Steel company earnings continue to plunge thanks to tariffs

someoneyouknow

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Since the Trump administration announced tariffs last year, domestic steelmakers’ shares have slumped, partly on concern that trade tensions with China threatened global economic growth and demand for the commodity. Now, there’s evidence that those fears are being borne out, with U.S. Steel Corp., Nucor Corp. and Steel Dynamics Inc. all warning this week on third-quarter profit outlooks.
. . .
U.S. Steel shares headed for the biggest loss in more than a year on Thursday after the company said it expects to report a wider loss than analysts were expecting. The Pittsburgh-based producer cited weakening markets for flat-rolled steel and tubular products for the energy industry. That warning came two days after Nucor, the largest U.S. producer, said third-quarter profit waned amid “some softening in automotive, agricultural products and power transmission markets.”

The company said because of a lack of demand it would continue to idle two blast furnaces until the end of 2019, decreasing third-quarter shipments.

"The positive flat-rolled steel market indicators experienced earlier this summer have softened after a brief recovery in steel selling prices," U.S. Steel said. "The impact of falling steel prices through the second quarter, combined with the impact of a larger-than-expected drop in scrap prices on market sentiment, is expected to negatively impact flat-rolled earnings in the second half of the year."

“The macroeconomic outlook has not been friendly to the steelmakers this year,” Tyler Kenyon, an analyst at Cowen in New York, said in a telephone interview. “Some of that could be associated with trade tensions and uncertainty globally, and softness in the global industrial economy. It’s certainly changed the landscape for the steelmakers and their customers.”

So much winning. Just like coal mining.

https://www.bloomberg.com/news/articles/2019-09-18/u-s-steel-has-cut-1-800-jobs-in-europe-pares-earnings-forecast

https://www.industryweek.com/trade/us-steel-plunges-industry-earnings-reel-price-metal

https://www.msn.com/en-us/money/markets/u-s-steel-sinks-after-saying-it-expects-wider-than-expected-third-quarter-loss/ar-AAHwWYe
 
So much winning. Just like coal mining.

Did you think the trade war would be totally casualty free?

The winner of the war has yet to be seen. The only way we're sure to loose is for a (D) to win the WH and taking us back to licking the CCP's ass. :D
 
The Steel Industry has been suffering since the 80's. Coal has been under sustained attack from the Democrats for the last 20 years...since Al Gore....

C'mon. This is weak sauce, dude.

I had another TDS sufferer the other day try and tell me auto-plants have been shutting down since Trump took office....LOL must have had their head up their ass for the last 25 years.
 
The Steel Industry has been suffering since the 80's. Coal has been under sustained attack from the Democrats for the last 20 years...since Al Gore....

C'mon. This is weak sauce, dude.

That's not what the con artist has repeatedly said. His tariffs are the greatest. They'll make our steel companies great again. Trade wars are so easy to win.

And no, Democrats have not been attacking steel companies.
 
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