Alcoa Drops as $1 Billion Revamp Faces World Awash in Metal
(Bloomberg) -- Alcoa Corp. shares headed for the biggest decline since mid-2018 after the top U.S. aluminum producer reported a wider-than-expected loss and said it sees global output of the metal outstripping demand this year. The forecast for a surplus adds urgency to the company’s cost-cutting drive after a fourth straight quarterly loss. Aluminum prices have slipped amid trade tensions and a slowdown in manufacturing worldwide, and Alcoa’s forecast suggests further declines may be in store. Alcoa on Wednesday projected global aluminum supply will exceed demand by as much as 1 million metric tons in 2020, fueled by production in China.