In a report published Monday, Morgan Stanley analyst Carlos De Alba reiterated an Equal-Weight rating on Vale SA (NYSE: VALE), but removed the $15.20 price target.
In the report, Morgan Stanley noted, “Our analysis shows Vale has been increasingly active in the spot iron ore market and that the company has closed tenders at a discount relative to the ‘adjusted' reference price. According to Reuters, Vale is offering discounts on iron ore shipments to China, following the steps of its Australian competitors. The news article suggests the company is granting steel mills a $2.50/t discount for Vale's Standard Sinter Feed Guaiba (SSFG) for 3Q14 contracts.”
Vale SA closed on Friday at $13.29.
Source:.benzinga.com