Indices add some gains in morning deals

Indian equity benchmarks added some gains in morning deals and were now trading over half percent higher, led by gains in PSU, Telecom, Banking sectors despite weak trend in global markets. Sentiments remained up-beat with Union Minister Sadananda Gowda’s statement that the chemicals and petrochemicals sector has huge potential and can contribute significantly towards achieving the government's target of $5 trillion economy. He also said India has potential to become a global petrochemical hub & factors like high GDP growth, presence of skilled manpower, big domestic market makes India an attractive platform for investment in the sector. Traders also took a note of Niti Aayog CEO Amitabh Kant’s statement that India now needs to get into cutting edge technology in order to boost its exports which will benefit sectors such as telecom, automobiles, battery storage devices, and solar energy, among others.

On the global front, Asian markets were trading mostly in red following the weak cues overnight from Wall Street. Worries over higher inflation affecting valuations also weighed on the market. Back home, the cash and futures markets of the National Stock Exchange (NSE) shut following a technical glitch. On the sectoral front, there was some reaction in IT sector stocks with a private report that India's IT sector is experiencing a sequential growth in hiring since the lockdown in 2020, witnessing 39 per cent growth in job postings in January compared to the previous month.

The BSE Sensex is currently trading at 50057.48, up by 306.07 points or 0.62% after trading in a range of 49736.97 and 50162.21. There were 20 stocks advancing against 10 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.57%, while Small cap index was up by 0.95%.

The top gaining sectoral indices on the BSE were PSU up by 1.60%, Telecom up by 1.24%, Bankex up by 1.21%, Industrials up by 1.18% and Capital Goods up by 1.14%, while IT down by 0.36% and TECK down by 0.09% were the top losing indices on BSE.

The top gainers on the Sensex were Bajaj Finance up by 2.62%, SBI up by 2.26%, Axis Bank up by 2.21%, Ultratech Cement up by 2.08% and Bajaj Finserv up by 1.63%. On the flip side, TCS down by 1.16%, Dr. Reddys Lab down by 0.95%, Hindustan Unilever down by 0.50%, Maruti Suzuki down by 0.45% and Sun Pharma down by 0.42% were the top losers.

Meanwhile, Niti Aayog CEO Amitabh Kant has said that India now needs to get into cutting edge technology in order to boost its exports which will benefit sectors such as telecom, automobiles, battery storage devices, and solar energy, among others. He also pointed out that reforms that have been implemented post the pandemic would go a long way in facilitating this process. He added that thanks to the reforms process in India, key indicators such as GDP, FDI and trade have risen sharply and India has become a favoured destination for global investment.

Kant, speaking at the launch event for CII's report ''Foreign Trade & Investment in India: Unlocking Key Opportunities through Strategic Reforms'', further said the country is at the cusp of a transformation. He also said that the report now highlights the measures that the government needs to take in order to make India more competitive in the global market.

The CII report presents a detailed analysis of the policies that affect India's openness with respect to international trade, including tariff and non-tariff barriers, and FDI, the statement said. Against the background of the policy changes, the study analyses the trends and patterns of imports and exports and FDI inflows as also identifies on-ground issues being faced by companies in India. It also highlighted the need to participate in preferential trade arrangements with key partners, alongside leveraging existing ones, for realising greater export and FDI and increasing India's integration into the regional and global value chains.

The CNX Nifty is currently trading at 14820.45, up by 112.65 points or 0.77% after trading in a range of 14723.05 and 14822.25. There were 36 stocks advancing against 14 stocks declining on the index.

The top gainers on Nifty were Coal India up by 4.78%, Bajaj Finance up by 2.45%, SBI up by 2.10%, Axis Bank up by 2.08% and Indian Oil Corporation up by 1.84%. On the flip side, TCS down by 1.28%, Dr. Reddys Lab down by 0.96%, GAIL India down by 0.85%, Hindustan Unilever down by 0.62% and Bajaj Auto down by 0.52% were the top losers.

Asian markets were trading mostly in red; Nikkei 225 slipped 319.88 points or 1.06% to 29,836.15, Taiwan Weighted dropped 158.92 points or 0.97% to 16,284.48, Jakarta Composite lost 0.25 points or 6283.8% to 15.53, KOSPI fell 1.18 points or 3070.58% to 36.25, Shanghai Composite declined 1.55 points or 3638.94% to 56.41 and Hang Seng decreased 586.69 points or 1.92% to 30,045.95.

On the flip side, Straits Times advanced 37.96 points or 1.31% to 2,928.66.