Commodities

Delusion is the Australian media’s specialty.

The Brent oil price managed a modest bounce last night to $47.95 on not much more than improved wider sentiment.

Here are the iron ore charts for September 29, 2015: Spot tanked.

Poor old Stevie J and his AFR advice yesterday – that it is too late to sell miners – lasted about 12 hours.

From Citi: $50/t short-term target; larger shake-out expected in 1H16 – Chinese iron ore inventories are once again rising on the back of improving Australian exports, which we expect to pressure prices lower to around $50/t over the next two months.

From Reuters here’s the future for BHP and RIO: Brazil’s Vale SA said on Monday it plans to cut its dividend for the year by $500 million in order to help shore up the miner’s balance sheet in the face of weaker commodity prices, especially iron ore.

Brace.

Here are the iron or charts for September 28, 2015: Trouble.

Brent oil was hit 2.5% to $47.41 last night as commodity carnage weighed.

From Steve Johnson, chief investment officer of Forager Funds Management, via the AFR: Sure, you can sell your Rio Tinto shares because the China dream is over.

Friday night saw all major global miners (except RIO and BHP) pounded again.

Brent settled virtually unchanged Friday night at $48.35, along with confused wider markets.

Here are the iron ore charts for September 25, 2015: Don’t be fooled by Qingdao.

BHP and RIO are hanging on today, ignoring the gloom that is engulfing London.

From the AFR: “Oil prices go up and oil prices go down but we’re clearly in a dip right now.

Trouble a-brewin for Ivan the Terrible with Glencore monstered another 10% last night in London: The stock is now down 80% from its peak.

Brent oil rallied 1% to $48.30 last night.

Here are the iron ore charts for September 24, 2015: Stable.

Big iron is on the nose again today with BHP down 1% and on the verge of a new low for the trend.

From the ASX today: Evy Hambro was a big fan of the miners returning capital, that is, viewed them as a yield play.