Vedanta Aluminium, NACL, Hindustan Copper, Vedanta shares slump as Nifty Metal slides over 3%
Shares of Vedanta Aluminium Metal Ltd, National Aluminium Company Ltd (NACL), Hindustan Copper Ltd, Vedanta Ltd, Hindustan Zinc Ltd, Steel Authority of India Ltd (SAIL) and Hindalco Industries Ltd were among the major laggards.
- Oct 23, 2026,
- Updated Oct 23, 2026 11:51 AM IST
Metal stocks came under sharp selling pressure on Friday, with the Nifty Metal sub-index falling as much as 3.30 per cent to 11,409.50 at the last check, compared with its previous close of 11,798.35. All 15 constituents of the index were trading in the red.
Shares of Vedanta Aluminium Metal Ltd, National Aluminium Company Ltd (NACL), Hindustan Copper Ltd, Vedanta Ltd, Hindustan Zinc Ltd, Steel Authority of India Ltd (SAIL) and Hindalco Industries Ltd were among the major laggards.
The sub-index has declined more than 10 per cent over the past six months and shed over 5 per cent in the last five trading sessions.
The weakness in metal stocks comes amid a sharp rise in crude oil prices, concerns over global economic growth and cautious investor sentiment. Brent crude prices climbed above $114 per barrel, while US West Texas Intermediate (WTI) crude futures surged past $100 a barrel.
Higher crude oil prices can increase transportation, freight and energy costs for metal producers, potentially putting pressure on profit margins. Oil prices continued to rise after Houthi attacks in Saudi Arabia fuelled concerns over further disruptions to energy supplies from West Asia.
Concerns over global growth are another factor weighing on the sector. Aluminium, copper and steel demand is closely linked to industrial activity, including construction, manufacturing and infrastructure. Fears of slower economic growth can weigh on demand expectations for these metals.
Currency and bond market movements can also influence commodity prices and investor sentiment. Weakness in international base metal prices, if sustained, could also impact the earnings outlook of Indian metal producers, particularly companies whose realisations are closely linked to global aluminium, zinc and other metal prices.
Commenting on the outlook, Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, said, "Crude has been trading around $114 per barrel, which is the key worrying factor for the market as well as metal stocks in the short to medium term. We need to see how oil prices behave over the next few days. From a long-term perspective only, one should consider holding on to metal stocks."
Metal stocks came under sharp selling pressure on Friday, with the Nifty Metal sub-index falling as much as 3.30 per cent to 11,409.50 at the last check, compared with its previous close of 11,798.35. All 15 constituents of the index were trading in the red.
Shares of Vedanta Aluminium Metal Ltd, National Aluminium Company Ltd (NACL), Hindustan Copper Ltd, Vedanta Ltd, Hindustan Zinc Ltd, Steel Authority of India Ltd (SAIL) and Hindalco Industries Ltd were among the major laggards.
The sub-index has declined more than 10 per cent over the past six months and shed over 5 per cent in the last five trading sessions.
The weakness in metal stocks comes amid a sharp rise in crude oil prices, concerns over global economic growth and cautious investor sentiment. Brent crude prices climbed above $114 per barrel, while US West Texas Intermediate (WTI) crude futures surged past $100 a barrel.
Higher crude oil prices can increase transportation, freight and energy costs for metal producers, potentially putting pressure on profit margins. Oil prices continued to rise after Houthi attacks in Saudi Arabia fuelled concerns over further disruptions to energy supplies from West Asia.
Concerns over global growth are another factor weighing on the sector. Aluminium, copper and steel demand is closely linked to industrial activity, including construction, manufacturing and infrastructure. Fears of slower economic growth can weigh on demand expectations for these metals.
Currency and bond market movements can also influence commodity prices and investor sentiment. Weakness in international base metal prices, if sustained, could also impact the earnings outlook of Indian metal producers, particularly companies whose realisations are closely linked to global aluminium, zinc and other metal prices.
Commenting on the outlook, Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, said, "Crude has been trading around $114 per barrel, which is the key worrying factor for the market as well as metal stocks in the short to medium term. We need to see how oil prices behave over the next few days. From a long-term perspective only, one should consider holding on to metal stocks."