Markets trade flat in morning session

Indian equity benchmarks were trading flat in morning session. Investors turned cautious with report stating that FII flows have seen a bumpy ride so far this year, with a meagre investment of $ 15 million, while domestic institutional investors (DIIs) continue to invest more aggressively into the Indian equity market and have bought net assets worth $7.9 billion. Losses remained capped with a report stating that India, the world's third-biggest oil consumer and importer, on June 20 urged OPEC nations to fill a supply gap and ensure sustainable oil prices as geopolitics affect the output of some producers. Some optimism also came with a report highlighting that Prime Minister Narendra Modi showcased his government’s ‘unprecedented’ work in the agriculture sector, including doubling of the budget to Rs 2.12 lakh crore. Modi also reiterated that his government is working to double farm income by 2022.

On the global front, Asian market were trading mostly in red, as the potential for a deepening trade dispute with the US taking the edge off of traders’ appetite in the China. The US and China are still staring down their noses at each other, unflinching as they take turns announcing further tariff packages against each other. Besides, central bankers voiced concerns about the impact a trade war could have on the global economy. Back on domestic turf, in scrip specific development, Cipla gained on getting approval for Testosterone Cypionate Injection. Besides, Baid Leasing & Finance Company advanced on getting nod to raise up to Rs 250 crore via Non- Convertible Debentures.

The BSE Sensex is currently trading at 35547.58, up by 0.25 points or 0.01% after trading in a range of 35536.88 and 35678.69. There were 12 stocks advancing against 19 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index slipped 0.10%, while Small cap index was down by 0.21%.

The top gaining sectoral indices on the BSE were IT up by 0.27%, Energy up by 0.24%, Realty up by 0.20%, TECK up by 0.15%, Consumer Durables was up by 0.11%, while Telecom down by 0.96%, PSU down by 0.94%, Utilities down by 0.66%, Oil & Gas down by 0.65% and Power was down by 0.50% were the top losing indices on BSE.

The top gainers on the Sensex were Adani Ports & SEZ up by 2.13%, ICICI Bank up by 1.42%, Reliance Industries up by 0.95%, Infosys up by 0.37% and Tata Motors was up by 0.36%. On the flip side, Power Grid down by 1.88%, ONGC down by 1.41%, SBI down by 0.93%, Indusind Bank down by 0.67% and ITC was down by 0.55% were the top losers.

Meanwhile, the Central Board of Indirect Taxes and Customs (CBIC) said that the government cleared pending Goods and Service Tax (GST) refunds to the tune of Rs 38,062 crore of exporters as on June 16, 2018. Under GST, exporters are required to pay IGST on exports and then claim refunds. The second type of refunds to exporters under GST involves refund of GST paid on purchase of inputs. CBIC highlighted that in all, Rs 21,142 crore (IGST refunds), Rs 9,923 crore (RFD-01A refund by CBIC) and Rs 6,997 crore (RFD-01A refund by states), all totalling Rs 38,062 crore has been sanctioned.

During the refund fortnight, the government cleared the pending refunds of integrated GST (IGST) of exporters based on shipping bill. Also those businesses making zero rated supplies or those wanting to claim input credit, and filled up Form RFD-01A were also given refunds.

The CBIC underlined that as on June 16, Rs 6,087 crore of IGST refunds has been sanctioned in the refund fortnight. Besides, RFD-01A claims worth Rs 1,548 crore were sanctioned by the centre and Rs 2,290 crore by the states during the fortnight. This is out of the Rs 9,816 crore RFD-01A refund claims received by the centre as on April 30, 2018. Therefore, the total IGST and RFD-01A refund claims sanctioned by the government during the refund fortnight was Rs 9,925 crore.  The amount of RFD-01A refund claims disposed as on June 16, by the centre stood at Rs 10,824 crore and by the states at Rs 7,287 crore. Thus, the total amount of RFD-01A claims disposed off stands at Rs 18,111 crore.

Last month, the government had said about Rs 14,000 crore of refunds of exporters were stuck on account of various mismatches. The CBIC had organised the special refund drive to fast track clearances.

The CNX Nifty is currently trading at 10762.80, down by 9.25 points or 0.09% after trading in a range of 10762.35 and 10809.60. There were 19 stocks advancing against 30 stocks declining, while 1 stock remained unchanged on the index.

The top gainers on Nifty were Adani Ports & SEZ up by 2.09%, Zee Entertainment up by 1.74%, ICICI Bank up by 1.23%, Bajaj Finserv up by 1.12% and Reliance Industries was up by 1.09%. On the flip side, Bharti Infratel down by 2.89%, Dr. Reddy’s Lab down by 1.81%, GAIL India down by 1.81%, HPCL down by 1.75% and Power Grid was down by 1.71% were the top losers.

Asian markets are trading mostly in red; Straits Times declined 8.28 points or 0.25% to 3,307.62, Hang Seng decreased 187.38 points or 0.63% to 29,508.79, KOSPI shed 12.94 points or 0.55% to 2,350.97, Jakarta Composite slipped 12.81 points or 0.22% to 5,871.23 and Shanghai Composite was down by 5.92 points or 0.20% to 2,909.81.

On the flip side, Taiwan Weighted rose 27.37 points or 0.25% to 10,954.81 and Nikkei 225 was up by 148.75 points or 0.66% to 22,704.18.