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What: Shares of Patriot Coal
So what: Peter Ward, an analyst at Jefferies, helped fuel the recovery fire today when he said that stocks were due to bounce back. It looks like the disappointing production news the company announced last month has been priced in sufficiently, and investors looking for a rebound are now piling into the stock.
Now what: Energy stocks have been under pressure this week as oil prices fell, but coal stocks have taken the brunt of the market's fear for more than a month. An economic slowdown would mean less electricity consumption in an environment that has already seen that fall recently. I'm not buying into the move yet, but if the economy does start to recover, coal stocks will see a nice boost along with the rest of the market.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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