NMDC slips into losers

NMDC is currently among the top five losers on the BSE. It opened in the positive at Rs.153.20 and even went up to an intraday high at Rs.153.35 but from there it slipped to an intraday low at Rs.144.05 and is now trading around the same levels. Its 10% LC for the day is at Rs.137.80.

Analysts in the market attribute this tumbling down of NMDC price to the fall in iron ore price. Metal experts expect iron ore price to remain under pressure for few more days and this is expected to put more pressure on the stock price.

Today, the iron ore futures prices fell around 10% amid fears of a China clampdown as Beijing warned it would act against what it called the spread of misinformation on prices.

A lower Chinese iron ore price does not bode well for domestic iron ore makers like NMDC and its prices are also fixed based on global prices.