Carbon Trading Opens Loophole in Paris Climate Accord
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    HOUSE MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $1,692,868 (-0.39%)       Melbourne $1,031,012 (+0.35%)       Brisbane $1,187,143 (-0.08%)       Adelaide $1,042,004 (+0.19%)       Perth $1,086,840 (-0.04%)       Hobart $828,229 (-1.36%)       Darwin $856,149 (+1.51%)       Canberra $981,730 (-0.02%)       National Capitals $1,147,240 (-0.10%)                UNIT MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $790,735 (-0.72%)       Melbourne $546,895 (+0.16%)       Brisbane $756,862 (-1.86%)       Adelaide $574,177 (-0.80%)       Perth $645,945 (+1.02%)       Hobart $576,133 (+0.95%)       Darwin $460,298 (-1.46%)       Canberra $478,780 (-1.66%)       National Capitals $624,692 (-0.60%)                HOUSES FOR SALE AND WEEKLY CHANGE     Sydney 13,951 (+82)       Melbourne 16,013 (-12)       Brisbane 9,742 (+52)       Adelaide 3,334 (+40)       Perth 8,233 (+43)       Hobart 714 (+5)       Darwin 167 (+5)       Canberra 1,169 (-3)       National Capitals 53,323 (+212)                UNITS FOR SALE AND WEEKLY CHANGE     Sydney 9,406 (+7)       Melbourne 6,736 (-92)       Brisbane 2,149 (+36)       Adelaide 579 (+3)       Perth 1,582 (+5)       Hobart 160 (+6)       Darwin 229 (+6)       Canberra 1,238 (0)       National Capitals 22,079 (-29)                HOUSE MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $875 ($0)       Melbourne $620 ($0)       Brisbane $710 (+$3)       Adelaide $660 (-$10)       Perth $750 ($0)       Hobart $625 (+$5)       Darwin $830 (-$20)       Canberra $735 (+$5)       National Capitals $736 (-$3)                UNIT MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $840 (-$10)       Melbourne $570 (-$60)       Brisbane $680 (+$5)       Adelaide $550 ($0)       Perth $700 ($0)       Hobart $550 (+$20)       Darwin $650 ($0)       Canberra $590 ($0)       National Capitals $655 (-$6)                HOUSES FOR RENT AND WEEKLY CHANGE     Sydney 6,447 (+89)       Melbourne 7,394 (+72)       Brisbane 3,545 (+116)       Adelaide 1,310 (+18)       Perth 2,220 (-5)       Hobart 223 (+2)       Darwin 49 (-2)       Canberra 472 (-3)       National Capitals 21,660 (+287)                UNITS FOR RENT AND WEEKLY CHANGE     Sydney 10,198 (+261)       Melbourne 8,408 (+2,280)       Brisbane 1,972 (+16)       Adelaide 410 (+17)       Perth 764 (+15)       Hobart 80 (+3)       Darwin 107 (+19)       Canberra 769 (+2)       National Capitals 22,708 (+2,613)                HOUSE ANNUAL GROSS YIELDS AND TREND       Sydney 2.69% (↑)        Melbourne 3.13% (↓)     Brisbane 3.11% (↑)        Adelaide 3.29% (↓)     Perth 3.59% (↑)      Hobart 3.92% (↑)        Darwin 5.04% (↓)     Canberra 3.89% (↑)        National Capitals 3.34% (↓)            UNIT ANNUAL GROSS YIELDS AND TREND         Sydney 5.52% (↓)       Melbourne 5.42% (↓)     Brisbane 4.67% (↑)      Adelaide 4.98% (↑)        Perth 5.64% (↓)     Hobart 4.96% (↑)      Darwin 7.34% (↑)      Canberra 6.41% (↑)        National Capitals 5.45% (↓)            HOUSE RENTAL VACANCY RATES AND TREND       Sydney 1.4% (↑)      Melbourne 1.5% (↑)      Brisbane 1.2% (↑)      Adelaide 1.2% (↑)      Perth 1.0% (↑)        Hobart 0.5% (↓)       Darwin 0.7% (↓)     Canberra 1.6% (↑)      National Capitals $1.1% (↑)             UNIT RENTAL VACANCY RATES AND TREND       Sydney 1.4% (↑)      Melbourne 2.4% (↑)      Brisbane 1.5% (↑)      Adelaide 0.8% (↑)      Perth 0.9% (↑)      Hobart 1.2% (↑)        Darwin 1.4% (↓)     Canberra 2.7% (↑)      National Capitals $1.5% (↑)             AVERAGE DAYS TO SELL HOUSES AND TREND       Sydney 36.0 (↑)        Melbourne 34.3 (↓)     Brisbane 37.8 (↑)      Adelaide 29.9 (↑)      Perth 43.1 (↑)        Hobart 30.0 (↓)       Darwin 33.1 (↓)     Canberra 34.2 (↑)        National Capitals 34.8 (↓)            AVERAGE DAYS TO SELL UNITS AND TREND       Sydney 34.1 (↑)      Melbourne 32.6 (↑)      Brisbane 36.7 (↑)        Adelaide 29.0 (↓)     Perth 42.2 (↑)      Hobart 36.0 (↑)      Darwin 39.1 (↑)        Canberra 39.3 (↓)     National Capitals 36.1 (↑)            
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Carbon Trading Opens Loophole in Paris Climate Accord

Credits issued under the landmark Paris accord come with limited oversight as international trading ramps up

By MATTHEW DALTON
Tue, Dec 5, 2023 8:52amGrey Clock 4 min

When the South American nation of Guyana wanted to sell millions of carbon-offset credits to preserve its rainforests, government officials knew they had a problem: The country’s lush Amazonian forests were actually in good shape.

Guyana’s rate of deforestation was already low, meaning its forests wouldn’t yield much under standard methodologies for calculating carbon credits. So its government chose a new method that allows a large adjustment for countries with healthy forests. The change raised the credits that Guyana could issue sixfold. Guyana sold 37.5 million of them last year to U.S. oil giant Hess for at least $750 million, and is now shopping the remaining two thirds to countries facing pressure to comply with the landmark Paris climate accord, officials say.

That agreement calls for governments to adopt national plans to limit greenhouse-gas emissions and allows them to pay for emission-reduction projects elsewhere in the world to offset their own pollution. Credits for each ton of emissions cut can then be traded between countries. It is as if the emission reduction happened in the country buying the credit, not the one selling it.

Guyana is among the first in a long line of developing-world countries expected to cash in on credits compliant with United Nations agreements. Some officials worry the U.N. risks giving its seal of approval to credits for forests that aren’t under threat. At the COP28 climate summit under way in Dubai, negotiators are debating how much scrutiny carbon trading should face from U.N. experts and the public to prevent the mechanism from becoming a loophole in the Paris accord.

“If we play that game—every country gets to come in and pull an arbitrary methodology out of the ether, apply it to their forest areas and say give me credits—we’re never going to get anywhere,” said Kevin Conrad, the climate envoy of Papua New Guinea.

For now, the Paris accord imposes relatively little oversight on the market. Credits are required to undergo review by a panel of experts. But at last year’s COP in Egypt, governments decided that the experts wouldn’t be allowed to review the “appropriateness” or “adequacy” of projects.

That is fuelling fears the accord opens the door for polluting countries to buy lower-quality credits from poorer nations to meet their own emissions targets, undermining the Paris accord ambition of limiting global warming to 1.5 degrees Celsius above preindustrial era temperatures. Some developing countries are pushing for the right to keep much of the information around offset projects confidential. Companies would end up buying the credits, critics say, that would support spurious greenhouse-gas reduction claims. Hess said it would apply Guyana’s credits to its goal of completely offsetting its emissions by 2050.

“There is very little oversight of the process,” said Jonathan Crook of Carbon Market Watch, a Brussels-based nonprofit. “Some countries could set a higher bar, but there’s a risk that others do not.”

Guyana is in talks to sell credits to Singapore, which is evaluating whether it will accept the adjustment for low deforestation countries, an official involved in the talks said. The U.N.’s civil aviation agency last year said it would accept Guyana’s methodology under new regulations it set to limit emissions from international flights, making Guyana’s offsets the first eligible under the rules.

Switzerland is moving to purchase the first credits under the Paris accord, for non-forest projects in Ghana, Thailand and Vanuatu. The credits will then be used by Swiss companies to comply with the country’s greenhouse-gas limits under the Paris accord.

The Swiss government is refusing to invest in forestry projects because of uncertainties around the baseline against which the lack of deforestation is measured. Switzerland also has concerns around whether protections for forests are long term—a tree cut down or destroyed in the future would release the planet-warming carbon dioxide it has absorbed over its lifetime.

Corporations over the past decade have invested billions of dollars in greenhouse-gas offset projects in the developing world. Those projects yield so-called voluntary carbon credits: The companies are under no legal obligation to buy them but do so because of public commitments they have made to offset their carbon emissions.

Academic research and media reports have cast doubt on the impact of many of the projects underlying these credits. The problems were particularly acute in projects to prevent deforestation. Because such programs typically cover relatively small areas within a larger forest, they risk pushing logging and clear-cutting for agriculture into other sections that aren’t protected by a project.

Guyana’s project is designed to address some of these problems. It is one of the first to cover an entire nation, eliminating the possibility that deforestation could be displaced within the country. Covering around 45 million acres, it is one of the world’s largest forest-protection projects, according to Trove Research.

Guyana has some of the most pristine forests on the planet. They have been mostly spared the rampant logging and clear-cutting seen in neighbouring Brazil. Guyana lacks rich soil suitable for large-scale agriculture, a major driver of deforestation, scientists say.

“These are among the poorest soils on the planet,” said Janette Bulkan, a Guyanese forestry expert at the University of British Columbia.

Critics say issuing credits for protecting such forests violates a core principle of carbon crediting: They should only be issued for emissions that would have happened without the project.

Guyanese officials say its forests are nevertheless at risk in the near future without intervention. The country’s economy is growing quickly, as is global demand for the commodities that could be extracted from its rainforests. Guyana is also reaping a windfall from oil discoveries off its coast that are now being pumped by Exxon Mobil and Hess.

“Guyana’s forests offer opportunities for a wide range of goods and services, and development opportunities for opening up areas for industry and manufacturing,” said Pradeepa Bholanath, who oversees climate policy at Guyana’s Ministry of Natural Resources.

Guyana’s credits have been calculated by Architecture for REDD+ Transactions, a program run by the U.S. nonprofit Winrock International. The program’s methodology allows countries like Guyana that have had little deforestation in the past to issue credits against a predicted future level of deforestation under a formula devised by Winrock.

Winrock and other advocates of the methodology say the money allows much-needed climate finance to flow to rain-forested countries, even if they haven’t experienced past deforestation. Guyana has already received more than $100 million in its deal with Hess. Officials say that money is reaching tribes that live in the rainforests and being used nationally for forest preservation and renewable energy projects.



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Why These Bargain Stocks Can Outshine Gold

Gold miners are emerging as a compelling way to navigate market uncertainty, with analysts pointing to strong cash flows, attractive valuations and rising profit margins. As gold prices stabilize above US$4,000 an ounce, mining stocks could offer investors both downside protection and long-term upside.

By Paul R. La Monica
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Gold is one of the market’s go-to hedges in rocky times. Don’t forget that gold miners’ stocks are too.

The stock market’s gains in 2026 belie the rocky macroeconomic picture: elevated inflation, heightened geopolitical tensions, and jitters about the artificial-intelligence trade. That backdrop, in theory, should be the time for gold to shine. Instead, the price of the yellow metal has tumbled more than 5% so far, after last year’s blistering 65% rally. In part, the U.S. dollar’s recovery has stymied gold, which benefited from the greenback’s weakness in 2025.

Even with the precious metal’s recent weakness, gold mining stocks could be the best way to profit from this year’s uncertainty.

Gold miners “are a valuable hedge against macro risks that would likely be damaging for equities,” BCA Research’s Noah Weisberger and Rishabh Shah wrote this week.

Concerns about the Federal Reserve’s next moves to tackle inflation, the increasingly crowded AI trade, and steep valuations for tech stocks are just some of the drivers that could help gold’s price get on even footing— and lead to even bigger gains for miner stocks.

These stocks’ prices tend to outpace gold’s moves, because the companies have fixed operational costs. So when gold’s price rallies, their profit margins soar, and vice versa. For instance, the VanEck Gold Miners GDX +7.39% exchange-traded fund has fallen 11% this year as the metal has slumped.

Now, gold’s price just needs to stabilize to help miners’ stocks take off, and that seems to be happening. The precious metal has recently found support above the $4,000 level, and has stuck in a narrow range since the end of June. But its price rose ever so slightly in July, ending a four-month losing streak for the metal. Technical analysis also suggests that gold is due for a comeback.

Barron’s recently wrote that the pullbacks for both gold miners and the metal itself are overdone. Senior technical analyst Doug Busch noted that the VanEck ETF is on the “verge of a breakout” and has the potential to hit $11o in early 2027, up more than 40% from its current price.

Gold miners also have more than their role as a market hedge going for them. Their fundamentals are solid, too, says Chris Mancini, portfolio co-manager of the Gabelli Gold Fund.

“Precious metals miners are generating substantial amounts of free cash flow given profit margins of over $2,000 per ounce, and are returning this cash to shareholders through buybacks and dividends,” he said in an email.

“Buying the miners is a cheap way to get exposure to the price of gold,” he added. His fund owns Newmont NEM +6.71%, a Barron’s stock pick last year, and Agnico Eagle Mines as top holdings, as well as miners Northern Star Resources, Endeavour Mining, and Kinross Gold K+8.59%.

Miners are better businesses than they used to be, the BCA team added.

“Capex is more disciplined, margins are high and rising…and they are largely independent of the AI story,” Weisberger, BCA’s head of equities, and Shah, a senior analyst, wrote.

That last part is key. AI is disrupting the software industry and many other services and information-oriented businesses, and investors have piled into AI stocks. But ChatGPT, Claude, Grok, and other large-language models aren’t going to replace the need to mine for metals.

“Equity portfolios can benefit from exposure to quality that is uncorrelated to AI risk, and gold miners fit the bill,” the BCA team said.

They recommend that investors buy the VanEck Gold Miners ETF, which owns top miners such as Agnico, Barrick Mining ABX +7.24%, and Newmont.

An important bonus for big gold miners’ stocks is that their valuations are attractive after the gold’s pullback, too. The VanEck ETF is now trading at just a little more than nine times next year’s earnings estimates. That’s a big discount to its five-year average price-to-earnings ratio of 14, according to FactSet.

What’s more, the ETF is currently valued at a more than 50% discount to the S&P 500 SPX -0.17%, which is trading for about 19 times earnings estimates for 2027. Mining stocks have typically traded at just a 25% discount to the broader market over the past five years. So there is significant upside for the group if valuations move back toward normal levels.

One factor that complicates mining stocks as a market hedge, of course, is if stocks bounce back, which has been the case so far in August.

But both the market and economic outlooks remain cloudy, and investors remain nervous about the Fed’s next moves and AI stocks. Gold miners should do just fine, even if the anxious mood on Wall Street persists.

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