Please take look at SNH, which also provide a hefty of dividend. When it was dropping from over $25 down to low $20, nobody knows what was going on. Finally, when it gets low $20's, the company announced a public offering of new shares. I think we got a similar situation here. Right now, nobody knows what is going on. They probably will announce a public offering. But do they have have to bring the price down before the offering? My guess is that some institutions would not accept the shares if it is too high. Besides, the company people have brothers, sisters, etc, etc, ... just my guess.
It's probably just profit taking and momentum traders that are creating the volatility. The stock has had a good run up, now it's time to take profits. Winter is a slow time for their operations, the lakes freeze which prevents the ships from taking loads out. But come early spring the iron ore that has been piling up gets shipped. The next dividend announcement will usually send the price upward, true it comes back down ex dividend.
I think the price will stabilize down here in the mid thirties and then rebound either on news of a strong economy near term or early spring at the latest.
It's a good buying opportunity for long term investors. Seems like a solid company to me; the long term outlook for iron is bullish. I don't listen to the bashers unless they have real information, nearly every message board has characters that are quick to call a stock a POS without doing any homework.