Slowing growth in China threatens to dampen the commodities boom

After considerable outperformance by many commodity-related stocks against other sectors of the UK s...

After considerable outperformance by many commodity-related stocks against other sectors of the UK stock market, it is no surprise investors are debating the next course of action. We have become more concerned about the outlook for some of the primary drivers. For example, there are clearer signs of a deceleration in economic activity in China. In addition to such demand destruction, we have considered the outlook for new supply in some of the commodities. A prime example would be iron ore, where new supply could appear in two to three years time . This is important against a backdrop ...