"To meet their Australian costs, they would need to convert the US$ to AUD,
Therefore if AUD decreases against US$, they would be receiving more AUD based on a lower US$.
Have I lost the plot or am I missing something here"
Think of it this way. Most likely cause of collapse of $A is large drop in IO price. For illustration purposes assume IO is US$100/tonne, not ~US$135/tonne. In that case there will be far fewer US$ left to convert to AUD and bring home..... as debt servicing stays same in US$.
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Last
$17.81 |
Change
0.560(3.25%) |
Mkt cap ! $54.83B | |||
| Open | High | Low | Value | Volume |
| $17.43 | $17.84 | $17.34 | $193.2M | 10.91M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 2 | 3058 | $17.80 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $17.81 | 3545 | 4 |
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| Last trade - 16.14pm 22/07/2025 (20 minute delay) ? |
| FMG (ASX) Chart |