49.19 -1.80 (-3.53%)
Pre-Market: 4:58AM EDT
|Bid||50.42 x 900|
|Ask||0.00 x 1400|
|Day's Range||50.70 - 51.24|
|52 Week Range||38.04 - 51.87|
|Beta (3Y Monthly)||0.59|
|PE Ratio (TTM)||24.90|
|Forward Dividend & Yield||2.20 (4.33%)|
|1y Target Est||55.52|
At least three institutional investors in Australia are pushing for global miner BHP Group to consider external candidates to replace Andrew Mackenzie as new CEO, sources with direct knowledge of the matter said. The move highlights nascent investor pressure on the world's biggest miner to consider drastic changes in management to tackle challenges such as cutting costs, an eventual return to lower iron ore prices, and rebuilding its reputation after a Brazil dam disaster. "We are quite firmly of the view that it needs to be an external candidate ... We just don't see anybody internally that could make a material improvement to the status quo," one of the three institutional investor sources said.
(Bloomberg) -- Ecuador’s ambition to become a mining superpower is being tested as the South American nation’s first large-scale copper mine starts operations.The $1 billion Mirador project in Zamora-Chinchipe province started ramping up production Thursday, Ecuador’s vice-ministry of mines said. The open-pit copper, gold and silver mine, owned by a Chinese consortium, has faced delays amid opposition by environmental groups and local communities.The mine is key to Ecuador’s goal to boost mining exports to $1.89 billion by 2021, from $270 million last year, and to quadruple its share of the country’s gross domestic product to as much as 4%. It’s a first step toward mirroring the growth story of Chile, which exported $40 billion in mining products in 2018. But the path isn’t free of challenges.“It’s the start of a new era in the economy of the country,” if it’s responsibly managed, said Fernando Benalcazar, Ecuador’s deputy mining minister, by telephone. “Symbolically, it’s the equivalent of when, in 1972, the president received the first barrel of oil.”The mine is owned by EcuaCorriente SA, a joint venture of Tongling Nonferrous Metals Group Co. and China Railway Construction Corp. It will process 10,000 tons of minerals per day in the short term, which will rise to 60,000 within months, Resources Minister Carlos Perez said during the inauguration of the mine on site. Over its lifetime, it will pay royalties and taxes amounting to $7.6 billion, he added.The project could help alleviate tightness in a copper market that’s expected to post a 189,000-ton deficit by the end of this year with few new projects coming on line and existing mines facing production disruptions, according to the International Copper Study Group.Accelerate Investment“Success in this operation could accelerate investment by this and other companies into other large mining projects,” said Erik Heimlich, a CRU Group analyst in Santiago, Chile. “Maintaining environmental standards and good community relations will be key to the success of mining in Ecuador.”Mirador was initially set to start producing in 2016, but construction was suspended after environmental and indigenous organizations alleged the Chinese-owned consortium had committed human-rights abuses. Construction resumed in March, but the victory of opponents to industrial mining in local elections later that month raised alarm bells again.“Let’s not forget that there is a proceeding before the Inter-American Human Rights Commission for the reparation of environmental rights of local communities that should be a worry for the state,” said lawyer Mario Melo, who has represented indigenous communities in high-profile environmental cases. ”There are worries regarding aspects like the tailings dam and the infrastructure construction that have already caused a worsening of environmental conditions in the region, and of living conditions.”The mine sits in a remote, mountainous jungle area on the Condor mountain range, close to the border with Peru. While gold and silver can be shipped by plane, trucks transporting copper concentrate will face a 220-mile journey through narrow, meandering roads across the country’s southern provinces.Next on Ecuador’s pipeline of big projects is Lundin Gold Inc.’s Fruta del Norte, which is set to start producing during the fourth quarter. Most of the world’s top mining companies are exploring for gold and copper in the country, including BHP Group Ltd., Hancock Prospecting Pty., Fortescue Metals Group and Newcrest Mining Ltd.Source: Ecuador Vice-Ministry of MinesTo contact the reporters on this story: Laura Millan Lombrana in Santiago at firstname.lastname@example.org;Stephan Kueffner in Quito at email@example.comTo contact the editors responsible for this story: Luzi Ann Javier at firstname.lastname@example.org, Reg Gale, Steven FrankFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
China consumes more than 70% of seaborne-traded iron ore. As a result, iron ore investors should track China's demand and outlook. Today, China released its trade data for June. China's iron ore imports were 75.18 million tons in June—9.7% lower YoY (year-over-year) and 10.2% lower month-over-month. In June, China's imports fell to the lowest level […]
The gold rally was primarily driven by three macro factors -- a dovish Fed and other major central banks, trade-related conflict across the world and fears of a global economic slowdown.
China’s central government is paying close attention to the sharp rise in iron ore prices. The CISA asked the government to investigate the spike.
Natural gas prices have seen some volatility over the past few months, bouncing between highs near $3.00 per million British thermal units (MMBtu) and lows just above $2.50. The commodity currently trades at roughly $2.
BHP, Foot Locker, Adobe, Oracle and Salesforce highlighted as Zacks Bull and Bear of the Day
Australia’s S&P ASX 200 was the best-performing index in the Asia-Pacific region on July 3. The index gained 0.59% on the day to end near its 12-year high at 6,685.5.
The United States and China agreed on Saturday to restart trade talks after their respective heads of state met on the sidelines of a G20 summit in Japan. For the day, mining stocks were the biggest contributors to gains, with the subindex adding about 0.7%. Strength in mining stocks was primarily driven by stronger iron ore prices over the past quarter.
It is not uncommon to see companies perform well in the years after insiders buy shares. Unfortunately, there are also...
This article is written for those who want to get better at using price to earnings ratios (P/E ratios). We'll look at...
Insider Monkey tracks hedge funds, billionaires, and prominent value investors for a very simple reason: their consensus picks generally outperform the market. We aren’t the only research shop broadcasting this fact using a bullhorn. Here is what strategist Ben Snider said in Goldman Sachs’ periodic hedge fund report: “Despite the strong track record of popular […]
(Bloomberg) -- The moment European investors have been waiting for is finally here as presidents Donald Trump and Xi Jinping meet at the Group of 20 summit.The recent flare-up in the trade spat cost the Stoxx Europe 600 Index almost $1 trillion as sectors ranging from automobiles to miners and luxury goods retreated amid fears of reduced Chinese demand, which could result in a global slowdown. Trump said on Wednesday substantial additional U.S. tariffs would be placed on goods from China if there’s no progress on a trade deal. “To us, it’s still a trade conflict not a trade war and we estimate a gradual de-escalation,” Stefan Kreuzkamp, chief investment officer at DWS, said at an event on Tuesday. “While we do not expect them to bury the conflict forever during the G-20 meeting, a little relaxation can be expected.”European stocks have been recovering this month on optimism about softer monetary policy, however traders are searching for new impetus to keep the rally going.“In the near-term, investor mood largely hinges on the G-20 meeting,” said Daniel Kern, chief investment officer at TFC Financial Management in Boston, which oversees about $1 billion.“I wouldn’t say I’m optimistic about the G-20 meeting, but I’m reasonably optimistic that there will be a dampening of tensions between the U.S. and China and the electoral calculus in the State is really going to be the driver of things,” Kern said by phone.Here are the sectors to watch for reactions from the G-20 meeting:CarsEuropean carmakers, especially German ones, are the first sector that comes to mind when talking about trade disputes, due to their global distribution network. Sales to China might be affected by any negative impact from trade on the Chinese economy. At the same time, any agreement, positive or negative, between the U.S. and China might be a blue print for further negotiations between Brussels and Washington. Watch Volkswagen AG, which sold about 40% of its vehicles in China last year, as well as Daimler AG and BMW AG, whose China sales account for 20% each.SemiconductorsTechnology is another topic at the heart of trade discussions as the U.S. is trying to limit the technological rise of China, according to DWS strategists. While China is producing more electronics itself, the country is still a net importer of various types of electronic parts and components, such as chips and semiconductors. Any trading restrictions are potentially disruptive and may affect suppliers in Europe. Look out for share reaction in Dialog Semiconductor Plc, STMicroelectronics NV and Infineon Technologies AG.MinersEuropean miners are some of the most sensitive stocks to any China trade news since the nation’s economic health has a significant effect on global metal prices, including copper, iron and steel. Watch BHP Group Plc, which derives more than half of its revenue from China, and Rio Tinto Plc, which gets 45% of sales from the country.Luxury Goods, AlcoholThe resilience of big Chinese spenders is key to the financial success of upscale European fashion and alcohol brands. LVMH Moet Hennessy Louis Vuitton SE is seeing “unheard of growth rates” in China, according to Citigroup Inc., and the Asian nation is a key market for cognac maker Remy Cointreau SA.\--With assistance from Sam Unsted, Tugce Ozsoy and Michael Msika.To contact the reporters on this story: Ksenia Galouchko in London at email@example.com;Jan-Patrick Barnert in Frankfurt at firstname.lastname@example.orgTo contact the editors responsible for this story: Blaise Robinson at email@example.com, Paul JarvisFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Australia’s ASX 200 lost 0.26% today. The index remained in a downward momentum within a narrow range today. 58 stocks in the index gained while 131 fell today. Among the sectors, industrials, healthcare, and basic materials were the only gainers today.