Barometer gauges maintain gains in early noon deals

Stock markets were trading in fine fettle in the early noon session due to buying in Power, IT and Auto sectors. Buying in frontline stocks such as ONGC, Indusind Bank and NTPC were aiding sentiment, while selling in ITC, Kotak Mahindra Bank and HCL Technologies kept the gains in the markets in check. Besides, broader indices - BSE Mid cap and Small cap - were also trading in green, supporting their larger peers. Sentiments remained up-beat as Monetary Policy Committee (MPC) of the Reserve Bank of India has slashed the short-term lending rate, repo rate, by 25 basis points in its fourth bimonthly policy review. Traders were also encouraged with a report that Commerce and Industry Minister Piyush Goyal and US Secretary for Commerce Wilbur Ross held discussions to increase bilateral trade between the countries. The meeting assumes significance as India and the US are negotiating a bilateral trade deal to boost two-way commerce. However, upside remained capped as the country's services sector activity contracted in September and fell to its lowest level since February 2018, amid weak demand, competitive pressure, and challenging market conditions.

On the global front, Asian markets were trading mostly in green, amid traders looked ahead to the release of a key US jobs report, which is expected to provide a further glimpse into the health of the world’s biggest economy. Back on the street, in scrip specific developments, shares of Lakshmi Vilas Bank touched the lower circuit limit after the Reserve Bank of India (RBI) initiated prompt corrective action (PCA) against the bank. However, Vascon Engineers surged on securing order worth Rs 505.54 crore.

The BSE Sensex is currently trading at 38330.02, up by 223.15 points or 0.59% after trading in a range of 38258.08 and 38403.54. There were 23 stocks advancing against 8 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.28%, while Small cap index was up by 0.37%.

The top gaining sectoral indices on the BSE were Power up by 1.04%, IT up by 0.93%, Auto up by 0.93%, Utilities up by 0.93% and Energy was up by 0.70%, while FMCG down by 0.85%, Consumer Durables down by 0.24%, Telecom down by 0.24% and Basic Materials was down by 0.01% were the top losing indices on BSE.

The top gainers on the Sensex were ONGC up by 3.04%, Indusind Bank up by 2.26%, NTPC up by 2.23%, HDFC up by 1.78% and SBI was up by 1.75%. On the flip side, ITC down by 1.55%, Kotak Mahindra Bank down by 0.67%, HCL Technologies  down by 0.60%, Tata Motors down by 0.41% and Bharti Airtel was down by 0.36% were the top losers.

Meanwhile, DPIIT Secretary Guruprasad Mohapatra has said that with a strong policy driven government at the centre and states, favourable conditions exist to achieve goal to make India a $5 trillion economy by 2024 and $10 trillion economy by 2030. He also expressed hopes that this captainship of the industry by the government will steer India to achieve the milestone.

Mohapatra has stated that the government has worked towards ease of doing business over the past five years. He said 'in ease of doing business, we have achieved much success. Right now we are at 77th position...expect it to get better in the next rankings.’

DPIIT Secretary has pointed out that the country has a strong startup ecosystem and the recent policy measures announced by the government would further help to bring investments. He added that deliberations at the World Economic Forum (WEF) would further give government ideas in order to get moving forward.

The CNX Nifty is currently trading at 11366.45, up by 52.45 points or 0.46% after trading in a range of 11345.75 and 11400.30. There were 31 stocks advancing against 18 stocks declining, 1 stock remain unchanged on the index.

The top gainers on Nifty were ONGC up by 3.16%, Indusind Bank up by 2.36%, SBI up by 2.24%, Cipla up by 2.13% and NTPC was up by 1.97%. On the flip side, Zee Entertainment down by 3.80%, BPCL down by 2.18%, Grasim Industries down by 1.82%, ITC down by 1.59% and Indian Oil Corporation was down by 1.15% were the top losers.

Asian markets were trading mostly in green; KOSPI rose 1.24 points or 0.06% to 2,033.15, Nikkei 225 surged 57.26 points or 0.27% to 21,399.00, Taiwan Weighted strengthened 18.57 points or 0.17% to 10,894.48 and Jakarta Composite was up by 20.74 points or 0.34% to 6,059.27. On the flip side, Hang Seng decreased 184.81 points or 0.71% to 25,925.50 and Straits Times was down by 9.15 points or 0.3% to 3,078.82.