Commodities-related stocks opened mostly lower in Sydney this morning to tracking the rally in energy and metal prices. Santos Ltd, for example, gained almost 3%, while BHP Billiton advanced around 2%. Some believe the commodities have bottomed out, while others continue to warn on the so-called self-defeating rally.

Peabody Energy Corp jumped almost 30% in New York Wednesday after significant correction on Monday. The stock has so far gained 195% from its bottom. Goldman Sachs insisted the rally in commodities a false start given weak fundamentals, but even lower prices of coal might be better for Indonesian coal producers.

Rally in metals seemed to end Tuesday with significant correction of stocks worldwide. Freeport McMoRan fell 12%, while Vale crashed 14% Tuesday. This was followed with almost 13% fall of Glencore in Hong Kong and 2% of Rio Tinto in Sydney Wednesday. In London, however, Glencore and Anglo American regained grounds Wednesday.

KPB Nusantara, the joint marketing office of state plantations, sold most of crude palm oil (CPO) packages at Rp7346 per Kg (net) or around US$560 per ton Tuesday (March 8). In Rotterdam, meanwhile, the commodity was traded at US$665/ton (CIF), the highest level since early July 2015. That means palm oil has gained more than 30% from their respective lows in Jakarta and Rotterdam.

Coal mining contractor Darma Henwa (DEWA), controlled by Bumi Resources Group (Bakrie), posted net profit of US$476,155 last year, tripled from 2014, but not enough to cut significantly the Company’s accumulated deficit of US$96 million. Still, the Company’s development is interesting to watch.

Rally of commodities-related stocks continued in Europe and US Monday as Brent crude oil gained 5.1% and returned to above US$40 per barrel. Dr Copper inched up 0.15% in CMX, while others consolidated to pause the upswing. Reference price of Indonesian thermal coal for March 2016, interestingly, grows for the first time since March 2015.

Commodities-related stocks continued their rally in the region Monday (March 7) as crude oil advances to higher grounds. Trading volume was also heavier in mining and energy stocks as more speculate on possible further rally of commodities. For how long?

Bisnis Indonesia newspaper reported this morning that Chinese investor plans to build US$100 million nickel smelter in Minahasa Utara, North Sulawesi province. Investment Coordinating Board (BKPM) has reportedly approved the investment, extending the list of Chinese investors in the nickel processing industry.