Most reports I've been reading have been predicting 20-30% increase next year and then rollover after that. So still at levels will people are making great profits.
Iron Ore supply is very slow to ramp up, then throw in a few cyclones along the way and I can't see a surplus eventuating next year.
However, when the market softens, what would you rather be selling? High grade marra mamba or lower grade CID? I can see FMG having to sell their serenity/solomon ore at a pretty hefty discount to move large volumes it.
UMC Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
