It's not just about Santos or the oil price..

Perfect storm.....

Dividends will be the next thing to go. Companies will not risk MnA at this point in the cycle. Will need to justify affordability and future risk/reward in my opinion.

If you have the stomach for it I would put your STO in the back of your mind and revisit in 3 months.


Bloomberg US morning report....

More worries of slowdown in China
Another month, another weak economic report out of China. This time, it was Chinese trade data — imports fell for a 13th straight month — while a larger-than-expected decline in foreign-exchange reserves underscored the global demand slump that’s helped torpedo energy and metals prices. The Bloomberg World Mining Index plunged to its lowest level since 2008, the yuan closed at a four-year low of 6.4172 per dollar, crude lingered below $38 a barrel, and iron ore sunk to a record low.



Anglo stock tanks after dividend cut
The China data sent mining stocks tumbling and news that Anglo American PLC will suspend its dividend in the second half of 2015 and next year only made things worse. The global mining company also pledged deeper spending cuts to help withstand the collapse in commodities. "We think it’s the right thing to do to make sure the company remains in good shape,” said CEO Mark Cutifani. The last time Anglo cut its dividend, during the depths of the global financial crisis in 2009, the shares plunged 17 percent in one day. Today, the stock plummeted to a new record low.