Metals: Rebound in global manufacturing activity pushes prices high; Indian stocks including Vedanta soar
Also Read: Chinese Investors Snap Up Copper, Gold Stocks to Drive 10% Gains In the USA, manufacturing grew for the first time in one-and-a-half years in March, with significant increases in production and new orders. Similarly, China's manufacturing activity expanded for the first time in six months in March, signaling a recovery despite ongoing challenges in the property sector. However, analysts are anticipating that China will announce more stimulus measures to revive the challenges in the housing sector, which could further fuel demand for metals.
The latest Purchasing Managers' Index (PMI) readings, which reflect manufacturing activity, have shown notable improvements. In China, the PMI reached its highest level since March of the previous year, driven by increased export orders and a surge in factory output. Also Read: Gold price rise: Baffled by the increase, Chris Wood in Green and Fear explains likely reasons behind it Consequently, Goldman Sachs has revised its outlook for China's economic growth, anticipating a stronger expansion than previously estimated.
Meanwhile, in Europe, Germany's industrial production exceeded expectations in February, driven by recoveries in the construction and automotive industries. This positive trend suggests that Europe's largest economy is on track to overcome recent manufacturing challenges and regain momentum. Also Read: India's manufacturing hits a 16-year high in March Back in India, the manufacturing PMI improved to 59.1 in March from 56.9 in February.
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