Local equities continued to trade with caution in the morning deals, owing to selling pressure in frontline blue-chip counters. Energy, Realty and Power have elevated some gains on their respective front line stocks. However, traders took some solace from a report that senior officials from India and the US would meet on June 12 to discuss various trade and economic issues and strengthen bilateral relations. Some support also came with Union Micro, Small and Medium Enterprises Minister Nitin Gadkari’s statement that the government plans to promote large-scale production of honey as a means to increase job opportunities in rural and tribal areas, and a policy for this will soon be formulated. Market Participants also took note of a US-based India centric advocacy groups report that the bilateral trade between India and the US could reach $238 billion by 2025 from the current $143 billion given the present dynamics of the commercial engagement. Besides, a report stated that as rainfall in the first 11 days of this month was 24% more than ‘normal’, the overall season’s rain deficit came down to 12%, from 33% witnessed in June.
On the global front, Asian market were trading mostly in green, but gains remain capped as investors applied the brakes after recent advances, with debate now focusing on the depth of an expected US interest rate cut. Back home, power minister RK Singh stated that the renewable energy sector received $1.5 billion of foreign direct investment (FDI) in FY19, 20.1% higher than the previous fiscal. In the five-year period since FY15, FDI in the sector has been $4.8 billion.
The BSE Sensex is currently trading at 38846.44, up by 23.33 points or 0.06% after trading in a range of 38747.80 and 38941.10. There were 15 stocks advancing against 15 stocks declining, while 1 stock remain unchanged on the index.
The broader indices were trading in green; the BSE Mid cap index gained 0.19%, while Small cap index was up by 0.16%.
The top gaining sectoral indices on the BSE were Energy up by 0.77%, Realty up by 0.57%, Utilities up by 0.44%, Power up by 0.40% and Basic Materials was up by 0.35% while, Telecom down by 0.75%, Capital Goods down by 0.71%, Industrials down by 0.27%, BANKEX down by 0.23% and FMCG was down by 0.15% were the top losing indices on BSE.
The top gainers on the Sensex were Reliance Industries up by 1.30%, NTPC up by 1.20%, Sun Pharma up by 0.75%, Tata Steel up by 0.75% and HDFC was up by 0.70%. On the flip side, Bharti Airtel down by 1.14%, Larsen & Toubro down by 1.07%, Bajaj Finance down by 0.93%, HCL Tech. down by 0.86% and Axis Bank was down by 0.80% were the top losers.
Meanwhile, with an aim to ensure rapid transition towards electric mobility, Road Transport and Highways Minister Nitin Gadkari has said the Niti Aayog has proposed that two-wheelers below the capacity of 150 cc sold in the country after March 31, 2025, should be electric ones only and also proposed that three-wheelers sold in the country should be electric ones only after March 31, 2023.
The minister said the government has started working on meeting the demands of electricity for the new set of electric vehicles (EVs). He also stated that this has been decided after detailed deliberations with key stakeholders of different ministries for cleaning up Indian cities and to ensure rapid transition towards EVs and making India a manufacturing base for electric two-wheelers and three-wheelers.
He said that the road map for implementation shall be finalised in consultation with stakeholders and adding that currently, there are 3,97,184 EVs in the country.
The CNX Nifty is currently trading at 11573.75, down by 9.15 points or 0.08% after trading in a range of 11553.30 and 11608.90. There were 20 stocks advancing against 29 stocks declining, while 1 stock remain unchanged on the index.
The top gainers on Nifty were UPL up by 1.85%, NTPC up by 1.20%, Reliance Industries up by 1.17%, Tata Steel up by 0.94% and Bajaj Finserv was up by 0.86%. On the flip side, Wipro down by 2.76%, Indian Oil Corporation down by 1.32%, JSW Steel down by 1.22%, Dr. Reddy’s Lab down by 1.20% and Bharti Airtel was down by 1.19% were the top losers.
Asian market were trading mostly in green, Hang Seng increased 121.12 points or 0.43% to 28,552.92, Nikkei 225 surged 26.31 points or 0.12% to 21,669.84, Shanghai Composite gained 13.36 points or 0.46% to 2,931.12, Straits Times advanced 11.15 points or 0.33% to 3,361.60 and KOSPI was up by 4.06 points or 0.2% to 2,084.64.
On the other hand; Taiwan Weighted dropped 15.18 points or 0.14% to 10,828.24 and Jakarta Composite was down by 21.86 points or 0.34% to 6,395.21.
