Portfolio Manager, PN Vijay is of the view that one should buy steel stocks.

Vijay told CNBC-TV18, "One should buy steel because the government attention is sort of going off. I think they got away pretty okay. Frankly I was expecting the government to come down a lot more heavily. They had hiked prices at about 5,000 to 4,000 depending on flat or long, earlier a couple of weeks ago and then they brought it down. I think the attention on the steel majors is gone now. I think the government has done whatever it wanted to do. They will sit back and watch inflation slowly going down because I think they are very confident that food prices will crack the huge procurement. So I think the way steel has fallen; especially the top ones like Tata Steel and SAIL could be bought. We are already seeing some activity in Sesa Goa and Gujarat NRE, which are sort of proxies to the industry. But these two look good actually."

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