Tuesday, March 4, 2008

Iron-Ore Boom

"Investors looking to strike while the iron-ore market is hot have a host of new companies to consider. But be forewarned: Developing a profitable new iron-ore mine is a tough task, and many of the companies trying to do so probably won't survive. ... Many of the deposits are relatively low-grade. ... In some cases, companies are pursuing projects that never would have been seriously considered when iron-ore prices were lower. ... Major steel producers in China and elsewhere are eager to encourage new competititors to offset the growing market clout of BHP, Rio Tinto and Vale", WSJ, 20 February 2008.

Dollar prices of all commodities are rising and will keep rising as long as Helicopter Ben runs his printing press.

5 comments:

Buzz Saw said...

Me dear departed grandpappy was an iron ore man.

Joseph Moroco said...

Helicopter Ben is okay. I'll get scared when you start calling him, Weimar Ben.

Independent Accountant said...

JM:
HB has a long way to go for me to refer to him as Weimar Ben. The only central banker today who merits that title is in Zimbabwe which must have at least 35,000% inflation. Please don't refer to Weimar Ben again. You might inspire HB to new heights.

Joseph Moroco said...

Mums the word.

Independent Accountant said...

JM:
Your country appreciates the great sacrifice you just made for it. As they said in WWII, "loose lips sink ships".