Since the beginning of the year iron has skyrocketed on lower iron ore supply due largest world producer Vale legal issues preventing them from producing . However this is about to change as Vale has been granted legal approval to commence mining after their dam collapse last year. Now with iron ore supply to increase back to regular levels with Vale resupplying the market, the price of the commodity should fall significantly effecting the price of iron ore. In addition to falling supply side conditions Chinese demand for iron ore is also slowing evident by export data out of Port Hedland (A mayor iron ore exporting port to China) is down from 48.9 million tons of iron ore in June to 41 million tones in July. Iron ore currently trades at $95 a tone we predict a fall to $75 per tone before January next year based on rising supply conditions and falling demand for the commodity.