I was just about to post:The price of iron ore throughout this...

I was just about to post:


The price of iron ore throughout this year has been a fertile source of speculation through the first couple of months of the year. Overnight, Morgan Stanley joined the chorus with projections of price in the second half of 2013.

The price probably peaked at about $159 a metric ton last month and will average $133 this year, Morgan Stanley analysts Joel Crane and Peter Richardson said in a report today. The consensus forecast for 2013 is $121, a figure that's "overly negative," they wrote.

Others have projected a price well below $US100.

Global seaborne supply will rise 9.1 per cent this year, topping an 8.3 per cent gain in demand, Morgan Stanley estimates.

Morgan Stanley joins analysts from Deutsche Bank to Bank of America in forecasting lower iron-ore prices. The steelmaking commodity rallied 68 percent since September as economic growth in China accelerated and port inventories in the country reached a three-year low.

The surge was caused by changes in demand, market speculation and "unreasonable" pricing methods, China's top planning body said.



Read more: http://www.theage.com.au/business/markets-live/markets-live-asx-posts-tepid-start-20130308-2fpc6.html#ixzz2Mu9fUVKe