NMDC - China Opening To Help Iron Ore; Valuation Remains Attractive: Motilal Oswal

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .Motilal Oswal Report.The Chinese government appears to be focusing on reopening the economy now after three long years of following a strict zero Covid strategy, which has led to significant reduction in gross domestic product growth rate. China has taken several measures to open its economy in the recent times. These include reducing quarantine period for incoming visitors, doing away with negative virus tests and health code checks to travel domestically not required anymore. The government has in fact stopped reporting cases on a daily basis, indicating its firm resolve to open the economy irrespective of the consequences. We believe these measures are taken to boost the GDP growth in China which in turn should lead to higher steel production and consequently demand for iron ore and pellets. We believe NMDC Ltd. will be a beneficiary from rising demand for iron ore globally as the company would increase its production of iron ore and maintain margins, which are sufficient to propel its valuations further, given that it does not have the baggage of steel plant anymore..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

NMDC - China Opening To Help Iron Ore; Valuation Remains Attractive: Motilal Oswal

China has taken several measures to open its economy in the recent times.

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