- Molycorp (MCP -14.6%) extends yesterday's steep losses following a report that the rare earths supplier is nearing bankruptcy and hired a law firm for advice on a potential debt restructuring.
- Today, DA Davidson downgrades shares to Neutral from Buy and its price target to to $0.38 from $4, reiterating the rumor and noting that production issues at the Mountain Pass facility remain a major concern; the firm believes MCP will need to execute and demonstrate production rates at or above 1,500 metric tons in the Dec. quarter to assure investors it is on the right track.