- Peabody Energy (BTU -2.1%) and Arch Coal (ACI -1.4%) are downgraded to Underweight from Neutral at J.P. Morgan, which expects growing shale gas supplies will keep gas prices down again next year, capping the upside for coal prices amid "the sausage machine of re-organization" in the coal industry.
- "The natural gas market remains oversupplied [as] utility coal stockpiles are building and the strong U.S. dollar is hurting coal exports," the firm says, adding that "currencies aren’t helping much by delaying the required supply response."