Metal Index showing mettle
Bangalore: In the last week ending March 20, 2010, investment sentiment appeared to be positive as most of sectoral indices on the BSE closed the trading in the green. Metal Index topped the gainers list with a gain of 3.6 percent. As on March 23, 2010, the total value of Metal stock is 
612,480.73 crore.
Other sector indices which followed Metal Index in top gainers list are oil and gas (up 3.5 percent) and IT (up 3.3 percent). Recently it is witnessed that the fundamentals are gradually turning favourable for base metals, especially with major demand emerging in Asian countries led by China, followed by India.
With the economies of the two drivers of base metal consumption showing healthy growth, base metal demand is likely to increase with the infrastructure-centric approaches of the two governments. According to London-based Natixis Commodity Markets, the key price drivers are normally the rate of demand growth and the level of inventories, with supply-side factors such as strikes and technical problems having a temporary impact.
In the union budget, while gold and platinum prices have been increased from 200 to 300 on every gram by the FM, the silver price has also been hiked from 1, 000 to 1, 500 on every kg. In the Gems and jewelry sector, the basic customs tariff on Rhodium; a valuable metal has been reduce by two percent and will currently be charged at 10 percent. In addition, the excise tariff on concentrated gold is reduced to 280 on every 10 grams of gold content.
612,480.73 crore.
Other sector indices which followed Metal Index in top gainers list are oil and gas (up 3.5 percent) and IT (up 3.3 percent). Recently it is witnessed that the fundamentals are gradually turning favourable for base metals, especially with major demand emerging in Asian countries led by China, followed by India.
With the economies of the two drivers of base metal consumption showing healthy growth, base metal demand is likely to increase with the infrastructure-centric approaches of the two governments. According to London-based Natixis Commodity Markets, the key price drivers are normally the rate of demand growth and the level of inventories, with supply-side factors such as strikes and technical problems having a temporary impact.
In the union budget, while gold and platinum prices have been increased from 200 to 300 on every gram by the FM, the silver price has also been hiked from 1, 000 to 1, 500 on every kg. In the Gems and jewelry sector, the basic customs tariff on Rhodium; a valuable metal has been reduce by two percent and will currently be charged at 10 percent. In addition, the excise tariff on concentrated gold is reduced to 280 on every 10 grams of gold content.