...Severe demand declines for most metals in the second half of 2008 have resulted in rising stocks and falling prices. Producers have been taking production off-line and slowing expansion spending, but not enough to increase prices. In some cases, spot prices are lower than the marginal cost of production. The desire to conserve cash results in a focus on working capital manage ment, and Fitch expects destocking to take some time in this lower demand environment. Improvement in credit availability and imple mentation of fiscal st imulus programs could result in stronger demand in the second half of 2009. In particular, the Chinese government announced $586 billion of sp ending in November, primarily aimed at infrastructure and earthquake reco nstruction in Sichuan province. While demand is off substantially, the Ra tings Outlooks on the majority of the companies in Fitch Ratings base metal coverage are Stable. ...
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| Report Type: | Special Report
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| Company(ies): | Americas Mining Corporation, Molibdenos y Metales S.A. , Southern Copper Corp, Anglo American plc, Vedanta Resources plc, Corporacion Nacional del Cobre de Chile, Aluminum Corporation of China Ltd, Alcoa Aluminio S.A., Hindalco Industries Ltd., JSC MMC Norilsk Nickel , Companhia Vale do Rio Doce, Minera Escondida Ltda., Grupo Mexico S.A. de C.V., Alcoa Inc., Freeport-McMoRan Copper & Gold Inc., Clarendon Alumina Production Ltd., Rio Tinto plc
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| Ticker(s): | PCU , VALE3 , AAL , 601600 , 500440 , RIO , GMKN , VED , GMEXICO.B , MOLYMET , AA , FCX
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| Issuer: | Vedanta Resources PLC
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| Free Sample: |
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| Format: | | PDF |  |
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