Metal and mining stocks decline

Shares of seven metal and mining companies fell 0.6% to 1.96% at 14:15 IST as copper prices declined in global commodities markets.

Vedanta (down 1.26%), Hindalco Industries (down 1.46%), JSW Steel (down 0.6%), Bhushan Steel (down 1.96%), Jindal Steel & Power (down 1.14%), Tata Steel (down 1.16%) declined. Hindustan Zinc (up 1.16%), Steel Authority of India (Sail) (up 1.71%), National Aluminum Company (up 0.42%), NMDC (up 0.87%) and Hindustan Copper (up 2.28%) rose.

Jindal Steel & Power (JSPL) fell 1.03% to Rs 86.90, staging a recovery from day's low after the company secured long-term coal linkage of 1.18 million tonne per annum for its captive power generation plants in Chhattisgarh. JSPL has secured long-term coal linkage of 1.18 million tonne per annum (MTPA) for its captive power generation plants in Dongamahua and Raigarh in Chhattisgarh. The long-term coal linkage for a period of 5 years has been secured during the recent coal linkage auctions, JSPL said. The long-term linkage will ensure steady and assured supply of coal for the captive power plants, thereby enhancing the fuel security for the power plants, the company said.

Meanwhile, the S&P BSE Metal index was off 28.85 points or 0.28% at 10,115.47. The Sensex was off 46.34 points or 0.17% at 28,030.66. The fall in the S&P BSE Metal index was higher than than Sensex's decline in percentage terms.

The BSE Metal index index had outperformed the market over the past one month till 19 August 2016, rising 8.96% compared with 1.32% rise in the Sensex. The index, also outperformed the market in past one quarter, gaining 35.96% as against Sensex's 10.97% rise.

Copper edged lower in the global commodities market. High Grade Copper for September 2016 delivery was currently off 1.34% at $2.138 per pound on the COMEX.

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