Caterpillar Looks to Hang Tough

January 27, 2011

At first glance, rising prices for steel and other raw materials make Caterpillar Inc. look vulnerable. After all, the maker of bright yellow road graders, tractors and diggers is one of the world's biggest users of steel.

But Caterpillar, which reports fourth-quarter results Thursday, has some natural protection: its sales of trucks and other equipment used in mining. When metals prices go up, so does demand for mining gear.


--Wall Street Journal