Mensajepor scblason » Mié Mar 22, 2017 9:42 am
Iron ore sinks into bear market; global miners' shares battered
Mar. 22, 2017 8:12 AM ET|By: Carl Surran, SA News Editor
Iron ore prices are in retreat amid growing doubts about the strength of demand in China and record port stockpiles.
In China, futures on the Dalian Commodity Exchange sank into a bear market as steel in Shanghai posted the longest run of declines this year; ore with 62% content in Qingdao fell to $84.99/dry ton, trimming YTD gains at 7.8% after benchmark peaked at $94.86 on Feb. 21.
"Iron ore prices remain very elevated vs. fundamentals, and it’s only a matter of time before they normalize to below $60,” Macquarie analyst Ian Roper tells Bloomberg. “We’ve had a negative view on prices for a while but they’ve held up longer than we expected.”
Top global miners all posted steep losses yesterday in U.S. trading: VALE -8.2%, RIO -5.2%, BHP -3.8%.