Metal stocks tumble; Tata Steel cracks 9.5 pc

Metal stocks on Monday received severe drubbing and plummeted up to 9.5 per cent in line with the broader market trend.

Tata Steel was the biggest loser on the Sensex chart and crashed 9.53 per cent.

Shares of Jindal Steel & Power Limited tumbled 9.13 per cent, National Aluminium Company Limited plunged 8.92 per cent, Steel Authority of India Limited (8.20 per cent), NMDC (7.70 per cent), JSW Steel (6.99 per cent), Hindalco Industries Limited (6.07 per cent), Vedanta (4.99 per cent), Hindustan Zinc (3.33 per cent) and Coal India Limited (1.50 per cent) on the BSE.

Tracking decline in these stocks, the BSE metal index fell 6.80 per cent to close at 20,477.72.

Concerns over the fate of Chinese real estate major Evergrande and its impact on the world's second-largest economy pulled down global commodity prices. ''Metals have been under pressure today on buzz over Chinese firm Evergrande facing financial trouble and speculation over default on debt payment, which has led to a selloff in most risky assets.

"Metals complex has been roaring since the start of the year and looked quite overheated given the change in stance from Fed over its bond purchase programme and weaker data coming out of China over the last couple of months,'' said Navneet Damani, Head of Commodities & Currencies Research, Motilal Oswal Financial Services.

The 30-share BSE benchmark also tanked 524.96 points or 0.89 per cent to 58,490.93.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)