Nifty Metal emerges top bull, index soars over 2% as copper price rises, ahead of Hindustan Zinc's Q1; JSW Steel, SAIL, JSPL led the pack

The metal index has gained by more than 2.5% with an intraday high of 5,330.70.

Jul 22, 2021 01:07 IST India Infoline News Service

The Nifty Metal index emerged as the top bull on Thursday led by broad-based buying across stocks as investors gauge June 2021 quarterly results of the companies with Hindustan Zinc being the latest one.

Also, investors were optimistic as copper price advances shrugging off worries about rising coronavirus cases globally. Furthermore, China has decided to release fewer reserve metals than expected - which further boosted sentiments.

Hindustan Zinc is scheduled to announce its June 2021 quarter results today. The Vedanta Group-led company recorded a net profit of Rs7,980cr in FY21 up by 17% yoy and sales climbed by 22% yoy to Rs22,629cr.

In the early deals, the 3-month  copper on the London Metal Exchange was near $9,381 a tonne, while the most-traded August copper contract on the Shanghai Futures Exchange rose to around 68,740 yuan ($10,632.14) a tonne.  Generally, copper is used to gauging global economic health.

Metal stocks will be in focus as China which is the world's top metals consumer, will offload another 30,000 tonnes of copper, 90,000 tonnes of aluminium, and 50,000 tonnes of zinc from its state reserves on July 29 - that is less than markets expectations.

At around 1.13 PM, Nifty Metal was trading at 5,310.30 up by 116.65 points or 2.3%. The index has gained by more than 2.5% with an intraday high of 5,330.70.

On the index, JSW Steel was the top gainer soaring nearly 4%. While SAIL and JSPL followed by gaining 3.09% each. Tata Steel jumped by 2.8%, while Vedanta and Hindalco climbed by 2.7% each. NALCO advanced nearly 2%.

Hindustan Zinc and Coal India gained more than 1% each. NMDC jumped by 0.9% and Ratnamani zoomed by 0.5%.

On the downside, APL Apollo was the top loser tumbling nearly 1%, while Adani Enterprises plunged marginally. MOIL traded flat. 

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