By Dhirendra Tripathi
Investing.com — Shares of steel producers and those of construction material and equipment providers were all up by least 1% in Wednesday’s premarket trading following the passage of the $1 trillion infrastructure package through the Senate.
Nucor (NYSE:NUE) was up 2.8%, United States Steel (SA:USSX34) 1.2% and Cleveland-Cliffs (NYSE:CLF) 1%.
Building materials producer Vulcan (NYSE:VMC) gained 1.4% on hopes that the spending will spur demand for its products and boost its topline. Caterpillar (NYSE:CAT), whose equipment for mining and excavation can often be seen at construction sites, was up 0.8%.
The proposed spending is one of the most ambitious and substantial investment in roads, bridges, rail, electricity grids and water projects committed by any administration in several decades.
The approval tops the previous projection and includes an additional $550 billion of investment in water projects, electricity grid and safety efforts.
The package now faces its last hurdle in the Congress.