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Glencore's stabilisation period comes to an end

The recently floated commodities trader will announce its first results as a public company.

Glencore's first resuts as a public company will be announced this week, making it a vital period for the company as the stabilisation period supporting their share price is due to come to an end.

The company was the FTSE 100's newest entrant listed on London last month after its decision to go with Morgan Stanley as its "stabilisation manager". Morgan Stanley's job was to ensure that the shares traded were within a "reasonable range". This period will come to a close at the end of the week.

Glencore shares have remained within small movement, first listing at 530p, valuing the group at £38 billion. They have dropped as low as 507.98p and risen to 559.16p. Friday saw the shares close at 510.2p, but analysts such as Jeremy Batstone-Carr claimed that the end of stabilisation "could signal a period of weakness."

Glencore's interim management statement is due on Tuesday covering the first quarter of 2011 where Ivan Glasenberg is likely to be questioned after the speculation over the weekend that he is considering a £12 billion bid for their rival, the mining group, ENRC.

Economists are warning that there are signs pointing to the commodity boom coming to an end. Julian Jessop, the chief economist at Capital Economics said, "The bigger picture is that most commodity prices, excluding precious metals have been falling."