Equity markets extend losses in late afternoon session

Indian equity markets extended their losses in late afternoon session. A level of pressure was seen on frontline stocks, especially in Nestle and Maruti Suzuki. The markets remained under pressure despite ICRA ratings report said that after two consecutive quarters of contraction, India's GDP is set to revert to the growth territory in the October-December 2020 period compared to the year-ago period. It said private consumption and government spending will help the economy post a turnaround during the December quarter and the GDP will grow 0.7 per cent. Sector wise, petroleum and natural gas sector remained in focus, as retail fuel prices climbed again for the ninth consecutive day reaching new highs on February 17 in cities across the country. On the global front, Asian markets were trading mostly in red, hit by profit-taking after a strong rally across the world in recent weeks, with investors worried valuations may have gone too far for now. European markets were trading lower as investors monitor rising bond yields.

The BSE Sensex is currently trading at 51771.85, down by 332.32 points or 0.64% after trading in a range of 51586.34 and 52078.15. There were 8 stocks advancing against 22 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index gained 0.24%, while Small cap index was up by 0.58%.

The top gaining sectoral indices on the BSE were Power up by 1.68%, PSU up by 1.36%, Energy up by 1.01%, Utilities up by 0.96% and Industrials was up by 0.87%, while IT down by 0.80%, Healthcare down by 0.74%, FMCG down by 0.67%, Realty down by 0.65% and Bankex was down by 0.53% were the top losing indices on BSE.

The top gainers on the Sensex were SBI up by 2.24%, Power Grid up by 1.89%, Reliance Industries up by 1.37%, Bajaj Auto up by 0.36% and Axis Bank up by 0.32%. On the flip side, Nestle down by 2.74%, Maruti Suzuki down by 2.38%, Bajaj Finserv down by 2.28%, Asian Paints down by 2.27% and Indusind Bank down by 2.03% were the top losers.

Meanwhile, highlighting that India’s energy demand is going to increase in the future, Minister of Petroleum and Natural Gas & Steel Dharmendra Pradhan has said that by balancing accessibility and affordability, India is creating a global model of energy justice and India will chart its own strategy and pathway for its green energy transition.

The Minister further said that ensuring access to clean cooking fuel to every household of the country has been a key strategy of Modi government for ending energy poverty. Talking about the gas based economy, Pradhan said that investment of 60 billion US dollars is underway for developing gas infrastructure which includes pipelines, city gas distribution and LNG regasification terminals.

Besides, he said that One Nation, One-Gas Grid will connect all corners of India. He mentioned about Pradhan Mantri Urja Ganga Gas Pipeline in eastern states and Indradhanush Gas Pipeline covering entire North Eastern States. He added that CGD network is being expanded to provide equitable access to clean cooking fuel across India.

The CNX Nifty is currently trading at 15221.25, down by 92.20 points or 0.60% after trading in a range of 15170.75 and 15314.30. There were 15 stocks advancing against 35 stocks declining on the index.

The top gainers on Nifty were Adani Ports up by 2.83%, Hero MotoCorp up by 2.81%, SBI up by 2.11%, Power Grid up by 1.93% and HDFC Life Insurance up by 1.82%. On the flip side, Nestle down by 2.77%, Maruti Suzuki down by 2.49%, Bajaj Finserv down by 2.39%, Asian Paints down by 2.23% and Indusind Bank down by 2.16% were the top losers.

Asian markets were trading mostly in red, Nikkei 225 slipped 175.56 points or 0.58% to 30,292.19, Jakarta Composite lost 64.67 points or 1.03% to 6,227.73, KOSPI fell 29.52 points or 0.93% to 3,133.73 and Straits Times was down by 14.58 points or 0.5% to 2,920.76. On the flip side, Hang Seng increased 338.28 points or 1.1% to 31,084.94 and Taiwan Weighted was up by 559.89 points or 3.54% to 16,362.29.

European markets were trading lower, UK’s FTSE 100 decreased 29.14 points or 0.43% to 6,719.72, France’s CAC decreased 14.71 points or 0.25% to 5,771.82 and Germany’s DAX was down by 67.07 points or 0.48% to 13,997.53.