Markets need tourniquet fix: Metal stocks melt down amid fears of recession

BSE Metal Index now down 35% from 2022 highs

Metal stocks plunged on Monday amid global sell-off in commodities due to fears of global recession and uncertain demand outlook from China.

The S&P BSE Metal Index, a gauge for the performance of stocks in the metals and mining sector, dropped more than 6 per cent before recouping some losses to end at 15,218 - the lowest close since April 2021 — down 4.5 per cent over the previous day’s close.

The BSE Metal Index was by far the worst-performing among the 19 sectoral gauges of the BSE.

Index heavyweights like Tata Steel and Hindalco Industries finished 5 per cent lower, while Vedanta