- Iron ore prices are at "significant risk" for further declines over the next 3-4 months, which likely will pressure steel prices globally as well as the positive sentiment that has lifted stocks such as U.S. Steel (NYSE:X) and Cliffs Natural Resources (NYSE:CLF), warns Axiom Capital's Gordon Johnson.
- Iron ore prices could be driven to "scary" lows, Johnson says, by "structural oversupply, and destocking that appears to have taken hold amidst record inventory levels; and Chinese Wealth Management Product investors now betting that iron ore prices are headed lower in the overnight market."
- Top producers Vale (NYSE:VALE), BHP Billiton (NYSE:BHP) and Rio Tinto (NYSE:RIO) all finished lower in today's trade as iron ore prices fell 5% to near six-month lows.