1. Vale's Q2 revenue rose 8% due to a strategic shift boosting sales volume, offsetting iron ore price declines; 2. Iron ore production costs decreased for the fourth consecutive quarter, highlighting operational efficiency; 3. Conservative valuation models suggest a 32% upside potential with a fair price target of $12.84 per share, supporting a buy recommendation.

1. Rio Tinto's share price has declined 14% year-to-date due to falling iron ore prices and demand uncertainty, but its diversification in aluminum and copper offers growth potential. 2. Chinese demand for iron ore has likely peaked, but RIO's high-grade ore from the upcoming Simandou mine positions it well for future demand shifts. 3. Despite muted growth prospects, the company's strong dividend capacity and exposure to growing aluminum and copper markets justify a Hold rating.