Key gauges continue to trade in green in morning deals

Indian equity benchmarks continued to trade in green in morning deals, amid buying interest in Auto, Energy and Consumer Durables stocks. Traders took some support with Union Minister Nitin Gadkari’s statement that the Rs 100 lakh crore-Gatishakti scheme will provide a framework for the National Infrastructure Pipeline programme and make Indian products more competitive by cutting down logistic costs and improving supply chains. He also sought investments in the road sector from insurance and pension funds of the US. Some support also came as the commerce ministry's provisional data showed that India's exports jumped 45.17 per cent to $33.14 billion in August as against $22.83 billion in the same month last year. However, gains remain capped as some concern came with Ratings agency ICRA’s statement that fiscal balances of 19 states in the quarter ended June of current financial year (Q1FY22) are weaker than pre-Covid levels with milder recovery in revenue and spending.

On the global front, Asian markets were trading mixed as concerns grew over the Chinese economy after a run of soft data, while the risk of a sub-par U.S. payrolls report kept the dollar on the defensive. A raft of manufacturing surveys suggested supply bottlenecks were tightening again with eight of nine Asian countries reporting longer delivery times. Back home, on the sectoral front, stocks related to steel sector remained in watch as Ratings agency ICRA has revised its outlook from 'stable' to 'positive' for the domestic steel sector, as all major listed steel companies have delivered healthy financial performance during the April-June 2021 quarter.

The BSE Sensex is currently trading at 57978.59, up by 126.05 points or 0.22% after trading in a range of 57931.53 and 58115.69. 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 0.39%, while Small cap index up by 0.54%.

The top gaining sectoral indices on the BSE were Auto up by 1.19%, Energy up by 1.16%, Consumer Durables up by 0.99%, Consumer Discretionary up by 0.84% and Realty up by 0.82%, while FMCG down by 0.17%, Metal down by 0.04% and Power down by 0.01% were the top losing indices on BSE.

The top gainers on the Sensex were Maruti Suzuki up by 2.11%, Bajaj Auto up by 1.80%, Titan Co up by 1.63%, Reliance Industries up by 1.26% and Indusind Bank up by 0.94%. On the flip side, Hindustan Unilever down by 0.84%, HCL Technologies down by 0.48%, Bharti Airtel down by 0.45%, Ultratech Cement down by 0.39% and Nestle down by 0.34% were the top losers.

Meanwhile, Union Minister Nitin Gadkari has said that the Rs 100 lakh crore-Gatishakti scheme will provide a framework for the National Infrastructure Pipeline programme and make Indian products more competitive by cutting down logistic costs and improving supply chains. He also sought investments in the road sector from insurance and pension funds of the US.  He noted that the Gatishakti master plan will provide the framework for the NIP programme and is aimed at making Indian products more competitive by cutting down logistic costs and improving supply chains.

According to the minister, infrastructure development will play an important role in India's aim to become a $5 trillion economy. He said India's supply chain infrastructure is getting momentum. He also said the government is investing $1.4 trillion in infrastructure development through NIP. He added that his ministry through NHAI is planning to raise USD 15 billion through the monetization of highways in the next five years.

The minister has pointed out that India is allowing 100 per cent FDI in the road sector, and there is a huge opportunity for joint ventures. He also noted that India is also ready to welcome investments in solar energy and green hydrogen. He also said that India is seeking the use of innovative technology and materials in road construction, and is open to adopting guidelines for use of new materials and technology.

The CNX Nifty is currently trading at 17272.80, up by 38.65 points or 0.22% after trading in a range of 17254.50 and 17311.95. There were 30 stocks advancing against 20 stocks declining on the index.

The top gainers on Nifty were Eicher Motors up by 3.53%, Hero MotoCorp up by 2.92%, Maruti Suzuki up by 2.33%, Bajaj Auto up by 2.18% and ONGC up by 2.11%. On the flip side, HDFC Life Insurance down by 2.70%, Hindustan Unilever down by 0.89%, SBI Life Insurance down by 0.74%, Tata Consumer Product down by 0.65% and Shree Cement down by 0.62% were the top losers.

Asian markets were trading mixed; Nikkei 225 surged 531.54 points or 1.86% to 29,075.05, Taiwan Weighted strengthened 179.39 points or 1.04% to 17,499.15, KOSPI rose 20.32 points or 0.64% to 3,196.17 and Jakarta Composite soared 8.34 points or 0.14% to 6,086.57. On the global front, Shanghai Composite declined 5.51 points or 0.15% to 3,591.53, Straits Times trembled 6.33 points or 0.2% to 3,082.51 and Hang Seng decreased 142.15 points or 0.54% to 25,948.28.