Metal stocks extend rise for 3rd day as global prices soar; Vedanta jumps 6.3% to hit record high

Metal stocks extend rise for 3rd day as global prices soar; Vedanta jumps 5.3% to hit record high

• Metal stocks rose for third day as copper and silver prices hit record highs
• Vedanta surged 6.3% after price target raised on demerger value unlocking
• Nifty Metal index up 29.1% in 2025, its best yearly performance since 2021

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Metal stocks rose for third straight day on January 14, driven by sharp rise in metal prices on firm demand prospects, mine disruptions.

Nifty Metal rose 3% on January 14 as 12 of its 15 constituents gained.

Hindustan Copper rose 4% and Hindustan Zinc added 6% tracking a rise in copper and silver prices to record high levels on lingering supply concerns.

The March futures contract of silver on the Multi-commodity Exchange rose to a fresh new high of Rs 2,82,750 per kilogram. Hindustan Zinc is one of India's biggest silver miners. Spot silver on COMEX breached $90 per ounce mark for first time, with new high of $91.53.

Benchmark three-month copper on London Metal Exchange has hit all-time high of $13,400 a ton.

Vedanta climbed 6.3% after Nuvama Institutional Equities reiterated "buy" rating and raised price target to Rs 806 from Rs 686, citing potential value unlocking from the proposed demerger, a rise of 26% in price target.

Shares of NALCO, Hindalco rose 2.5% and 1.4%, respectively while shares of Steel Authority of India rose 1.5%.

Nifty Metal index rose 29.1% in 2025, its strong yearly performance since 2021.

Vedanta is biggest gainer on Nifty Metal index.

Nuvama said price target hike hike factors in value unlocking amid demerger by raising valuation multiple for aluminium segment, valuing steel and iron ore business at replacement cost and raising power vertical's value.

The brokerage sees the entire demerger process and listing of all companies by Q1FY27 and expects EBITDA compound annual growth rate of 20% over FY25-28E amid higher commodity prices.

Meanwhile, gold climbed on Wednesday to near a record peak set in the previous session, while silver surpassed the never-before-seen $90 mark, as softer-than-expected US inflation readings cemented bets on interest rate cuts ahead amid ongoing geopolitical uncertainty.

Spot silver jumped 4.6% to $90.95 per ounce after breaching $90 for the first time, having shot up nearly 28% already this year.

"The data has been positive, inflation rate (came in) lower, unemployment rate was also lower in the U.S. so, these are the indicators that have further driven precious metals up," said GoldSilver Central managing director Brian Lan.