Peabody Energy surges on Trump's executive orders boosting coal industry

Seeking Alpha News (Tue, 08-Apr 7:47 PM)

Peabody Energy (NYSE:BTU) +15.3% post-market Tuesday, adding to a 9.2% gain in the regular session, as President Trump signed executive orders intended to expand the production and use of coal in the U.S. after years of declines.

Trump said he would use the Defense Production Act to boost coal mining, a move that could put the federal purse behind reviving the industry.

The president cast the actions as essential to helping the U.S. dominate the rapidly developing artificial intelligence sector, saying the country needed to ramp up electricity production to assure its position in the AI race.

Trump said he would direct Energy Secretary Chris Wright to invest in next-generation coal technology and ask the Department of Justice to identify and fight state and local regulations he said were putting coal miners out of work.

Other coal stocks also posted solid gains during the regular session: Ramaco Resources (METC) +13.9%, Core Natural Resources (CNR) +6.6%, Warrior Met Coal (HCC) +6.3%, Alliance Resource Partners (ARLP) +4.8%, Alpha Metallurgical Resources (AMR) +2.4%, SunCoke Energy (SXC) +1.2%.