Brazil’s Vale maintains ‘positive’ outlook for iron ore, nickel prices

SAO PAULO (Reuters) -Brazilian miner Vale SA on Thursday said it maintained “positive” expectations for the price of iron ore and nickel in the long term, two of its key products, after reporting quarterly earnings that beat analyst expectations.

“Our outlook for iron ore remains positive, given the recovery of the global economy,” Vale said after iron ore prices plunged in late November, hit by over-supply concerns and weaker steel demand. They have since recouped some of those losses.

The company, once the world’s top producer of the steel ingredient, said its fourth-quarter net profit nearly doubled to $5.4 billion. The growth was mainly due to the impact of a reclassification of cumulative foreign exchange gains, the company said.

The financial gains were partially offset by higher expenses related to the Brumadinho dam disaster, such as an additional provision of $1.7 billion related to upstream dams.