BUZZ-UK mining cos: Citi downgrade cuts short rebound

Wed Aug 26, 2015 4:14am EDT
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** London-listed mining cos resume slide after Citigroup cuts its price target on a raft of cos to reflect lowered commodity price forecasts

** "We believe the longer term outlook for the miners continues to have a high level of uncertainty and will depend on positive US$ global growth and/or synchronized global growth," Citi analysts say

** Glencore, Anglo American and Antofagasta top three FTSE 100 losers, down 2-3 pct

** FTSE 350 mining index has fallen 36 pct so far this year

** Gold prices have fallen more than 25 pct so far this year, hovering near 5-year lows, as spooked investors rush to and from the safe-haven metal

** Crude oil, gold, copper, silver, aluminum prices fall on Wed

** Citi analysts still retain bullish stance on sector and think dividends for the large miners are defendable at current commodity prices

** Large diversified miners BHP Billiton and Rio Tinto are the analysts top picks, considering their relative free cash flow generation and cost positions (