Pete Wargent blogspot

Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), & CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).

5 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he's one of the finest property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written, yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data & charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, author of the New York Times bestsellers 'End Game' & 'Code Red'.

"The level of detail in Pete's work is superlative across all of Australia's housing markets" - Grant Williams, co-founder RealVision - where world class experts share their thoughts on economics & finance - author of Things That Make You Go Hmmm, one of the world's most popular & widely-read financial publications.

"Wargent is a bald-faced realty foghorn" - David Llewellyn-Smith, 'MacroBusiness'.

Tuesday, 12 July 2016

Port Hedland record throughput

Thunderous results from the Port of Port Hedland, which racked up record throughput in June (42.2Mt) including record iron ore cargo shipped (41.8Mt).

On both metrics volumes were up by 9 per cent from one year ago.

85 per cent of that iron ore cargo was bound for China and Taiwan.

Pilbara Ports also reported record annual throughout for the financial year to June 2016 of 633.5Mt, with the Port of Port Hedland also reporting a record of 460.4Mt.

Despite this unprecedented volume of supply, iron ore prices have been up very strongly this year to around US$55/t.

But with Gina Rinehart's Roy Hill Holdings mine now having come online, stronger prices seem unlikely to persist for too long.

Roy Hill iron ore exports were seen to be a significant factor in increased supply in the second quarter of 2016.

Indeed on this evidence there will be serious downward pressure on the price in the second half of 2016, probably sending the spot price below US$50/t.

Australia is capturing a huge share of the market, with the Port Hedland iron ore figures pointing to a solid increase in volumes in the second quarter of 2016.

Coal exports have been floundering, however.

Fortescue Metals Group (FMG) yet again saw its share price leap another 5.44 per cent yesterday to close at $4.07, equating to a market capitalisation of more than $12 billion.

The iron ore producer has seen its share price soar from well below $1.50 in January. 

Deeply, deeply unpleasant if you went short!