More than happy for FMG to continue high grade at around $130 in the short term. These things are syclic in any case. Demand fluctuates in due course. China Steel Mills have been dumping cheap steel O/S apparently, due to the temporary slow down in domestic demand.
China State has been actively trying to reduce the growth percentage and curb inflation. People go all gaga when they actually achieve this, go figure.
What they also apparently want to achieve is another 130 million city apartments Country wide by 2020 and the associated infrastructure to meet those needs. This is their estimate of housing requirements by that time (google it). This is not new news, we already knew that.
What is of interest is the burn rate Steel Mills are currently going through their Reserves. Although there might be a slowdown, but that does not mean a cease of trade. There are still a shite load of projects going on in China. It would not be a surprise to me to see a resurgence in late August when Steel Contractors can take advantage of the lower price structure which will in turn....you get the idea I'm sure.
Also on the upside FMG is a favoured producer/supplier of high grade and as far as I know, still selling all they produce. Shorting aside, I tend to think people get to caught up in the day to day minutia and lose sight of the general picture.
More than happy for FMG to continue high grade at around $130 in...
Add FMG (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
$18.27 |
Change
-0.290(1.56%) |
Mkt cap ! $56.25B | |||
| Open | High | Low | Value | Volume |
| $18.70 | $18.72 | $18.21 | $313.4M | 17.09M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 2 | 45418 | $18.27 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $18.30 | 1200 | 1 |
View Market Depth
| Last trade - 16.10pm 30/08/2024 (20 minute delay) ? |
| FMG (ASX) Chart |