Mumbai, March 12 (IANS) The share prices of JSW Steel Limited and Tata Steel Limited fell on Wednesday, leading to a decline in the Nifty Metal index.
This drop comes as the US imposed new tariffs on steel and aluminum, impacting global market sentiment.
US President Donald Trump announced a 25 per cent duty on steel and aluminum imports without any exemptions.
This move is expected to affect metal prices in the international market. Despite concerns raised by American industries, including aluminum giant Alcoa Corp, Trump proceeded with the tariff hike.
Alcoa had warned that these tariffs could put thousands of jobs at risk and drive up costs for American consumers already struggling with inflation.
Following the news, the Nifty Metal index dropped by 1.85 per cent to a low of 8,732.95. While the Nifty saw a comparatively smaller decline of 0.65 per cent to trade at 22,351.9.
In early trade, Nifty Metal had gained 0.85 per cent to reach 8,972.60 but later slipped into negative territory.
JSW Steel Limited and Tata Steel Limited were the biggest drags on the Nifty Metal index as of noon.
Meanwhile, Vedanta Limited and Welspun Corporation provided some support to the index. The overall market capitalisation of metal companies shrank by Rs 12,830 crore, bringing the sector’s total valuation down to Rs 15.77 lakh crore.
Most stocks in the Nifty Metal index traded lower. APL Apollo Tubes Limited recorded the highest intraday loss of 2.91 per cent, trading at Rs 1,406.80 per share.
Jindal Stainless Limited and Ratnamani Metals & Tubes Limited also faced declines of 3.10 per cent and 1.17 per cent, respectively.
However, Hindustan Copper Limited and Welspun Corporation bucked the trend, trading higher within the index.
Meanwhile, the Indian stock market opened flat on Wednesday, reflecting mixed global cues. At the opening bell, the Sensex was up by 22.30 points, or 0.03 per cent, at 74,080.02, while the Nifty gained 24.65 points, or 0.11 per cent, to reach 22,473.25.
The Nifty Bank index saw an uptick of 231.40 points, or 0.48 per cent, trading at 47,867.05. The Nifty Midcap 100 and Nifty Smallcap 100 indices also showed minor gains.
–IANS
pk/rad
