Indices continue to trade in positive terrain

Indian stock markets continued to trade in positive terrain in early noon session with Sensex and Nifty trading above 39,000 and 11,600 levels respectively. Buying in Realty, Oil & Gas and Power stocks helped markets to trade higher. Broader indices were also trading in green, supporting their larger peers. Investors took support with data from Reserve Bank of India showed that India’s receipts from exports of services rose 15.5 per cent to $18.68 billion in May this year. In May 2018, the receipts from services exports by India had stood at $16.17 billion. Besides, Finance Minister Nirmala Sitharaman said that GST collection of states and union territories (UTs) increased to Rs 5.18 lakh crore in the full financial year 2018-19, up from Rs 2.91 lakh crore collected in nine months of 2017-18 also continued to support the markets. Meanwhile, with a view to strengthen international investors' confidence so that they can invest and participate in the country's development, Commerce and Industry Minister Piyush Goyal has said that Indian government is looking for ideas from all sides.

On the global front, Asian markets were trading mixed as investors take a breather after a recent rally and as they await the start of the corporate earnings season. Back on street, in scrip specific developments, Greaves Cotton surged on increasing stake in Ampere Vehicles. However, shares of Ashok Leyland slips as its plant situated at Pantnagar in the state of Uttarakhand will remain closed from July 16, 2019 to July 24, 2019 (both days inclusive). The shutdown is due to weak demand and outlook for the industry.

The BSE Sensex is currently trading at 39030.08, up by 133.37 points or 0.34% after trading in a range of 38845.27 and 39059.97. There were 26 stocks advancing against 5 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.31%, while Small cap index was up by 0.19%.

The top gaining sectoral indices on the BSE were Realty up by 1.91%, Oil & Gas up by 1.39%, Power up by 1.15%, Utilities up by 1.11% and PSU was up by 1.07%, while IT down by 0.55%, TECK was down by 0.45% were the few losing indices on BSE.

The top gainers on the Sensex were Tata Motors - DVR up by 3.99%, Tata Motors up by 3.63%, NTPC up by 1.88%, ICICI Bank up by 1.66% and Yes Bank was up by 1.61%. On the flip side, TCS down by 1.65%, Mahindra & Mahindra down by 1.03%, Kotak Mahindra Bank down by 0.78%, HCL Technologies down by 0.66% and Hero MotoCorp was down by 0.20% were the top losers.

Meanwhile, breaking the eight months growth momentum, India’s exports fell by 9.71% in the month of June 2019 over the same period in the previous year, due to a fall in shipments of gems and jewellery, engineering goods and petroleum products. The trade deficit also lowered to $15.28 billion in June from $16.6 billion in June 2018.

As per the data released by the Commerce Ministry, merchandise exports decreased by 9.71% to $25.01 billion in June 2019, as compared to $27.70 billion in the same month a year ago. In Rupee terms, it was down by 7.52% to Rs 1,73,682.55 crore in June 2019, as compared to Rs 1,87,800.20 crore in June 2018. Cumulative value of exports for the period April- June 2019-20 was $81.08 billion as against $82.47 billion during the period April- June 2018-19, registering a negative growth of 1.69%. In Rupee terms, it was up by 2.03% to Rs 5,63,984.51 crore from Rs 5,52,781.61 crore.

Non-petroleum and Non Gems and Jewellery exports in June 2019 were $19.15 billion, as compared to $20.13 billion in June 2018, exhibiting a negative growth of 4.86%. Non-petroleum and Non Gems and Jewellery exports in April- June 2019-20 were $60.10 billion, as compared to $59.86 billion for the corresponding period in 2018-19, an increase of 0.40%.

On the other hand, Imports during June 2019, decreased by 9.06% to $40.29 billion as compared to $44.30 billion in June 2018, and in rupee terms it was down by 6.85% to Rs 2,79,771.07 crore from Rs 3,00,351.83 crore in June 2018. Cumulative value of imports for the period April- June 2019-20 was $127.04 billion, as against $127.41 billion during the period April- June 2018-19, registering a negative growth of 0.29%. In rupee terms, it was Rs 8,83,652.93 crore, up by 3.46% from Rs 8,54,096.98 crore in the same period last year.   

Oil imports in June 2019 were $11.03 billion, which was 13.33% lower, compared to $12.73 billion in June 2018. Oil imports in April- June 2019-20 were $34.85 billion which was 0.62% higher compared to $34.64 billion, over the same period last year.  Non-oil imports during June 2019 were estimated at $29.26 billion which was 7.34% lower than non-oil imports of $31.58 billion in June 2018. Non-Oil and Non-Gold imports were $26.57 billion in June 2019, down 9.00% over the same period of last year. Non-Oil and Non-Gold imports were $80.75 billion in April- June 2019-20, down 4.25%, over the same period of last year.   

The CNX Nifty is currently trading at 11626.90, up by 38.55 points or 0.33% after trading in a range of 11573.95 and 11637.20. There were 40 stocks advancing against 10 stocks declining on the index.

The top gainers on Nifty were Tata Motors up by 3.88%, BPCL up by 1.91%, NTPC up by 1.64%, ICICI Bank up by 1.61% and Indian Oil Corporation up by 1.58%. On the flip side, TCS down by 1.81%, UPL down by 1.44%, Mahindra & Mahindra down by 1.05%, Wipro down by 0.81% and Kotak Mahindra Bank was down by 0.76% were the top losers.

Asian markets are trading mixed; Hang Seng increased 53.93 points or 0.19% to 28,608.81, Taiwan Weighted strengthened 9.62 points or 0.09% to 10,886.05, KOSPI rose 6.09 points or 0.29% to 2,088.57 and Straits Times was up by 5.14 points or 0.15% to 3,353.09. On the other hand, Nikkei 225 slipped 129.73 points or 0.6% to 21,556.17, Shanghai Composite declined 8.24 points or 0.28% to 2,933.95 and Jakarta Composite was down by 21.17 points or 0.33% to 6,397.06.