Shares in BHP spinoff South32 have bounced back strongly after a weak opening Monday.
Both companies were marked down by investors yesterday, with BHP closing down 7.26% at $30.13 and South32 ending the day at $2.05, at the lower end of estimates.
Their combined share price was 31 cents short of BHP’s Friday close.
However, today South32 was up more than 11% to $2.28, near Monday’s highs. BHP was trading below $30 a share, down more than 1% at $29.79.
Investors followed two brokers which rated South32 a buy.
South32’s asset portfolio is spread across five countries and includes alumina, aluminium, coal, nickel, manganese, silver, lead and zinc.