This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Metals Winners: Freeport, BHP Billiton

Stocks in this article: FCX VALE BHP RTP CLF AKS

NEW YORK ( TheStreet) -- Whoa, metals.

Chinese economic news has a way of crushing or sparking the share prices of commodities-linked companies, and Wednesday it was the latter, with August manufacturing data from Beijing surprising some with an unexpected strength.

Recently named the second-largest economy in the world behind the U.S., China had caused waves all through this year as its monetary and fiscal authorities wrestled with the problem of cooling down an economy in hyper drive while at the same time avoiding a decline that might spook a fragile global recovery.

There were two China indicators Wednesday. Far from being a decline, the purchasing managers' index, which gauges manufacturing activity, came in at 51.7 in August, up slightly from July's 51.3.

Another survey of such managers, this one conducted by the giant Hong Kong bank HSBC, also demonstrated growth: the measure hit 51.9 in August, the highest such figure in three months. In July, the HBSC survey came in at 49.4. Anything below 50, of course, represents a retraction.

HSBC's chief economist, Hongbin Qu, wrote in his monthly report explaining the data, "This reconfirmed our long-held view that China is moderating rather than melting down."

The entire industrial metals and mining complex responded with vehemence early in Wednesday's trading session. Miners of copper and iron ore, crucial ingredients in China's infrastructure-building spree, were especially lively.

Freeport McMoRan (FCX), whose business has depended on China since the dawn of the recession, saw its shares jump 5.5% to $53.68.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs