Is It Time To Fade The Rally In US Steel Corp (X)
This was originally published on Andrew Nyquist’s SeeItMarket.com on December 25th
Shares of United States Steel Corp. (X) have collapsed 81% from the 2014 highs, but is it still too early to call for a bottom in the once great steel producer?
China’s mass production rate of steel has led to “dumping” in the United States and other areas of the world, which essentially means those foreign competitors are selling below or at production costs. Tack on a stronger U.S. Dollar and you have continued downward pressure on the likes of US Steel, Nucor (NUE), AK Steel (AKS), and more.
And this could keep their respective stock prices suppressed a bit longer.
Despite tariffs levied by the U.S. Commerce Department on December 23rd, the market reacted as if the anti-dumping tariffs were less … Read More »