Iron Ore

Weekly musings from your editor. Banks are out, resources in. But that doesn’t necessarily mean all of them, does it?

ANZ Bank suggests profit taking may hit commodity markets in coming sessions, with lower oil prices to push gold and base metal prices lower in sympathy.

Resource companies again lead the way on the Australian market in market capitalisation terms, a trend CommSec suggests could see increased interest from global fund managers.

Linc Energy has reached a major milestone, and has also become very popular in the US.

BlueScope steel reiterated earnings guidance for FY08 but brokers remain divided about the company’s outlook for FY09, with arguments for both upside and downside earnings risk.

Sims Group delivered a solid third quarter result and expects higher 4Q earnings but some brokers argue the stock has run too hard and any good news is already priced in.

Steel industry consultant MEPS has revised up its steel price forecasts but mid-year may prove to be the peak if the global economy slows further.

Industry consultant MEPS suggests stainless steel prices are likely to continue rising, driven largely by higher input costs.

Centennial Coal delivered a slightly better than expected quarterly report and further gains are expected, but holding back broker ratings is much of this appears already priced in.

Rio’s share price is being fluffed up by BHP rumours despite a poor production report.