Weak trade continues over Dalal street in late morning session

Weak trade continued over the Dalal Street in late morning session, with both Sensex and nifty trading in red terrain, despite positive cues from other Asian markets. Traders got cautious, as Finance Secretary T V Somanathan said that the entire revenue loss on account of reduction in excise duty on petrol and diesel by Rs 10 and Rs 5 a litre respectively will be borne by the Centre. Besides, industry body AIFI said that with the ripple down effect of declining automobile sales, the forging industry is facing the heat with a sharp decline in demand which has resulted in substantial production cuts.

On the global front, Asian markets were trading mostly in green, after Japan's tertiary activity grew in September. The data from the Ministry of Economy, Trade and Industry showed that the tertiary activity index rose 0.5 percent month-on-month in September, after 1.1 percent decrease in August.

The BSE Sensex is currently trading at 60542.68, down by 176.03 points or 0.29% after trading in a range of 60405.74 and 60802.79. There were 12 stocks advancing against 18 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.33%, while Small cap index up by 0.61%.

The top gaining sectoral indices on the BSE were Auto up by 1.49%, IT up by 0.73%, Consumer discretionary up by 0.64%, Power up by 0.62% and TECK up by 0.56%, while Energy down by 1.17%, Bankex down by 0.62%, Oil & Gas down by 0.45%, PSU down by 0.27% and FMCG down by 0.06% were the top losing indices on BSE.

The top gainers on the Sensex were Maruti Suzuki up by 3.45%, Bajaj Finserv up by 1.25%, Power Grid up by 1.17%, Bajaj Finance up by 1.14% and Infosys up by 0.87%. On the flip side, Reliance Industries down by 1.61%, Asian Paints down by 1.40%, SBI down by 1.25%, HDFC down by 1.02% and Kotak Mahindra Bank down by 0.95% were the top losers.

Meanwhile, India’s merchandise exports rose by 43% in October 2021 as compared to same period of last year. Export sectors which recorded positive growth during October include petroleum, coffee, engineering goods, cotton yarn/fabs./made-ups, gems and jewellery, chemicals plastic and linoleum and marine products. Trade deficit, gap between imports and exports, widened to $19.73 billion in October as against $9.15 billion in the same month last year.

As per the data released by the Commerce Ministry, exports in October 2021 were $35.65 Billion, as compared to $24.92 Billion in October 2020, exhibiting a positive growth of 43.05 percent. In Rupee terms, exports were Rs 2,67,056.26 crore in October 2021, as compared to Rs 1,83,060.60 crore in October 2020, registering a positive growth of 45.88 percent. Cumulative value of exports for the period April- October 2021 was $233.54 Billion as against $ 150.54 Billion during the period April- October 2020, registering a positive growth of 55.13 percent. In Rupee terms, it was up by 53.87% to Rs 17,30,104.50 crore from Rs 11,24,418.69 crore.  

Non-petroleum and Non-Gems and Jewellery exports in October 2021 were $26.09 Billion, as compared to $20.43 Billion in October 2020, registering a positive growth of 27.75 per cent. on-petroleum and Non-Gems and Jewellery exports in April-October 2021 were $175.99 Billion, as compared to $125.23 Billion for the corresponding period in 2020-21, which is an increase of 40.53 per cent.

On the other hand, imports during October 2021 too increased by 62.51% to $55.37 billion as compared to $34.07 billion in October 2020, while in rupee terms it was up by 65.73% to Rs 4,14,832.20 crore from Rs 2,50,299.93 crore in October 2020.  Cumulative value of imports for the period April- September 2021 was $331.39 Billion as against $186.01 Billion during the period April- October 2020, registering a positive growth of 78.16 percent. In rupee terms, it was Rs 24,55,722.54 crore, up by 76.76% from Rs 13,89,331.98 crore in the same period last year. 

Oil imports in October 2021 were $14.43 Billion, which was 140.47 percent higher, compared to $6.00 Billion in October 2020. Oil imports in April- October 2021 were $87.42 Billion which was 129.96 per cent higher compared to $38.01 Billion over the same period last year.  Non-oil imports in October 2021 were estimated at $40.94 Billion which was 45.85 percent higher compared to $28.07 Billion in October 2020. Non-Oil and Non-Gold imports were $35.84 Billion in October 2021, recording a positive growth of 40.14 percent, as compared to Non-Oil and Non-Gold imports of $25.57 Billion in October 2020.

The CNX Nifty is currently trading at 18062.30, down by 47.15 points or 0.26% after trading in a range of 18023.95 and 18132.65. There were 23 stocks advancing against 27 stocks declining on the index.

The top gainers on Nifty were Maruti Suzuki up by 3.64%, Tata Motors up by 2.74%, Hero MotoCorp up by 1.62%, Bajaj Finance up by 1.19% and Power Grid up by 1.17%. On the flip side, Reliance Industries down by 1.53%, Shree Cement down by 1.50%, Asian Paints down by 1.47%, BPCL down by 1.21% and SBI down by 1.19% were the top losers.

Asian markets were trading mostly in green; Hang Seng increased 316.06 points or 1.24% to 25,706.97, Taiwan Weighted strengthened 33.68 points or 0.19% to 17,668.15, Jakarta Composite soared 27.99 points or 0.42% to 6,644.02, Nikkei 225 surged 15.85 points or 0.05% to 29,792.65 and Shanghai Composite gained 11.16 points or 0.32% to 3,544.46. On the flip side, Straits Times lost 2.11 points or 0.07% to 3,238.47 and KOSPI fell 5.72 points or 0.19% to 2,993.80.