Big iron eases as big gas tanks

Monday, 22 August 2016

Big Iron is down today with BHP, RIO and FMG -1% apiece. Dalian is off slightly from Friday night gains but still up on the day:

At this stage I’m expecting another month or so of firm prices but with the dividend announcement (which is more momentary ‘capital return’ if you ask me) FMG now has fewer surprises up its sleeve. About the only further good news it could offer is new detail on its Vale JV, so to me it looks toppy here (notwithstanding that I’ve said that before this year).

Big Gas is not having a good day. ORG is -2%, STO is -6.2%, OSH is -2.4%. WPL is bucking the trend up 2.2% perhaps on a broker upgrade:

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.