RALLIES SEEN IN METAL STOCKS AS STEELMAKERS ARE SEEKING ANOTHER PRICE HIKE

Shares of steel companies rallied on today’s session with the Nifty Metal index gaining nearly 1 percent as analysts expect a further rise in steel prices going ahead.

Metal stocks surged on a report that steelmakers are seeking another price hike amid recovery in economic conditions, which will further boost their earnings in the next quarter onwards.

Brokerage firm CLSA maintained its 'buy' rating for Tata Steel and has set a price target of Rs 950 for the company and upgraded JSW Steel to "outperform" from "sell" and raised the target to Rs 490 from Rs 350.

Upward revisions of consensus estimates and near-term strength in steel prices are likely to drive further rally in the stocks.