Thursday 12 March 2015

ACI, ANR, WLT - three coal miners in real trouble

Whilst the broader market built strong gains across the day, there was notable weakness in energy. Arch coal (ACI), Alpha Natural Resources (ANR), and Walter Energy (WLT), settled lower by -4.0%, -7.0%, and -19.3% respectively. Near, mid, and long term outlook is bearish... to zero.


ACI, daily



ANR, daily



WLT, daily



Summary

*I don't chart ACI or WLT - hence blank charts, but I wanted to highlight them anyway.
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Unlike Peabody Energy (BTU) or Consol (CNX), the above three little coal miners continue on their way to the pink sheets.. and probably bankruptcy.

Frankly.. there is little to add... the US Govt' 'war on coal' is clearly succeeding. We've lost PCX and JRCC (amongst others) in recent years, I'll be surprised if we don't lose one of two of the above trio by end year.