Think the below upgrade from ms on Peabody was behind the bounce in the us coal stocks last night.
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From seeking alpha---
Morgan Stanley eyes coal bottom, Peabody Energy seen best way to play
May 12 2014, 12:49 ET
Morgan Stanley analysts are calling a bottom in coal mining stocks (KOL +2.5%), seeing a recovery in the thermal coal market pulled forward by the recent polar vortex and extreme cold; inventories have been falling rapidly, and the firm believes thermal coal prices will continue to rise.Peabody Energy (BTU +2.6%) is viewed as the best way to play the "modest recovery," believing it offers the least downside risk and little value has been assigned to its met portfolio; BTU also has large exposure to preferred thermal coal basins and boasts potential for increased capital return as market conditions improve.The report is a big boost to coal shares today: ANR +6.5%, WLT +4.5%, ACI +4.7%, CLD +1.4%.
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