Tag Archives: Chinese economy

How Big Iron’s mistake cost you billions

Michael Sainsbury As the iron ore price stopped plunging this week — it closed last night at US$47.60, up a measly 30 cents and only a couple of bucks off its 10-year low, and the simple rules of supply and demand dictate that it will slump again — a fresh roadblock has appeared in the way of Australian producers. The

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Is it time for Twiggy to play his Chinese joker?

  Michael Sainsbury The price of iron ore is still falling, with Fortescue Metals Group facing total wipeout. But there may be a way to save the company — look to the East … Down and down and down it goes (taking Australia’s terms of trade with it); where it stops, nobody knows. As the benchmark iron

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Twiggy’s ‘cartel’ won’t turn Fortescue around — not for all the steel in China

Michael Sainsbury A combination of inaccurate economic forecasting, a demand-side slump, and erratic behaviour from its chairman, Andrew “Twiggy” Forrest, has left iron ore miner Fortescue Metals Group in dire straits. Andrew Forrest and his company Fortescue Metals Group are staring into the abyss. The corporate undertakers have their tape measures out; they are beginning

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Evolve ore die — the grim future of Australia’s steel industry

Michael Sainsbury The latest trade figures from China are in — and it’s not good used for our beleaguered Treasurer. As he prepares to release the Mid-Year Economic and Fiscal Outlook, Australian Treasurer Joe Hockey — May budget still not passed — could not have had worse news yesterday. He might, in fact, have felt queasy. China’s latest trade figures laid

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Chinese economy sneezes, Australian miners catch a bad cold

Michael Sainsbury China’s economy is slowing, and its housing market is in the toilet. While Treasury forecasts suggest everything is fine, underneath the surface the cracks are beginning to show. China’s economic growth in the third quarter was 7.3%  compared with the same time last year — its worst since 2009 — amid a continued downturn in the property

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