Trump's Tariffs Take Sheen Off Metal Stocks

Nifty Metal index crashes 6.56% in steepest fall since June 2024

- SAI ARAVINDH

Shares of metal firms witnessed heavy selling pressure on Friday, a day after US President Donald Trump's sweeping reciprocal tariffs reignited fears of global trade war. The Nifty Metal index crashed 6.56 per cent, its steepest fall since June 4, 2024.

All 15 constituents of the index ended the session in red, with Hindustan Copper emerging as the biggest casualty, declining 9.13 per cent, while Hindalco Industries, National Aluminium Co (Nalco) and Tata Steel tumbled over 8 per cent.

While analysts do not see a direct impact of the 25 per cent tariff on steel and aluminium on Indian metals, they note that the second-order effect could have a major impact.

"Metals will be hit the most, followed by technology whose higher weight has a bigger market impact," strategists at Emkay Global said.