Hindustan Copper, Hindustan Zinc, Vedanta, other metal stocks falling today; what's the trigger?

Metal stocks such as Hindustan Copper Ltd, Hindustan Zinc Ltd, Vedanta Ltd and Tata Steel Ltd declined sharply in Thursday's trade, tracking weakness in the broader market amid rising global uncertainties.

Indian equities resumed their fall after a brief single-day pause as US President Donald Trump's latest speech on the Iran war failed to cheer investors in Asia amid the absence of a clear timeline for an end to the conflict. Trump, who was earlier suggesting an Iran exit, even without any deal on the Strait of Hormuz, declared the US was going to hit Iran "extremely hard" in the next two to three weeks.

The pressure was visible in metal counters as the Nifty Metal sub-index cracked over 3 per cent at last check. Another Trump-driven trigger appeared to weigh on sentiment. The Wall Street Journal (WSJ) has reported on an expected overhaul of steel and aluminium tariffs by the Trump administration.

According to the report, the US administration is preparing to reshape its steel and aluminium tariff regime, altering duties on finished products to help simplify compliance. The net effect of the changes could effectively raise costs for many imports, it added.

The entire metal pack traded in the red in early deals, with Hindustan Copper Ltd, APL Apollo Tubes Ltd, Hindustan Zinc Ltd, National Aluminium Company Ltd, Vedanta Ltd, Hindalco Industries Ltd and Tata Steel Ltd declining up to 4.70 per cent.

Selling remained broad-based across sectors, with banking, pharma, realty, healthcare, energy and financial services stocks also witnessing a strong downtrend.

The broader market stayed under pressure, with the Nifty Midcap 100 and Nifty Smallcap 100 indices shedding over 3 per cent each, indicating widespread risk-off sentiment among investors.