Glencore tracks London recovery in Hong Kong as miners climb

London

GLENCORE plc, the commodities group that's lost almost US$45 billion in market value this year, rallied as much as 18 per cent in Hong Kong after saying on Tuesday it can withstand current market conditions.

The gain tracked the 17 per cent jump to 80.25 pence in London on Tuesday, which recouped some of the slump on Monday that was driven by concern the company has too much debt to cope with the declines in commodity prices.

Even so, Glencore's credit-default swaps rose on Tuesday, signalling the company has a 53 per cent chance of default in five years, according to data from S&P Capital IQ's CMA.

"Our business remains operationally and financially robust - we have positive cash flow, good liquidity and absolutely no solvency issues," the company said in a statement. "Glencore has no de…