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Iron ore prices for February 8, 2019:
Spot to the moon. Paper too. Chinese steel trade resumes today.
Expect price fireworks over the next few months. Then just as spectacular a crash as the Vale dust clears. The bulk commodity rocket has all but wiped out Chinese steel mill margins and the moment clarity is restored around Vale supply, the mills will violently destock raw materials as demand falters to repair their margins.
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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.
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