Why Steel Stocks Are Sinking Again Today

Good news for the economy! U.S. Treasury Secretary Steven Mnuchin announced this morning that the Trump Administration is working on plans to lessen the pain of coronavirus for small and medium-size businesses and their employees. While details remain hazy, it's possible the measures to be taken will make it easier for banks to lend to such businesses, while the government suspends the collection of payroll taxes on such employees.

Bad news for stocks! That may not do much to help large businesses such as U.S. Steel (NYSE: X), Gerdau S.A. (NYSE: GGB), and Companhia Siderurgica Nacional (NYSE: SID) -- and shares of these three steelmakers are down 7%, 8.6%, and 11.4%, respectively, in response to the news.

Image source: Getty Images.

Source Fool.com