Specifically, the analysts lowered their outlook on Arch Coal and Alpha Natural Resources due to high recapitalization risk and liquidity risks. The analysts argue that the companies are suffering from deteriorating balance sheets and high debt burdens. Additionally, the analysts had a neutral outlook on Peabody Energy.
KOL includes 0.5% ACI, 0.4% ANR, 2.3% BTU and 0.8% CLD. The ETF dipped 2.5% Tuesday.
Market Vectors-Coal ETF
For more information on the coal market, visit our coal category.
Max Chen contributed to this article.