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According to today's Australian, investment banks have finally caught up with the IO price and raised their average forecasts to $US48 from $US35.  This could be the catalyst for MGX to go higher once the analyst update their models and stock recommendations.

Investment banks rethink iron prices

The recent rally in iron ore prices on the back of stronger demand in China and supply pull-backs by Rio Tinto (RIO) and BHP Billiton (BHP) has forced the commodities desks at the big investment banks to rethink their price forecasts for the steelmaking raw material.
The doom and gloom scenarios that had prices retracing to as low as $US35 a tonne have been busily rewritten in the past couple of weeks, with the average forecast upgraded to $US48 a tonne for calendar 2016 and 2017.
The investment banks had no choice given that Friday’s price of $US56 a tonne on The Steel Index means that the calendar year to date average is $US52 a tonne, down from the year high of $US69 a tonne on April 21 but up strongly from the year low of $US39.60 a tonne in January.
With half the year almost gone, the doomsday predictions of $US35 a tonne were becoming increasingly dumb.
It is a point recently touched on by the ever controversial Lourenco Goncalves, chief executive of the US/Pilbara iron ore producer Cliffs Natural Resources.
Speaking to investors on the release of the group’s March quarter results on April 28 when $US35 a tonne forecasts for the year by some big-name investment banks were still floating around, Goncalves let fly.
“A lot of the negativity regarding prices is generated by the commodities desks of the banks. We are getting to a point ... (where) they will just have to have a third quarter of negative prices in order for their average price for the year to be correct,’’ Goncalves said.
He joked that for the investment bank’s price forecasts to be met, the big three of the global seaborne market — Rio, BHP and Brazil’s Vale — would have to not only give iron ore away for free, they would have to pay steelmakers to take the stuff.
As it is, the market itself has dragged the consensus figures higher, albeit with current price of $US56 a tonne still be substantially higher than the average expectation for this year and next of $US48 a tonne.