Metals stocks extended previous day's losses on Friday as the Nifty Metal index dropped more than 2 percent on correction in global metals prices post North Korea tensions and S&P's downgrade of China's credit rating.
Jindal Steel, Hindalco Industries, SAIL, NALCO, Vedanta, Tata Steel and Hindustan Zinc were down 2-5 percent.
S&P lowered China's sovereign credit rating one notch to A+ from AA-, putting it in line with those of Moody's and Fitch, citing economic and financial risks.
China's attempts to reduce risks from its rapid buildup in debt are not working as quickly as expected and credit growth is still too fast, the global rating agency said.
Metals in Shanghai and London markets declined sharply on fears of likely another missile test by North Korea.
Copper prices were at lowest level in four weeks, down over a percent while lead and nickel prices also saw sharp fall of 3-4 percent.
Copper refining charges increased by 10 percent for Q4 and global Copper deficit stood at 70,000 tonnes in June against 50,000 tonnes deficit in May.
Iron ore prices fell 11 percent during the current week.
North Korea could consider testing a hydrogen bomb over the Pacific Ocean in retaliation to Donald Trump's threats to destroy the country, Pyongyang's Foreign Minister said today.
In a tirade against Donald Trump responding to the US president's thundering speech at the United Nations this week, the North's leader Kim Jong-Un warned of the "highest level of hard-line countermeasure in history".
On Friday Foreign Minister Ri Yong-ho spoke to reporters in New York and raised the possibility of a further, more high-stakes nuclear test.
"I think that it could be an H-bomb test of an unprecedented level perhaps over the Pacific," he said.
(With inputs from PTI)
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