The rally in a broad sweep of commodity prices has not only benefitted the big end of town, where the likes of BHP Billiton and Rio Tinto have gone a long way in justifying their strong share price recoveries by posting big profit gains for the December half and 2016 calendar year respectively.
John Nitschke, the well-credentialed chief executive of the lightly capitalised Venturex Resources (ASX:VXR), has been out and about telling the market that the group has the right metals from the right project at the right time.
Newcrest chief executive Sandeep Biswas has just taken to following Donald Trump on Twitter. The reason why is simple enough – Newcrest is Australia’s biggest gold producer and Trump’s penchant for off-the-wall daily tweets is fuelling fear-buying of the yellow metal, pushing it to three months highs.
Unlike iron ore, the bulls are out in force when it comes to copper.
But predictions that iron ore prices will fall sharply in response to rising supply have been so wrong for so long that it has got to be wondered what confidence should be given to the predictions of copper price strength, particularly as we’re essentially talking about the same bunch of price-picking pundits.