Spot iron ore is now over $130 and looks to be hitting $140 by the end of July with China opening up lending again. When we hit $140, the miners and CAT will be taking off and the massive short covering will follow. Earnings tell you of the past, iron ore prices will show you the future.
People like Chanos started shorting CAT long ago as iron ore prices were falling. Now that iron ore is rising, he hits the media circuit to suck people into shorting CAT now so he can get out of his positions. He did the same with HP. He wins and the majority of the shorts lose.