iron ore-key indexes fall, page-90

  1. 798 Posts.
    lightbulb Created with Sketch. 126
    I think that is the most useless piece of investment "advice" that I've read for quite a while.

    Iron ore is in a bubble cos, well, cos it went really high! So its a bubble!

    No facts, nothing. Just advertising to get you to pay for even more useless advice...

    Reality is it's supply and demand. A lot of supply - a lot - costs >$120 to dig up and move to where it's needed. So when demand falls this supply gets turned off, balancing out supply-demand once again. Of course, there are overshoots in both directions, but so what...

    Iron ore will continue to be exported from Australia in large quantities for at least a decade, at prices ranging from about $100 to $140 per tonne. So pick a company that makes profits at those levels (which, incidentally, is most of the current Australian producers).

 
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.