Tag Archives: Chinese Steel mills

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

Read More

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

Read More

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

Read More

Iron ore price in free-fall as it breaches US$85 per tonne

Michael Sainsbury The benchmark price of iron ore appears to be in free-fall as it slumped another 1.6% to close the day at US$84.30 for 62%Fe product at China’s Tianjin port as it continued its slide towards five years lows last seen in October 2009 during the global financial crisis. At these prices about 25

Read More

China’s housing bubble is bursting – and Australia should be very worried

Michael Sainsbury Crikey, crikey.com.au, 2 September, 2014 Things are grim in Kunming, capital of China’s vast southern province of Yunnan. Not so very long ago, Kunming was a pleasant provincial university city with relatively fresh mountain air. But over the past decade it has suffered the same fate as hundreds of Chinese cities: it’s been

Read More