Metal Stocks Surge on China Stimulus | National Aluminium, NMDC Up

New Delhi, Oct 11 (PTI) Metal stocks soared on the stock exchanges on Friday amid reports that China will pump as much as USD 283 billion in fresh fiscal stimulus to boost its economy.

Shares of National Aluminium Company jumped 3.45 per cent to Rs 220.35, NMDC rose 2.81 per cent, SAIL soared 2.42 per cent, Hindalco Industries (2.33 per cent), Jindal Steel (2.06 per cent) and Vedanta (1.51 per cent) on the BSE.

Also, stock of Jindal Stainless Steel rose 0.97 per cent, Tata Steel increased 0.94 per cent, JSW Steel (0.92 per cent), and Coal India (0.77 per cent).

Tracking rally in these firms, the BSE metal index jumped 1.81 per cent to 33,835.03 extending the gains in the third straight session.

According to the reports, the Chinese government's stimulus package will aim at steering its economy through investment, particularly in real estate and infrastructure sectors.

Chinese Finance Minister Lan Fo'an will hold a briefing on Saturday to announce stimulus measures.

Last month, China's central bank announced a 50 basis points interest rate cut for reserve requirement ratio for banks, resulting in more money entering into the system rather than banks saving it in their reserves.