Iron ore has been a clear leader from the early days of the raw materials rally. It is also the most volatile. Volatility is fed by the ongoing trade war between the world’s biggest producer of iron ore, Australia and one of the biggest users, China.
Australian mining giant BHP is in sync to replace diminishing iron ore output from it’s existing Yandi mine which is nearing the end of its life. The first ore from its $4.6 billion South Flank mine in the Pilbara, WA was mined this month.
BHP continues to write down it’s fossil fuel assets cutting up to $1.6 billion from the value of its Mt Arthur thermal coal mine in the Hunter Valley. BHP sold its U.S. shale assets to Britain’s oil major BP for $10.5 billion in 2018 selling off “non-core and we are actively pursuing options to exit these assets for value”.
Gold and copper producer Newport Goldcorp announced a $1 billion stock buyback program Monday, which could represent about 3.2% of $NEM shares outstanding. The company also updated on it’s gold production.
Global industrial equipment manufacturer Caterpillar reported worse than expected third quarter 2019 EPS before the market open Wednesday and again warned that China demand was falling. $CAT fell 2.5% but reversed to close up 1.2% on the day. Caterpillar also lowered full-year earnings guidance.
Global industrial equipment manufacturer Caterpillar reported worse than expected second quarter 2019 EPS before the market open Wednesday and again warned that China demand was falling and the trade war impacting. $CAT fell 5% on the release.
Global industrial equipment manufacturer Caterpillar reported better than expected first quarter 2019 EPS before the market open Wednesday but warned that China price cutting was hurting despite guiding higher.
Gold and copper producer Newport Mining reported better than expected fourth quarter earnings Thursday with steady gold and copper production and lower operational costs. NEM agreed to acquire Goldcorp (GG) for $10 billion in an all-stock deal last month.
Global industrial equipment manufacturer Caterpillar reported worse than expected fourth quarter 2018 EPS before the market open Monday after last quarter issuing weaker guidance due to global and trade tensions which have hit the stock price.
The South African Reserve Bank (SARB) increased its benchmark interest rate for the first time in over two years seeking to get ahead of what it sees as elevated inflation risks. The decision was split and comes depite cutting GDP and infaltion estimates.