Metal Stocks Outlook for the week – 23 to 27.01.2017
Metal Stocks Outlook for the week – 23 to 27.01.2017
( www.rupeedesk.in )
Major mining and metals stocks are likely to trade with a positive bias next week, after this week's lackluster performance, as demand is seen robust in the near-to-medium term. Prices of base metals like copper, aluminium, nickel, lead and zinc are seen largely firm over the next one month as the members of Organisation of Petroleum Exporting Countries cut production by 1.2 mln barrels per day. Since crude oil is a crucial component of input cost for metals, the upside in oil prices will reflect in metals as well. The global manufacturing activity also looks optimistic and is likely to aid metal prices. Hindalco and Vedanta will benefit due to the supply shortage in aluminium. Hindustan Zinc Ltd, which was a top performer in the Nifty Metal index this week and gained 3.8%. Rising demand and a fall in global mine output will help companies which trade in zinc. The technical analyst has, however, cautioned against steel stocks that have had a good run on the exchanges over the last two weeks. The stock looks weak and is likely to come down to 56.50 rupees from yesterday's close of 58.15 rupees.
Free Intraday Tips : Join Our Whatsapp No : 9841986753
Free Commodity Tips : Join our Whatsapp No : 9094047040
Metal Stocks Outlook for the week – 23 to 27.01.2017
( www.rupeedesk.in )
Major mining and metals stocks are likely to trade with a positive bias next week, after this week's lackluster performance, as demand is seen robust in the near-to-medium term. Prices of base metals like copper, aluminium, nickel, lead and zinc are seen largely firm over the next one month as the members of Organisation of Petroleum Exporting Countries cut production by 1.2 mln barrels per day. Since crude oil is a crucial component of input cost for metals, the upside in oil prices will reflect in metals as well. The global manufacturing activity also looks optimistic and is likely to aid metal prices. Hindalco and Vedanta will benefit due to the supply shortage in aluminium. Hindustan Zinc Ltd, which was a top performer in the Nifty Metal index this week and gained 3.8%. Rising demand and a fall in global mine output will help companies which trade in zinc. The technical analyst has, however, cautioned against steel stocks that have had a good run on the exchanges over the last two weeks. The stock looks weak and is likely to come down to 56.50 rupees from yesterday's close of 58.15 rupees.
