Summary
Rio Tinto is one of the leaders in mining. They are very close to the Chinese market and their views have a higher probability to be correct. This also validates the fact that China is slowing down. China consumes over 30% of the commodities and the outlook for base metals are not very strong for 2009. This however give us some hope that economy will start improving in 2010.
Analysis
Rio Tinto's stock would probably not do very well in 2009, but as economy improves in 2010 in late 2009 the stock should start recovering
This author consults with leading institutions through GLG
Analyses are solely the work of the authors and have not been edited or endorsed by GLG.
