Why Shares of Cleveland-Cliffs Are Climbing Today
Shares of Cleveland-Cliffs (NYSE: CLF) were up more than 9% on Thursday afternoon after the iron-ore producer was added to the S&P SmallCap 600 Index. Being added into an index can prompt mutual funds and ETFs that track that index to buy shares, and it can help a smaller company like Cleveland-Cliffs gain visibility among potential investors.
Cleveland Cliffs will replace Mercury Systems on the S&P SmallCap index prior to the opening of trading on Oct. 8, when Mercury will be added to the separate S&P MidCap 400 Index. The announcement caused shares of Cleveland Cliffs to climb more than 13.3% at one point on Thursday before settling back somewhat.
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Source Fool.com
