Benchmarks remain under pressure

The Indian equity benchmarks continued their trade in negative territory in late afternoon session on the accounts of weak cues from European markets. A level of pressure was seen on frontline stocks, especially Tata Steel and Bajaj Finserv. The markets remained under pressure with report that total tax collection of the Centre, including advance tax collection for the second quarter, fell 22.5% to Rs 2,53,532.3 crore till September 15 of the current fiscal as compared to the year-ago period. Traders took note that World Bank in its latest report has showed that India has been ranked at the 116th position in the latest edition of the World Bank's annual Human Capital Index that benchmarks key components of human capital across countries. On the sectoral front, aviation sector remained in focus, as Director General of Civil Aviation (DGCA) in its latest data has showed that passenger load factor crossed 60 per cent in August for the first time since the resumption of domestic flights in May this year. Industry-wise load factor or seat occupancy was 63.2 per cent in August.

On the global front, all Asian markets are trading lower amid worries about the strength of the economic recovery after the U.S. Federal Reserve left interest rates unchanged and signaled rates are likely to remain at near-zero levels through 2023. European markets were trading lower.

The BSE Sensex is currently trading at 39042.09, down by 260.76 points or 0.66% after trading in a range of 38947.69 and 39234.81. There were 8 stocks advancing against 22 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 0.30%, while Small cap index was down by 0.49%.

The few gaining sectoral indices on the BSE were IT up by 0.69%, TECK up by 0.46% and Healthcare was up by 0.28%, while Metal down by 1.58%, Power down by 1.25%, Realty down by 1.23%, Capital Goods down by 1.17% and Bankex was down by 1.11% were the top losing indices on BSE.

The top gainers on the Sensex were HCL Tech up by 2.76%, Infosys up by 1.52%, Titan Company up by 0.33%, Asian Paints up by 0.27% and Tech Mahindra up by 0.19%. On the flip side, Tata Steel down by 2.22%, Bajaj Finserv down by 2.04%, Power Grid down by 1.98%, ICICI Bank down by 1.67% and NTPC down by 1.56% were the top losers.

Meanwhile, the World Bank in its latest report has showed that India has been ranked at the 116th position in the latest edition of the World Bank's annual Human Capital Index that benchmarks key components of human capital across countries.

As per the Human Capital Index report, India's score increased to 0.49 from 0.44 in 2018. The report noted that pre-pandemic, most countries had made steady progress in building human capital of children, with the biggest strides made in low-income countries.

The 2020 Human Capital Index update includes health and education data for 174 countries - covering 98 per cent of the world's population - up to March 2020, providing a pre-pandemic baseline on the health and education of children, with the biggest strides made in low-income countries.

The CNX Nifty is currently trading at 11532.20, down by 72.35 points or 0.62% after trading in a range of 11505.75 and 11587.20. There were 15 stocks advancing against 34 stocks declining on the index, while 1 stock remains unchanged.

The top gainers on Nifty were Dr. Reddys Lab up by 3.09%, HCL Tech up by 2.91%, Zee Entertainment up by 2.59%, Infosys up by 1.59% and Coal India up by 0.97%. On the flip side, Hindalco down by 4.13%, Tata Motors down by 2.74%, Shree Cement down by 2.28%, Tata Steel down by 2.26% and Bajaj Finserv down by 2.09% were the top losers.

All Asian markets are trading lower; Taiwan Weighted dropped 104.02 points or 0.8% to 12,872.74, Hang Seng decreased 384.78 points or 1.56% to 24,340.85, KOSPI fell 29.75 points or 1.22% to 2,406.17, Straits Times trembled 2.52 points or 0.1% to 2,502.63, Shanghai Composite declined 13.48 points or 0.41% to 3,270.44, Jakarta Composite lost 20.08 points or 0.4% to 5,038.40, Nikkei 225 slipped 156.16 points or 0.67% to 23,319.37.

European markets were trading lower, UK’s FTSE 100 decreased 44.58 points or 0.73% to 6,033.90, France’s CAC decreased 41.26 points or 0.81% to 5,033.16 and Germany’s DAX was down by 109.91 points or 0.83% to 13,145.46.