Anglo American reported strong H1 16 results, with operating profits materially exceeding consensus and AV’s expectations. Sales and adjusted EBIT came in at $10bn (-14% yoy) and $1.3bn (-24%), respectively. Given that the average price of Anglo’s basket of commodities is down 17% yoy, this weakness hardly surprised. However, the sequential (hoh) improvement was too good to be true. Sequentially, sales and adjusted EBIT were up 12% and 311%, respectively. Presented below is Anglo&
