Vale Earnings Disappoint With Inflation Adding to Iron Slump

  • Pricier freight and bunker oil are pushing up costs for miners
  • Vale starts to trim supply of low-grade ore to defend margins
Photographer: Dado Galdieri/Bloomberg
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Vale SA reported lower-than-expected earnings as the world’s No. 2 iron-ore producer grappled with slumping prices of the steelmaking ingredient at a time of rising energy and transport costs.

Adjusted earnings before items came in at $6.94 billion in the third quarter, the Rio de Janeiro-based company reportedBloomberg Terminal Thursday. That beat the year-ago result but was down from the second quarter and trailed the $8.83 billion average estimate.