Do you think you have an actual point? And if you do think you have a point, do you think you can put it into words, or is it just a feeling?
Let me try to help.
Real Life Scenario 1: Business sells 23M tons for $130/ton = $2,990M Real Life Scenario 2: Business sells 30M tons for $80/ton = $2,400M Imaginery Scenario 1: Business sells 23M tons for $80/ton = $1,840M
Paraphrasing Statement on above scenarios from Mike: When businesses compare Real Life Scenarios 1 and 2, I think they would prefer Real Life Scenario 2 because 30 is 25% higher than 23. Quantity sold is what really matters. So current conditions are better than conditions from 1 year ago for the business.
Paraphrasing Statement on above scenarios from DumbBlondieGirl: Nah, I think they would prefer Real Life Scenario 1 over Real Life Scenario 2. End dollar result is what really matters. So current conditions are worse than 1 year ago for the business.
Paraphrasing others: Wrong dumbblondiegirl, Mike can compare Real Life Scenario 1 to Real Life Scenario 2, but you can only compare Real Life Scenario 2 to Imaginary Scenario 1. Why? Well, go ahead and try to sell for $130/ton and see what happens. I think i did a poopoo in my pants. Do you have a tissue? Are you thoroughly distracted now? Ok, see you later.
You do realize that the "dumbblondiegirl" is an occasional impersonator trying to have his fun with me about fe ore?
"Alex " You bastid moron for condoning this post for the occasional Blondie bash. I do notice you do like to ok the controversial posts & threads.
How did you go ok with the fe ? Did you appreciate the volatility & the timing of it all?
It's really been amazing what's happening with the fe how things change .
Newjerk? can you try harder than dig up another person's blog. My first promo was with Billabong and my name in English is modified with a T, am Perth born but also lived in Sydney to make my $$ It's Absolutely Fabulous if it includes brilliant locations, & high calibre tenants..what more does one want? Understand the power of the two "P"" or be financially challenged Even better when there is family who are property mad and one is born in some entitlements.....Understand that beautiful women are the exhibitionists we crave attention, whilst hot blooded men are the voyeurs ... A stunning woman can command and takes pleasure in being noticed. Seems not too many understand what it means to hold and own props and get threatened by those who do. Banks are considered to be law abiding and & rather boring places yeah not true . A bank balance sheet will show capital is dwarfed by their liabilities this means when a portions of loans is falling its problems for the bank.
Just came home from a weeks dig at my sapphire claims - the highway runs parallel to the main coal railway line to Gladstone from the huge mines in the Emerald/Blackwater area (hundreds of kms).
A few years ago, my mate from Adelaide came out with us and counted the coal haulage trains on the way - there were heaps (can't remember exact number). 12 months ago he came with us again and counted a very significant decline. Last week I counted three on the way out and three on the way home.
As Perthite says - the boom is over people. Unless there is a staggering turnaround very soon.
If coal is slowing so much why are property prices increasing in Brisbane and Sydney? (the capitals of the big coal producing states).
Definition of a doom and gloomer from 1993 The last camp is made up of the doom-and-gloomers. Their slogan is "it's the end of the world as we know it". Right now they are convinced that debt is the evil responsible for all our economic woes and must be eliminated at all cost. Many doom-and-gloomers believe that unprecedented debt levels mean that we are on the precipice of a worse crisis than the Great Depression. The doom-and-gloomers hang on the latest series of negative economic data.
Newjerk? can you try harder than dig up another person's blog. My first promo was with Billabong and my name in English is modified with a T, am Perth born but also lived in Sydney to make my $$ It's Absolutely Fabulous if it includes brilliant locations, & high calibre tenants..what more does one want? Understand the power of the two "P"" or be financially challenged Even better when there is family who are property mad and one is born in some entitlements.....Understand that beautiful women are the exhibitionists we crave attention, whilst hot blooded men are the voyeurs ... A stunning woman can command and takes pleasure in being noticed. Seems not too many understand what it means to hold and own props and get threatened by those who do. Banks are considered to be law abiding and & rather boring places yeah not true . A bank balance sheet will show capital is dwarfed by their liabilities this means when a portions of loans is falling its problems for the bank.
The point is that the cost of production has plummeted. The big miners have an opportunity to dominate the market and prevent investment in Africa, Iran etc, which will have long term upsides for them.
Glencore was whinging the other day about its African investments
Has the cost of production plumented? I haven't checked but I would be surprised. Care to show us your resources?
those
8 Oct 2014, 12:54 PM
Do you think you have an actual point? And if you do think you have a point, do you think you can put it into words, or is it just a feeling?
Let me try to help.
Real Life Scenario 1: Business sells 23M tons for $130/ton = $2,990M Real Life Scenario 2: Business sells 30M tons for $80/ton = $2,400M Imaginery Scenario 1: Business sells 23M tons for $80/ton = $1,840M
Paraphrasing Statement on above scenarios from Mike: When businesses compare Real Life Scenarios 1 and 2, I think they would prefer Real Life Scenario 2 because 30 is 25% higher than 23. Quantity sold is what really matters. So current conditions are better than conditions from 1 year ago for the business.
Paraphrasing Statement on above scenarios from DumbBlondieGirl: Nah, I think they would prefer Real Life Scenario 1 over Real Life Scenario 2. End dollar result is what really matters. So current conditions are worse than 1 year ago for the business.
Paraphrasing others: Wrong dumbblondiegirl, Mike can compare Real Life Scenario 1 to Real Life Scenario 2, but you can only compare Real Life Scenario 2 to Imaginary Scenario 1. Why? Well, go ahead and try to sell for $130/ton and see what happens. I think i did a poopoo in my pants. Do you have a tissue? Are you thoroughly distracted now? Ok, see you later.
The implication was that reducing supply to 23 mil would raise the price. The reality is this is no longer demand driven, so supply restrictions would not return you to a past scenario. It is a pointless choice as to whether you would prefer to sell at 80 or 130. You can no longer sell at 130.
The implication was that reducing supply to 23 mil would raise the price. The reality is this is no longer demand driven, so supply restrictions would not return you to a past scenario. It is a pointless choice as to whether you would prefer to sell at 80 or 130. You can no longer sell at 130.
Huh?........there was no implication - of course you cant sell now at 130 - that is why conditions are worse...........
those has it spot on........Mike at his spruiktastic best suggested that conditions now are better than last year because volume has increased........I simply pointed out that is not the case........end of
And Blondie - not an impersonator been reading and posting for years........you just come up with some funny statements sometimes ......one day ill sign up
The implication was that reducing supply to 23 mil would raise the price. The reality is this is no longer demand driven, so supply restrictions would not return you to a past scenario. It is a pointless choice as to whether you would prefer to sell at 80 or 130. You can no longer sell at 130.
You are getting distracted by this idea that you can or cannot control price. That is not the point.
The point is to compare the current conditions to past conditions. If you plot prices on a graph for anything you don't then delete all your past data and only keep one data point just because you can no longer buy/sell for those prices.
If my bread analogy was confusing, I apologise. The point of that was just to show the difference between real scenarios and fake ones. I guess it didn't help that in my analogy both real life prices were possible simultaneously.
Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.
Forum Rules:
The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.
Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.
Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.
This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.
Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ
Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy