Metal Stocks

Metal Shares Gain: Shares of metal companies rallied sharply on October 24, defying the broader market downturn. The surge pushed the Nifty Metal index up more than 2% to 10,457.40 in early trade before paring some gains to trade 1% higher at 10,359 around noon.

Here are the key factors driving the rally in metal shares:

1. Trump–Xi Meeting Hopes Ease Trade Concerns

Global metal prices surged after the White House confirmed that U.S. President Donald Trump will meet Chinese President Xi Jinping in South Korea on October 30, as part of Trump’s Asia visit.

The announcement came amid renewed trade tensions following Trump’s plan to raise tariffs on Chinese imports to 155%. Investors are now hopeful that the meeting could ease trade hostilities, improving the global demand outlook for metals.

White House Press Secretary Karoline Leavitt said Trump’s itinerary includes stops in Malaysia, Japan, and South Korea, following his address at the APEC CEO Summit.

2. Metal Prices Rise on Tight Supply and Global Stimulus Hopes

Aluminium prices on the London Metal Exchange (LME) climbed past $2,850 per tonne, supported by strong demand and tightening supply. The rally was further fueled by expectations of monetary easing from major central banks.

Adding to the supply crunch, a smelter in Iceland temporarily shut operations due to equipment failure, likely affecting 100 kt of production. Copper prices also advanced about 2% on the LME.

3. US Fed Rate Cut Expectations Lift Sentiment

Optimism around further rate cuts by the U.S. Federal Reserve added to the positive momentum. According to a Reuters poll, the Fed is expected to cut interest rates by 25 basis points to 3.75–4% on October 29, with another potential cut in December.

Lower rates generally boost non-yielding assets like commodities, supporting investor appetite for metals.

4. Top Metal Gainers

National Aluminium Company (NALCO) shares have gained more than 4 percent, while Hindalco Industries and Hindustan Copper shares have gained more than 3 percent each. Vedanta shares were up nearly 3 percent.

Earlier during the day, Hindalco shares hit a 52-week high of Rs 826.50 apiece. This comes after its subsidiary Novelis said that its fire-damaged plant in Oswego will restart by the end of December, earlier than expected.

Hindustan Zinc shares gained around 2 percent, while NMDC, Jindal Stainless Steel, Steel Authority of India (SAIL) and Jindal Steel and Power shares were up around 1 percent each.

Heavyweights Tata Steel and JSW Steel shares were trading in the green with marginal gains.

Bucking the trend, APL Apollo Tubes, Welspun Corp and Adani Enterprises shares were trading in the red.

Disclaimer: The views and investment tips by experts in this News18.com report are their own and not those of the website or its management. Users are advised to check with certified experts before taking any investment decisions.

Sensex Today

Sensex Today: Indian benchmark indices traded lower on Friday, weighed down by reports that the US is considering a fresh probe against China regarding their 2020 trade deal. Rising crude oil prices, driven by US sanctions on Russia, further dented market sentiment.

By 12 PM, the Sensex was at 84,354.58, down 201.82 points or 0.24%, while the Nifty stood at 25,823.90, down 67.5 points or 0.26%.

On the Sensex, Hindustan Unilever (HUL), Kotak Bank, Axis Bank, Titan, Power Grid, ITC, Adani Ports, NTPC, Tech Mahindra, Eternal, and Maruti Suzuki were the top losers, falling up to 3.5%. On the upside, ICICI Bank, Tata Steel, Bharat Electronics (BEL), M&M, Bharti Airtel, HDFC Bank, and SBI led the gains.

Broader markets were muted, with the Nifty Midcap 100 down 0.05% and the Nifty Smallcap 100 sliding 0.18%.

Sector-wise, the Nifty Metal index led the rally with 1% gains, followed by the Nifty Realty index, up 0.5%. The Nifty FMCG index lagged, declining 1.16%.

Global Cues

Across Asia, markets traded higher after the White House confirmed that US President Donald Trump and Chinese President Xi Jinping will hold discussions next week during Trump’s Asia visit. Japan’s Nikkei 225 advanced 1.1%, Hong Kong’s Hang Seng rose 0.95%, and South Korea’s KOSPI gained 1.29%.

Overnight, US markets closed higher, led by gains in technology stocks following upbeat corporate earnings. The S&P 500 climbed 0.6%, the Nasdaq Composite surged 0.9%, and the Dow Jones Industrial Average added 0.3%.