Global Trade Tensions Trigger Sharp Decline in Metal Stocks

Metal stocks plummeted following President Trump’s tariff measures, sparking fears of a global trade war. The Sensex and Nifty indices dropped over 5% as metal companies like Tata Steel and Hindustan Zinc saw significant declines. The market reaction underscores concerns about economic growth amid escalating trade tensions.

Metal stocks suffered a severe blow in Monday's trading session amid escalating global trade tensions. The downturn followed U.S. President Donald Trump's imposition of sweeping reciprocal tariffs, which heightened fears of a looming global trade war.

Indian stock market indices, Sensex and Nifty, both nosedived over 5% in early trading. This plunge was in alignment with a sharp drop in global equities. The fears were compounded as China's retaliatory responses to the tariff hikes added to investor uncertainty about the potential impact on worldwide economic growth.

Major metal firms felt the brunt, with Tata Steel and National Aluminium Company Ltd among the hardest hit, experiencing drops of 11.56% and 11.22% respectively. Analysts have underscored concerns that the ongoing tariff disputes could severely weaken demand for industrial commodities, if not mitigate through negotiation.

(With inputs from agencies.)