If 2019 was a bad year for coal miners (which it was), 2020 is going to be much worse. As global demand for electricity has fallen due to the lockdowns to prevent the spread of COVID-19, many utilities around the world have cut back on coal-fired power generation first because it is more expensive than gas, wind and solar. The trend will continue during the subsequent economic recovery, and that will only increase pressure on older, money-losing coal power plants and help speed coal’s demise. Analysts project the industry will never recover from the blow dealt by COVID-19, which is a grim pronouncement for coal miners.
Related ETF: VanEck Vectors ETF (KOL)
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