Vedanta Aluminium metal shares slip over 3% amid rising crude
Vedanta Aluminium Metal's stock slipped over 3% on Friday, after opening lower and touching an intraday low of ₹419.50 per share on the NSE.
The main reasons? Weak vibes in the Indian markets and rising crude oil prices, which are making it more expensive for metal producers like Vedanta to operate.
Crude surge raises mining costs
Global crude prices have shot up thanks to tensions in the Middle East, pushing costs higher for companies that rely on mining.
Anuj Gupta, a SEBI-registered market expert, explained that every 10% jump in oil means mining gets about 3.5% pricier, squeezing profits for firms like Vedanta.
There was also some profit-booking and shaky global cues, but Mahesh M Ojha, VP, Research and Business Development, thinks things might steady out soon, saying the downtrend may be limited as base metal prices witnessed some profit-booking in the international market last night.