Amid weakness on the bourses, the only sector showing strength is the metal pack. And this is on renewed optimism on demand for the commodities as economies' outlook improve after the Covid 19 setback.
Among individual stocks from the Nifty Metal pack which was last up around 2.52 percent even as Sensex drifted lower by close to 1 percentage or 500 points, there was seen traction in Vedanta, Hindustan Zinc, Hindalco, JSW Steel and Tata Steel. Hindustan Copper rallied over 17% as prices of Copper zoomed to a record high.
|Stock from Metal pack||% gains intra-day on February 22, 2021|
In the commodity space, copper prices have hit a high of $9000 as supply side concerns surface.
Also, iron prices inched higher to near 10-year high as China returned after the Lunar New Year. "We expect China to open up on a positive note post-CNY as a major positive. HRC and rebar prices in China surged 6 per cent and 4 per cent, respectively, while Dalian iron ore futures index shot up 6 per cent amid better demand prospects. All in all, we remain positive on the ferrous space," said analysts at Edelweiss Securities.