Iron ore price, page-25688

IOP surgng to 150.
Headed to that 160-200 I called for weeks ago.

The Vale production shortfalls are the tip of the iceberg as the media has not been paying attention to the massive virus infestations in Brasil & on their mine sites. This has started to flow through to their production numbers & BHP RIO FMG cannot at this time substitute the production drop meaning IOP will rocket higher as total production drops and global demand increases.

Its basic economics 100, lower supply higher demand = higher prices due supply deficits

And I think the Vale situation is going to be way way worse than they are guiding or revealing.
Vale is in big trouble, The miners infestations are way worse,
They are hiding it like they did the tailings dams & the politics is suppressing so far the workers from striking or exposing themselves to infections and its a powderkeg ready to explode there. I predict Vale will suffer more catastrophes & are underestimating the infestations.

China has invested way more in Brasil and has now been given a flunky for it just like they will in unstable Africa

Australia is more reliable quality closer cheaper and a more stable supply from a stable country in the same timezone..

China is voting with its feet and the politics is irrelevant.
No communist or capitalist whether chinese or not will spend $1T on IO deposits costing way more to find and build taking 10 years from now to see production flow than using the existing quality stable supplies from the land of Oz.

The FMG SP is telling us FMG is way undervalued compared to BHP RIO on all metrics especially dividend yields & PER on FCF.

Forget the politics, the IOP is telling us, Vale supply is in serious trouble & China must have more aussie iron ore to fill the deficit.