The latest Market Talks covering Commodities. Published exclusively on Dow Jones Newswires throughout the day.

0808 ET - Suncor Energy's sale of interests in Eastern Canadian offshore assets for at least C$1.2 billion makes strategic sense, even if the transaction looks largely net present value-neutral, Raymond James' Michael Barth reckons. Suncor is selling its 48% interest in Terra Nova, 40% interest in White Rose and 38.6% interest in West White Rose offshore assets to Ithaca Energy. Barth notes Suncor also is transferring about C$1.4 billion of liabilities. The assets have a relatively short current life, and an exit frees up cash for share buybacks or accelerated growth in Suncor's core portfolio, the analyst says. Raymond James retains an outperform call and C$118 target on Suncor's shares. (robb.stewart@wsj.com)

0614 ET - Singapore Exchange's September statistics were lackluster, and a repeat of this could indicate that the market cycle is turning against it, Citi Research analyst Yong Hong Tan writes in a note. SGX's securities daily average value fell below the run-rate of S$2 billion, while the derivatives daily average value for iron ore was lackluster. Equities derivatives softness was mitigated by volatility in the rupee and offshore yuan, he notes. There are increased risks facing the securities daily average value due to banks' concentration, while softer iron-ore activity could lead to weaker derivative fees, he says. Shares close 1.1% lower at S$20.75, extending Friday's 7.1% drop. Citi cuts its target price to S$17.70 from S$18.70 and retains a sell rating. (kimberley.kao@wsj.com)

0609 ET - Palm oil futures ended higher, thanks to bargain buying following last week's decline and firmer competing vegetable oils, although concerns over elevated domestic inventories continued to cap gains, says David Ng, a trader at Kuala Lumpur-based Iceberg X. Ng expects prices to find support at 4,450 ringgit a ton and face resistance at 4,600 ringgit a ton. The Bursa Malaysia Derivatives contract for December delivery ended 43 ringgit higher at 4,578 ringgit a ton. (jiahui.huang@wsj.com; @ivy_jiahuihuang)

0551 ET - European energy majors' earnings are set to more than double on the same period last year, Barclays analyst Lydia Rainforth writes. The sector should report earnings close to $35 billion with underlying free cash flow around $45 billion, she says. The benchmark refining margin is at unseen levels of around $40 a barrel, which, coupled with trading, will drive downstream earnings, she adds. Meanwhile, European natural gas prices are the key driver of upstream earnings, she says. (adam.whittaker@wsj.com)

0449 ET - Ithaca Energy's deal to buy Suncor's offshore Canada assets lifts its medium-term outlook to 140,000 to 150,000 barrels of oil equivalent a day from 120,000 barrels a day, Barclays analyst Naisheng Cui writes. The London-listed energy company expects to become the fifth​-​largest operator offshore Canada by production, which gives it a platform for future consolidation and growth opportunities across North America, he adds. Shares rise 3.1% to 284 pence.(adam.whittaker@wsj.com)

0423 ET - Malaysia's palm oil sector's outlook could improve as Malaysian palm oil inventories approach a cyclical peak and the lagged impact of El Nino begins to weigh on production, Public Investment Bank analyst Chong Hoe Leong says in a note. Inventories will likely peak around October before declining from November, providing a stronger basis for CPO prices to recover, he says. A stronger-than-expected El Nino could further tighten global palm oil supply, with production in Malaysia and Indonesia potentially falling 3%-8% under moderate to prolonged dry conditions, he reckons. Higher crude oil prices could also boost palm oil demand for biodiesel, while Indonesia's B50 biodiesel mandate is expected to provide additional structural support, he adds. Public IB maintains an overweight rating on Malaysia's plantation sector, pegging Sarawak Plantation and TA Ann as preferred picks. (yingxian.wong@wsj.com)

0417 ET - A preliminary deal between the U.S. and Iran is unlikely to materialize before the first quarter of next year, according to BMI analysts. "Extended disruptions to regional oil flows will see price pressures extend and build across the coming three to six months, compounded by ongoing supply-side constraints stemming from the Russia-Ukraine war," they say. "Prices will zigzag higher, as repeated cycles of escalation and deescalation between Washington and Tehran meet with progressively lower inventory levels and fewer fundamental brakes on future rallies." BMI raised its oil price forecast, saying it now sees Brent crude at an average of $93 a barrel this year, from $83 a barrel previously. (giulia.petroni@wsj.com)

0406 ET - Gold prices rise in early European trading after recent soft U.S. economic data sharply lowered expectations of a Federal Reserve rate hike in October, though a stronger dollar limited gains. New York futures are up 0.7% to $4,189.60 a troy ounce. Markets are now pricing in less than a 20% probability of another hike from the Fed this month, according to the CME Group's FedWatch tool, despite inflationary pressures from higher energy costs. "With limited U.S. economic data this week, market focus will likely remain on the dollar and the political and fiscal turmoil in the Eurozone," analysts at Saxo Bank say. "A break below support just above $4,100 could signal a deeper retracement, while initial resistance is seen around $4,230." (giulia.petroni@wsj.com)

0341 ET - Glencore is ramping up capital allocation to its marketing division in the wake of the Middle East conflict, Citi's Ephrem Ravi writes. The miner and trader has a 2026 earnings tailwind due to elevated and volatile commodity markets, he says. The company has upgraded its long-term EBIT guidance for the marketing division, which will likely push consensus expectations higher, he adds. The company had $32.2 billion of readily marketable inventories in the unit as of the first half of the year versus $25.4 billion last year, he says. The company could further ramp up capital allocation to the marketing business over the remainder of the year, he says. Shares rise 0.46% to 653.90 pence. (adam.whittaker@wsj.com)

2243 ET - Palm oil rises in Asian trading following Friday's gains in soybean oil on the Chicago Board of Trade. Higher crude oil prices provide further support amid ongoing Middle East uncertainty, boosting palm oil's attractiveness as a biodiesel feedstock, AmInvestment Bank says in a note. It expects crude palm oil futures to find support at 4,499 ringgit a ton and face resistance at 4,558 ringgit a ton. The Bursa Malaysia Derivatives contract for December delivery is up 6 ringgit at 4,541 ringgit a ton. (yingxian.wong@wsj.com)

2155 ET - Haze puts palm oil sustainability back under scrutiny, with recurring fires highlighting the need for stronger land and fire management, MBSB Research says in a note. Malaysia recorded 93 hotspots in September, while Indonesia recorded 14,422, with Kalimantan accounting for 76.8% of the total. While sustainability certifications provide some assurance on environmental and land-management practices, their effectiveness ultimately depends on implementation on the ground, MBSB says. Fires outside plantation boundaries could also affect the industry's reputation and raise questions over smallholder compliance, it reckons. Certification alone may not shield the sector's reputation as Indonesia's B60 biodiesel ambitions boost palm oil demand, making responsible land management increasingly important as production expands, it adds. MBSB maintains a tactical positive stance on Malaysia's plantation sector. (yingxian.wong@wsj.com)

2143 ET - Gold rises in Asian trade. A softer-than-expected U.S. personal consumption expenditures reading released end-September likely tempered Federal Reserve rate-hike bets in October, Societe Generale says in a note. "The markets priced roughly a 40% chance of an October Fed move, offering gold a tentative foothold as it entered October," SocGen says. A higher interest-rate environment typically weighs on the yellow metal. The precious metal's moves appear to be defined by a "tug of war" between structural buyers--central banks and exchange-traded-fund flows--and macro headwinds such as a strong dollar and increased interest rates, SocGen adds. Spot gold rises 0.3% to $4,155.78 a troy ounce.