Bourses trade near day’s high

Key equity indices extended their gains in late afternoon session to reach near their intraday high points, mirroring firm European markets. Adding some optimism, the Global Food Policy Report said that India has taken various measures to bolster the rural economy but the efficacy of the schemes would depend upon their implementation. The report further said the prospects for rural development are encouraging in the current year and hoped that the general elections will increase attention to rural areas where the majority of voters live. Some comfort also came with a private reports stating that bullish positions in the Indian rupee firmed over the past two weeks, ahead of general election, while long positions in the yuan unwound on concerns over slowing domestic demand and uncertainty around Sino-US trade talks. Traders took encouragement with a report that private equity (PE) and venture capital (VC) investments in the country stood at $20.5 billion across 786 transactions in 2018 on account of tech-enabled start-ups, e-commerce and information technology-enabled services. The funding in 2018 was the same as the investment in the preceding year.

On the global front, European markets were trading in green, as Estonia's industrial production growth improved in February, after slowing in the previous two months. The figures from Statistics Estonia showed that industrial production climbed a working-day adjusted 4.4 percent year-on-year in February, following a 4.1 percent rise in January. In December, the production grew 5.5 percent. Asian markets were trading in red, with US recession concerns, Brexit-related uncertainty, and caution ahead of fresh US-China trade talks likely to keep investors nervous.

The BSE Sensex is currently trading at 38487.37, up by 354.49 points or 0.93% after trading in a range of 38148.44 and 38558.92. There were 22 stocks advancing against 9 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index gained 0.67%, while Small cap index was up by 0.74%.

The top gaining sectoral indices on the BSE were Realty up by 1.63%, Telecom up by 1.51%, Bankex up by 1.28%, TECK up by 1.25% and Oil & Gas up by 1.10%, while Metal down by 0.36% and Power down by 0.18% were the only losing indices on BSE.

The top gainers on the Sensex were HCL Tech. up by 3.33%, SBI up by 2.65%, Bharti Airtel up by 2.61%, Sun Pharma up by 2.40% and Yes Bank up by 1.96%. On the flip side, Bajaj Auto down by 2.18%, ONGC down by 1.93%, Tata Steel down by 1.32%, Power Grid down by 1.30% and Mahindra & Mahindra down by 0.92% were the top losers.

Meanwhile, in order increase exports to China, the commerce ministry is going to discuss ways with various industry bodies including export promotion councils and other government departments. The ministry has called a meeting on April 5. The Officials from the agriculture ministry, Agricultural & Processed Food Products Export Development Authority, and representatives from export promotion councils would participate in the meeting.

India is taking several steps to promote shipments to China. Recently, it has managed to export agricultural goods such as non-basmati rice to China. Besides, the country is also seeking greater market access for various agricultural products, animal feeds, oil seeds, milk and milk products, pharmaceuticals in light of the potential of these products/services in the Chinese market.

Meanwhile, growth in exports to China is beneficial for India as it has huge trade deficit with the neighbouring country. Trade deficit with China increased to $63.12 billion in 2017-18 from $51.11 billion in 2016-17.

The CNX Nifty is currently trading at 11552.80, up by 107.75 points or 0.94% after trading in a range of 11452.45 and 11565.25. There were 35 stocks advancing against 15 stocks declining on the index.

The top gainers on Nifty were Indiabulls Housing Finance up by 5.60%, Zee Entertainment up by 4.18%, Adani Ports & SEZ up by 3.93%, HPCL up by 3.71% and HCL Tech. up by 3.10%. On the flip side, Hindalco down by 2.14%, ONGC down by 2.06%, Bajaj Auto down by 1.93%, Dr. Reddy’s Lab down by 1.92% and Tata Steel down by 1.27% were the top losers.

Asian markets were trading mostly in red; Nikkei 225 slipped 344.97 points or 1.61% to 21,033.76, Shanghai Composite declined 27.78 points or 0.92% to 2,994.94, KOSPI fell 17.52 points or 0.82% to 2,128.10 and Taiwan Weighted was down by 6.44 points or 0.06% to 10,536.26. On the flip side, Jakarta Composite soared 36.05 points or 0.56% to 6,480.79, Straits Times advanced 10.07 points or 0.31% to 3,208.46 and Hang Seng was up by 79.18 points or 0.28% to 28,807.43.

All European markets were trading in green; UK’s FTSE 100 gained 53.48 points or 0.74% to 7,247.67, France’s CAC rose 20.81 points or 0.39% to 5,322.05 and Germany’s DAX was up by 45.76 points or 0.40% to 11,464.80.