Rio Tinto's iron ore exports slip

Good morning, it's Jackie here in Sydney. Here's what we're watching today.Today's must-reads:• Rio Tinto's iron ore exports decline• Lesson

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Good morning, it's Jackie here in Sydney. Here's what we're watching today. Today's must-reads: • Rio Tinto's iron ore exports decline • Lessons for California's wildfires • Israel, Hamas ceasefire deal

What's happening now

Rio Tinto, the world's top iron ore exporter, reported shipments of the steelmaking material slipped 1% in the fourth quarter from the year before, as demand from China remained lackluster amid an economic slowdown and ongoing property crisis. That also comes as iron ore shipments from Port Hedland in Western Australia reached a record in 2024. Dairy companies from New Zealand, Australia, and the US are accusing Canada of dumping low-priced milk products on world markets and have asked their governments to intervene. Vietnam has become China's No. 1 lobster supplier following a years-long ban on Australian imports. Now that those curbs have been lifted, Australia may struggle to reclaim market share amid Beijing's push to diversify food sources away from Western nations. Australia's experience in handling bushfires could help inform California's wildfire strategies, Bloomberg Opinion's David Fickling writes. In a world where fires are becoming more frequent and devastating, there are lessons to be learned from how other countries handle the same combustible mix of parched vegetation and dry, windy weather.

What happened overnight

Australian shares are set to track a rally on Wall Street after a surprise slowdown in US inflation reinforced bets that the Fed is on course to keep cutting rates this year. A surge in Treasuries pushed 10-year yields down by 15 basis points. Oil jumped as the shutdown of a key US fuel pipeline added to supply concerns. Israel and Hamas agreed to a ceasefire deal that will release dozens of hostages and bring a temporary halt to the war in the Gaza Strip that has killed tens of thousands of people in the last 15 months and sparked broader turmoil across the Middle East. A protest calling for the immediate release of the hostages held in the Gaza Strip by Hamas, in Tel Aviv on Jan. 13. Photographer: Ohad Zwigenberg/AP Big bank earnings exceeded estimates, with four of the largest US lenders — JPMorgan, Wells Fargo, Citi and Goldman — reporting their second-most profitable year ever in 2024. JPMorgan became the first bank in US history to top $50 billion in annual profit. Bank of America and Morgan Stanley report Thursday. The US unveiled a fresh round of regulations aimed at keeping advanced chips produced by TSMC and other companies from making their way to China, one last attempt by the Biden administration to fill holes in the tech blockade of its geopolitical rival.

What to watch

All times Sydney • Australia Jan. consumer inflation expectation, 11 a.m. • Australia Dec. unemployment, 11:30 a.m.

One more thing...

Alphabet CEO Sundar Pichai is joining Silicon Valley executives bidding for a London-based cricket team, according to people familiar with the matter. The consortium, led by Palo Alto Networks CEO Nikesh Arora and Indian media tycoon Satyan Gajwani, is bidding more than £80 million for either the Oval Invincibles or London Spirit. Sundar Pichai plays cricket with villagers in Gokulpur village, some 140 kms west of Kolkata on January 5, 2017. Photographer: CHANDAN KHANNA/AFP

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