Iron ore, corona virus and next economic phase, page-32

Interesting observation that the OP can't admit that a lower AUD is actually a great thing as it increases the competitiveness of our exporters and makes assets in Australia more attractive for foreign investors. Sure Australia imports a lot, so imported products may rise in price but this has not really resulted in any wage inflation (and doubtful that it will now) so it will compress the living standards and wages in the non-productive parts of the economy, again, forces that will make all Australian businesses more competitive by world standards. Thats not to say that the current policy and tax settings in Australia don't need a radical reworking from top to bottom, if there is one silver lining from all this, is that our politicians may actually find their ability to do tax and welfare reform because at the moment we have a horse and cart system of government and taxation in an internet age.

Secondly we are seeing a common theme of people who continue to cling to the delusion of believing any numbers or statements coming out of mainland China. Whether its metal stockpile numbers, unemployment, growth or COVID-19 fatalities, its a clear as day that the only numbers we see out of China are serving a political agenda, and are not a measurement of reality.

As mentioned by others - iron ore and steel demand is all about urbanisation and modernisation of nations, China and many other parts of the world will go through the same process of construction that builds the infrastructure that is the change from a developing to a developed nation. Copper is more geared towards electrification but is also a measurement of higher living standards and industrialisation. You can't make railways, buildings and infrastructure out of sticks and leaves, you need steel, concrete, other metals and fuel to power this construction....

I hold BHP not because they are the smartest, most entrepreneurial or most efficient miners in the world, but because no matter how incompetent and wasteful they are, they can still make money with their Tier 1 assets in relatively safe jurisdictions despite management, not because of it...