This article just came out today, and I see it as perhaps a mixed blessing, if you will. To me, the collective dream prediction felt much more significant, with bigger implications. Of course, if iron ore goes down, there’s a reasonable chance that ALL metals are also headed downward. Nonetheless, this article does show, I think, that we are on the right path here with our linguistic interpretations.
Reuters article follows…
COLUMN-Everybody but the curve thinks iron ore is going down: Clyde Russell
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(The opinions expressed here are those of the author, a columnist for Reuters.)
By Clyde Russell
(Reuters) – It’s hard to find any bullish predictions for iron ore prices, with the consensus being that it will drop to below $100 a tonne. Except this isn’t reflected in the financial markets.
The latest bearish signal for iron ore is the decision by an Indian court to allow the mining of 20 million tonnes per annum in the state of Goa, most of which will end up on the export markets.
While this isn’t enough ore to cause prices to slump, it adds to the overall growth in supply, which is widely expected to overwhelm growth in demand, especially as top buyer China’s economy loses some momentum.