Markets trade slightly in green

Indian equity benchmarks were trading slightly in green in morning session, with traders getting some support from Commerce Minister Suresh Prabhu’s statement that despite huge volatility in global markets, when large exporting countries are facing challenges in exports, India’s exports for month of June again have registered good performance as per early compilation. Some optimism also came with Finance Minister Piyush Goyal’s statement that India will be able to restrict the fiscal deficit below the budgeted level of 3.3% of GDP in 2018-19, which has hit 55% of the annual target in the first two months of the financial year. The markets took note of the Labour Ministry’s statement that retail inflation for industrial workers remained flat at 3.96% in May compared to 3.97% in April this year. The food inflation based on CPI-IW stood at 1.66% in May against 1.33% in the previous month. However, the up side remained capped with a report from commerce and industry ministry that the Index of Eight Core Industries grew at a slow pace of 3.6% in May compared with 4.6% in April and 3.9% a year earlier.

On the global front, Asian market were trading in red, as sentiment remained fragile in the face of tense trade relations between the United States and major economies. Besides, President Donald Trump statement that he has ruled out backing down on import tariffs against China and threatened that the tariffs could go up to $500 billion worth of Chinese goods if the two countries are unable to strike a fair deal soon. Back home, in scrip specific development, Strides Shasun gains with arm getting USFDA approval for Ibuprofen OTC Tablets. Besides, Jindal Steel & Power advanced on posting highest ever Q1 domestic steel production.

The BSE Sensex is currently trading at 35313.97, up by 49.56 points or 0.14% after trading in a range of 35195.63 and 35369.52. There were 16 stocks advancing against 14 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index slipped 0.13%, while Small cap index was down by 0.21%.

The top gaining sectoral indices on the BSE were Energy up by 1.18%, Oil & Gas up by 0.89%, IT up by 0.44%, TECK up by 0.27% and Auto was up by 0.16%, while Metal down by 0.95%, Telecom down by 0.91%, Realty down by 0.80%, Power down by 0.73% and Utilities was down by 0.56% were the top losing indices on BSE.

The top gainers on the Sensex were ONGC up by 3.34%, Hero MotoCorp up by 1.48%, Reliance Industries up by 1.43%, Bajaj Auto up by 0.90% and TCS was up by 0.90%. On the flip side, Vedanta down by 3.35%, Power Grid down by 1.78%, ICICI Bank down by 0.77%, HDFC down by 0.74% and SBI was down by 0.66% were the top losers.

Meanwhile, Interim Finance Minister Piyush Goyal has said that India will be able to restrict the fiscal deficit below the budgeted level of 3.3% of GDP in Current financial year (FY19) as compared to 3.53% in last financial year (FY18). He said ‘There is a perception that fiscal deficit will not be met, but I feel, that we will actually do better than our budgeted fiscal deficit’.

Fiscal deficit, which is the difference between revenue and expenditure, stood at Rs 3.45 lakh crore during the first two month (April-May), or 55.3% of the budgeted target for the FY19. The total receipts -- from revenue and non-debt capital -- during the fiscal's initial two months were Rs 1.27 lakh crore, or 7% of the estimates for the current financial year. Total expenditure -- incurred on revenue and capital -- during the April-May period was Rs 4.72 lakh crore, or at 19.4% of the entire fiscal’s estimate.

Besides, he highlighted the revenues from Goods and Services Tax (GST) in the current fiscal is expected to exceed Rs 13 lakh crore as the full benefits of electronic way of e-way bill starts flowing in. In the first year of GST in 2017-18, the government had earned Rs 7.41 lakh crore from the tax since its rollout in July. The average monthly collection was Rs 89,885 crore. In the current financial year, the collections in April touched a record Rs 1.03 lakh crore, followed by Rs 94,016 crore in May and Rs 95,610 crore in June.

The CNX Nifty is currently trading at 10666.75, up by 9.45 points or 0.09% after trading in a range of 10630.25 and 10687.95. There were 22 stocks advancing against 27 stocks declining, while 1 stock remained unchanged on the index.

The top gainers on Nifty were ONGC up by 3.54%, Hero MotoCorp up by 1.43%, Reliance Industries up by 1.39%, TCS up by 1.22% and Bajaj Auto was up by 1.05%. On the flip side, Vedanta down by 3.81%, Bharti Infratel down by 3.23%, Power Grid down by 1.73%, Grasim Industries down by 1.41% and Titan Company was down by 0.99% were the top losers.

Asian market were trading in red, Nikkei 225 slipped 218.89 points or 1.01% to 21,593.04, Taiwan Weighted declined 57.65 points or 0.54% to 10,720.29, KOSPI losses 7.43 points or 0.33% to 2,264.11, Shanghai Composite fell 30.25 points or 1.10% to 2,745.31, Straits Times dropped 17.61 points or 0.55% to 3,221.33, Jakarta Composite slipped 83.13 points or 1.47% to 5,663.64 and Hang Seng was down by 778.68 points or 2.76% to 28,176.43.