Markets maintain notable gains

Indian equity benchmarks were maintaining notable gains in late afternoon session, buoyed by firm European markets coupled with optimism on Consumer Durables and Realty counters. Markets mood remained cheerful, with Assocham secretary general Uday Kumar Varma’s statement that expanding investment in infrastructure will generate jobs, promote tourism and play catalytic role in overall growth and development of Indian economy. He also said that the government’s vision for new and improved infrastructure that can serve the nation for a long time. Major industry gainers like Adani Ports & SEZ and Tata Motors were also contributing to the gains in late noon deals. On the sectoral front, It stocks were trading higher, supported by a private report showing that information technology (IT) spending in India will grow at 6.7% in 2019 to $89.2 billion, driven by digital transformation investments by both public and private entities. Further, stocks related to oil and energy sector were in focused amid reports that India and the US pledged to further strengthen economic cooperation and increase engagement in the oil and energy sector with a view to boost bilateral trade.

On the global front, European markets were trading in green, even though Euro area economic growth halved in the third quarter. The latest estimates from the Eurostat confirmed that gross domestic product grew 0.2% from the second quarter, when the economy expanded 0.4%. The street also overlooked reports that Germany's economy contracted at a faster-than-expected pace in the third quarter, marking the first decline since the first three months of 2015 and the worst fall since early 2013. As per preliminary figures from the Federal Statistical Office, gross domestic product declined a seasonally and calendar-adjusted 0.2% in the three months to September, after expanding 0.5% in the second quarter. Asian markets were trading in green, as industrial production in China was up 5.9% on year in October. That exceeded expectations for 5.8%, which would have been unchanged from the September reading.

The BSE Sensex is currently trading at 35332.54, up by 190.55 points or 0.54% after trading in a range of 35118.42 and 35402.00. There were 21 stocks advancing against 9 stocks declining, while 1 stock remained unchanged on the index.

The broader indices were trading mixed; the BSE Mid cap index was up by 0.53%, while Small cap index was down by 0.01%.

The top gaining sectoral indices on the BSE were Consumer Durables up by 1.59%, Realty up by 1.17%, Metal up by 1.07%, Capital Goods up by 1.01% and Industrials up by 1.00%, while Telecom down by 0.75%, FMCG down by 0.39% and Utilities down by 0.25% were the only losing indices on BSE.

The top gainers on the Sensex were Adani Ports & SEZ up by 4.24%, Tata Motors up by 2.97%, Tata Motors - DVR up by 2.47%, Axis Bank up by 2.47% and Hero MotoCorp up by 2.19%. On the flip side, Yes Bank down by 7.51%, NTPC down by 1.62%, ITC down by 0.89%, Hindustan Unilever down by 0.67% and Mahindra & Mahindra down by 0.59% were the top losers.

Meanwhile, highlighting the government’s efforts towards growth of steel industry, Steel Secretary Binoy Kumar has said that the Centre is committed to achieve 100 per cent quality regime in steel products. He also noted that 53 steel products consumed in the country has been already brought under the quality control order (QCO) by the government.

Steel Secretary further pointed that this move will help in restricting the production and import of inferior grade products that are consumed in various important end-use segments such as power distribution, human health and safety of infrastructure and construction. Besides, the minister is hoping increase in the demand for steel in the country, on the back of proactive policies of the government and projected growth in power, housing, urbanisation, smart city, infrastructure, automotive, capital goods and other steel consuming sectors.

Binoy Kumar also underlined measures being taken by the government in consultation with industry stakeholders, to remove bottlenecks to the growth of steel and metal industry in India. Further, he added that steps are also being taken towards raw material security, reducing dependence on imported coal, better logistics, product development and import substitution through forums.

The CNX Nifty is currently trading at 10621.20, up by 44.90 points or 0.42% after trading in a range of 10557.50 and 10646.50. There were 33 stocks advancing against 17 stocks declining on the index.

The top gainers on Nifty were Adani Ports & SEZ up by 4.19%, Titan up by 3.12%, Tata Motors up by 3.00%, Axis Bank up by 2.64% and Hero MotoCorp up by 2.43%. On the flip side, Grasim Industries down by 8.58%, Yes Bank down by 7.46%, Indiabulls Housing Finance down by 5.42%, NTPC down by 1.81% and HCL Tech. down by 1.42% were the top losers.

Asian markets were trading mostly in green; Straits Times added 10.92 points or 0.36% to 3,054.11, KOSPI increased 20.01 points or 0.96% to 2,088.06, Shanghai Composite gained 35.93 points or 1.35% to 2,668.17, Hang Seng jumped 448.91 points or 1.72% to 26,103.34, Taiwan Weighted rose 34.58 points or 0.35% to 9,826.46 and Jakarta Composite surged 95.69 points or 1.61% to 5,953.98. On the flip side, Nikkei 225 was down by 42.86 points or 0.2% to 21,803.62.

All European markets were trading in green; UK’s FTSE 100 added 33.88 points or 0.48% to 7,067.67, France’s CAC increased 18.37 points or 0.36% to 5,087.22 and Germany’s DAX was up by 42.65 points or 0.37% to 11,455.18.