Robust imports, Steel curb extension boost metals: Angel Commodities Broking

Views of Ms. Kaynat Chainwala (Research Analyst - Base Metals, Angel Commodities Broking):

"Base metals are currently basking under the glory of robust January import numbers from China. Latest data from China's General Administration of Customs showed Copper imports rose 13 percent to 314,525 tonnes, while refined zinc imports surged by a whopping 287 percent to 67,111 tonnes and refined nickel imports doubled to 26,691 tonnes in January 2018.

Not only this, metals got another reason to rejoice after China's top steelmaking city of Tangshan proposed to extend restrictions on production between 16th March and 14th November 2018 once the current curbs expire in March in order to improve air quality. Major mills including Tangsteel Company and privately-owned Tangshan Guofeng Iron & Steel Co Ltd will be ordered to cut production by as much as 15 percent while others will have to curb 10 percent.

Rally could however be short lived as global investors will cautiously await the testimony of incoming Fed President Jerome Powell ion Tuesday."

Shares of TATA STEEL LTD. was last trading in BSE at Rs.680.25 as compared to the previous close of Rs. 677.8. The total number of shares traded during the day was 769146 in over 8948 trades.

The stock hit an intraday high of Rs. 692 and intraday low of 672.55. The net turnover during the day was Rs. 524462505.

Source : Equity Bulls

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