If situation improves globally, metals would remain in strong ground: Deven Choksey

In a chat with ET Now, Deven Choksey, MD, KR Choksey Securities shares his view on metal and steel space:

ET Now: What is happening with steel, those seem to be ride of their own really the steel stocks, metals per se have some interest but steel in particular Tata Steel, JSW, everything has been doing well, what is happening here you think.

Deven Choksey: In the domestic space you have the mining clearances coming up and post monsoon season the mining would probably help some of the companies to get the raw material in place that is the first point.

Because of depreciated rupee automatically the protection is coming in the domestic market that is the second point that is where you are seeing some amount of positiveness coming into the metal space as I see it.

I believe that if the situation improves globally then in such situation the metal would probably continue to remain in a strong ground. If QE tapering is a gradual process and if it is not going to result into a distortion in prices of different asset classes then in such situation even the commodity asset class also would eventually stabilise that would include the metal space and even in the steel space as well.