Key indices continue to trade lower in early noon deals

Indian equity benchmarks continued their weak trade in early noon session, on the back of sustained selling activities by market-participants amid weakness across Asian peers. Selling in frontline blue chip stocks such as Reliance Industries, NTPC and Tata Motors restricted the markets to go up. Investors’ sentiment remain dented with former finance minister P Chidambaram’s statement that the Modi government is misleading the people with hollow claims, even as economy is treading a weak path. He also accused Jaitley of perfecting the art of concealing data and projecting doctored information. Further, sentiments were too downbeat as the statistics ministry stated that an official committee will examine the NSS technical report on services sector enterprises, which has raised questions over the GDP data. The technical report of the National Sample Survey Office (NSSO) has generated controversy following its observation that as much as 36 per cent units forming part of MCA-21 database, used in computing GDP, could not be either identifiable or traceable in the field. However, losses remain capped as India is expecting improvement in its ranking in the World Bank’s doing business report this year particularly in indicators such as paying taxes and trading across borders.

On the global front; Asian markets are trading in red, as investors waited to see whether Chinese and U.S. trade negotiators can salvage a deal to stave off the threat of fresh U.S. tariff increases, which would damage global economic growth. Back on street, E.I.D. Parry surged on reporting a rise of 5.50% in its net profit at Rs 129.18 crore for the quarter ended March 31, 2019 as compared to Rs 122.44 crore for the same quarter in the previous year. However, Dhanlaxmi Bank fell despite reporting a net profit of Rs 27.61crore for the quarter ended March 31, 2019, against net loss of Rs 17.16 crore for the same quarter in the previous year.

The BSE Sensex is currently trading at 37690.54, down by 98.59 points or 0.26% after trading in a range of 37564.87 and 37780.46. There were 13 stocks advancing against 18 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index lost 0.01%, while Small cap index was down by 0.06%.

The top gaining sectoral indices on the BSE were TECK up by 0.56%, IT up by 0.51%, Realty up by 0.38%, Bankex up by 0.13%, Consumer Discretionary was up by 0.12% while, Energy down by 1.76%, Power down by 0.79%, Oil & Gas down by 0.72%, Healthcare down by 0.58% and Metal was down by 0.54% were the top losing indices on BSE.

The top gainers on the Sensex were Yes Bank up by 5.16%, Hero MotoCorp up by 1.81%, Bajaj Finance up by 1.65%, Infosys up by 1.16% and ICICI Bank was up by 0.82%. On the flip side, Reliance Industries down by 2.34%, NTPC down by 1.34%, Tata Motors down by 1.08%, Tata Motors - DVR down by 1.07% and HCL Technologies
was down by 1.03% were the top losers.

Meanwhile, International Air Transport Association (IATA), global airlines body, has said that the growth of India's domestic passenger market dropped to 3.1% in March 2019 as compared to 8.3% in February. The slowdown largely reflects the reduction in flight operations of Jet Airways - which stopped flying in April - as well as disruptions at Mumbai airport due to construction.

Global airlines body further added rising airfares in recent months are also likely to have weighed upon passenger demand. In India, over the past five years, annual growth has averaged a double-digit pace close to 20%.

Besides, the IATA represents around 290 airlines comprising 82 per cent of global air traffic. The domestic passenger traffic in countries across the world increased by 4.1% in March.

The CNX Nifty is currently trading at 11334.95, down by 24.50 points or 0.22% after trading in a range of 11290.90 and 11357.60. There were 20 stocks advancing against 30 stocks declining on the index.

The top gainers on Nifty were Zee Entertainment up by 6.42%, Yes Bank up by 5.44%, Indiabulls Housing up by 2.15%, Hero MotoCorp up by 1.73% and Bajaj Finance was up by 1.63%. On the flip side, Reliance Industries down by 2.28%, NTPC down by 1.80%, BPCL down by 1.78%, Bharti Infratel down by 1.76% and Dr. Reddys Lab was down by 1.42% were the top losers.

All Asian markets are trading in red; Straits Times decreased 10.56 points or 0.32% to 3,273.28, Hang Seng declined 494.63 points or 1.71% to 28,508.57, Taiwan Weighted slipped 190.04 points or 1.74% to 10,733.67, Jakarta Composite fell 38.14 points or 0.61% to 6,232.06 and Shanghai Composite decreased 23.46 points or 0.81 % to 2,870.30, Nikkei 225 tumbled 190.35 points or 0.88% to 21,412.24 and KOSPI was down by 47.73 points or 2.20% to 2,120.28.