American Steel: The Metal Gods of the Steel Industry (Cleveland Cliffs: NYSE: CLF - $15.12)
Sorry Rob Halford, but British Steel is so played out.
For about a year now I have been referencing the steel industry as a baseline assumption for inflation. I had even promised at one point to do an analysis on the industry and Cleveland Cliffs, a US-based vertically integrated steel company. Well, today is that day. I hope you enjoy.
Industry Background & Economic Backdrop
Steel is probably one of the most industrious metals utilized in industry and our daily lives. From office buildings to daily appliances, this metal can be found virtually everywhere. In fact, roughly 54% of your vehicles’ makeup is steel.
“With the abundant iron ore deposits around Lake Superior, the rich coal veins of Pennsylvania, and the easy access to cheap water transportation routes on the Great Lakes, the Midwest became the center of American heavy industry.” – John Steele Gordon
Steel had quickly become one of the leading industries in the US during the Industrial Revolution and throughout both world wars. G…