drop in io demand is good for umc, page-10

I'd prefer high prices but the bright side of the carnage is it will wipe out many capital intensive, low grade projects eg magnetite and constrict longer term supply...which we will feed.

The Bluescope bloke on the tele yesterday said we'd see say, 10-20% fall in IO next year but stronger demand in the long term. I'd be delighted with "just" that kind of fall given the Aussie dollar would insulate the impact...I'd be surprised if it was that small though.