Markets turn positive in late afternoon session

Indian equity markets erased all their losses and turned positive in late afternoon session as investors preferred to buy stock at lowest levels. Traders took support as think tank GTRI said that India's exports to the UAE increased by 18.25 per cent to $35.63 billion in 2023-24 as against $30.13 billion in 2018-19, while imports surged 61.21 per cent, from $29.79 billion in FY2019 to $48.02 billion in the last fiscal. Overall, India ranked 17th globally in exports, with a 1.8 per cent share in world trade. On the import front, the country is ranked 8th, holding a 2.8 per cent share in global trade. On the global front, Asian markets were trading mixed after the release of weak lending and mixed inflation data from China. U.S. rate worries persisted, and Israel forces advanced deeper into Rafah despite warnings from the U.S. and Egypt, further weighing on sentiment. European markets were trading mostly in red as investors digested mixed inflation data from China and awaited U.S. inflation data due later this week for directional cues.

The BSE Sensex is currently trading at 72761.53, up by 97.06 points or 0.13% after trading in a range of 71866.01 and 72837.43. There were 15 stocks advancing against 15 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index gained 0.11%, while Small cap index was down by 0.21%.

The top gaining sectoral indices on the BSE were Capital Goods up by 1.36%, Industrials up by 1.01%, Healthcare up by 0.97%, Power up by 0.80% and Realty was up by 0.66%, while Auto down by 1.74%, Consumer discretionary down by 0.86%, Energy down by 0.78%, Oil & Gas down by 0.76% and Telecom was down by 0.59% were the top losing indices on BSE.

The top gainers on the Sensex were Asian Paints up by 3.92%, HDFC Bank up by 1.40%, TCS up by 1.12%, ICICI Bank up by 1.07% and Sun Pharma up by 1.02%. On the flip side, Tata Motors down by 8.20%, Bharti Airtel down by 1.15%, Titan Company down by 0.99%, Mahindra & Mahindra down by 0.82% and SBI down by 0.76% were the top losers.

Meanwhile, the Ministry of Petroleum & Natural Gas in its latest notification has showed that the combined profit of oil marketing companies (OMCs) for FY 2023-24 (FY24) stood at Rs 86,000 crore, over 25 times higher than the extraordinarily difficult previous fiscal year.  Even as they navigated rapidly evolving geo politics and wide fluctuations in crude prices, the OMCs not only ensured fuel availability at affordable rates, with one of the lowest fuel price inflation globally in India, but they have also rewarded the shareholders’ trust by posting commendable annual results.

According to the notification, markets have reacted positively to the results with Bharat Petroleum Corporation (BPCL) and Hindustan Petroleum Corporation (HPCL) share prices rising after the announcement of results. Moreover, analysts have taken cognisance of the performance and many of them have put a buy recommendation, a strong validation of their annual performance and the outlook for the current fiscal year.

Meanwhile, over the last few years, the government has unleashed the potential of OMCs by allowing the right mix of freedom and accountability. The government maintains an arm’s length distance from their business decisions while fully supporting and encouraging ambitious plans that are aligned with the vision of Viksit Bharat, 2047.

The CNX Nifty is currently trading at 22104.20, up by 49.00 points or 0.22% after trading in a range of 21821.05 and 22123.45. There were 25 stocks advancing against 25 stocks declining on the index.

The top gainers on Nifty were Cipla up by 5.66%, Asian Paints up by 4.09%, Divi's Lab up by 3.18%, Adani Enterprises up by 2.31% and Adani Ports up by 2.29%. On the flip side, Tata Motors down by 8.22%, BPCL down by 2.00%, Shriram Finance down by 1.24%, Bharti Airtel down by 0.97% and Coal India down by 0.97% were the top losers.

Asian markets were trading mixed; Hang Seng advanced 151.38 points or 0.79% to 19,115.06, Taiwan Weighted added 118.01 points or 0.57% to 20,826.85, Jakarta Composite gained 18.54 points or 0.26% to 7,107.34 and Straits Times rose 10.44 points or 0.32% to 3,301.14. On the flip side, Shanghai Composite weakened 6.53 points or 0.21% to 3,148.02, KOSPI dropped 10.90 points or 0.4% to 2,716.73 and Nikkei 225 was down by 124.82 points or 0.33% to 38,104.29.

European markets were trading mostly in red; France’s CAC fell 7.47 points or 0.09% to 8,211.67 and Germany’s DAX was down by 29.54 points or 0.16% to 18,743.31. On the flip side, UK’s FTSE 100 was up by 2.74 points or 0.03% to 8,436.50.