Iron Ore
Iron Ore
BHP share price
The Tipping Point
Investing in stocksThe US dollar rally has barely paused for breath since getting underway in February. Late last week, it took its toll on commodities. Oil fell nearly 3%. Iron ore fell 3.7%, while aluminium declined 0.7%. What will happen next?
BHP versus Rio Tinto
BHP, Rio TintoResources have been the big outperformers since the global bull market got underway in early 2016. Since those lows, BHP’s share price has soared nearly 130% (to the January 2018 peak), while RIO’s isn’t far behind, up just over 126%.
The ‘Magic’ of the Aussie Dollar
aussie dollarAustralia, as an investment destination, suffers from an increase in risk perceptions. Foreign capital is less willing to invest here, or buy debt issued by the banks to fund the mortgages of Aussie battlers. As a result, the Aussie dollar falls. However, the ‘magic’ of a falling dollar is that it increases the purchasing power of foreign currency.