, Columnist
Iron Ore’s Rally Is Living on Borrowed Time
Those making bullish bets on the metal after the Vale disaster may be in for a dose of karma. Prices are more likely to collapse than extend.
Don’t count on this rally.
Photographer: Waldo Swiegers/BloombergThis article is for subscribers only.
Commodities love a tragedy.
Last week’s burst of a tailings dam at a Vale SA iron ore mine in Brazil’s Minas Gerais state has left close to a hundred, and possibly approaching 400, people dead. Far from wilting at the news, iron ore has been surging — up 12 percent in the last five days, its biggest five-day jump in about 18 months.