Metal stocks gain up to 4 pc on US-China trade deal optimism

Metal stocks on Friday gained up to 4 per cent on optimism over the US-China trade deal.

The scrip of Vedanta jumped 3.75 per cent, Hindalco Industries rose 3.63 per cent, Coal India Ltd gained 3.07 per cent and Tata Steel rose 2.39 per cent on the BSE.

Among others, Steel Authority of India Ltd went up by 2.01 per cent, JSW Steel rose 1.13 per cent, National Aluminium Company gained 0.69 per cent, NMDC rose 0.35 per cent and Hindustan Zinc went up 0.22 per cent.

Led by gains in these scrips, the BSE metal index closed 2.30 per cent higher at 9,788.75.

Global markets surged after reports said that the US has finalised phase one trade deal with China.

"The good news from the foreign shores pushed the benchmarks higher despite weak macroeconomic data. The news report on a possible trade deal between the US-China triggered gap-up start in the Nifty and then it moved from strength to strength till the end," Religare Broking Ltd VP (Research) Ajit Mishra said.