Shares of mining giants surged worldwide Tuesday as more companies planned production cut this year. Freeport McMoRan, for example, jumped 6.6% in New York despite US$12.2 billion of net loss booked last year, while Anglo American soared 11.8% earlier in London.

Crude palm oil (CPO) is expected to open higher in both futures and physical market today to tracking crude oil, which jumped 4% closer to US$30 per barrel in New York yesterday, and soybean oil futures, which advanced on the Chicago Board of Trade. CPO has lost more than 2% in the past few trading days, dragging the benchmark April 2016 contracts closer to RM2400 per ton.

Coal producers worldwide might continue to cut their output amidst falling price of crude oil, which dropped to below US$27 per barrel Wednesday (Jan 20). Yancoal Australia Limited, subsidiary of Chinese company Yanzhou Coal Mining Co Ltd, produced only 4.4 million tons of coal in the fourth quarter ended Dec 31, 2015, dropped 14% from the corresponding period of 2014.

BHP Billiton and Rio Tinto declined by 3% and 1.4% respectively in Sydney this morning as investors are still not convinced about trajectory of metals and energy market. Production report from BHP and Rio Tinto suggested continued war between mining giants in iron ore market, making if difficult to recover.

Shares of plantation companies listed in Southeast Asia markets were mostly in red zone this morning on broad market sentiment against commodities, especially because WTI crude oil declined further to below US$28 per barrel. Unlike crude oil, however, crude palm oil (CPO) is still way above the lowest quoted price last August.

Coal stocks recovered slightly in the region this morning as stays below US$30 per barrel. China Shenhua and China Coal Energy gained in Hong Kong, while Whitehaven Coal fell 5% in Sydney. Rio Tinto and BHP Billiton regained grounds in Sydney, but with limited gains.

Indonesia booked oil and gas trade deficit of US$6.06 billion last year, dropped 55% from 2014 because of falling prices of crude oil and natural gas. Interestingly, however, that import volume of natural gas grew 16.35% to 4.18 million tons. Import volume of crude oil also jumped 27.22% to 18.73 million tons last year.