Sensex, Nifty trade volatile in late morning session

Indian equity benchmarks were volatile during late morning session, with both Sensex and Nifty trading in red terrain with marginal losses. Mixed cues from other Asian markets impacted domestic sentiments. Traders overlooked reports that the Finance Ministry released Rs 75,000 crore to the States and Union Territories (UTs) with legislature under the back-to-back loan facility in lieu of Goods and Services Tax (GST) compensation. The release is in addition to normal GST compensation being released every 2 months out of actual cess collection.

On the global front, Asian markets were trading mixed, after the Bank of Japan decided to maintain its monetary stimulus unchanged and unveiled a preliminary outline for the new programme to support efforts on climate change. The bank also lowered its near-term growth outlook citing the impact of the coronavirus pandemic and raised its fiscal 2021 inflation forecast. The board, governed by Haruhiko Kuroda, on Friday, voted 8-1, to hold the interest rate at -0.1 percent on current accounts that financial institutions maintain at the central bank.

The BSE Sensex is currently trading at 53124.43, down by 34.42 points or 0.06% after trading in a range of 53084.04 and 53290.81. There were 17 stocks advancing against 13 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.24%, while Small cap index was up by 0.22%.

The top gaining sectoral indices on the BSE were Telecom up by 1.91%, Healthcare up by 1.02%, Metal up by 0.87%, Energy up by 0.72% and Basic Materials up by 0.40%, while IT down by 1.07%, TECK down by 0.80%, Bankex down by 0.39%, Power down by 0.26% and Utilities down by 0.23% were the top losing indices on BSE.

The top gainers on the Sensex were Bharti Airtel up by 2.01%, Tata Steel up by 1.24%, ITC up by 1.24%, Reliance Industries up by 0.96% and Sun Pharma up by 0.83%. On the flip side, HCL Tech down by 3.38%, Tech Mahindra down by 2.40%, Infosys down by 1.36%, ICICI Bank down by 0.91% and Axis Bank down by 0.75% were the top losers.

Meanwhile, India’s merchandise exports rose by 48.34% in June 2021 as compared to same period of last year, on account of healthy growth in shipments of petroleum products, gems and jewellery, and chemicals, even as trade deficit stood at $9.37 billion. As per the data released by the Commerce Ministry, exports in June 2021 were $32.50 Billion, as compared to $21.91 Billion in June 2020, exhibiting a positive growth of 48.34 percent. In Rupee terms, exports were Rs. 2,39,047.45 crore in June 2021, as compared to Rs. 1,65,898.85 crore in June 2020, registering a positive growth of 44.09 percent. Cumulative value of exports for the period April-June 2021 was $95.39 Billion as against $51.32 Billion during the period April-June 2020, registering a positive growth of 85.88 percent. In Rupee terms, it was up by 25.01% to Rs 7,03,545.37 crore from Rs 3,89,016.27 crore.

Non-petroleum and Non-Gems and Jewellery exports in June 2021 were $25.65 Billion, as compared to $18.48 Billion in June 2020, registering a positive growth of 38.84 per cent. Non-petroleum and Non-Gems and Jewellery exports in April-June 2021 were $73.24 Billion, as compared to $43.91 Billion for the corresponding period in 2020-21, which is an increase of 66.79 percent. As compared to April-June 2019, Non-petroleum and Non-Gems and Jewellery exports in April-June 2021 registered a positive growth of 21.40 per cent.

On the other hand, imports during June 2021 too increased by 98.31% to $ 41.87 billion as compared to $21.11 billion in June 2020, while in rupee terms it was up by 92.63% to Rs 3,08,002.48 crore from Rs 1,59,892.42 crore in June 2020.  Cumulative value of imports for the period April-June 2021 was $126.15 Billion  as against $60.44 Billion during the period April-June 2020, registering a positive growth of 108.72 percent. In rupee terms, it was Rs 9,30,961.10 crore, up by 103.09% from Rs 4,58,395.18 crore in the same period last year

Oil imports in June 2021 were $10.68 Billion, which was 116.51 percent higher, compared to $4.93 Billion in June 2020. Oil imports in April-June 2021 were $31.00 Billion which was 137.02 per cent higher compared to $13.08 Billion over the same period last year. Non-oil imports in June 2021 were estimated at $31.20 Billion which was 92.77 percent higher compared to $16.18 Billion in June 2020. Non-Oil and Non-Gold imports were $30.23 Billion in June 2021, recording a positive growth of 94.07 percent, as compared to Non-Oil and Non-Gold imports of $15.57 Billion in June 2020. Non-Oil and Non-Gold imports were $87.26 Billion in April-June 2021, recording a positive growth of 86.96 percent, as compared to Non-Oil and Non-Gold imports of $46.67 Billion in April-June 2020.

The CNX Nifty is currently trading at 15916.50, down by 7.70 points or 0.05% after trading in a range of 15906.75 and 15962.25. There were 28 stocks advancing against 22 stocks declining on the index.

The top gainers on Nifty were Divi's Lab up by 2.90%, Bharti Airtel up by 2.06%, Tata Steel up by 1.22%, ITC up by 1.16% and Cipla up by 0.99%. On the flip side, HCL Tech down by 3.53%, Tech Mahindra down by 2.43%, Eicher Motors down by 1.45%, Infosys down by 1.36% and Shree Cement down by 1.10% were the top losers.

Asian markets were trading mixed; Nikkei 225 declined 224.10 points or 0.79% to 28,054.99, Taiwan Weighted slipped 134.75 points or 0.75% to 17,899.44, KOSPI lost 18.95 points or 0.58% to 3,267.27 and Shanghai Composite was down by 0.80 points or 0.02% to 3,563.79. On the other hand, Straits Times rose 4.41 points or 0.14% to 3,144.39, Hang Seng added 104.96 points or 0.37% to 28,101.23 and Jakarta Composite gained 10.49 points or 0.17% to 6,057.24.