At around 12.29 pm, Nifty Metal was trading near the record high at 4,790.05 up by 145 points or 3.12%.
JSW Steel was the top gainer on Nifty Metal soaring by 7% followed by Tata Steel advancing nearly 5%. MOIL and SAIL climbed by 4.4% and 4% respectively.
NALCO surged nearly 3%, while Hindalco and Vedanta zoomed by nearly 2% each. JSPL and Adani Enterprises gained by 1.4% and 0.7% respectively. Hindustan Zinc was marginally up.
Hindustan Zinc registered a net profit of Rs2,481cr for the quarter ending March 2021 (Q4FY21), rising by a whopping 85% yoy and 13% QoQ is driven by a recovery in metal prices and strict cost discipline. For full fiscal FY21, the company's net profit soared by 17% yoy to Rs7,980cr. Operating profit (EBITDA) climbed by 98% yoy and 17% sequentially to Rs3,875cr in Q4FY21 on account of higher revenue, favourable pricing environment and well-controlled operating costs.
On the contrary, on Nifty Metal, Welspun Corp is the top underperformer tumbling by 1.4% followed by Coal India and APL Apollo plunging by 0.5% each. Ratnamani was down 0.4%.
Overnight, Shanghai and London base metals cruised higher after the US Federal Reserve kept interest rates near zero despite giving a brighter economic outlook. The US Fed stated that the economy has improved along with the job market.
At Shanghai Future Exchange, Copper settled higher by 1.29%, aluminium surged 0.76%, zinc gained 0.56%, nickel climbed 2.82% and tin soared 3.27%, while lead shed 0.62%. Meanwhile, at the London Metal Exchange, aluminium edged up 0.04%, nickel strengthened 2.36%, lead inched higher 0.07% and tin climbed 4.06%, while copper slipped 0.22% and zinc dived 0.09%.
Further, China's announcement for removal of VAT rebates on exports of 146 steel products from 1 May, has also lifted metal stocks. Starting next month, the VAT rebate of 13% of the VAT charged on exports on products such as hot-rolled coil, wire rod and rebar will no longer apply. Also, products like cold rolled steel sheet, hot-dip galvanized sheet and narrow strip were in the list of products where the rebate is eliminated from May.