Mmamokgethi Molopyane, Mining and Labour Analyst at Creative Voodoo Consulting looks at what is happening with commodities? Iron ore is soaring, but is it an anomaly? Steel is lukewarm.
Could we be seeing platinum rising again?
Perhaps there is light and the end of the tunnel at the bottom of the cycle.
It is a very interesting time. When you look at it, steel production has slowed down, but iron ore, about 21 hours ago iron ore was nearing $60 per ton, and that is a significant move, It is one of the best indicators that Chinese demand has finally broken that three-year losing streak.— Mmamokgethi Molopyane, Mining and Labour Analyst. Creative Voodoo Consulting
But it is not just the industrial commodities that seem to be turning around. Gold and platinum are rallying too.
It really speaks to the broader picture of the end to the super cycle that we had anticipated to come to an end....there is still a little bit of appetite for these commodities.— Mmamokgethi Molopyane, Mining and Labour Analyst. Creative Voodoo Consulting
Iron ore may be expected to reach $61 by the end of the year.— Mmamokgethi Molopyane, Mining and Labour Analyst. Creative Voodoo Consulting