FMG 1.48% $26.05 fortescue ltd

You need to think objectively and understand the cause and...

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    You need to think objectively and understand the cause and effect not just from your perspective. I don't give a shit about the politics and focus on common sense and facts.

    Regardless of who is right or wrong (it's a waste of time) there is no way China will provide tens of billions of dollars each year of iron ore money to this government (declaring war on China this week) in acquiring nuclear submarines and cruise missiles to kill Chinese people. It's a laughable proposition.

    My prediction is even if China will dust off uneconomic domestic mines and other measures to permanently to displace 300MTA of DSO purchases from us, they will. That pretty much means IO price will stablilize at $60 - $70 (max) indefinitely until Simandou comes on line which if anything China will now make a super effort to speed up construction. Long term iron ore price after that will probably sit at around $50 and never exceed $60 again for decades to come.



 
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