Several steel companies, including Steel Dynamics and Nucor, have been downgraded to Neutral by UBS, while Commercial Metals Company has been downgraded to Sell.
This decision was made due to analysts' expectations of a pause in the stock performance of Steel Dynamics, which has recently performed well in the market.
The downgrades reflect UBS's cautious outlook on the steel sector, as they believe that the stocks may not continue to rise in the near future.
This move by UBS highlights the changing dynamics in the commodities market, specifically for steel producers.