Iron ore price, page-21554

FMG, BHP and Rio Tinto share prices in focus

Besides strong iron ore prices, Dow Jones further noted:

‘Higher iron-ore prices will add to pressure on profits at steelmakers globally, but are a boon for miners including BHP Group and Rio Tinto.’

This fact looks well known to investors, with Australia’s big three miners – BHP Group(BHP), Rio Tinto (RIO) and Fortescue Metals Group (FMG) – all moving higher in recent days.

At the time of writing and over the last five sessions, RIO was up 11.47%, BHP up 10.61% and FMG, unsurprisingly as the pure-play miner of the three, was up 12.77%.

On Wednesday, Macquarie Wealth Management, which has long been bullish on Australia’s iron ore miners, wrote:

‘We remain positive on stocks with iron-ore exposure due to strong cash flow yields and medium-term earnings upgrade momentum. FMG and RIO preferred in large caps (BHP’s near-term earnings risk heightened by weak coking coal and energy prices).’

The investment bank has Outperform ratings on all of Australia’s big three iron ore miners.