Sensex and Nifty pare early gains as Nifty Metal drops 2.16% on LME aluminium slide

Aluminium prices on the London Metal Exchange fell sharply after the US-Iran interim agreement eased worries over supply disruptions, weighing on metal shares. The Nifty Metal index slid 2.16% in a single session. Shares of aluminium producers such as Hindalco, NALCO and Vedanta Aluminium led losses, with some stocks down nearly 6% on the day. The move hit aluminium prices and related producers, creating a short-term headwind for the industrial metal.