Sensex, Nifty remain higher in late morning session

Positive trade continued over the Dalal Street in late morning session, with both Sensex and Nifty trading in green terrain. Positive cues from other Asian markets helped key indices to remain higher. Domestic sentiments were positive, after Reserve Bank of India Governor Shaktikanta Das said that RBI Retail Direct Scheme and Reserve Bank Integrated Ombudsman Scheme will provide further impetus to India's journey towards a more inclusive and responsive financial system. Adding more optimism among traders, markets regulator Sebi has amended rules to introduce silver exchange traded funds, a move that will expand the options available for investing in commodities through stock exchanges.

On the global front, Asian markets were trading mostly in green, even after the Malaysian economy shrank more than expected in the third quarter. The data published by Bank Negara Malaysia revealed that gross domestic product contracted 4.5 percent on a yearly basis in the third quarter, in contrast to the 16.1 percent expansion logged in the second quarter.

The BSE Sensex is currently trading at 60189.27, up by 269.58 points or 0.45% after trading in a range of 59997.96 and 60324.08. There were 23 stocks advancing against 7 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index was up by 0.03%, while Small cap index down by 0.12%.

The top gaining sectoral indices on the BSE were Telecom up by 1.14%, TECK up by 0.91%, IT up by 0.84%, Power up by 0.74% and Energy up by 0.71%, while PSU down by 0.33%, Basic Materials down by 0.24%, Metal down by 0.14%, Auto down by 0.13% and Realty down by 0.03% were the top losing indices on BSE.

The top gainers on the Sensex were Tech Mahindra up by 2.09%, Bajaj Finserv up by 1.71%, Infosys up by 1.26%, Bharti Airtel up by 1.13% and Sun Pharma up by 0.89%. On the flip side, Bajaj Auto down by 2.23%, Tata Steel down by 1.57%, NTPC down by 1.10%, SBI down by 0.84% and Power Grid down by 0.47% were the top losers.

Meanwhile, Union Minister of State for Finance Bhagwat Karad has said that buoyancy in Goods and Services Tax (GST) collection in October shows the Indian economy, adversely affected by the coronavirus pandemic, is on the path to swift recovery. Indicating the impact of festive buying, GST collection remained above Rs 1 lakh crore for the fourth month in a row at over Rs 1.30 lakh crore in October.

Karad said the government has advised them to focus on three key issues - financial inclusion, financial literacy and digital transaction. He stated that India's national budget, which used to be Rs 17 lakh crore seven years ago, has more than doubled under the guidance of PM Modi. This was made possible because of honest taxpayers, tax practitioners are chief motivators for this compliance.

The minister further said there were some hiccups in GST implementation when it was introduced four years ago, but with feedback and suggestions from tax practitioners these problems are being ironed out gradually. He said ‘the aim is to make a New India which has health, wealth, and infrastructure. Finance is the most important part of it. Our aim is to create a clean and clear system which brings transparency in tax collection.’

The CNX Nifty is currently trading at 17962.00, up by 88.40 points or 0.49% after trading in a range of 17905.90 and 18000.85. There were 35 stocks advancing against 15 stocks declining on the index.

The top gainers on Nifty were HDFC Life Insurance up by 2.57%, Tech Mahindra up by 2.37%, Adani Ports & SEZ up by 1.84%, Hindalco up by 1.74% and Bharti Airtel up by 1.65%. On the flip side, Bajaj Auto down by 2.40%, Tata Steel down by 1.71%, NTPC down by 1.06%, SBI down by 0.76% and Power Grid down by 0.52% were the top losers.

Asian markets were trading mostly in green; Nikkei 225 surged 295.92 points or 1.01% to 29,573.78, Hang Seng increased 54.95 points or 0.22% to 25,302.94, Taiwan Weighted strengthened 47.53 points or 0.27% to 17,500.05 and KOSPI rose 42.99 points or 1.47% to 2,967.91. On the flip side, Shanghai Composite declined 0.22 points or 0.01% to 3,532.57, Straits Times trembled 0.52 points or 0.02% to 3,237.55 and Jakarta Composite lost 23.61 points or 0.35% to 6,667.73.