Downgrading The SLX ETF From Buy To Hold

The VanEck Steel ETF has sustained a bullish trend, nearing its 2008 all-time high, driven by rising steel prices and global supply-demand dynamics. SLX is rated a hold, as recent price strength increases correction risk, but long-term drivers—military demand, inflation, and potential Chinese recovery—remain supportive. Tariffs and trade protectionism have bolstered U.S. steelmakers, while elevated input costs and interest rates present ongoing challenges for steel demand.