Shortest bear market rally in history for iron miners?

Thursday 16 October 2014

Sadly for Australia’s iron ore complex the bear market rally that seized every trader still breathing has continued to reverse spectacularly this morning. RIO and BHP are both down between 2 and 3% and FMG is down 5%. Here is the major’s relative performance chart:

It’s hard to see on the chart but the idiocy spreads have begun to close again, barely registering the brief but wonderfully sunny rally:

Juniors are still wearing concrete shows:

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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.