Steel-Makers Tumble After Warning About Outlooks

AK Steel (AKS) and U.S. Steel (X) both fell sharply in afternoon trading after warning that earnings could suffer in the coming months because of macroeconomic weakness. AK Steel was down 13% and U.S. Steel was off 8.5%.

AK Steel postponed its fourth quarter outlook “due to continued uncertainty and volatility with respect to economic conditions in the U.S. and in other markets served by the company.”

U.S. Steel saidthat its flat-rolled steel segment will post a fourth quarter operating loss, and also cited weakness in Europe. “We expect to report lower operating results in the fourth quarter for our North American Flat-rolled and European operations as a result of the slow and uneven economic recovery in those regions.”

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