ArcelorMittal Shares Dip 2.63% Midday January 8 Despite Morgan Stanley Upgrade
As of midday on Thursday, January 8, ArcelorMittal's stock price stood at 40.33 euros, marking a decrease of 2.63% from the previous day's close at 41.42 euros. This correction follows three consecutive sessions of gains which had pushed the price up by 3.17% over seven days. Despite this, the quarterly performance remains strong with a gain of 21.73%, while the annual rebound now stands at 88.99%, indicating a spectacular turnaround for the Luxembourg-based steelmaker. Trading volume remains low with only 0.04% of capital traded during the session. This technical pause follows an upgrade in recommendation by Morgan Stanley the previous day, which shifted the stock from equal-weight to overweight and raised its price target from 33.70 euros to 46.20 euros. The American bank bases its decision on the belief that the European steel market is undergoing structural changes favorable to local producers, who could benefit from the trade defense mechanisms proposed by the European Commission. The group could thus increase the utilization rate of its plants in Europe, currently around 65%, and boost its steel exports by about 10% in the short term.
The stock is now trading slightly below its resistance level at 41.42 euros, a technical level it had surpassed the previous day before retracting. The 50-day moving average at 36.39 euros remains a distant support, confirming the strength of the medium-term trend. The RSI stands at 67, indicating a favorable zone without excessive optimism, but very close to the overbought threshold of 70, which may explain the current pause. This configuration still leaves room for upward movement, but also suggests the need for a technical consolidation. The stock trades above the upper Bollinger band at 40.59 euros, confirming the momentum of recent sessions while illustrating a technical extension that could justify profit-taking. The positive alignment of moving averages remains intact with the 20-day moving average at 38.74 euros and the 200-day moving average at 30.19 euros, showing a significant gap from the annual lows. The MACD displays a positive divergence with a line at 0.99 and a signal at 0.87, confirming the underlying bullish momentum despite the day's decline. The Chaikin Money Flow at 0.12 indicates moderate but present buying flows.
On December 26, 2025, ArcelorMittal concluded an 18-year Nuclear Production Allocation Contract with EDF, allowing the steelmaker to secure its long-term low-carbon and competitive electricity needs for its French sites. The first deliveries began on January 1, 2026, just after the expiration of the Arenh mechanism which had guaranteed a regulated price of 42 euros per megawatt-hour since 2012. The publication of the annual results for 2025 is scheduled for February 6, 2026, a date that the market is eagerly anticipating to confirm the group's strategic investments.
