Metal stocks which were beaten down in the last few trading sessions continue to gain on value buying. Shares of Tata Steel were up 4 per cent in trade, while Hindalco rallied 2 per cent, Sesa Goa was up 4 per cent and Jindal Steel was up 3 per cent.
Metal stocks had only recently hit their 52-week lows on sustained selling pressure following poor growth rates in India.
Some of the metal stocks are quoting at very low price to earnings multiples and most are trading below book values. This has prompted value buying in these stocks in the last few trading sessions.