India's safeguard duty recommendation to boost steel prices, JP Morgan says

India's recommendation to impose 12% safeguard duty is a positive for Indian steel companies, says JP Morgan

Adds, domestic hot rolled coil (HRC) steel prices could increase by 2000 rupees ($23.10) per ton, raising scope for improved profitability in FY26

Several brokerages, including CLSA, had expected a 1900-rupee per ton increase in steel prices

Indian metal stocks have been rallying lately on optimism around China's stimulus measures and steel output cuts and rise in capex in Europe - JP Morgan

Identifies Tata Steel TISC.NS and JSW Steel JSTL.NS as preferred picks, Steel Authority of India SAIL.NS to also see positive reaction

TISC up 2.1%, SAIL up 3.7% and JSTL up 1.3%, leading metals .NIFTYMET 1% higher

Metal index up 5.3% in 2025 vs 3.4% drop in Nifty 50 .NSEI

($1 = 86.5670 Indian rupees)