Broker snap: Hold fire on miners, RBC tells clients

11th Jan 2013 12:57

"Despite a strong start to the year, we would wait for lower entry levels to continue to build Mining positions," analysts at RBC were telling clients on Friday morning. A moderately improving economic outlook is estimated for 2013, but China industrial production leverage is not what it used to be. Despite stronger estimated free cash flow (FCF) generation in 2013, we still forecast capital expenditure/operating cash flow (OCF) levels equal to 2009 for the Miners. Stay select: Rio Tinto, Vedanta, Glencore, Kenmare, Anglo American and ENRC all have their separate merits, RBC is telling clients this morning. AB