Cement shares gain on hopes of demand recovery; UltraTech, Ambuja up 3%

Analysts expect industry margin to bottom out in Q2, with peaking of cost, higher exit of cement prices, and pick-up in construction activity in coming quarters

Shares of cement companies moved up to 4 per cent higher on the BSE in Monday's intra-day trade on expectation of demand recovery post monsoon, and during the next fiscal (FY24) due to pre- general election government spending.

UltraTech Cement, Ambuja Cements, Shree Cement, JK Cement, Dalmia Bharat, India Cements, ACC, and Ramco Cements gained in the range of 2 per cent to 4 per cent on the BSE. In comparison, the S&P BSE Sensex was up 1.09 per cent at 60,616 points at 12:45 PM.

"Given the government's focus on infrastructure spending and affordable housing, the cement