Hindustan Zinc, Hindalco, NALCO Among Metal Stocks That Fell Amid Profit Booking and Global Uncertainty

On June 12, metal stocks were among the worst hit in a broader market fall. The Nifty Metal index, which tracks 15 metal companies, dropped 1.55%. This came just after a strong 4% rise over the previous week.

Out of the 15 metal stocks in the index, 14 ended in the red. Top losers included Welspun Corp, APL Apollo, Tata Steel, SAIL, Vedanta, and NMDC, all down between 2% to 3%. Other major names like Hindalco, Hindustan Zinc, Adani Enterprises, and NALCO also declined between 0.5% and 1.75%. The only exception was Jindal Stainless, which managed to end in the green.

Why Did Metal Stocks Fall?

The decline was largely driven by investors booking profits after a recent uptrend, along with rising concerns over international developments. 

Heightened tensions in the Middle East and stalled US-China trade negotiations increased market unease. Additionally, ongoing geopolitical uncertainty—particularly involving the US and Iraq—and the absence of concrete outcomes from US-China discussions led investors to adopt a cautious approach. 

The metal sector has continued to show volatility amid worries about weakening global demand.

Also Read: Adani Group Q4 FY25 Earnings Results: Reported ₹89,806 Crore EBITDA, Up 8.2%!

Conclusion

The fall in metal stocks on June 12 was largely due to profit-booking after a recent rally and rising global uncertainties. Keep an eye on select metal stocks like JSW Steel, Tata Steel, and Hindustan Zinc, especially if prices dip further.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.