SP Angel’s mining analyst John Meyer caught up with Proactive’s Stocktube to discuss the outlook for iron ore prices.
After surging last week to multi-year highs, prices slid nearly 9 percent overnight. In November alone they rose close to 24 percent.
Meyer said: ”The swing is caused by a combination of a very substantial rise in prices over the last few months, particularly in the last few weeks and the Chinese authorities stepping in to curb activity in the futures markets for steel and iron-ore”.
”Physically it’s more of a China story but the news of Donald Trump coming in and the realisation that Trump is going to major on construction and wants to rebuild the infrastructure of America … I think that has helped the market to go a little bit higher”.
Story by ProactiveInvestors