Cleveland-Cliffs (CLF) stock is experiencing an uptick today following a positive outlook from Goldman Sachs, which initiated coverage with a Buy rating. This move by Goldman Sachs has sparked optimism in the broader U.S. steel industry, with Cleveland-Cliffs seeing a notable rise alongside peers like Commercial Metals and Nucor. The analyst, Mike Harris, highlighted a constructive view of the industry, suggesting that the current pessimism around global oversupply and soft steel pricing might be overdone. This sentiment aligns with recent comments from Cleveland-Cliffs' CEO, Lourenco Goncalves, who pointed out potential catalysts such as falling interest rates and increased onshoring of manufacturing.
Additionally, the Steel Manufacturers Association has called for stronger tariff protections, which could further bolster domestic steel producers like Cleveland-Cliffs. The association's push for a 25% tariff on imports from Mexico and potential monitoring of Canadian imports could provide a more favorable environment for U.S. steelmakers. These developments, coupled with Goldman's bullish stance, are contributing to the positive momentum in Cleveland-Cliffs' stock.
Cleveland-Cliffs shares are currently trading at $12.95, marking a 4.02% increase from the previous close of $12.45 and a 1.17% rise from the opening price of $12.80.