Metal company stocks gain on firm global prices

Reuters Market Eye - Shares in metal companies are up with the NSE metal index gaining 1.3 percent on value-buying as investors bet on higher global prices and a spurt in Chinese buying, traders say.

Data indicates that both steel and copper prices would be steady in the short term, says one of the dealers.

China trade data points to an active January, Morgan Stanley says in a note, as Chinese steel exports rose 38 percent year-on-year while iron ore imports rose by 32 percent.

London copper was steady on Tuesday after gains in the previous two sessions, supported by a post-Lunar New Year pick up in Chinese buying.

 

Chinese imports surged 53.2 percent in January from a year ago to a record high as tight credit conditions late last year encouraged traders to boost shipments.

At 12:47 p.m., shares in Hindalco Industries , Tata Steel and Jindal STeel and JSW Steel were trading up between 1.8 percent and 5 percent. The Sensex and the Nifty are up about 1 percent each.

(Reporting by Indulal P)