Broker snap: Goldman note lifts miners

22nd May 2009 11:44

Mining stocks are helping Footsie win back some of yesterday's losses after Goldman Sachs ramped up price targets across the sector in expectation of a China-fuelled rally in commodity prices."Datapoints from China, and a more bullish outlook from our colleagues in the region, prompt us to analyse which metals might soonest experience capacity constraints," the broker said. "We believe that GDP growth close to, or slightly above our economists' current forecasts, could result in copper and iron ore suffering capacity constraints by 2011."The broker more than triples its target price on Vedanta to 1,997p from 537p. Rio Tinto's is raised to 2,994p from 1,637p, BHP Billiton's to 1,778p from 1,302p, Anglo American's to 2,491p from 1,124p and Xstrata's to 1,074p from 388p.