Daily FNArena News - Commodities

Despite talk of diminishing supply and Japanese reactor restarts, uranium continued to back track in June, falling below US$40/lb for the first time in more than seven years.

A new Prime Minister opens up the debate on the MRRT and carbon tax, while steel prices diverge and oil demand slows in emerging markets.

Brokers are moving swiftly to downgrade their gold price forecasts and slash share price targets for Australian goldmining stocks.

Iron ore is expected to firm a little then soften, rising coal supply is pressuring prices, while the falling AUD is helping domestic miners across the board, although there is little good news for gold.

Soft term weakness in iron ore may lead to opportunities later in the year, while the lower AUD is helping Aussie miners and maybe the de-rating cycle has ended.

The spot price slid a little last week and remained below US$40/lb as stubborn sellers are growing increasingly resistant to bargain hunting buyers.

Goldman Sachs sees iron ore pushing higher over the 2H, while Macquarie sees little upside for aluminium and UBS is predicting some supply side consolidation.

RBC Capital Markets and others expect a quick restart of Japan’s nuclear fleet which could signal the beginning of a new age for uranium.

Jonathan Barratt of Barratt’s Bulletin does not expect crude oil prices to hold these higher, geopolitically inspired levels.

A review of the global outlook for global mining capex, prospect for domestic iron ore play, the US scrap market and a post mining boom outlook.