Glencore PLC (LSE:GLEN) shares fell slightly despite the mining and commodities trading giant's confidence in hitting the top end of profit guidance thanks to solid production, strong commodity demand and elevated interest rates.
Copper production was down 2%, zinc flat and coal just below flat in the first quarter, while nickel increased 14% after a miners' strike last year, cobalt fell 37% and ferrochrome 26%.
Lower cobalt and ferrochrome volumes primarily reflect the previously announced market-related production adjustments in the Democratic Republic of Congo and the decision to idle the Rustenburg ferrochrome smelter pending an improvement in prices.
Chief executive Gary Nagle said: "Our full-year production guidance remains unchanged from that presented at the beginning of the year."
"Based on Marketing's performance over the first quarter, we currently expect full-year Marketing adjusted EBIT in the $3.0-$3.5 billion range, being around the top end of our long-term $2.2-3.2 billion per annum guidance range, reflecting cyclically elevated interest rates," he said.
The company has been a major beneficiary of volatility in commodity markets since Russia’s invasion of Ukraine.