BofA cuts Rio Tinto and BHP to Neutral on valuation, negative China credit impulse

AI Summary

Bank of America downgraded mining giants Rio Tinto and BHP to Neutral from Buy due to stretched valuations, a negative credit impulse in China, and increased macroeconomic risks linked to the Middle East conflict. The decision reflects broader concerns about market conditions and geopolitical instability.

Bank of America on Friday downgraded both and Group to Neutral from Buy, citing stretched valuations, a negative turn in China’s credit impulse, and growing macro risks tied to the Middle East conflict. “To be clear, this is very much a top-down call rather than a call on stock specifics,” analysts led by Jason Fairclough ...