Domestic equities trade near neutral lines

Domestic equities were trading near neutral lines in noon session. Markets trimmed some of their gains as investors turned cautious with India Ratings’ report stating that even though the economy has gradually weathered the twin shock of demonetisation and goods and services tax (GST), widening current account deficit (CAD) and rising crude oil prices continue to create pressure. However, markets continued to take some support from a report which stated that government is considering allowing 100 per cent foreign direct investment (FDI) in insurance intermediaries with a view to give a boost to the sector and attracting more funds. The FDI policy, at present, allows 49 per cent foreign investment in the insurance sector, which includes insurance intermediaries. Market-men also took some support from a report which stated that the renewable energy or green energy sector has created an estimated 1,64,000 jobs in India in 2017. The report also heighted that India also stands out among key job markets in the large hydropower sector. Besides, new solar installations in India reached a record 9.6 GW in 2017, effectively doubling the total installed base of the technology in the country. 

On the global front, Asian markets were trading in green, with energy shares leading the way as crude oil prices bolted higher after US President Donald Trump's decision to pull out of a nuclear deal with Iran. Investors were also keeping an eye on the China-US trade spat, with Xi Jinping's top economic advisor heading to Washington next week for fresh talks after a high-level meeting between the economic powers ended with no agreement last week. Back home, in scrip specific development, Ashoka Buildcon gained with arm receiving arbitral award for Dewas Bypass Road project. Besides, Eicher Motors surged on reporting marginal rise in Q4 consolidated net profit.

The BSE Sensex is currently trading at 35354.90, up by 35.55 points or 0.10% after trading in a range of 35312.32 and 35500.76. There were 14 stocks advancing against 17 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index slipped by 0.73%, while Small cap index was down by 0.43%.

The top gaining sectoral indices on the BSE were Energy up by 0.58%, Oil & Gas up by 0.50%, Telecom up by 0.36%, TECK up by 0.23% and IT was up by 0.15%, while Power down by 1.48%, Utilities down by 1.27%, Realty down by 0.94%, Basic Materials down by 0.79% and Metal was down by 0.74% were the top losing indices on BSE.

The top gainers on the Sensex were ONGC up by 2.49%, Bharti Airtel up by 1.59%, Coal India up by 1.49%, Tata Motors - DVR up by 1.19% and Mahindra & Mahindra was up by 0.81%. On the flip side, Power Grid down by 2.81%, Dr Reddys Lab down by 1.96%, Tata Steel down by 1.25%, NTPC down by 1.12% and Tata Motors was down by 1.03% were the top losers.

Meanwhile, the Ministry of New and Renewable Energy (MNRE) has said that as per the data compiled till March 31, 2018, India has already achieved 70 GW of installed renewable energy capacity and an additional 38 GW is under implementation. It noted that the 70 GW installed renewable energy capacity in the country is double of the capacity four year back.

The MNRE has stated that about 56,000 solar power pumps were installed in 2017-18, which is highest ever in a single year. It indicated that the renewable energy sector has added 11,788 MW of capacity to the grid in FY18, which is the highest ever in a single year. Besides, it claimed that it has bid out 32,500 MW capacities in last fiscal, which is nearly 10 times capacity commissioned in 2013-14. It also boasted about discovering lowest wind and solar power tariff of Rs 2.43 and Rs 2.44 per unit, respectively, in the last fiscal through tariff based competitive bidding.

The ministry further highlighted that India generated 100 billion units of electricity through renewables last fiscal, which is highest ever so far. On the achievement of renewable energy in the country, Power and New & Renewable Energy Minister R K Singh has said that India is progressing fast in the areas of renewable energy and government is on its way to achieving 175 GW target for installed Renewable Energy capacity by 2022.

The CNX Nifty is currently trading at 10743.20, up by 1.50 points or 0.01% after trading in a range of 10731.45 and 10785.55. There were 22 stocks advancing against 28 stocks declining on the index.

The top gainers on Nifty were ONGC up by 2.49%, Zee Entertainment up by 1.93%, Bharti Airtel up by 1.68%, Coal India up by 1.57% and Tech Mahindra was up by 1.17%. On the flip side, Power Grid down by 2.78%, Dr Reddys Lab down by 1.95%, Indiabulls Housing down by 1.68%, NTPC down by 1.41% and Tata Steel was down by 1.37% were the top losers.

Asian markets were trading in green; KOSPI Index gained 20.18 points or 0.82% to 2,464.16, Shanghai Composite surged 7.24 points or 0.23% to 3,166.39, Taiwan Weighted rose 56.86 points or 0.53% to 10,760.21, Nikkei 225 jumped 88.30 points or 0.39% to 22,497.18 and Hang Seng was up by 252.31 points or 0.82% to 30,788.45.