J.P. Morgan raises iron ore forecasts
J.P. Morgan (JPM) upgraded its price forecasts for iron ore and coal based on its analysis of the next generation of iron and coal projects. JPM says its findings suggest “strong prices are required to incentivize supply to come online.”
The firm raised its price outlook for iron ore to $60 per ton for thermal coal to $77 per ton and for hard coking coal to $140 per ton.
Ratings for iron ore miners
The China Iron & Steel Association (or CISA) also believes iron ore prices should remain between $60 and $70 per ton in the short term. It believes ample supply and higher demand should continue to balance each other out.
Several major miners have announced new mine approvals over the past few months. In the next part of this series, we’ll look at these mine approvals and how could they affect iron ore prices.