Australia’s big three miners were on track to lose more than A$16 billion ($11.12 billion) in combined market value on Monday at current levels.
Rio Tinto’s Australia-listed shares were set to shed nearly A$2 billion in value, BHP more than A$10 billion, and Fortescue Metals over A$4 billion.
Lower output from Chinese steel mills has hit demand for iron ore, while prices of commodities like copper and aluminum have slumped.
Worries that aggressive interest rate hikes by the U.S. Federal Reserve and other central banks could tip the global economy into a recession.
The three Australian mining behemoths, so far this month, have already lost roughly A$30 billion of their combined market value, and are facing a third straight week of losses after hitting multi-week lows on Monday.
Analysts at JP Morgan also echoed risks to the sector but said fresh policy support along with easing COVID-19 lockdowns in China would spur a rebound in the second half of 2022, and maintain their “neutral” view on Rio Tinto and BHP.
This report’s information was first seen on Reuters; to read more, click this link.
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