Comments from Goldman Sachs commodity analyst Christian Lelong on iron ore:
(spoiler alert ... he ain't bullish):
- The market outlook remains unchanged
- In our view, prices must fall below the cash cost of marginal producers in order to force the mine closures required to balance the market
- In the medium term, we believe inventory levels and export growth normalise and structural drivers will come back to the fore
- Expects the temporarily high prices to abate
