Hindustan Zinc shares surged nearly 6% in trade after silver futures crossed the ₹2.8 lakh per kg mark, lifting sentiment across silver-linked stocks. The rally in the precious and industrial metal also pushed silver ETFs to record highs, reflecting strong investor interest.
What’s Driving the Silver Rally?
The sharp rise in silver prices came after US inflation data raised hopes of further interest rate cuts by the Federal Reserve. Expectations of lower rates typically weaken the dollar and boost demand for precious metals like silver.
In addition to its safe-haven appeal, silver continues to benefit from strong industrial demand, especially from renewable energy and electronics sectors.
Impact on Hindustan Zinc Share Price
Hindustan Zinc, a key producer of silver along with zinc and lead, tends to move in line with silver prices. The surge in silver futures significantly improved earnings outlook sentiment, triggering buying interest in the stock.
Market participants believe sustained strength in silver prices could support margins and profitability for the company.
Silver ETFs at Record Highs
Rising silver prices also led to record highs in silver ETFs, indicating increased participation from retail and institutional investors seeking exposure to the metal without holding it physically.
Key Highlights
- Hindustan Zinc shares up ~6%
- Silver futures cross ₹2.8 lakh/kg
- Silver ETFs touch record highs
- US inflation data fuels rate-cut hopes
⚠️ Disclaimer: This article is for informational purposes only and does not constitute investment advice. Commodity-linked stocks are subject to high volatility.
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