I know this is not going to be popular, but there may be rainclouds forming over the parade grounds. The iron ore market remains weak, with long-suffering Chinese traders unwilling to risk any more purchases amid fears that prices will plummet further following a record decline last week.
I lost a lot on CCC from 7.5 and bailed at 4.3 waiting for a re-entry point. I agree that 18-ish my be the bottom but if iron-ore keeps slipping, coal will be affected too.
Just an oppinion
Cheers
"Plummet is an understatement - no one can see the bottom and they all just want out," says a commodities broker based in Hong Kong.
"Some people are trying to pick up bargains but if next week the price drops another $US10, it might not seem such a bargain after all," he says.
Iron ore prices fell by the highest weekly margin ever last week, with demand from top customer China slumping as its steel mills slashed output.
