Indian equity benchmarks ended flat with a negative bias on Tuesday’s trading session. Markets made a positive start of the trading session, as the Reserve Bank has decided to extend by six months the enhanced borrowing facility provided to banks to meet liquidity shortage till March 31, 2021, amid the ongoing economic woes created by the coronavirus pandemic. Some support also came after the Ministry of Corporate Affairs has extended the duration of several schemes till December 31 in view of the continued disruption caused due to the COVID-19 pandemic in certain parts of the country.
However, indices soon turned volatile to end on a flat note, as ratings agency ICRA revised its forecast for the contraction in India's FY21 GDP to 11 per cent from its earlier assessment of 9.5 per cent. The ratings agency cited the elevated levels of Covid-19 infections at the end of Q2FY21. Traders got worried, after the World Bank said the coronavirus pandemic is expected to lead to the slowest growth in more than 50 years in East Asia and the Pacific as well as China, while up to 38 million people are set to be pushed back into poverty. The bank said the region this year is projected to grow by only 0.9%, the lowest rate since 1967.
On the global front, European markets were trading lower. Asian Markets ended mixed on Tuesday, after overall consumer prices in the Tokyo area were up 0.2 percent on year in September. The Ministry of Internal Affairs and Communications said that was shy of expectations for an increase of 0.3 percent, which would have been unchanged from the August reading. Core CPI, which excludes volatile food prices, slipped an annual 0.2 percent. That exceeded forecasts for a drop of 0.3 percent, which also would have been unchanged from the previous month.
The BSE Sensex ended at 37973.22, down by 8.41 points or 0.02% after trading in a range of 37831.35 and 38235.94. There were 10 stocks advancing against 20 stocks declining on the index. (Provisional)
The broader indices ended in red; the BSE Mid cap index was down by 0.16%, while Small cap index was down by 0.01%. (Provisional)
The top gaining sectoral indices on the BSE were Consumer Durables up by 1.97%, Metal up by 1.81%, Energy up by 0.89%, Basic Materials up by 0.87% and Consumer Disc up by 0.56%, while Telecom down by 2.13%, Utilities down by 1.53%, PSU down by 1.43%, FMCG down by 1.42% and Bankex down by 1.25% were the top losing indices on BSE. (Provisional)
The top gainers on the Sensex were Ultratech Cement up by 3.08%, TCS up by 2.55%, Tata Steel up by 2.51%, Titan Co up by 2.48% and HDFC up by 1.70%. On the flip side, ONGC down by 3.82%, Indusind Bank down by 3.37%, Power Grid down by 2.89%, Axis Bank down by 2.82% and HCL Tech. down by 2.69% were the top losers. (Provisional)
Meanwhile, in order to provide greater ease of doing business, the Ministry of Corporate Affairs has extended the duration of several schemes till December 31 in view of the continued disruption caused due to the COVID-19 pandemic in certain parts of the country.
The Ministry of Corporate Affairs had introduced a new scheme known as the Companies Fresh Start Scheme, 2020, valid from April 01, 2020 to September 30, 2020 to enable companies to make good their previous defaults. This Scheme has now been extended till December 31, 2020.
The Scheme for relaxation of time for filing forms related to creation or modification of charges under the Companies Act, 2013 and the time for conducting EGMs through Video Conference or Other Audio Visual Means also stand extended till December 31, 2020.
The CNX Nifty ended at 11222.40, down by 5.15 points or 0.05% after trading in a range of 11181.00 and 11305.40. There were 16 stocks advancing against 34 stocks declining on the index. (Provisional)
The top gainers on Nifty were Hindalco up by 5.19%, Ultratech Cement up by 3.57%, Hero MotoCorp up by 2.79%, TCS up by 2.56% and JSW Steel up by 2.56%. On the flip side, ONGC down by 3.76%, Indusind Bank down by 3.40%, UPL down by 3.28%, Power Grid down by 2.88% and Axis Bank down by 2.82% were the top losers. (Provisional)
European markets were trading lower, UK’s FTSE 100 decreased 40.78 points or 0.69% to 5,887.15, France’s CAC decreased 13.74 points or 0.28% to 4,829.53 and Germany’s DAX was down by 66.88 points or 0.52% to 12,803.99.
Asian Markets ended mixed on Tuesday as investors looked ahead to the first US presidential debate between Donald Trump and Joe Biden set for later in the day and also eyed progress of a fiscal stimulus package in Washington. Further, renewed concerns about a surging corona virus cases around the globe and uncertainty about the presidential election added more pressure on market sentiment. Japanese shares ended marginally higher, tracked by Wall Street’s gains overnight. However, shares in Japanese telecoms giant Nippon Telegraph & Telephone (NTT) lost 2.9 percent on reports that it is preparing for a takeover of its mobile phone carrier NTT DoCoMo. Report showed overall consumer prices in the Tokyo area were up 0.2 percent year-on-year in September. That was shy of expectations for an increase of 0.3 percent, which would have been unchanged from the August reading. South Korean shares closed higher ahead of a three-day Chuseok holiday, with lower domestic corona virus infections aiding sentiment.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 3,224.36 | 6.83 | 0.21 |
Hang Seng | 23,275.53 | -200.52 | -0.85 |
Jakarta Composite | 4,879.10 | -27.45 | -0.56 |
KLSE Composite | 1,503.90 | -7.76 | -0.51 |
Nikkei 225 | 23,539.10 | 27.48 | 0.12 |
Straits Times | 2,471.61 | -11.40 | -0.46 |
KOSPI Composite | 2,327.89 | 19.81 | 0.86 |
Taiwan Weighted | 12,467.73 | 4.97 | 0.04 |
