Singapore Stock Market News
Commodites Strategy - Producers remain upbeat
StockFanatic
Publish date: Wed, 04 Sep 2013, 12:41 PM
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However, increasing supply was a caveat used by many as to the reason why prices might remain subdued in 2H13. We tend to agree. Cost cutting to date has been achieved by actually increasing supply to reduce unit costs (due to high fixed cost bases) rather than cutting capacity. Consensus among producers on China growth was 7-8%, with a mild recovery taking place in 2H13.
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