Trump, the president of the United States, said that ExxonMobil & Chevron were making "too many money" from high gasoline prices. This is a threat to his Republican Party's ability to maintain control in November's midterm elections.
Glencore, the trading desk of European oil giants BP,?Shell TotalEnergies, and rival trading house Trafigura, has made?billions this year.
Trafigura reported a net profit of $4.1 billion for the six-month period ending March.
The Iran War effectively stopped tanker traffic out of the Gulf, causing prices to reach multi-year or all-time highs.
Gary Nagle, Glencore's CEO, said that the Oil and Gas department contributed most to the company's profits. It benefited from major disruptions in the LNG, oil, and shipping markets.
The company's first-half earnings put it "on track" to rebound after three consecutive years of lower energy marketing revenues.
Glencore's results on Wednesday showed that its trading volumes increased by 24% to 5.2 million barrels of crude and fuels per day, compared with the 2025 average.
Glencore stated that oil markets are more sensitive to disruptions in the second half of the year due to significant inventory reductions.
Glencore shares rose 3.4% by 1130 GMT. (Reporting and editing by Jason Neely; Robert Harvey)
(source: Reuters)
