Iron ore price, page-51066

Fortescue hits record high on $82b valuation

Investors bid shares in iron ore giant Fortescue Metals to a record high of $26.78 this morning as iron ore prices continue to defy expectations at more than $US135 a tonne.Shares in fellow Pilbara iron ore giant Rio Tinto hit a two-year high of $130.84 at lunchtime to mark their highest level since July 2021 when they hit a record high.

The surge in share prices comes on the same day the government flagged another budget surplus, partly fuelled by strong commodity prices.

The iron ore price rally means investors are betting on Fortescue delivering a big 2024 financial year profit and dividends, with its market value now more than $82 billion.Brokers have also been wrong-footed by the iron ore price strength, with Goldman Sachs among a slew of research shops that rate the miner a sell.