United States Steel Corporation (NYSE: X) is off to an incredibly strong day in the market today, and for good reason. Lately, there has been quite a bit of talk surrounding steel imports, and these talks may turn into action very soon. As a result, investors are excited and United States-based steel companies are flying in the market. Of course, our partners at Trade Ideas were the first to alert us to the gains. At the moment (12:15), NYSE: X is trading at $20.28 per share after a gain of $0.81 per share (4.16%) thus far today.
NYSE: X Gains On Coming Discussions With Regard To Steel Imports
As mentioned above, United States Steel Corporation is having a strong day in the market, along with other steel companies in the United States. Ultimately, the gains are the result of coming discussions with regard to steel imports and the effect of such imports on the domestic steel industry.
For some time, President Donald Trump has been pointing to the steel industry as an industry that needs a bit of restructuring. At the end of the day, increasing imports at less than fair market price is causing serious pain for United States companies that focus on steel, like X. As a result, a discussion is going to take place later this week with regard to the effect of steel imports on domestic steel companies.
To put this all into perspective, in the first quarter, steel imports increased by 19.6%. As a result, Chinese steel now accounts for 26% of the United States steel market. Ultimately, Trump’s goal is to reduce imports or impose price minimums on imports in order to give domestic steel companies an advantage here at home.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping an incredibly close eye on X. In particular, we’re going to be following the ongoing discussions with regard to the steel industry and are excited to see what the result is for United States Steel Corporation and other domestic steel companies. We’ll continue to follow the story closely and bring the news to you as it breaks!
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