Investors dump iron ore stocks as big miners enter a new era
The major producers are posting lower profits and slashing dividends. The pattern is expected to accelerate as a new wave of iron ore supply hits prices.
Investors are preparing for a new era of slumping profits and hefty dividend cuts by the world’s largest miners as iron ore markets brace for a flood of supply to trigger a collapse in prices.
Fortescue and Rio Tinto became the latest mining giants on Thursday to reveal the full effect from China’s property crisis, which caused iron ore prices to plunge nearly 30 per cent last year, forcing boards to slash shareholder payouts.
