Metal company stocks were under pressure on Thursday amid volatile session ahead of F&O Expiry. Investors booked profits on heavyweight stocks after Fitch Ratings increases global metals and mining price assumptions to the market.
On the global front, Shanghai base metals all closed with gains amid bullish sentiments on the previous trading session. Meanwhile, their counterparts on LME trended mixed.
Today, the Nifty Metal index traded lower and hovered between an intraday high and low of 5,642.80 and 5,548.25 respectively due to a broad-based selloff in heavyweight stocks.
At around 10:40 AM, Nifty Metal is trading at 5,570.90 lower by 31.70 points or 0.57%. The index had 13 scrips on the decline side and 2 scrips on the advance front.
Stocks like NALCO, JSW Steel, Hindustan Copper shed nearly 1% each.
Hindalco and NMDC dropped 0.71% and 0.70% respectively while Hindustan Zinc was also 0.68% lower in the index.
Moreover, on the Nifty Metal, Vedanta, APL Apollo and Tata Steel traded marginally down to join index bears.
On the contrary, Welspun Corp was the top gainer soaring nearly 5.5% followed by Adani Enterprises advancing 0.44%.
As per Fitch report, the rating agency increases global metals and mining price assumptions, particularly those that benefit from increased longer-term demand due to global decarbonisation or short-term supply-demand imbalances.
Furthermore, Mines Ministry attached special focus on exploration and production of fertilizer and strategic minerals. Centre has handed over cumulatively 152 potential mineral block reports to state governments this year.
#Nifty #Metal #pressure #broadbased #selloff #Ratnamani #SAIL #JSPL #led #bearish #tone
( With inputs from indiainfoline)