MARKET TALK: Global Volatility Will Continue - Rio Tinto CEO

14th Jul 2010 06:46

0546 GMT [Dow Jones] While Rio Tinto (RIO.AU) CEO Tom Albanese appears confident in group's outlook for 2010, investors likely to take note of his somewhat cautious comments about the global economic outlook. The "pattern of volatility" in the global economy is "set to continue", says Albanese in comments on 2Q operations review. "In recent weeks, fears about a possible double dip recession in OECD countries and a slight slowdown in Chinese growth have led to some weakening in sentiment," he says, but adds 2010 shaping up well for RIO and operations "close to capacity". Iron ore production fell 2% on year in 2Q to 43.6 million tons, below UBS expected 44.8 million tons and Credit Suisse 51.3 million tons. Hard coking coal output up 26% to 2.4 million tons, U.S. coal down 47% to 11.1 million tons, bauxite output rose 10% to 7.9 million tons and alumina climbed 5% to 2.2 million tons. Shares up 0.6% or 42 cents at A$66.97. ([email protected]) Contact us in Singapore. 65 64154 140; [email protected] (END) Dow Jones Newswires July 14, 2010 01:46 ET (05:46 GMT)