Post Session: Quick Review

Indian equity benchmarks staged recovery to end higher on Tuesday. After a negative start, markets remained volatile during the first half of the trading session, amid report that foreign institutional investors (FIIs) net sold shares worth Rs 3,438.76 crore in the Indian equity market on November 22, as per provisional data available on the NSE. Traders were cautious, as a senior RBI official witting on the rate-setting panel said that the Monetary Policy Committee (MPC) should not continue with unconventional measures now, and it is possible to have lower liquidity levels while continuing with the growth-enhancing accommodative stance.

In the second half of the trading session, key indices turned positive, after Union Commerce and Industry Minister Piyush Goyal said India is working on 'Aatmanirbhar Bharat' just like the United States embarked on a 'Build Back Better' framework. Some relief came in as an SBI research report stated that the country's GDP growth is likely to be around 8.1 per cent in the second quarter of the current financial year and in the range of 9.3-9.6 per cent during fiscal 2022. It added that in the first quarter of FY 22, the economy grew 20.1 per cent.

Adding more optimism, the preliminary data of the commerce ministry showed that the country's exports rose 18.8 per cent to $20.01 billion during the three week period of this month (November 1-21), due to healthy growth in sectors such as petroleum products, engineering goods, chemicals and gems and jewellery. Some support came with Fitch Ratings’ report that the Centre could better its fiscal deficit at 6.6 per cent of GDP in this financial year (FY22) on stronger-than-expected revenue buoyancy, even if the budgeted disinvestment target is not met.

On the global front, European markets were trading lower after Euro area consumer confidence deteriorated for a second straight month and at a faster than expected pace in November to its lowest level in seven months. Asian markets ended mostly lower on Tuesday, even after consumer confidence in South Korea picked up steam in November, the latest survey from the Bank of Korea showed on Tuesday with a sentiment index score of 107.6 - up from 106.8 in October. Consumer sentiment regarding current living standards was unchanged at 92, while the outlook was one point lower than in the previous month at 97.

The BSE Sensex ended at 58664.33, up by 198.44 points or 0.34% after trading in a range of 57718.34 and 58834.95. There were 21 stocks advancing against 9 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 1.61%, while Small cap index up by 1.81%. (Provisional)

The top gaining sectoral indices on the BSE were Metal up by 3.48%, Power up by 3.20%, Utilities up by 3.11%, Realty up by 2.35% and Basic Materials up by 2.13%, while IT down by 0.19% was the only losing index on BSE. (Provisional)

The top gainers on the Sensex were Power Grid up by 3.91%, NTPC up by 2.53%, Tata Steel up by 2.38%, Bharti Airtel up by 2.35% and Sun Pharma up by 1.73%. On the flip side, Indusind Bank down by 2.59%, Asian Paints down by 2.35%, Infosys down by 1.49%, Bajaj Auto down by 0.26% and Maruti Suzuki down by 0.21% were the top losers. (Provisional)

Meanwhile, highlighting that India is working on 'Aatmanirbhar Bharat' just like the United States embarked on a 'Build Back Better' framework, Union Commerce and Industry Minister Piyush Goyal has said that the Indian economy has recovered sharply and the rising economic indicators point towards 'India shaping up for a growth decade'.

Goyal also said that India-US bilateral trade is showing a robust increase. The minister said that rising economic indicators point towards 'India shaping up for a growth decade' and referred to Moody's rating upgrade, flourishing foreign trade, highest-ever FDI, robust GST collection, strong fundamentals and vibrant Startup ecosystem.

Besides, the Minister said that India is also implementing the largest COVID-19 vaccination drive in the world, having administered over 1.1 billion doses and has plan to manufacture five billion doses next year, to help serve and secure all of humanity. Goyal said that India and US partnership can not only help each other but the entire world to recover from the COVID-19 pandemic.

The CNX Nifty ended at 17503.35, up by 86.80 points or 0.50% after trading in a range of 17216.10 and 17553.70. There were 40 stocks advancing against 10 stocks declining on the index. (Provisional)

The top gainers on Nifty were JSW Steel up by 4.00%, Power Grid up by 3.94%, Coal India up by 3.75%, NTPC up by 2.57% and Tata Steel up by 2.32%. On the flip side, Indusind Bank down by 2.54%, Asian Paints down by 2.32%, Infosys down by 1.28%, Bajaj Auto down by 0.27% and Wipro down by 0.19% were the top losers. (Provisional)

European markets were trading lower, UK’s FTSE 100 decreased 39.03 points or 0.54% to 7,216.43, France’s CAC decreased 86.48 points or 1.22% to 7,018.52 and Germany’s DAX was down by 203.77 points or 1.26% to 15,911.92.

Asian markets ended mostly lower on Tuesday due to bets of quicker interest rate hikes in United States after President Joe Biden nominated Jerome Powell for a second term as Fed chairman and current Fed Governor Lael Brainard as vice chair. While, resurgence of corona-virus infections in Europe also weighed on market sentiments. Hong Kong shares declined as tech shares fell on signs of Beijing’s continued tight scrutiny of the tech sector. However, Chinese shares rose on optimism for China policy easing, after the Chinese central bank People’s Bank of China reportedly cut several phrases on policy restraint in its quarterly report. China Evergrande Group shares jumped along with those of its electric vehicle and property management units after the company said it planned to raise around $347 million in a share placement. Meanwhile, the Japanese market was closed on account of Labor Thanksgiving Day.