Metal shares were among the top gainers today amid a report that said the government was considering extending an import tariff, locally known as a safeguard duty, on some steel products to counter cheaper imports primarily from China.
Tata Steel (1.83%), Steel Authority of India Limited (3.52%), Lloyds Metal & Energy (4.29%), Jindal Stainless (2.58%) and Jindal Steel (2.19%) led the rally in early deals today. Nifty Metal index gained 200 points to 10,272.
The metal index has shown a 19% gain this year, significantly outpacing the 10% rally in the benchmark Nifty.
On the other hand, BSE metal index has gained 18% this year. In the current session, the index rose 675 points to 34,045 in early deals today.
The government in August recommended a three-year import tariff of 11%-12% on some steel products as part of the final findings of the Directorate General of Trade Remedies that falls under the trade ministry.
Meanwhile, Sensex rose 790 pts to 85,376. Market breadth favoured bulls, with 2,677 out of 3,944 active stocks trading higher. The NSE benchmark Nifty rose 246 pts to 26,130 in early deals today.
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