President Joe Biden intends to block the proposed $14 billion acquisition of U.S. Steel (X) by Japanese firm Nippon Steel, according to a Washington Post report, causing volatility in shares of the iconic American company.

The Committee on Foreign Investmeꩵnt in the United States (CFIUS) has been investigating the deal for possi𝔍ble national security risks, the report said, but its recommendation has not been made public. Biden is required by law to receive the committee's recommendation before formally blocking the deal.  

Shares of U.S. Steel fell 17% Wednesday following the report and have recovered a fraction of that ground intraday Thursday. Year-to-daꦏte, the stock is down about 40%. 

Analysts at Jefferies said Wednesday they see "deep value in X's shares as a standalone after today's aggressive sell off." The firm reiterated its "buy" rating for the stock, although it lowered its price target to $41 from $47, a nearly 40% premium on Wednesday's closing price.

US Steel CEO Says Blocked Dꦑeal Could Mean Closꦅed Plants

U.S. Steel 澳洲幸运5官方开奖结果体彩网:Chief Executive Officer (CEO) David Burritt told The Wall Street Journal that the company may have to 澳洲幸运5官方开奖结果体彩网:close steel plants and move its headquarters from Pittsburgh if the deal doesn’t go through. His comments came days after Democratic presidential candidate and Vice President Kamala Harris said she 澳洲幸运5官方开奖结果体彩网:supported Presi♕dent Biden'♔s position that the company should remain American-owned. Form꧂er President Dona🥃ld Trump also opposes the acquisition.

Burritt added that Nippon has said it will invest nearly $3 billion in U.S. Steel's older mills, cash that was needed to keep them competitive and retain jobs. "We wouldn't do that if the deal falls through," he told the Journal. "I don't have the money."

However, the United Steelworkers union, headquartered in Pittsburgh, opposes the deal. The union preferred a 澳洲幸运5官方开奖结果体彩网:$7.25 billion offer from domestic rival Cleveland-Cliffs (CLF), which U.S. Steel rejected.