Largest mining equity rally in years built on shaky foundations

The biggest rally for mining company shares since 2009 risks fizzling out as gains have largely been driven by funds reversing bets on lower prices rather than long-term investors looking for value.

The benchmark FTSE 350 mining index, which tracks the performance of the UK’s 11 biggest listed miners, is up 26 percent this year, the biggest quarterly gain since September 2009, and marking a revival after three years of losses.