Australia Lowers Forecast for Iron Ore

The Australian reported that Australia’s Bureau of Resources and Energy Economics has lowered its forecast for iron ore prices, citing oversupply as a key driver.

As quoted in the publication:

The Bureau of Resources and Energy Economics (BREE) said today it expects the iron ore price will average around $US94 a tonne for the rest of 2014, significantly lower than the $US107 a tonne forecast offered in June.

In 2015, BREE said the iron ore price is forecast to rebound from current low levels, but is tipped to also average $US94 a tonne, slightly lower than the $US97 a tonne forecast offered in June.

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