iron ore spot price to go to us$200/ton, page-5

Spot price is on the move UP again. The contract price for the next quarter will be UP another 32% to US$158/ton.
TTY will be so undervalued next quarter that they'll make more profit in one quarter than the entire market capitization of TTY.

Iron Ore Price May Jump 32% in July Quarter, Japan Metal Says

By Masumi Suga

May 12 (Bloomberg) -- Contract prices of iron ore produced in Australia may rise 32 percent in the July quarter from the prior three months, Japan Metal Daily said, raising costs for steelmakers.

Iron ore may cost $158 a metric ton, according to a calculation method proposed by suppliers BHP Billiton Ltd. and Rio Tinto Group, the newspaper said, without saying where it obtained the information. Thats up from the provisional price of $120 a ton for the April-to-June quarter, the daily said.

The amount is derived from the three-month average of the iron ore spot price from March to May on the assumption that the market price stays at the current level until the end of the month. At $158 a ton, iron ore would cost 2.6 times more than the fiscal year ended March, the paper said.