When talking about borrowing at a "high"interest rate in the US...

When talking about borrowing at a "high"interest rate in the US remember that rates there are afraction of those here. High.for the US. Probably chaeaper than here. If the strong Molycorp was the borrowerwe this would look better. When the $US comes back to earth, it is in cloud cuckoo land atm, the $A value of the debt would fall. However the $A could go lower yet. The fall in the Oz has been a big part of ther problem in terms of the size of the debt.
Meanwhile the eastern states steel market is busy. While market prices are down so are raw material costs. The iron ore price has bounced a bit lately and is now over $60 US a ton. There are a lot of cranes busy in Sydney where I am.
China is still dumping steel but at a lower level than before. In my limited experience the quality is not very good. I think Arrium's is. Id like to see them called One Steel again. Arrium is gobbledegook.
Sharebuyers are avoiding risk, typical at this stage of the cycle, meaning that a lot of assets are underpriced as a result. Buffett is wading in.