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Here’s Why Solar Stocks are Getting Burned Now

Solar stocks are under severe pressure. A disaster at JinkoSolar has caused the stock to drop 23.3%. Among other stocks GTAT Advanced Technologies (GTAT) has declined 12% and Guggenheim Solar ETF is down 6%. The major reason here is weak demand, which has triggered competitive pricing cuts throughout the industry.

Matters have been made worse by news of a toxic chemical disaster at JinkoSolar’s plant in China, forcing its closure. The chemical leak led to violent demonstrations against the company, which makes solar panels.

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JinkoSolar is trading at $7.03 today, down 22%. Shares are down over 27% year to date. The stock’s trading range for the year is between $6.65 and $17.50.

Traders will be active in the solar sector today:  First Solar Inc . ,  Suntech Power Holdings   ,  Yingli Green Energy Hold. Co. Ltd . ,  LDK Solar Co.   ,  Canadian Solar Inc.   ,  Trina Solar Limited   ,  JA Solar Holdings Co.   ,  MEMC Electronic Materials , and  GT Solar International Inc.   , and  SunPower Inc  .

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