I have believed for a long time that the price of iron ore would fall to around $80.00 based on a large number of cheaper african mines starting production during 2013-2014. Coal is a little different and i have been watching the correlation it has with natural gas. When the price of one rises the demand for the other increases. I have also noticed that their is a lot of consolidation of chinese coal companies with the smaller producers being told to increase production or merge with a larger producer by a set date. Very interesting times in the resource space.
CGH Price at posting:
38.0¢ Sentiment: None Disclosure: Not Held