The Nifty Metal index gained 3% on Monday after China’s central bank pledged to increase loans and lower borrowing costs amid sharp drop in bank lending in February.
Shares of Jindal Stainless (Hisar)
, Coal India
, Jindal Steel, NALCO
, and Vedanta
were leading the index’s gain.
As per media reports, the investor optimism regarding Peoples Bank of China (PBOC) to support the slowing economy arose after PBOC’s Governor Yi Gang said that there is still some room for the central bank to cut reserve requirement ratios (RRRs), although the amount of room is less compared with a few years ago.
Shares of Jindal Steel (Hisar), which spurted 5%, were leading the index’s gain. Shares of Coal India, NALCO, and Jindal Steel also contributed to the gain, climbing 4% each. Shares of Vedanta and SAIL
gained 3% each, while those of MOIL
, Hindustan Copper
, Tata Steel
, Welspun Corp
, and Hindalco
rose 2% each.
Meanwhile, equity benchmark indices were trading in the green on Monday with the Sensex gaining 312 points at 36,983 levels. The Nifty also climbed 108 points to trade at 11,143 levels.