Markets continue to trade firm in early noon session

Indian equity benchmarks continued to trade firm in early noon session amid positive global markets. A fresh spell of buying by foreign investors after remaining major sellers buoyed mood. Sentiment remained upbeat with the Finance Minister Arun Jaitley’s statement that the India stands out as a haven of stability amid a weak economic environment globally and promised steps to sustain growth. He also said the country's macroeconomics factors are stable and the government is committed to fiscal consolidation as well as low inflation. Meanwhile, Cement stocks extended gains for the second day after finance minister Arun Jaitley announced higher investment on infrastructure sector in the Union Budget 2016-17 early this week. Banking shares mainly public sector undertakings (PSUs) have rallied after the Reserve Bank of India (RBI) has allowed banks to beef up its capital adequacy by including certain items such as property value, foreign exchange for calculation of its Tier-I capital. At

On the global front, Asian markets were trading higher, as overnight gains in oil prices and a swath of positive economic data from Australia to the US calmed the fear of a global economic slowdown. Back home, both the sensex and Nifty were trading above the crucial 24,200 and 7,350 level, respectively. In scrip specific development, shares of Bharat Heavy Electricals were trading higher after the company has won an order worth Rs 5,600 crore from Tamil Nadu government. The BSE Sensex is currently trading at 24202.45, up by 423.10 points or 1.78% after trading in a range of 24043.89 and 24249.31. There were 25 stocks advancing against 5 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 2.29%, while Small cap index up by 2.43%.

The top gaining sectoral indices on the BSE were Realty up by 4.95%, Bankex up by 4.41%, PSU up by 2.96%, Power up by 2.86% and Capital Goods up by 2.26%, while they were no losers on the sectoral index.

The top gainers on the Sensex were SBI up by 8.82%, BHEL up by 7.17%, Hero MotoCorp up by 5.32%, Adani Ports &Special up by 5.28% and ICICI Bank up by 5.24%. On the flip side, Mahindra & Mahindra down by 3.73%, ITC down by 1.63%, Wipro down by 0.41%, Bajaj Auto down by 0.35% and Coal India down by 0.30% were the top losers.

Meanwhile, oil Marketing Companies (OMCs) taking cues from the global oil market conditions have cut non-subsidized or market-priced domestic cooking gas (LPG) by Rs 61.5 per 14.2-kg bottle, which consumers buy after exhausting their quota of subsidised cooking fuel. This is the second reduction in rates of non-subsidized or market-priced LPG. Following the cut, non-subsidised cooking gas (LPG) now costs Rs 513.50 per 14.2-kg cylinder in Delhi as against Rs 575 previously. Non-subsidised LPG price was last cut on February 1 by Rs 82.5 per 14.2-kg bottle.

However, the oil firms have hiked the prices of the Jet fuel or aviation turbine fuel (ATF). In Delhi, it has been raised by Rs 4,174.49 per kilolitre, or 11.88 percent, to Rs 39,301.31 per kilolitre. The hike comes on back of a steep 12 percent cut in rates from February 1 by Rs 4,765.5 per kilolitre. Jet fuel prices constitute over 40% of an airline’s operating cost. Rates vary from airport to airport depending on the local sales tax or value-added tax (VAT).

State-owned fuel retailers, Indian Oil Corp (IOC), Bharat Petroleum Corp (BPCL) and Hindustan Petroleum Corp (HPCL) revise jet fuel and non-subsidised LPG prices on the first of every month based on average imported cost and rupee-dollar exchange rate.

The CNX Nifty is currently trading at 7362.80, up by 140.50 points or 1.95% after trading in a range of 7308.15 and 7372.45. There were 45 stocks advancing against 5 stocks declining on the index.

The top gainers on Nifty were SBI up by 9.13%, Bank of Baroda up by 8.38%, Hindalco up by 7.76%, BHEL up by 7.06% and Vedanta up by 5.94%. On the flip side, Mahindra & Mahindra down by 3.89%, ITC down by 1.83%, Wipro down by 0.45%, Coal India down by 0.39% and Bajaj Auto down by 0.39% were the top losers.

Asian markets were trading higher; FTSE Bursa Malaysia KLCI increased 11.56 points or 0.69% to 1,682.38, KOSPI Index increased 33.03 points or 1.72% to 1,949.69, Jakarta Composite increased 47.47 points or 0.99% to 4,827.46, Taiwan Weighted increased 58.36 points or 0.69% to 8,544.05, Shanghai Composite increased 84.39 points or 3.09% to 2,817.56, Hang Seng increased 541.5 points or 2.79% to 19,948.96 and Nikkei 225 increased 688.27 points or 4.28% to 16,773.78.