Iron ore hysteria mounts

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Back in early November, I wrote that “at this stage of the iron ore cycle, it pays to sit back and admire the insanity”.

The madness is now here, with iron ore splashed across front pages everywhere:

Iron ore climbed for a third day on expectations that Beijing would bolster economic stimulus, with the People’s Bank of China supporting the housing market by offering low-cost financing to some of the country’s largest lenders.

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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.