India's metal index gains after Morgan Stanley upgrades steelmakers citing demand uptick

Steel Authority of India

08/09/2025 06:12

** India's Nifty metal index .NIFTYMET rises 1.2%, led by steelmakers such as JSW Steel JSTL.NS, Tata Steel TISC.NS and Steel Authority of India SAIL.NS

** Morgan Stanley upgrades JSTL, TISC to "overweight" from "equal weight" and SAIL to "equal weight" from "underweight", while hiking price targets of all the steelmakers

** Brokerage expects domestic steel prices to increase due to uptick in demand and gains from China's steel supply reforms

** Morgan Stanley also sees favourable external tailwinds for the sector from growing expectations of U.S. rate cuts and a weakening U.S. dollar

** India's trade regulator DGTR's proposal to extend safeguard duty on steel imports for three years would further drive margins re-rating for the steel industry, Morgan Stanley says

** On the day, JSW Steel JSTL.NS up 1.8%, Tata Steel TISC.NS up 2.34%, Steel Authority of India SAIL.NS up 2.56% and Jindal Steel JINT.NS up 1.64%

Morgan Stanley turns bullish on India's steel makers https://reut.rs/3HZUpZI

 (Reporting by Bharat Rajeswaran and Ananta Agarwal in Bengaluru)

 ((Ananta.Agarwal@thomsonreuters.com))