JP Morgan has a bullish note out for iron ore that is worth a read. Despite market concerns over a repeat of the significant price correction that occurred in the third quarter of last year, we see no evidence of seasonality in iron ore. We believe Chinese port inventories are currently too low to cause the destocking event that resulted in the September 2012 crash. Furthermore, an update to our iron ore cost curve analysis incorporating higher China steel production sees marginal costs remaining above US$125/t to at least 2015. No apparent seasonality in iron ore: In this note, we have looked at... Posted On: 08/13/2013 12:15:30 PM
Post# of 8059
nice -thanks-all a bout the dance between supply and demand -with marginal costs affecting supply-
domestic chinese ore averages 15% and falling and some underground miners w only 4% ore (documentary/brazilian producers) so some articles have said china's costs-at least marginal are 120-180/ton which agmetalminer said would supply a floor to prices
the big players in their unbelievable unlimited self destructive greed will push price down over time by pushing supply -competing w each other-just the opposite of cartels-so next year is best time to get the lead out-though a low cost producer like cwrn w production costs likely below 12/ton-and w byproducts will have a negative production cost will still make a good profit-ore was only 10-14/ton til 2002
Posted by Houses and Holes in Commodities , Featured Article , Iron ore price on August 9, 2013 | 6 comments
JP Morgan has a bullish note out for iron ore that is worth a read. Despite market concerns over a repeat of the significant price correction that occurred in the third quarter of last year, we see no evidence of seasonality in iron ore. We believe Chinese port inventories are currently too low to cause the destocking event that resulted in the September 2012 crash. Furthermore, an update to our iron ore cost curve analysis incorporating higher China steel production sees marginal costs remaining above US$125/t to at least 2015. No apparent seasonality in iron ore: In this note, we have looked at...
domestic chinese ore averages 15% and falling and some underground miners w only 4% ore (documentary/brazilian producers) so some articles have said china's costs-at least marginal are 120-180/ton which agmetalminer said would supply a floor to prices
the big players in their unbelievable unlimited self destructive greed will push price down over time by pushing supply -competing w each other-just the opposite of cartels-so next year is best time to get the lead out-though a low cost producer like cwrn w production costs likely below 12/ton-and w byproducts will have a negative production cost will still make a good profit-ore was only 10-14/ton til 2002
A bullish case for iron ore
Posted by Houses and Holes in Commodities , Featured Article , Iron ore price on August 9, 2013 | 6 comments
JP Morgan has a bullish note out for iron ore that is worth a read. Despite market concerns over a repeat of the significant price correction that occurred in the third quarter of last year, we see no evidence of seasonality in iron ore. We believe Chinese port inventories are currently too low to cause the destocking event that resulted in the September 2012 crash. Furthermore, an update to our iron ore cost curve analysis incorporating higher China steel production sees marginal costs remaining above US$125/t to at least 2015. No apparent seasonality in iron ore: In this note, we have looked at... 
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