Firm trade prevails in afternoon deals

Indian equity benchmarks continued their firm trade in the afternoon session, following sustained buying in Energy, Consumer Durables, FMCG and Telecom sector stocks. Sentiments remained optimistic with NITI Aayog Vice Chairman Arvind Panagariya’s statement that India’s economic growth rate is likely to be 7.5 percent for the current financial year. He said ‘For the current fiscal year of 2017-18, I expect that we will be back to at least 7.5 percent and as you get towards the last quarter of the year probably we will begin to touch 8 percent, but the average for the year would be about 7.5 percent’. Moreover, firm global cues coupled with optimism over corporate earnings too buoyed the sentiments. Meanwhile, Indian rupee dropped by 10 paise to 64.41 against the US dollar on increased demand for the American currency from importers. In scrip specific development, Strides Shasun was up by over a percent after receiving an approval from the USFDA for Cetirizine Hydrochloride Capsules, 10 mg (Liquid Filled Capsules). 

On the global front, Asian markets were trading mostly in green, supported by the dollar's struggles near a 13-month low against a basket of major rivals as continuing disarray at the White House dampened hopes for quick passage of President Donald Trump's stimulus and tax reform agendas.  Back home, the BSE Sensex is currently trading at 32202.81, up by 173.92 points or 0.54% after trading in a range of 32058.33 and 32232.63. There were 20 stocks advancing against 11 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.43%, while Small cap index was up by 0.61%.

The top gaining sectoral indices on the BSE were Energy up by 1.16%, Consumer Durables up by 1.06%, FMCG up by 0.93%, Telecom up by 0.74% and IT up by 0.73%, while Metal down by 0.15% and Healthcare down by 0.10% were the only losing indices on BSE.

The top gainers on the Sensex were Reliance Industries up by 2.26%, Wipro up by 2.08%, ITC up by 1.80%, Bharti Airtel up by 1.50% and Adani Ports & SEZ up by 1.22%. On the flip side, Dr. Reddy’s Lab down by 2.06%, ONGC down by 1.22%, Sun Pharma down by 0.75%, Asian Paints down by 0.59% and Tata Steel down by 0.39% were the top losers.

Meanwhile, in a bid to guard domestic players from surge in below-cost imports, the government is likely to impose anti-dumping duty of $72.95 per tonne on imports of a chemical from China. The chemical is mostly used in industries including pharmaceutical, dye, lubricants, construction chemicals, meat processing and textiles.

The Directorate General of Antidumping and Allied Duties (DGAD) which administers the anti-dumping and countervailing measures in India, in its notification, has concluded that there is continued dumping of the chemical from China and it is causing injury to the domestic industry. The DGAD further stated that the authority recommends that revised anti-dumping duties be continued to be imposed on all imports of sodium nitrite from China. Besides, Deepak Nitrite had filed an application with the DGAD for the dumping investigations.

India has also imposed similar duties on import of several other products including steel, fabrics and chemicals from different countries including China. Anti-dumping steps are taken to ensure fair trade and provide a level-playing field to the domestic industry.

The CNX Nifty is currently trading at 9958.65, up by 43.40 points or 0.44% after trading in a range of 9919.60 and 9968.95. There were 32 stocks advancing against 19 stocks declining on the index.

The top gainers on Nifty were Reliance Industries up by 2.36%, Wipro up by 2.08%, Bank of Baroda up by 2.07%, ITC up by 1.61% and Yes Bank up by 1.55%. On the flip side, Dr. Reddy’s Lab down by 2.13%, Zee Entertainment down by 1.18%, ONGC down by 1.13%, Vedanta down by 0.82% and Sun Pharma down by 0.69% were the top losers.

Asian markets were trading mostly in green; FTSE Bursa Malaysia KLCI increased 1.05 points or 0.06% to 1,760.21, KOSPI Index surged 1.47 points or 0.06% to 2,451.53, Jakarta Composite was up by 10.55 points or 0.18% to 5,775.98, Shanghai Composite rose 19.74 points or 0.61% to 3,257.72, Taiwan Weighted added 24.58 points or 0.24% to 10,461.28 and Hang Seng increased 90.92 points or 0.34% to 26,797.01.

On the flip side, Nikkei 225 was down by 124.08 points or 0.62% to 19,975.67.