Market slips into negative terrain; metal shares climb

Business Standard

2 days ago

The key benchmark indices traded with modest losses in mid-morning trade amid global trade tensions. Market participants will closely monitor domestic economic indicators and global trade development. The Nifty traded around the 24,600 level.
Metal shares rally after declining in the past two consecutive trading sessions.
At 11:25 IST, the barometer index, the S&P BSE Sensex declined 443.70 points or 0.55% to 80,923.84. The Nifty 50 index fell 118.05 points or 0.47% to 24,600.40.
In the broader market, the S&P BSE Mid-Cap index shed 0.15% and the S&P BSE Small-Cap index added 0.33%.
The market breadth was positive. On the BSE, 1,987 shares rose and 1,740 shares fell. A total of 208 shares were unchanged.
Buzzing Index:
The Nifty Metal index added 0.59% to 9,182.35. The index fell 2.39% in the past two trading sessions.
Lloyds Metals & Energy (up 6.01%), Hindustan Zinc (up 4.33%), Jindal Stainless (up 2.73%), National Aluminium Company (up 1.77%), NMDC (up 1.46%), Hindalco Industries (up 1.39%), Steel Authority of India (up 1.22%), Vedanta (up 0.89%), APL Apollo Tubes (up 0.87%) and Jindal Steel & Power (up 0.84%) advanced.
Stocks in Spotlight:
Larsen & Toubro (L&T) declined 1.35%. The company has announced that its water & effluent treatment (WET) vertical has secured significant orders from the Public Health Engineering Department of Rajasthan.
RITES rose 0.86%. The company said that it has emerged as the lowest bidder (L-1) in a quality-cum-cost based selection (QCBS) tender floated by Gujarat Urban Development Company (GUDCL) for a project worth Rs 28.50 crore.
Global Markets:
US Dow Jones futures were down 156 points, signaling a weak start for Wall Street.
Most Asian stocks advanced on Tuesday, tracking overnight gains across all three major U.S. stock indices, despite ongoing global trade tensions. South Korean markets remained closed due to polling day.
China responded to U.S. allegations of violating a temporary trade agreement, stating that the United States had failed to uphold its side of the deal. The exchange highlights increasing strain in trade negotiations between the two countries.
Separately, the European Union criticized U.S. President Donald Trump's proposal to raise steel tariffs to 50%, arguing that the move could disrupt ongoing EU-U.S. trade discussions. An EU spokesperson reportedly indicated that the bloc is prepared to implement countermeasures if necessary.
China's Caixin/S&P Global manufacturing purchasing managers index (PMI) declined to 48.3 in May from 50.4 in April, marking its first drop below the 50-point threshold, indicating contraction, since September of the previous year.
In the U.S., stock indices closed higher on Monday, supported by gains in technology stocks and a surge in the energy sector following a rise in oil prices. Domestic steel and aluminum stocks also climbed on expectations of benefits from potential tariff increases. The S&P 500 rose 0.41%, the Nasdaq Composite gained 0.67%, and the Dow Jones Industrial Average edged up 0.08%.