Post Session: Quick Review

After witnessing consolidation in previous trading session, local equity markets staged a smart recovery at the start of the week, ending with gains of over half of a percent which lifted both Sensex and Nifty above psychologically crucial 29,000 and 8,800 levels respectively on sustained buying activities by funds and retail investors thanks to positive global cues. Markets after making a muted start, witnessed momentum in afternoon deals and majorly in last hour of trade, notably ahead of the release of March CPI data. India's consumer inflation probably edged up in March for the fourth straight month from a record low in November, as heavy rains drove up food prices, giving the central bank pause for thought as it waits for the next chance to cut interest rates.

Nevertheless, positive Feb IIP data released over the weekend also provided some impetus to the markets. On the macro-front, clocking its fastest pace in nine months, the index for industrial output (IIP) for the month of February came in at 5%, way higher than street expectation of a number of around 3.50% and also higher compared to 2.6% in January mainly on account of splendid growth of capital goods and consumer goods sector. The session also turned positive for broader indices, which went home with gains in the range of 0.25-0.75%.

On the global front, a rally in china’s stock markets to seven year highs on Monday led index of Asian shares near its highest level since September as weak Chinese trade data hardened expectations for more economic stimulus measures from Beijing. The Chinese markets' bull run has been fueled by speculative buying on hopes of fresh steps to boost an economy struggling for momentum, with first quarter gross domestic product data due to be released on Wednesday expected to show 7.0 percent growth. Meanwhile, European stocks slipped Monday, with price declines in the mining group helping to pull the benchmark Stoxx Europe 600 away from a record high.

Closer home, most of the sectoral indices on BSE concluded into positive territory; however only stocks from Auto counter was the loser of the session. On the flip side, stocks from Consumer Durable, healthcare and Capital Goods counters were the prominent gainers of the session.  In stock-specific action, realty stocks were in demand after leading banks cut interest rates on housing loans. Additionally, four upstream oil exploration and production companies rose on increasing global crude oil prices. The overall market breadth on BSE was in the favour of advances which thumped declines in the ratio of 1699: 1136; while 129 shares remained unchanged.

The BSE Sensex concluded at 29044.44, up by 165.06 points or 0.57% after trading in a range of 28843.94 and 29072.51. There were 18 stocks advancing against 12 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 0.28%, while Small cap index up by 0.76%. (Provisional)

The gaining sectoral indices on the BSE were Consumer Durables up by 1.74%, Healthcare up by 1.46%, Capital Goods up by 1.41%, Infrastructure up by 1.20% and Power up by 0.99% while, Auto down by 0.72%, Realty down by 0.37% and Bankex down by 0.03% were the losing indices on BSE. (Provisional)

The top gainers on the Sensex were Bharti Airtel up by 3.21%, Sun Pharma up by 3.09%, BHEL up by 2.85%, Larsen & Toubro up by 2.25% and Reliance Industries up by 2.09%. On the flip side, Mahindra & Mahindra down by 2.91%, Hindalco down by 1.45%, Tata Motors down by 1.11%, GAIL India down by 0.73% and Sesa Sterlite down by 0.52% were the top losers. (Provisional)

Meanwhile, the National Institution for Transforming India (NITI) Aayog has initiated the mid-term appraisal process of the 12th Five Year Plan. In a release, the highest planning body said that NITI Aayog has initiated the process of undertaking the mid-term appraisal of the 12th Plan and this opportunity is also being used to weave in the national development agenda discussed in the meeting of the Governing Council for its suitable implementation in the remaining two years of the 12th Plan.

NITI Aayog completed 100 days and said it is working like a 'directional and policy dynamo' of the government in liaising with the states while fostering the spirit of cooperative federalism. Under instruction from the PM to explain what it has achieved since inception three months ago, the body said two task forces have been formed in order to tackle the crucial subjects of agriculture development and elimination of poverty under the leadership of economist and NITI vice chairman Arvind Panagariya. NITI Aayog said the last three months have been 'tremendous' in the role of its inception as a think thank of the government.

NITI Aayog, which has replaced the erstwhile 50 years old Planning Commission, is being led by the noted economist Arvind Panagariya as its vice chairman, while Bibek Debroy and V K Saraswat are the full-time members of the institution and Sindhushree Khullar is the Chief Executive Officer.

India VIX, a gauge for markets short term expectation of volatility surged 2.15% at 14.56 from its previous close of 14.25 on Friday. (Provisional)

The CNX Nifty settled at 8834.00, up by 53.65 points or 0.61% after trading in a range of 8762.10 and 8841.65. There were 30 stocks advancing against 20 stocks declining on the index. (Provisional)

The top gainers on Nifty were BHEL up by 3.43%, Bharti Airtel up by 3.34%, Idea Cellular up by 3.14%, Sun Pharma up by 2.79% and Larsen & Toubro up by 2.24%. On the flip side, Mahindra & Mahindra down by 3.03%, ACC down by 2.44%, Hindalco down by 1.31%, Tata Motors down by 1.14% and GAIL India down by 0.98% were the top losers. (Provisional)

European Markets were trading in the green; France's CAC gained 0.06%, UK's FTSE 100 surged 0.72% and Germany's DAX was up by 0.02%.

The Asian markets closed mostly in green on Monday, with Chinese stock markets touched a seven-year highs as weak Chinese trade data intensified expectations for more economic stimulus measures from Beijing. China’s export sales contracted 15 percent in March while import shipments fell at their sharpest rate since the 2009 global financial crisis, a shock outcome that deepens concern about sputtering Chinese economic growth. The tumble in exports - the worst in about a year - compared with expectations for a 12 percent rise could heighten worries about how a rising yuan has hurt demand for Chinese goods and services abroad. In a sign that domestic demand was also tepid, imports into the world’s second-biggest economy shrank 12.7 percent last month from a year ago. That was the biggest slump in imports since May 2009. Chinese Trade Balance fell to 3.08B, from 60.60B in the preceding month.

The Bank of Japan raised its economic assessment for three of Japan’s nine regions in a quarterly report, signaling that the benefit of its stimulus programme was broadening. The central bank kept intact its optimistic assessment for the remaining six regions, stressing that solid demand at home and overseas is underpinning output and the job market. Japan’s Corporate Goods Price Index rose to a seasonally adjusted annual rate of 0.7%, from 0.5% in the preceding month while Japan’s Core Machinery Orders rose to -0.4%, from -1.7% in the preceding month. Japan’s M2 Money Stock rose to a seasonally adjusted 3.6%, from 3.5% in the preceding month.