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Hot stock: Noble Group shares fall 15% on global commodity woes
[SINGAPORE] Shares in Singapore-listed commodity trader Noble Group dropped as much as 15 per cent on Tuesday (Sept 29) after a nearly 30 per cent slump in mining and trading company Glencore sparked global worries about the sector's outlook.
Noble's shares were the most actively traded in Singapore and fell to their lowest since late 2008. The shares have been under pressure since mid-February after the company's accounting practices were called into question and commodity prices fell.
Glencore closed at a record low in London on Monday over concerns it is not doing enough to cut its debt to withstand a prolonged fall in global metals prices.
Glencore's Hong Kong-listed shares were indicated to start 27 per cent lower on Tuesday, after its London-listed stock plunged on debt worries a day earlier.
Its London-listed shares tumbled 30 per cent on Monday following the publication of a note by analysts at investment bank Investec which raised doubts about Glencore's valuation if spot metal prices do not improve. The note pointed to high debt levels and a need for deeper restructuring.