Benchmarks trade slightly in green amid extremely range bound session

Indian bourses continued their range bound trade marginally in green in the late afternoon session supported by gain in FMCG stocks. FMCG index was trading up by around 3% on reports that Health Ministry proposal to ban sale of loose cigarettes is likely to be put on hold. Besides, a firming trend in other Asian markets and positive opening of European markets also supported the trading sentiments. Though, the gains remained capped as investors were booking profit in blue chip stocks. Most of the sectoral indices on BSE were trading in red with infra as top losing index trading down by around 0.97%. Among bluechip stocks, ITC was top gainer up by around 5.16% while, BHEL was top loser on BSE trading down by around 1.92%. Broader indices witnessed buying as both mid cap and small cap indices were trading up by over 0.20%.

Shares in Alok Industries have moved higher by 12% to Rs 12.21 after multiple block deals executed on the counter in early morning deals on domestic bourses. Shares of ABB were trading up over 6% at Rs 1,238 after winning Rs 334 crore from public utilities, Bihar Grid Corporation Limited (BGCL) and West Bengal State Electricity Transmission Company Limited (WBSETCL), to build new transmission and distribution substations that will boost power supplies in the region.

On global front, most of the Asian markets were trading in green with Shanghai Composite up by 4.31% and Nikkei 225 up by 0.94%. European Markets made positive opening as investors awaited a speech from European Central Bank President Mario Draghi for indications on further stimulus measures. Back home, the NSE Nifty and BSE Sensex were trading below their psychological 8,600 and 28,500 levels respectively. The market breadth on BSE was positive, out of 2,560 stocks traded, 1,226 stocks advanced, while 1,219 stocks declined on the BSE.

The BSE Sensex is currently trading at 28488.55, up by 45.84 points or 0.16% after trading in a range of 28448.95 and 28808.78. There were 11 stocks advancing against 18 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.23%, while Small cap index up by 0.38%.

The gaining sectoral indices on the BSE were FMCG up by 3.02% and Capital Goods up by 0.46%. On the other hand, INFRA down by 0.97%, Consumer Durables down by 0.61%, TECK down by 0.59%, IT down by 0.51% and Realty down by 0.41% were the losing indices on BSE.

The top gainers on the Sensex were ITC up by 5.15%, Cipla up by 2.63%, Sesa Sterlite up by 2.47%, Hindustan Unilever up by 1.00% and Hero MotoCorp up by 0.55%. On the flip side, BHEL down by 1.92%, Hindalco down by 1.75%, Bharti Airtel down by 1.54%, Tata Power down by 1.16% and Mahindra & Mahindra down by 1.14% were the top losers.

Meanwhile, The Reserve Bank of India (RBI) Deputy Governor HR Khan has asserted that some new concerns had emerged recently on e-commerce transactions and the central bank will soon issue few more guidelines to address these issues. 

Earlier, in August, the RBI found that US-based taxi aggregator firm, Uber was flouting payments norms by following practice that falls short on the two-step user authentication norms as laid out by RBI.

Indian e-commerce industry has been growing at brisk pace over the recent years and has become one of most attractive sectors in India. Online travel dominates the e-commerce market but in the future, e-tailing is expected to drive the industry growth. Online travel constitutes 71% of the e-commerce market in India, followed by e-tailing at 16%. Travel has grown at a CAGR of 32% over 2009-13. Heavy discount on online sales is a direct reflection of the industry's competitive intensity. The e-commerce market in the country is expected to grow by 37% to reach $20 billion by 2015 on the back of growing internet population and increased online shoppers.

The CNX Nifty is currently trading at 8538.50, up by 0.85 points or 0.01% after trading in a range of 8526.40 and 8626.95. There were 13 stocks advancing against 37 stocks declining on the index.

The top gainers on Nifty were ITC up by 5.13%, Sesa Sterlite up by 2.60%, BPCL up by 1.29%, Cipla up by 1.28% and Lupin up by 1.26%. On the flip side, BHEL down by 1.96%, Hindalco down by 1.80%, HCL Tech down by 1.79%, Bharti Airtel down by 1.69% and IDFC down by 1.38% were the top losers.

Asian markets were trading in green, Straits Times up by 3.57 points or 0.11% to 3,306.96, KOSPI Index up by 16.7 points or 0.85% to 1,986.61, Jakarta Composite up by 29.12 points or 0.56% to 5,195.16, Taiwan Weighted up by 49.85 points or 0.54% to 9,225.11, Shanghai Composite up by 119.93 points or 4.31% to 2,899.46, Nikkei 225 up by166.78 points or 0.94% to 17,887.21 and Hang Seng up by 403.94 points or 1.72% to 23,832.56. While, FTSE Bursa Malaysia KLCI down 7.22 points or 0.41% to 1,750.93

European Markets made positive opening; UK’s FTSE 100 up by 6.03 points or 0.09% to 6,722.66, Germany’s DAX up by 22.45 points or 0.23% to 9,994.24 and France’s CAC down 0.71 points or 0.02% to 4,391.15