Jefferies Upgrades US Steel, CMC to Buy as Mexican Wall, Protectionism Looms in Trump Presidency

Jefferies has banked on a couple of near certainties in a Trump presidency – building of the wall on the border with Mexico, and the building of a protectionist wall for the steel industry – to upgrade US Steel (X) and Commercial Metals Company (CMC) to “buy.” The investment bank set a price target of $26 for US Steel and $20 for CMC on the thesis that a Mexico Border wall and tariffs will help the two. “The US steel industry should stand out as a unique beneficiary of a Trump presidency. Protectionism will significantly rise; the US is already…