Goldman Cuts Iron Ore as Walsh Says ‘More to Do’ Amid Glut
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The entire global iron ore industry apart from the three biggest producers faces an existential challenge as demand will peak next year, according to Goldman Sachs Group Inc., which joined banks reducing price forecasts.
Iron ore will average $52 a metric ton this year, 18 percent less than previously forecast, analysts Christian Lelong and Amber Cai wrote in a note on Thursday. The bank cut its outlook for next year by 29 percent to $44 and lowered estimates for 2017 and 2018 by 33 percent to $40, according to the report.