Hindustan Zinc share price rises on silver's record rally; should you buy?

Hindustan Zinc share price today: Hindustan Zinc share price rose over 4 per cent on Monday as silver's record rally fueled bullish sentiment for the stock. The company among the world's top five silver producers and India's only integrated listed silver producer.   Hindustan Zinc share price rose 4.30 per cent to ₹632.55, the highest level since January 7 on the National Stock Exchange (NSE). The stock was trading 3.45 per cent higher at ₹627.30 as of 1:59 PM, as compared to 0.19 per cent advance in the NSE Nifty 50 index.   Why did Hindustan Zinc share price rise today? 

Hindustan Zinc Limited share price rose as buying interest emerged after silver scaled a fresh high on geopolitical tension. Silver prices impact sentiment for Hindustan Zinc as the company is India's only integrated and listed silver producer. 

 

 

The white metal drove 40 per cent of Hindustan Zinc's overall profit during the second quarter of the current financial year (Q2FY26). The company has a vision to become the largest and most admired zinc, silver and lead producer, according to their second-quarter earnings report. 

 

In the third quarter of the current financial year (Q3FY26), Hindustan Zinc produced 158 tonnes of silver, the company said in its business update on January 2.   Analyst View 

Hindustan Zinc, after a sharp six-week rally followed by two weeks of consolidation, has gapped up above the 10 and 20-day exponential moving average (EMA) spread and is currently trading firm near ₹631, said Anshul Jain, head, research, Lakshmishree

 

While price strength is evident, the lack of a meaningful volume expansion raises caution about the trend's sustainability. For a decisive trending move to develop, the stock must sustain above the ₹650 zone, which would open the path toward the major resistance near ₹700. Until that confirmation comes, the move remains vulnerable to consolidation or rejection, he said.

 

A breach and close below ₹610 would negate the bullish structure and turn the recent gap-up into a bull trap. The risk–reward remains balanced at current levels, with confirmation still awaited, Jain added 

 

Silver hits a new high

 

Silver prices hit a new high in the international markets on Monday as traders ran to the safe-haven metal in the wake of geopolitical tensions. Bloomberg Silver spot price jumped 5.95 per cent to a new high of $84.61 so far. It was trading 5.55 per cent higher at $84.28 an ounce as of  2:01 PM.

 

US President Donald Trump's administration launched a criminal probe into Federal Reserve Chair Jerome Powell's testimony to Congress about the $2.5-billion renovation of the central bank's headquarters in Washington, DC. This is a pretext to undermine the central bank's independence to set interest rates, Powell said, as reported by the media. 

 

Meanwhile, traders arealso monitoring the developments in Iran, where the unrest and protests have claimed the lives of 500 people so far. These unpleasant developments came right after Trump ousted Venezuelan President Nicolas Maduro, which roiled the risk appetite.    

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