As leveraged assets go down in value, the leverage multiples go up. Adding to that multiple is the falling dollar and the fact that these assets are in reality debt deposits, not cash deposits, that were passed on in different forms to be leveraged over and over. Two Ways To Play: POSCO Steels Spotlight High on POSCO Reuters reports POSCO is expected to report strong results for its second quarter. The company is expected to show a 13% increase in net profit to $1.2 billion, its highest in three years with sales rising 26% to nearly $7 billion. Expectations are high for the South Korean company as analysts feel the company can pass on costs more easily to its customers. The company raised prices twice in February and April, and put up prices again in July, taking the total increase up 63% for the year. POSCO kicks off the...
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