I always find when almost everyone is on one side of the equation that the opposite comes true.
IO prices holding. This is all smoke and no substance. Stock declines below $20 and I'm going in for another large slice of this pizza.
They can't make me afraid with their dire predictions of a complete collapse of IO pricing. They have missed badly for this quarter, so they just push it out three months to October.
Let's see. We've got easy comparisons ahead. CLF made $.61 in the September 2012 quarter, and after two of three months of rising IO prices already in the books for this quarter we are certainly on track for a sizable beat. Again. The longer IO pricing follows the miner's forecasts and not the sell-side analyst forecasts the more traction the true story behind all this will get.
It's a dirty game but thanks to our politicians need for money to say in power it's still legal. Ultimately we are going to win this and the shorts are going to cover. Maybe sooner than you think...