One analyst at Dahlman & Rose predicted that China's steel mills might see a renewed appetite for coal. That was enough to send shares of coal companies like James River Coal Company (JRCC), Arch Coal (ACI) and even coal ETFs like Market Vectors Coal (KOL) surging. And that made both coal and China hot topics on StockTwits Thursday.
It was a welcome turnaround for coal companies that have seen their shares battered this year on fears over slowing global growth. Both James River Coal Company and Arch Coal are down more than 40% this year.
The market's swift response to the acceleration of China's steel manufacturing came soon after Goldman Sachs downgraded Arch Coal. People wasted no time in mocking that call.
Still not everyone was buying the rally.
But other traders thought that this might mark the beginning of a broader bounce for China's stock market. While other stock markets are up this year, the Shanghai SE Composite is down nearly 5% this year.
|Obamacare premiums to soar 22% on average|
|Jared Fogle's ex-wife sues Subway, alleging it failed to alert authorities he was pedophile|
|Donald Trump insults take up two full pages in The New York Times|
|American vigilante hacker The Jester defaces Russian government website|
|John Oliver offers his Emmy to Donald Trump|