RE: Rrowdy neighbor31 Aug 2023 17:03
Re Shard, per the 3rd July RNS ZIOC has only issued the Ist Tranche of 12 million and will have to notify the market of any further issuance :
.."An application for the admission of the 12 million Subscription Shares in the First Tranche will be made shortly and the 12 million Subscription Shares in the First Tranche are expected to be admitted to trading on AIM on 5 July 2023.."
Given the length of time and trading volumes, I don't think it can now be (all) down to their drip-selling. And surely the spread would make any round-tripping expensive and risky ?
We are where we are.
I'm a holder.
The big picture hasn't changed overly much : China may be slowing down, but ore demand seems to be holding up, the drivers in favour of green ore still seem to be in place , the Gulf autocrats are still in their palaces and the pressures to de-dollarize are still there (esp if you think the buying power of your 'reserves' is likely to fall).
This from Mauldin Economics :
.." perhaps the most exciting thing of them all, the one that the Western world is missing is the fact that due to geopolitical developments, both the Ukraine-Russia war and the Iran-Saudi Arabia peace deal, you have an outpouring of infrastructure spending on an axis that basically goes from Istanbul to Jakarta that is simply unprecedented, pipelines, roads, railroads being built, because commodities that used to go west from Russia towards Europe now have to go south and east.
So that requires commodities.
Commodities, funnily enough, they are now priced in local currency. So there is no constraint to the infrastructure spending because before, you were constrained by your ability to get access to dollars. Now you’re just constrained by your own ability to print the money to buy the commodities from Russia, whether you’re India, whether you’re Indonesia, whether you’re Brazil, whether you’re China, of course.
So I look at emerging markets, and there are three massive, massive trends. The first is the dedollarization of the commodity trade means that the constraint to infrastructure spending is basically being removed. The second is de-Sinicization, factories moving from China to everywhere else in the emerging markets. And the third is the unfolding commodity bull market because, for all the bearishness out there, as I mentioned earlier, iron ore prices are grinding
higher. Copper is not falling apart. Energy prices are grinding higher.
And so, you put all these three things together. And historically, again, when commodity prices rose, countries like India would blow up. Countries like China would slow down. But now that they price it in their own currencies, now that you can buy the oil in renminbi, the oil price no longer matters if you’re China. It’s like, “Yeah. Print the renminbi. Give me more oil.”
Same applies to iron ore, of course.
ATB and GLA
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