Indian equity benchmarks opened at fresh record highs and are trading in fine fettle in early deals on Monday on firm global cues. Sentiment got boost as foreign direct investment (FDI) into the country rose by more than twofold to $17.57 billion during April-June this fiscal on account of measures such as policy reforms and ease of doing business. Further, support also came as foreign portfolio investors (FPIs) pumped in a net of just Rs 986 crore in Indian equities during August. All the sectoral indices were trading in green lead by Metal, Consumer Durables and Utilities. There were some reaction in agriculture industry stocks as agriculture ministry data released showed area sown to paddy has dipped 1.23 per cent at 388.56 lakh hectares so far in the 2021-22 kharif season due to deficit rains in some states.
On the global front, Asian markets were trading higher on Monday after US Federal Reserve Chairman Jerome Powell struck a more dovish tone than some investors expected in long-awaited speech on Friday. Back home, Bharti Airtel gained after the telecom services provider announced Rs 21,000-crore rights issue.
The BSE Sensex is currently trading at 56503.57, up by 378.85 points or 0.68% after trading in a range of 56309.86 and 56527.81. There were 28 stocks advancing against 2 stocks declining on the index.
The broader indices were trading in green; the BSE Mid cap index was up by 0.92%, while Small cap index up by 0.83%.
The gaining sectoral indices on the BSE were Metal up by 1.80%, Consumer Durables up by 1.38%, Utilities up by 1.32%, Auto up by 1.30% and Basic Materials up by 1.27%, while there were no losers.
The top gainers on the Sensex were Titan Co up by 2.28%, Bajaj Finance up by 2.08%, Tata Steel up by 2.03%, Mahindra & Mahindra up by 1.95% and Maruti Suzuki up by 1.58%. On the flip side, Tech Mahindra down by 0.86% and HCL down by 0.38% were the only losers.
Meanwhile, the commerce and industry ministry said foreign direct investment (FDI) equity inflow into the country grew by 168 per cent to $17.57 billion in the first three months of 2021-22 (Q1FY22) as compared to USD 6.56 billion in the same period of the last year. Total FDI inflow rose to $22.53 billion during the first three months of 2021-22 as against $11.84 billion in the same period of the last year. Total FDI comprises equity inflows, reinvested earnings and other capital.
The automobile industry has emerged as the top sector during the period under review with 27 per cent share of the total FDI equity inflows. It was followed by computer software and hardware (17 per cent) and services Sector (11 per cent). Further, Karnataka is the top recipient state during April-June 2021, with 48 per cent share of the total FDI equity inflows. It was followed by Maharashtra (23 per cent) and Delhi (11 per cent).
It said measures taken by the government on the fronts of FDI policy reforms, investment facilitation and ease of doing business have resulted in increased foreign inflows into the country. It added the FDI trends are an endorsement of India's status as a preferred investment destination amongst global investors.
The CNX Nifty is currently trading at 16829.15, up by 123.95 points or 0.74% after trading in a range of 16764.85 and 16831.85. There were 47 stocks advancing against 3 stocks declining on the index.
The top gainers on Nifty were Hindalco up by 3.23%, Tata Motors up by 2.27%, Titan Co up by 2.23%, Tata Steel up by 2.15% and Coal India up by 1.91%. On the flip side, Tech Mahindra down by 0.86%, HCL Tech. down by 0.49% and TCS down by 0.02% were the only losers.
Asian markets are trading in green; Hang Seng rose 83.22 points or 0.33% to 25,491.11, Taiwan Weighted gained 93.24 points or 0.54% to 17,303.17, KOSPI added 11.16 points or 0.36% to 3,145.06, Shanghai Composite was up by 12.06 points or 0.34% to 3,534.22, Nikkei 225 gained 111.53 points or 0.40 % to 27,752.67, Straits Times surged 24.36 points or 0.54% to 17,303.17 and Jakarta Composite was up by 70.87 points or 1.17% to 6,112.24.
