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Credit Suisse on Canadian Metals and Mining Stocks - London Mining Conference

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The 2011 Credit Suisse Metals & Mining Conference concluded on Thursday (22nd September) after two busy days of company presentations and 1-on-1 investor meetings.

Credit Suisse said: "In the midst of the current market turmoil, it was interesting to observe the contrast in sentiment between the Commodities Day on Tuesday, 20th Sep (which we wrote about) and the two Equities Days that followed.

"We'd expect that of the two groups, the Commodities Team (which included a number of Glencore representatives) would have the superior insight into physical markets. The outlook offered from this group was almost universally 'sunny with only the occasional scattered cloud'. Order books are full, inventories low, and the observable China slowdown was presented as a deliberate government maneuver.

"On days 2 and 3 of the conference, as we heard from the Metals and Mining Companies, it was apparent that a few clouds had started to appear on the horizon. Although many were still positive (including the European steel majors), we did detect some slightly more cautious tones, and most presenters were being asked by the audience 'have you got a big enough umbrella?'

"It is not clear to us whether the companies are just nervous/cautious having had their share prices beaten up over the past few days, or if they genuinely have better insight than the commodity traders."

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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