Hindustan Copper Shares Soar 12% As Copper Prices Surge Amid China Output Cut
The share price has snapped a five-session losing streak.
Shares of Hindustan Copper Ltd. jumped over 12% on Thursday after the three-month contract of LME Copper crossed $8,900 per tonne for the first time since last April.
Copper prices jumped amid production cuts by smelters in China. "China’s copper smelters pledged to control capacity while stopping short of coordinated output cuts, as the industry responds to a tightening in the global concentrate market that’s led to processing fees falling to near nothing," Bloomberg reported.
However, Kotak Securities Ltd. said there were no specific rates or volumes set for smelters to cut their production and each smelter would independently determine their extent of reduction.
The stock jumped as much as 12.23% during the day to Rs 263.80 apiece on the NSE. It was trading 12.15% higher as compared to a 0.72% advance in the benchmark Nifty 50 as of 3:18 p.m.
The share price has snapped a five-session losing streak, during which it 17.59%. It has risen 165.12% in the last 12 months. The total traded volume so far in the day stood at 2.28 times its 30-day average. The relative strength index was at 48.22.
