Nifty Metals Index Hits Record, Ends Three-Day Slide; Tata Steel, Hind Copper Shine

The Nifty Metals index snapped a three-day losing streak on Thursday, rising as much as 2.17% to reach a record high of 10,373 points and closed at 10,356.20. 

Gains later eased slightly, but the index was still up around 2% by midday — significantly outperforming the broader Nifty50, which advanced 0.54%. Year to date, the metals benchmark has climbed nearly 20%. 

Major Movers Lead the Rally

Heavyweights in the metals space delivered strong gains. Hindustan Copper share price surged up to 6.54% on positive cues in copper markets. Following close behind, Hindustan Zinc added 4.43%, while Tata Steel rose 2.61%. Steel Authority of India (SAIL) also climbed about 3.6%, and Lloyds Metals & Energy saw gains of 4.18%. 

What’s Fueling the Upswing

Several factors underlie the metals index’s rebound:

• Copper rally & mine lease renewal: Copper prices on the London Metal Exchange reached a one-year high of $10,738, boosting optimism. Hindustan Copper in particular benefited from the renewal of its Rakha mining lease for 20 more years, fueling investor confidence. Strong Tata Steel output and demand: Tata Steel’s Q2 FY26 figures showed crude steel production of 5.67 million tonnes, up 8% quarter-on-quarter and 7% year-on-year.  Its deliveries reached 5.56 million tonnes, with domestic shipments up 20% Q-o-Q and 7% Y-o-Y. 
• Sector prospects & cost trends: Analysts expect metals players to benefit from higher volumes due to capacity expansions and lower coking coal costs. In non-ferrous sectors, firms like Hindalco and Vedanta have sustained performance via value-added product sales and lower input expenses, despite some softening in aluminium prices. 

Going forward, the outlook looks cautiously optimistic. For ferrous producers, rising volumes and cost efficiencies could help sustain margins even if metal prices correct. For non-ferrous companies, deeper integration, capacity additions, and demand from sectors like electric vehicles and renewables are expected to support growth. 

Conclusion

The metals sector has regained momentum, with the Nifty Metals index touching a new high and erasing recent losses. Led by powerful gains in copper and steel names, the rally reflects both commodity strength and improved fundamentals at key firms. While challenges remain, particularly around raw material costs and price volatility, industry participants look well positioned for further gains in a favorable demand environment.