A Dip in Metal Mining Stocks
July 29, 2015
This is a rough time for global mining stocks. Prices for gold, iron ore and copper crumble are all down.
Shares of two mining companies have fallen 35% and 28% in July 2015. The two were the worst performers in the S & P 500 that month.
The news is not much better on the job front. One British mining company revealed plans to cut 53,000 jobs to cope with lower prices. Other mining companies are dealing with similar financial difficulties.
Some of the problems can be attributed to the way metals are now related to the global market. Some of this goes to mining events in China. There was a time when China saw growth and expansion in the mining of metals. Now China is in a downturn and the impact is being felt throughout the mining world.
There is concern that some mining companies may not survive the harsh times and could wind up in bankruptcy.
Higher prices and a greater demand for metals would be welcome in the mining world, but that may not happen anytime soon.
There remains a market for used mining equipment. A mining company can benefit from quality used mining equipment, including equipment like ball mills, grinding mills and crushing equipment.