UBS Said The Outlook For Commodity Markets Is Getting Worse And Downgraded Rio And BHP

Photo: Getty/Ryan Pierse

Investment bank UBS has downgraded its earning per share forecast for BHP Billiton and Rio Tinto.

In a report cited by The AFR, UBS said it had downgraded earnings per share forecasts for the two big miners by 2 to 3 per cent in 2013-14.

It maintained its “buy” recommendation on both stocks and named BHP as its preferred diversified play.

The reason is macro conditions have gotten worse for commodities, according to the AFR’s report.

BHP’s up 13 cents to $33.38 dollars this afternoon, and Rio’s down 11 cents to $54.66.

Read more here.

Now read: CHARTS: Here’s Why Goldman Sachs Is Still Telling Investors To Buy BHP

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