Metal shares falter as China PMI hits 6-1/2-year low

Tata Steel lost over 2%, Vedanta eased 1.7%, Hindalco dipped 0.7%, NALCO dropped 0.4%, SAIL lost 1%, Jindal Steel slumped 1.3%, NMDC gave off 2.3% and JSW Steel cracked 4%

Shares of metal companies were trading lower after China’s, the world's largest consumer of metals, Caixin PMI fell to a six and a half year low citing fears about the health of China's economy. CLICK FOR FULL STORY

The preliminary Caixin/Markit China Manufacturing Purchasing Managers' Index (PMI) fell to 47.0 in September, the worst since March 2009 and below market expectations of 47.5 and August's final 47.3. Levels below 50 signify a contraction.

The flash PMI is one of the first measures to be released about China each month and is closely monitored by investors.

At 10:50 am, Tata Steel was the top Sensex loser down over 2%, Vedanta eased 1.7%, Hindalco dipped 0.7%, NALCO dropped 0.4%, SAIL lost 1%, Jindal Steel slumped 1.3%, NMDC gave off 2.3% and JSW Steel cracked 4%. Meanwhile, BSE Metal index was down 1.16% at 6,896.