"Cliffs Natural (CLF), a mining firm producing iron ore, has shown a technical price breakout from a 5-week, cup-and-handle base," says technical Leo Fasciocco.

The breakout specialist and editor of Ticker Tape Digest explains, "The move carries the stock to a 52-week high. CLF's 12-month performance chart shows the stock appreciating 90% versus a 20% gain for the S&P 500 index.

Continue reading Cliffs Natural (CLF): Strength from Iron Ore

Cliffs Natural (CLF): Strength from Iron Ore originally appeared on BloggingStocks on Thu, 24 Feb 2011 12:30:00 EST. Please see our terms for use of feeds.

"London-based Rio Tinto (RIO) is one of the largest and most diversified mining companies in the world; ith the potential to reward shareholders with increased dividends and share buybacks, Rio is a buy for investors seeking exposure to booming commodity markets," says Paul Tracy.

The editor of High Yield International explains, "Rio's operations are located in Australia, North and South America, South Africa, Europe and Indonesia. Its strategy is to concentrate on the development of large, high quality mineral deposits and become a low-cost producer for each commodity.

Continue reading Commodity 'Boom' Boosts Rio Tinto (RIO)

Commodity 'Boom' Boosts Rio Tinto (RIO) originally appeared on BloggingStocks on Fri, 11 Feb 2011 10:45:00 EST. Please see our terms for use of feeds.

Continue reading Rio Tinto (RTP): 'Set to Play Catch-Up'

Rio Tinto (RTP): 'Set to Play Catch-Up' originally appeared on BloggingStocks on Mon, 03 May 2010 10:20:00 EST. Please see our terms for use of feeds.

In The New World 3.0, the advisor explains, "BHP Billiton is the only major listed company to that boasts such a diversified energy portfolio.

"Recently, analysts have unleashed an avalanche of upgrades for companies in the mining sector, coinciding with higher price forecasts for a wide range of metals.

"The main reasons for the recent upsurge in optimism regarding miners are strong economic growth in China and an anticipated restocking of materials in developed nations.

Continue reading BHP Billiton (BHP): 'Avalanche of upgrades'

BHP Billiton (BHP): 'Avalanche of upgrades' originally appeared on BloggingStocks on Wed, 14 Oct 2009 13:30:00 EST. Please see our terms for use of feeds.

"As steel prices continue to climb, one company that is set to profit handsomely is Cleveland-Cliffs (NYSE: CLF)," says Bill Martin.

Adding to the stock's appeal, the editor of BullMarket.com explains, "Event-driven hedge fund Harbinger Capital has been an aggressive buyer of the stock." Here's his review of the situation.

"Shares of Cleveland-Cliffs have been on fire, up over 150% year over year and they have more than doubled year to date. The Cleveland, Ohio-based company is the largest producer of iron ore pellets in North America and a major supplier of metallurgical coal to the global steel-making industry.

"Cleveland-Cliffs benchmarks iron ore prices to the price of steel, so when steel prices rise, so do iron ore prices. The company said all of its North American iron ore mines are producing at or near capacity.

"Cleveland-Cliffs ended the first quarter of 2008 with $186.5 million of cash and cash equivalents and $600 million in borrowings outstanding under an $800 million credit facility. The company expects to generate approximately $700 million in cash from operations in FY08 as it sells through its inventory.

"Event-driven hedge fund Harbinger Capital was an aggressive buyer of the stock in May, paying between $76.96 to $104.75 a share to add to its position in the name. For the month, the firm spent approximately $338.5 million to acquire nearly 3.7 million shares.

Continue reading Cleveland-Cliffs (CLF): Hedge fund eyes steel maker

Cleveland-Cliffs (CLF): Hedge fund eyes steel maker originally appeared on BloggingStocks on Tue, 15 Jul 2008 16:55:00 EST. Please see our terms for use of feeds.

"There's no doubt about it: vital resources are in a bull market of gigantic proportions," note Yiannis Mostrous and Roger Conrad.

"The co-editors of Vital Resource Investor caution that "no market moves in a straight line, and in commodities, the action is often extremely violent." However, for long-term investors, they offer some favorites in iron ore, aluminum and copper.

"All commodity bull markets are ultimately gored by demand destruction, alternatives and new supply. But it will almost certainly be years before that happens to this one. And that means plenty of money will be made along the way.

"We're still extremely bullish on iron ore as the market remains in deficit and prices continue to rise. Chinese domestic supply has been falling and, if this continues, imports will make up the difference, thereby helping the miners.

"China consumes 51% of the world's iron supply. Portfolio holding Companhia Vale do Rio Doce (NYSE: RIO), the world's largest iron ore producer, will benefit from the shortage in iron ore supply.

"We favor aluminum in the industrial metals sector. We've been advocating aluminum for some time, and the market's finally going our way. Aluminum prices have been impacted by lack of available power in China and South Africa and higher alumina and bauxite prices.

Continue reading Mining trio: Iron ore, aluminum and copper

Mining trio: Iron ore, aluminum and copper originally appeared on BloggingStocks on Wed, 30 Apr 2008 10:48:00 EST. Please see our terms for use of feeds.

According to Roger Conrad and Yiannis Mostrous, "Resource stocks are by nature volatile. The important thing is we're still very much in a long-term bull market. And when the market mood does shift, today's pain will convert very quickly to massive gain."

In Vital Resource Investor they explain, "There is ongoing consolidation in this sector and the recent setback in stock prices make deals more attractive for acquirers." Here, they look at Companhia Vale do Rio Doce (NYSE: RIO), a play on consolidation in the iron ore industry.

"And when the market mood does shift, today's pain will convert very quickly to massive gain. The long-term underpinnings for vital resources are strong as ever: Soaring demand from the world's emerging growth engines, a growing scarcity of easily accessed supplies, rising development costs, resurgent resource nationalism and ongoing sector consolidation.

"It's this last trend that's captured our attention lately. Importantly, when it comes to developing vital resources profitably, size is essential. This year has already witnessed two mega-deals: Freeport Copper & Gold (NYSE: FCX) has bought Phelps Dodge and Rio Tinto (NYSE: RTP) purchased Alcan.

"And we're certain to see many more announced in coming months. The recent dance between BHP Billiton (NYSE: BHP) and its giant rival suggest the need to get bigger is greater than ever. Even if it doesn't succeed, the proposed merger is already increasing rivals' urge to merge.

Continue reading Companhia Vale do Rio Doce (RIO): Strong play on iron ore

Companhia Vale do Rio Doce (RIO): Strong play on iron ore originally appeared on BloggingStocks on Thu, 06 Dec 2007 16:10:00 EST. Please see our terms for use of feeds.