On this week's S&P Global Commodity Insights' Market Movers Asia with Ernest Puey, Associate Editor, Asia and Middle East oil markets:
*Spotlight is on COP27 and the stance of China and India
*Tight supply will lend support to Asian thermal coal prices
*China's lithium chemical prices hit fresh highs
*Focus is on Malaysia's palm oil data
*China's crude imports eyed after last week's decision to keep 2023 import quota volumes unchanged.
Curbing emissions and limiting global warming to less than two degrees Celsius. That will be the challenge posed to world leaders as they gather in Egypt's Sharm el-Sheikh for the COP27 Summit this week.
Several Asian countries have tightened their climate pledges in the run-up to the conference. However, concerns over energy security and high fuel prices will overshadow stronger commitments.
China and India will look towards developed countries to provide the climate finance that has been promised but not delivered.
Tight supply will likely lend support to Asian thermal coal prices this week, despite weak demand. Asian traders will be closely watching Chinese domestic coal prices for signs of demand ahead of winter restocking.
Steel markets will be watching the pace of trading in China this week as the October trade data is expected to reveal slowing exports.
Meanwhile, Chinese lithium deals could soon reach the crucial 600,000 yuan per megaton, as China's lithium chemical prices hit fresh highs on firm fundamentals.
Agriculture markets will hone in on Malaysia's October palm oil data and the USDA's monthly oilseeds forecast this week
Crude palm oil futures surged to their highest since July on the back of gains in soybean oil futures and volatility over Russia's stand on the grain corridor deal.
And in oil, markets will be closely watching the pace of China's crude imports. Last week, China kept the 2023 import quota volumes unchanged.
I'm Ernest Puey. Thanks for kicking off your Monday with S&P Global Commodity Insights.­­