Equity markets trade in negative territory in late afternoon session

The Indian equity benchmarks were trading in negative territory in late afternoon session. Weakness was also visible in the broader indices, BSE Mid cap index and Small cap index. Traders remain concerned with SBI Ecowrap report stating that India's fiscal deficit in the current financial year is likely to reach 7.4 per cent of the GDP on the back of enhanced government expenditure amid the pandemic. Adding some worries on the street, the Ministry of Statistics and Programme Implementation data showing that the Index of Industrial Production (IIP) contracted by 1.9 per cent in November as against 3.6 per cent growth in October. The manufacturing sector output shrank by 1.7 per cent in November, while power generation grew 3.5 per cent. Mining output saw a decline of 7.3 per cent. Sector wise, hospitality industry remained in focus with ICRA’s report that the domestic hospitality industry, which has been severely affected by the COVID -19 related disruptions, is likely to witness a decline of over 65 percent in 2020-21.

On the global front, Asian markets were trading mostly in green, as investors are assessing the spread of the second coronavirus wave and government shutdowns after the discovery of new strains in multiple countries, weighed against the new stimulus expected to be launched by many governments soon in addition to vaccines. European markets were trading mostly in green, as investors monitor vaccine rollouts and coronavirus containment measures.

The BSE Sensex is currently trading at 49270.17, down by 246.94 points or 0.50% after trading in a range of 49073.85 and 49795.19. There were 13 stocks advancing against 17 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 1.27%, while Small cap index was down by 0.91%.

The top gaining sectoral indices on the BSE were Auto up by 0.66%, PSU up by 0.54%, Telecom up by 0.54%, Oil & Gas up by 0.33% and FMCG was up by 0.14%, while Consumer Durables down by 1.54%, Healthcare down by 1.45%, Energy down by 1.02%, Consumer Discretionary down by 0.64% and Basic Materials was down by 0.62% were the top losing indices on BSE.

The top gainers on the Sensex were Mahindra & Mahindra up by 6.29%, SBI up by 1.66%, ITC up by 1.65%, ONGC up by 1.64% and NTPC up by 1.30%. On the flip side, Bajaj Finance down by 3.53%, HDFC down by 3.05%, Bajaj Finserv down by 2.05%, Dr. Reddys Lab down by 1.99% and Asian Paints down by 1.92% were the top losers.Meanwhile, the Central Board of Direct Taxes (CBDT) has launched an automated dedicated e-portal on the e-filing website of the Department to receive and process complaints of tax evasion, foreign undisclosed assets as well as complaints regarding benami properties. The step has been taken towards e-governance and encouraging participation of citizen as stakeholders in curbing tax evasion.

The facility allows for filing of complaints by persons who are existing PAN/Aadhaar holders as well as for persons having no PAN /Aadhaar. After an OTP based validation process (mobile and/or email), the complainant can file complaints in respect of violations of the Income- tax Act, 1961, Black Money (Undisclosed Foreign Assets and Income) Imposition of Tax Act, 1961 and Prevention of Benami Transactions Act (as amended) in three separate forms designed for the purpose.

Upon successful filing of the complaint, the Department will allot a unique number to each complaint and the complainant would be able to view the status of the complaint on the Department’s website. This e-portal is yet another initiative of the Income Tax Department to bring about enhanced ease of interaction with the Department, while strengthening its resolve towards e-governance.

The CNX Nifty is currently trading at 14499.30, down by 64.15 points or 0.44% after trading in a range of 14435.70 and 14653.35. There were 22 stocks advancing against 28 stocks declining on the index.

The top gainers on Nifty were Mahindra & Mahindra up by 6.49%, Indian Oil up by 2.65%, Tata Motors up by 2.19%, SBI up by 2.17% and BPCL up by 2.15%. On the flip side, HDFC down by 3.17%, Bajaj Finance down by 2.96%, Shree Cement down by 2.38%, Divis Lab down by 2.31% and UPL down by 2.10% were the top losers.

Asian markets were trading mostly in green, Nikkei 225 surged 292.25 points or 1.04% to 28,456.59, Taiwan Weighted strengthened 269.28 points or 1.74% to 15,769.98, Jakarta Composite soared 39.53 points or 0.62% to 6,435.20, KOSPI rose 22.34 points or 0.71% to 3,148.29 and Straits Times was up by 11.77 points or 0.4% to 2,988.94. On the flip side, Shanghai Composite declined 9.69 points or 0.27% to 3,598.65 and Hang Seng was down by 41.15 points or 0.15% to 28,235.60.

European markets were trading mostly in green, UK’s FTSE 100 increased 3.16 points or 0.05% to 6,757.27 and France’s CAC was up by 4.93 points or 0.09% to 5,655.90. On the flip side, Germany’s DAX was down by 13.59 points or 0.1% to 13,911.47.