Hindustan Zinc, Hindustan Copper, Vedanta Among Others Slip Ahead of Union Budget 2026

Indian equity markets traded with a negative bias in early hours on February 1 as select metal stocks came under pressure ahead of the Union Budget 2026. 

Investors appeared cautious while assessing potential policy signals related to customs duties, mining reforms and domestic manufacturing. Weakness in key metal names contributed to the drag on headline indices.

Metal Stocks Weigh on Market Sentiment

Shares of several metal and mining companies declined during early trade, reflecting subdued sentiment ahead of the Budget announcement. 

Stocks across aluminium, zinc and copper segments were among the notable laggards, adding to pressure on benchmark indices.

Stocks Dragging Indices Lower

The following metal stocks contributed to the downside in the broader market during early trade:

Budget-Related Caution in Metal Counters

Metal stocks remained under pressure as investors awaited clarity on potential changes to customs duties, input costs and mining policy. Market participants are also monitoring expectations around measures linked to domestic value addition and reduced import dependence under the Make in India initiative.

Sector-Specific Factors in Focus

Aluminium, zinc and copper producers are particularly sensitive to policy signals on import duties and raw material costs. Any indication regarding duty structures or incentives for mining and processing could influence sentiment across these segments in the near term.

Read More: MCX Gold and Silver Prices Today: Precious Metals Crash on Profit Booking Ahead of Budget 2026.

Conclusion

Metal stocks slipped in early trade ahead of Union Budget 2026, contributing to weakness in benchmark indices. With policy announcements awaited, market participants are likely to remain cautious, focusing on Budget outcomes that could shape cost structures and long-term prospects for the metals and mining sector.

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.

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