Commodities still searching for the trough: Vedanta CEO

LONDON: Vedanta Resources chief executive officer Tom Albanese says metals markets are yet to reach a trough as producers battle to stay afloat with slowing Chinese demand and a looming US interestrate increase that’s curbing the appeal of commodities.

“The markets are still searching for the bottom,” Albanese, CEO, said in an interview with Bloomberg Television in London on Tuesday. “Supply is going to take some time to work out. It’s going to take some time before we see what actually happens with the Chinese economy. Is it a soft landing or is it something more disruptive?”

Some of the world’s biggest mining companies are reacting to the slump in raw materials prices by shuttering production, scrapping dividends and reining in spending.