At around 12.38 pm, Nifty Metal was trading at 5,450.70 nosediving by 233.15 points or 4.1%. On the index, only 2 scrips advanced, while 13 scrips declined.
Tata Steel was the top bear of the index tumbling by 6.3% as some brokerages give a sell target on the company's stock. However, last week, Moody's Investors Services upgraded the company's corporate family rating to Ba1 from Ba2 due to better-than-anticipated operating performance this fiscal year and a step-change reduction in gross debt that has materially strengthened its credit metrics. Moody's rating outlook remains stable.
Further, on Nifty Metal, Hindalco, JSPL and NMDC dragged the index by plunging between 5-6%. NALCO slipped over 4%.
Stocks like SAIL, JSW Steel and Vedanta dived more than 3% each, while APL Apollo shed over 2.3%.
Hindustan Zinc and Coal India dipped by 1.9% and 1.8% respectively. Adani Enterprises and Ratnamani Metals declined by nearly 1% each.
However, on the positive front, Welspun Corp was the top gainer soaring by over 2%. The company has received multiple orders of approximately 120 KMT valuing close to Rs1,400cr most of which will be executed from our facilities in India.
Meanwhile, MOIL was also in the green but traded on a flat note.
India's copper imports increased by a whopping 26% to 60,766 tonnes in the quarter ending June 2021 (Q1FY22) compared to 48,105 tonnes imports witnessed in the same quarter a year ago. The International Copper Association (ICA) expects the country's import to rise further in this financial year due to an uprise in economic activities as Covid-19 related curbs lifted.
On the global front, metal prices were broadly lower as the US dollar hit a 3-week high. A stronger dollar results in expensive greenback-priced metals. Also, investors are awaiting the US Federal Reserve meeting scheduled for later this week. Expectations of 'tapering' of bond purchases from the Feds is seen to give a selling bias on emerging markets.