Commodity stocks surge on positive sentiment, falling dollar
Commodity stocks took over from the realty pack Monday as a depreciating dollar and optimism about the US auto bailout lifted investor sentiments.
By ET Online |
MUMBAI: Commodity stocks took over from the realty pack Monday as a depreciating dollar and optimism about the US auto bailout lifted investor sentiments.
The dollar depreciated against the euro to $1.3455 level from $1.3369 earlier after foreign-exchange strategists in the US said the best may be over for the dollar after a 24 percent rally over four months.
In Asian markets, BHP Billiton surged 7.2 percent on speculation a rescue package from US will sustain demand for metals. Hanjin Shipping added 12 percent as rates for transporting commodities increased by a record.
At 12:54 pm, BSE Metal Index climbed 5.28 per cent. The top gainers were Welspun Gujarat (10.89%), SAIL (8.63%), Hindalco (8.32%), Sesa Goa (6.90%) and Tata Steel (6.17%).
However, BSE Oil & Gas Index eased from 2.56 per cent gain earlier. The oil & gas upstream companies advanced as oil rose above $47 a barrel on signs that OPEC is set to make a deep supply cut and dollar dropped against euro. The top gainers here were Cairn India (8.58%), Aban Offshore (5.99%) Essar Oil (3.16%) and ONGC (3.97%).
The dollar depreciated against the euro to $1.3455 level from $1.3369 earlier after foreign-exchange strategists in the US said the best may be over for the dollar after a 24 percent rally over four months.
In Asian markets, BHP Billiton surged 7.2 percent on speculation a rescue package from US will sustain demand for metals. Hanjin Shipping added 12 percent as rates for transporting commodities increased by a record.
At 12:54 pm, BSE Metal Index climbed 5.28 per cent. The top gainers were Welspun Gujarat (10.89%), SAIL (8.63%), Hindalco (8.32%), Sesa Goa (6.90%) and Tata Steel (6.17%).
However, BSE Oil & Gas Index eased from 2.56 per cent gain earlier. The oil & gas upstream companies advanced as oil rose above $47 a barrel on signs that OPEC is set to make a deep supply cut and dollar dropped against euro. The top gainers here were Cairn India (8.58%), Aban Offshore (5.99%) Essar Oil (3.16%) and ONGC (3.97%).
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