Sector movers: Miners gain on Chinese stimulus hopes, Anglo rises

25th Mar 2014 13:58

Mining stocks were the best performers on Tuesday as risk appetite returned to the market on the back of stimulus hopes in China, the world's largest consumer of metals.Investors are hoping that any measures to boost growth by Chinese policymakers will help to support commodity prices, which have slumped over the past year on concerns over an economic slowdown. "Mining companies are the main benefactor from the speculation that the People's Bank of China will add liquidity to the interbank market," said David Madden, Market Analyst at IG.The speculation follows a spate of economic data from the region over recent weeks which continued to point to a deceleration in growth. On Monday, HSBC's flash reading of its Chinese manufacturing purchasing managers' index (PMI) showed that activity in factories and workshops declined for the fifth straight month in March. The PMI fell to an eight-month low of 48.1, from 48.5 previously; any figure below 50 indicates a contraction.Anglo American was rising strongly in London as mining restarted at its Los Bronces copper mine in Chile after violent protests forced the company to halt operations yesterday.Los Bronces, Anglo's 50.1%-owned mine 65km from Santiago, contributes 35% of the group's attributable copper production.Other miners including Rio Tinto, BHP Billiton and Fresnillo were also registering gains in afternoon trade.The price of copper, which fell to a three-and-a-half year low recently, was trading 0.9% higher at $6,559.50 per metric tonne today.Top performing sectors so far todayConstruction & Materials 4,547.37 +2.31%Mining 16,504.57 +2.26%General Retailers 2,974.40 +2.02%Beverages 13,561.85 +1.94%Industrial Engineering 10,544.24 +1.55%Bottom performing sectors so far todayIndustrial Transportation 3,311.27 -1.49%Food & Drug Retailers 3,860.16 -0.43%BC