Possibly the best thing that could have happened to FMG was the iron ore price falling to USD85 per tonne, some 12 months ago. That’s the point at which FMG had its “titanic” moment. The company realised that if it didn’t take evasive action very quickly, the ship could go…
Fortescue has gone through a remarkable transformation over the past twelve months. This time last year FMG was reeling under the pressure of a crash in iron ore prices. Although they had a reasonable cash margin, which was allowing them to meet their debt obligations, the situation was finely balanced.…
There are numerous variations to the age old “investment clock”. Citigroup’s version below is the most relevant to our market that I can find. There was a time when I entered the market many moons ago as a starry eyed analyst, that you could “almost” set your watch to…
Greetings Last month’s note aired my frustration about momentum and herd mentality dictating market terms, rather than cold hard facts. Hence, being able to advise, or predict, the direction of resource equities is at best difficult; at worst a mug’s game. This week I’m going to take a “devil’s advocate”…
Vexing or frustrating, it doesn’t really matter, the outcome is the same. I’m sure you all mirror my sentiments as we watch the so called soft economy stocks drive this market to 5 year highs while the resource sector, the very sector that drives our economy continues to languish. The…