Bourses turn negative

Indian equity bourses erased all of their gains in late afternoon session to turn negative, tracking sluggish European markets. Domestic sentiments got hit after rating agency India Ratings and Research (Ind-Ra) revised its GDP growth forecast for the current financial year (FY20) to 5.6 per cent. This is the fourth revision and has come in after the agency had revised its FY20 GDP growth forecast only a month ago to 6.1 per cent. The street paid no heed towards Union Minister Nitin Gadkari’s statement that the government is in the process of launching 'Digital data based credit ratings' of Micro, Small and Medium Enterprises (MSME), to help entrepreneurs to get bank loans on the basis of these credit ratings.

On the global front, European markets were trading in red, after Finland's jobless rate rose in October after easing in the previous month. The data from Statistics Finland showed that the jobless rate for the 15 to 74 age group rose to 6.2 percent in October from 5.9 percent in September. In August, the unemployment rate was at 6.1 percent. However, Asian markets were trading mixed.

The BSE Sensex is currently trading at 40820.69, down by 68.54 points or 0.17% after trading in a range of 40710.20 and 41120.28. There were 9 stocks advancing against 22 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index was down by 0.67%, while Small cap index was down by 0.25%.

The only gaining sectoral indices on the BSE were Energy up by 0.23% and Bankex up by 0.16%, while Telecom down by 4.29%, TECK down by 1.41%, Capital Goods down by 1.02%, Realty down by 1.02% and Industrials down by 0.86% were the top losing indices on BSE.

The top gainers on the Sensex were Yes Bank up by 1.57%, ICICI Bank up by 1.49%, Indusind Bank up by 1.12%, ONGC up by 1.07% and Reliance Industries up by 0.58%. On the flip side, Bharti Airtel down by 3.52%, Tata Motors - DVR down by 2.10%, Power Grid down by 1.69%, Sun Pharma down by 1.59% and Mahindra & Mahindra down by 1.33% were the top losers.

Meanwhile, with an aim to help entrepreneurs to get bank loans on the basis of the credit ratings, Union Minister Nitin Gadkari has said that the government is in the process of launching 'Digital data based credit ratings' policy for Micro, Small and Medium Enterprises (MSMEs).

Nitin Gadkari further emphasized on building credibility by MSME's by timely payment of loans and pitched for setting up more small scale businesses in rural areas, during a conference on 'Opportunities for MSME in Agriculture & Food processing' at Agrovision.

Union Minister for Micro, Small and Medium Enterprises also assured all support from MSME ministry. Besides, he added that timely payment of taxes and loans will ensure good credit ratings and the concerned MSME will get digital data based credit ratings.

The CNX Nifty is currently trading at 12048.65, down by 25.10 points or 0.21% after trading in a range of 12006.35 and 12132.45. There were 14 stocks advancing against 36 stocks declining on the index.

The top gainers on Nifty were GAIL India up by 2.83%, ICICI Bank up by 1.66%, Yes Bank up by 1.25%, Dr. Reddy’s Lab up by 1.17% and Indusind Bank up by 1.13%. On the flip side, Bharti Infratel down by 6.66%, Zee Entertainment down by 6.24%, Bharti Airtel down by 3.51%, Grasim Industries down by 3.37% and JSW Steel down by 2.56% were the top losers.

Asian market were trading mixed; Hang Seng decreased 53.11 points or 0.2% to 26,939.93, Jakarta Composite lost 20.81 points or 0.34% to 6,049.95, Straits Times trembled 6.33 points or 0.2% to 3,214.30 and KOSPI was down by 2.15 points or 0.1% to 2,121.35. On the flip side, Shanghai Composite gained 2.92 points or 0.1% to 2,909.09, Taiwan Weighted strengthened 15.24 points or 0.13% to 11,576.82 and Nikkei 225 was up by 80.51 points or 0.35% to 23,373.32.

All European markets were trading in red; FTSE declined 8.97 points or 0.12% to 7,387.32, CAC fell 14.32 points or 0.24% to 5,910.54 and DAX was down by 45.50 points or 0.34% to 13,200.95.