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Here are five things you need to know this morning
Gold craze continues: Denver-based Coeur Mining is buying Toronto-based New Gold for about US$7 billion in an all-stock deal. New Gold owns and operates the New Afton gold-silver-copper mine in British Columbia and the Rainy River gold-silver mine in Ontario. The addition of New Gold’s operations creates a fully North American senior mining company that will produce 900,000 ounces of gold and 20 million ounces of silver next year. The transaction comes amid a record-breaking rally in gold prices this year with the metal trading at more than US$4,000 per ounce.
Kimberly-Clark buys Tylenol-maker Kenvue: Kimberly-Clark is buying struggling Tylenol-maker Kenvue in a deal worth roughly US$40 billion. Kimberley-Clark says the combination would allow it to surpass Unilever to become the second-biggest seller of health and wellness products after Procter & Gamble. The deal for Kenvue could be complicated by the U.S. administration’s attacks on Tylenol, its biggest product. U.S. President Donald Trump said in September that pregnant women shouldn’t take the painkiller, claiming it potentially causes autism.
OPEC+ pauses output hikes: OPEC+ will pause output increases during the first quarter — after making another modest hike next month — as the group balances its push for market share against signs of an emerging surplus. Key members led by Saudi Arabia agreed during a video conference on Sunday to revive 137,000 barrels a day next month, matching increases scheduled for October and November, then take a January-to-March hiatus. The first quarter is normally a period of weaker demand, and delegates said the decision to pause from January reflects an expectation for a seasonal slowdown.
Microsoft US$10B data centre deal: Shares of Australian data centre owner and operator Iren traded sharply higher in the pre-market. Microsoft is signing a deal worth about US$10 billion with the company to purchase AI cloud capacity. The five-year agreement will provide Microsoft access to Nvidia accelerator systems in Texas. Once the deal is implemented, Iren’s CEO says it’s expected to generate about US$2 billion in revenue per year.
Buffett’s cash pile growing: Warren Buffett’s cash pile has hit a record high. The Oracle of Omaha’s firm, Berkshire Hathaway, reported its cash position rose to US$381.7 billion in the third quarter. Operating earnings surged 34 per cent to US$13.5 billion, as the firm’s insurance underwriting profit more than tripled in a period marked by unusually low disaster activity. The 95-year-old Buffett plans to step down as CEO at year-end, with Canadian Greg Abel set to take over.
