Markets trade in fine fettle in noon deals

Indian equity indices are trading in fine fettle in noon deals as sentiments remained up-beat with the global rating agency Fitch in its Global Economic outlook stating that India's economic growth will accelerate to 8 percent by 2018-19 fiscal as gradual implementation of structural reforms will contribute to higher growth. Improving prospects of an economic recovery and forecast of a better-than-average monsoon, too uplifted sentiments. Rally in Asian counters too aided domestic sentiments. All the Asian equity benchmarks were trading in green at this point of time after US data continued to put the economy in a positive light, while the dollar was on the defensive against major peers.

Back home, staying with its rising streak for the third day, the rupee appreciated 4 paise to 67.12 against the dollar in noon deals on increased selling of the US currency by exporters and banks amid higher foreign inflows. On sectoral front, stocks related to infra counter rallied, as the Centre has approved an investment of over Rs 5,530 crore for providing basic infrastructure in over 110 cities across six states under AMRUT scheme for the current fiscal.

The BSE Sensex is currently trading at 26569.01, up by 202.33 points or 0.77% after trading in a range of 26405.28 and 26585.76. There were 24 stocks advancing against 6 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 1.52%, while Small cap index up by 0.72%.

The top gaining sectoral indices on the BSE were Healthcare up by 2.82%, Oil & Gas up by 2.67%, Energy up by 2.12%, Realty up by 1.71% and PSU up by 1.09%, while FMCG down by 0.12% was the losing index on the BSE.

The top gainers on the Sensex were Sun Pharma up by 4.99%, Adani Ports &Special up by 3.92%, Lupin up by 2.55%, ICICI Bank up by 2.08% and Reliance Industries up by 2.05%. On the flip side, ONGC down by 1.43%, ITC down by 0.98%, NTPC down by 0.89%, Larsen & Toubro down by 0.82% and Axis Bank down by 0.42% were the top losers.

Meanwhile, industry body Confederation of Indian Industry (CII), praising the development work taken by the government in last two years has said that in two years the NDA government has strategically navigated the Indian economy to all-round stability. It has undertaken big bang structural reforms, including more power in the hands of states, establishment of NITI Aayog and empowerment of markets.

Chandrajit Banerjee, director general of CII said that for investors, critical achievements of the government relate to inflation control, more public investment in infrastructure, social security, fiscal management and tax administration. Banerjee pointing out the highest ever inflow of FDI at $55 billion in 2015-16 said that the strong emphasis on ease of doing business is delivering results.

CII director-general has also said that “We are optimistic that India’s ease of doing business ranking can rise to among the top 50 from the current 130 within the next two years with sustained micro-level actions.”

Recently, the industry body had said that after two years of government in office now focus should be on building political consensus for passage of long- pending Goods and Services Tax (GST) Bill and on expediting the non-legislative reforms.

The CNX Nifty is currently trading at 8134.50, up by 64.85 points or 0.80% after trading in a range of 8077.05 and 8141.30. There were 41 stocks advancing against 10 stocks declining on the index.

The top gainers on Nifty were BPCL up by 8.56% and Sun Pharma Inds. up by 4.97% and Adani Ports &Special up by 4.11% and Aurobindo Pharma up by 2.72% and Lupin up by 2.55%. On the flip side, ONGC down by 1.06%, ITC down by 0.99%, NTPC down by 0.99%, Power Grid down by 0.96% and Tech Mahindra down by 0.85% were the top losers.

Asian markets were trading in green; FTSE Bursa Malaysia KLCI rose 0.52 points or 0.03% to 1,631.61, Shanghai Composite increased 2.02 points or 0.07% to 2,824.46, Jakarta Composite gained 7.96 points or 0.17% to 4,792.53, KOSPI Index strengthened 12.11 points or 0.62% to 1,969.17, Nikkei 225 added 62.38 points or 0.37% to 16,834.84, Taiwan Weighted surged 69.49 points or 0.83% to 8,463.61 and Hang Seng was up by 84.96 points or 0.42% to 20,482.07.