Wednesday, December 1, 2010

U.S. Steel (NYSE:X) Dropped from UBS (NYSE:UBS) "Short-Term Buy" Rating

U.S. Steel (NYSE:X) has been downgraded by UBS (NYSE:UBS) from "Short-Term Buy" to "Neutral," citing the share price reflects the recent rise in steel prices.

UBS said, "We are removing our S-T Buy rating as we believe the recent run-up in steel prices is now more priced in...Next data points less supportive - We expect Nucor (NYSE:NUE) guides to a loss for a disappointing midquarter update in mid-Dec on high scrap costs and still weak demand."

The market has ignored the downgrade, as U.S. Steel was trading at $50.15, gaining $1.54, or 3.17 percent as of 11:43 AM EST. UBS has a price target of $49 on them, raising it from $43.

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