Bloomberg with an article as iron ore prices continue their fall again today in the wake of China's cut to its growth target:
- Global iron ore supplies are set to expand further
- World's biggest producers press on with capacity expansions
- Net supplies will increase about 60 million to 75 million metric tons in 2015, in line with a 75 million ton rise in 2014
- Morgan Stanley predicts a net rise of 63 million tons this year, with production expected to peak in September to October
- The outlook for supply will be in focus on Tuesday as the heads of Rio and BHP's iron ore units are set to speak at a conference in Perth, Australia. The gathering will also hear from Barry Fitzgerald, who's leading this year's opening of the Roy Hill mine in the Pilbara.
Paul Gait, a London-based analyst at Sanford C. Bernstein & Co:
- Mine expansions in Australia and Brazil will more than offset closures in China
- The "main reason for price declines would be the continued push of the majors into a demand environment that does not need the tons"
