Benchmarks trade firm near highest point of the day

Indian equity benchmarks continued their firm trade hovering near the highest point of the day in the late morning session on account of buying in frontline blue chip counters. The sentiments were on firm note with report that Prime Minister Narendra Modi is targeting to roll out the ambitious GST on April 1 next year, has directed that all steps required in this direction should be completed before that date. He has also said that GST Council would need to have intensive meetings to be able to make timely recommendations relating to its mandate. Some support also came after Indian rupee opened higher and was trading up against the US dollar at the Interbank Foreign Exchange (Forex) market following selling of American currency by banks and exporters amid firm domestic equity markets. Traders were seen piling up positions in Bankex, Auto and PSU sector stocks. In scrip specific development, Den Networks was trading firm as the company’s board will meet on September 20 to consider a preferential issue to one of the leading global financial investors.

On the global front, Asian markets were trading in green, after weak US data reduced the already low chance of an interest rate increase by the US Federal Reserve next week. Japan’s Nikkei advanced but looked set for a weekly loss as worries grew that the Bank of Japan (BoJ) could cut interest rates more deeply into negative territory and adjust its massive asset buying at a policy review on September 20-21. Back home, the NSE Nifty and BSE Sensex were trading above the psychological 8,800 and 28,700 levels respectively. The market breadth on BSE was positive in the ratio of 1644:547, while 128 scrips remained unchanged.

The BSE Sensex is currently trading at 28770.58, up by 357.69 points or 1.26% after trading in a range of 28520.17 and 28778.64. There were 28 stocks advancing against 2 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 1.36%, while Small cap index was up by 1.09%.

The top gaining sectoral indices on the BSE were Bankex up by 1.97%, Auto up by 1.88%, PSU up by 1.59%, Realty up by 1.54% and Oil & Gas up by 1.51%.

The top gainers on the Sensex were Axis Bank up by 3.86%, Hero MotoCorp up by 2.89%, Bajaj Auto up by 2.84%, Adani Ports & Special Economic Zone up by 2.34% and GAIL India up by 2.34%.

On the flip side, TCS down by 0.11% and HDFC down by 0.07% were the top losers.

Meanwhile, in line with international trends, PSU oil marketing companies (OMCs) have hiked price of petrol by 58 paise per litre and have slashed diesel rates by 31 paise/litre. This is the second increase in rates of petrol this month while in case of diesel it wipes away a part of the hike effected earlier this month. The prices will vary from state to state and will be effective from midnight of September 15 and September 16.

Post the revision, Petrol will cost Rs 64.05 a litre as against Rs 63.47 a litre currently, whereas diesel will cost Rs 52.63 a litre as compared to Rs 52.94 a litre in national Capital. In the last revision on September 1, price of petrol hiked by Rs 3.38 per litre and diesel rate also increased by Rs 2.67 per litre. 

According to IOC the country's largest fuel retailer,  the movement of prices in the international oil market and rupee-dollar exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes.

PSU oil marketing companies Indian Oil Corporation, Bharat Petroleum Corp and Hindustan Petroleum Corp revise petrol and diesel price on 1st and 16th of every month based on international oil rate and foreign exchange ratio in the preceding fortnight. 

The CNX Nifty is currently trading at 8846.90, up by 104.35 points or 1.19% after trading in a range of 8780.25 and 8847.65. There were 48 stocks advancing against 3 stocks declining on the index.

The top gainers on Nifty were Axis Bank up by 3.86%, Hero MotoCorp up by 3.02%, Bajaj Auto up by 2.95%, Bank of Baroda up by 2.37% and Adani Ports & Special Economic Zone up by 2.36%.

On the flip side, HDFC down by 0.21%, TCS down by 0.07% and Asian Paints down by 0.06% were the top losers.

The Asian markets were trading in green; Jakarta Composite increased 29.86 points or 0.57% to 5,295.68 and Nikkei 225 increased 105.5 points or 0.64% to 16,510.51.

Shanghai Stock Exchange, Hong Kong Stock Exchange, Malaysia Stock Exchange, Seoul Stock Exchange and Taiwan Stock Exchange are closed on account of National holiday.