any opinions on the next few weeks, page-3

the whole pull back on the Obama thing is a bit over blown imo. While the pullback to these levels is a healthy thing, if you look at the charts from mid December, we are still sitting on some healthy gains.

The volumes are lower on the falls than the rises, which is also a good indicator of the inherent direction and strength of the trend.

The Quarterly to be released next week may provide some interesting insights into (in order of likelihood) 1. resource upgrades/drilling progress, 2. metellogical testing progress on phase 4 of the detrital testing and 3. rail access discussions with BHP amongst others. The rail would be most likely to have too much detail in the Quarterly, with just a rehash of the same stuff as has been mentioned for well over a year now. Items 1 & 2 are far more likely.

As far as the China doom and gloom is concerned, The long term trend is clear. BRM are not in production and hence the day to day direction of IO and China is not relevant to our earnings or anything. The long term 2012+ trend is the key. Why would the Chinese steel mills, etc (controlled in many cases by the govt) allow or be allowed to bid for IO like mad, only to see large increases in price, if the IO boom was ending in the next 1-2 years?? Surely, you would just pace yourself at a lower rate and gain sufficient resources in 2-3 years (ie delay the projects by pacing them at lower consumtpion (and lower prices).

If however, as BHP and Don Argus believe, the boom is multi decades, then drawing out the demand equation at say 30% slower, could add 10-15 YEARS to the duration and urbanisation of China.

What does all this say imo?, that the rate that they are still pursuing IO points to a longer boom (than a shorter one).

And irrespective of this, no matter what happens, if BRM can get product to customers, it will be dramatically higher than the current sp.

Any pullback here is a buying opp for those that dont already have too much exposure!