Lets get straight to our top story this morning. Angloamerican shares sinking as dividend suspended its about the 4. 7 billion. Miners are among the biggest losers on the ftse this year. For more, lets bring in our mining analyst and jodie lynch from schroders. Great to have you with us. The worst kept secret in the city was Anglo American. The other news is the disposals. There is a lot of it is outside the actual dividend story, isnt there . In this environment, youre always going to see a reorganization of these kinds of companies. It will just be anglos, it will be rio, php. Bhp. No surprise that the dividend is cut, and that goes for a different dividend policy going forward. Jonathan heres a diversified miner. On the other side, you have the bhp, withio and th much lower cash cost. Went to we get to a point, where is the line in the sand for the bhp . Dend at rio and th i think rio will hang on. They will want to set themselves apart. They are a lowercost producer and better focu
Commodities because we are sub 40. It could spell pain to some of the big Mining Companies. What is your breakeven point. They say the breakeven point is 40, for others it is 44. Bhp at 29. That is why they are able to continue. The question here is sam walsh once said at the start of the year that it was fantasyland if it ever made it to 30. Anna lets bring another boy voice into the conversation. Great to see you. Another sign of pain for the mining sector. It has been ongoing for a number of years. You have a dynamic in a large part of the commodity sector. Big, you have the two players who are still quite comfortable. They are not happy, but they are aware that their competitors cannot live down here and potentially at some point they will enable be able to pick them off and a live to fight another day. Manus lets get up to speed now with your first word news. In importsas slump extended to a record 13 months in november and exports fell for a fifth straight month. The import slowd
It is six blocks here in london. The slight tangentially to that, we have had news overnight on australian jobs. The biggest monthly back to back jobs gain we have seen almost 28 years. You have to go back to 1988 to find a period as strong for the australian economy. That pushed the Australian Dollar a bit higher overnight. Some people questioning the data, of course. 71,400 jobs were created, economists forecast a drop of just 10,000. Manus this is the dollar rand trading, if youre on holiday or getting on the plane, you will have a river. It is at a record low, certainly not for good reason. He fired his finance minister. Story says it takes the country one step closer to junk. The rand, at one juncture and training, in a spokesman that back. Easy the biggest declin since theince 2011, and forecast is is the slowest rates in 2000 hundred the dollarrand, one of the conversations we have here today. Anna we are getting investor updates from glencore. This is one of the Mining Companie
To an end. The rout continues. Guy we will be answering that question throughout the show. The two to bloombergs first word news. Caroline the eye and or collapse has put subsidies to the brink of survival. Chief a state says many are hanging on by their fingernails. I and or fell below 38 per metric last week. Below 38 perl metric last week. Of 30, it wont physically work. From the 30 you to take by those trailer if you are shipping from australia. 15 trade if you are shipping from brazil. About an fabg price of 25 from australia. There is a lot of highcost not going tot are pass at that sort of price range. It is not sustainable. It is fantasyland at that level. Australias weaker global and the mystic growth. Scott morrison says this financial cash deficit will expand to 37. 4 billion australian dollars. Gdp growth has arrived down to 2. 5 . The south africas new finance minister he will shore up public finances to regain market trust. And show Credit Rating companies that the govern
If the latest data is to be the judge of that. All of that and the second edition of the equities market today. What is going on . We have this Industrial Production that is coming up. We are in fact the last quarter. Fact than last quarter. The steepest decline. A pretty bleak quarter for japan. Abenomics . Ff of the second arrow. The third arrow has not happened yet. Clearly, we have money being pulled out. Exactly. Do we have the issue of people pulling out . The 900 million japanese yen that has been pulled out and only a week in march. That is the most. It shows the impact. The yen has been very strong. The tax rise tomorrow as well. All that is bullish into the markets. Over here, i will try to do. You can see, there you can see. It is below the 50,000 mark. Nikkei, a bit of a concern. If the cb you can see the apex. That is impacting exporters. That is abroad. The Biggest Issue will serve us. Abe has been faltering somewhat. They will get to that figure. 9. 5 billion u. S. Dolla