| Author |
 Topic  |
|
|
pencilvanian
1000+ Penny Miser Member
USA
2209 Posts |
 Posted - 06/25/2008 : 18:10:02
|
Why the commodities boom just won’t slow down
You must be logged in to see this link.
excerpt-
Anyone who thinks China’s insatiable hunger for metals is going to subside any time soon need think again. On Monday it was announced that Chinese steelmakers has agreed a new contract with Rio Tinto for the price of iron ore which saw a 96.5% rise on last year.
Like coal, the price of iron ore is not set in any futures market, so governments and lazy journalists cannot make any wild claims that speculators are somehow to blame for this one. Rather, an annual contract is agreed between the major producers (BHP and Rio in Australia and Vale in Brazil) and the major steelmakers (China) and that tends to become the guide price for the year.
Normally, the cycle is that Brazilian miner Vale agrees a price in the spring with the Chinese, which becomes the benchmark for the Aussie miners BHP and Rio. Vale negotiated a 65%-71% increase earlier in the year, but that wasn’t enough for Rio. They argued that they should be paid a higher price than the Brazilians because, with Australia’s proximity to China, Chinese shipping costs are lower.
|
|
|
Nickelless
Administrator
USA
5580 Posts |
|
|
NDFARMER
1000+ Penny Miser Member
USA
1197 Posts |
Posted - 06/28/2008 : 11:54:04
|
quote:
Originally posted by Nickelless
So even though the U.S. economy is screwed, at least our metals will still have demand elsewhere. Great, the neighborhood thugs will be stealing the wiring from my house AND shipping the stuff to China...
It is already happening in my area. Don't know if they are shipping it to China but they are stealing it out of houses and new construction sites. |
COPPER - the "poormans" precious metal!!!
SELLING - $100.00 face copper shipped to you for $189.00 machine rolled or bagged - PM me if your interested. |
 |
|
|
kavajava
Penny Collector Member
USA
490 Posts |
Posted - 07/04/2008 : 13:04:20
|
quote:
Originally posted by Nickelless
Great, the neighborhood thugs will be stealing the wiring from my house AND shipping the stuff to China...
You could always give them some lead to ship...after they stop bleeding of course. |
|
|
| |
Topic |
|
Why commodities boom won’t slow down
Forum Locked
