U.S. Steel: No Really. Steel’s Gonna Be Just Fine, Morgan Stanley Says

It's been a painful month for steel stocks like U.S. Steel ( X ), AK Steel ( AKS ), Nucor ( NUE ), and Steel Dynamics ( STLD ), with stocks getting hit by fears that infrastructure spending will go the same was as health care, and concerns about global growth. To those concerns you can also add falling East Coast export prices, say Morgan Stanley's Evan Kurtz and team, and falling coal prices , which would create a "meaningful drop in the steel cost curve [that] will likely create an additional headwind for global steel prices." They're bullish anyway. Kurtz explains why: