Post Session: Quick Review

Indian equity benchmarks ended in red terrain on Wednesday. After a cautious start, markets remained in green for the most part of the trading session, as traders took encouragement with a private report that Indian GDP will grow at 8.5 per cent in 2021-22, and the rate will accelerate further to 9.8 per cent in 2022-23. Some support came in as Finance Minister Nirmala Sitharaman asserted that the government is tough on defaulters, particularly fugitives, getting back their assets through legal process and giving it to banks because of which their bad assets have come down.

Domestic sentiments were positive, as India Ratings and Research (Ind-Ra) has said that the average collections across its rated securitization transactions have inched up to 79 percent in September 2021 from 70 percent in May 2021 as the economy started to open up due to acceleration in vaccine rollout. It noted that the performance of securitization transactions has witnessed a continued improvement with the increase in September collections and a drop in delinquencies percentage across asset classes. However, in the last hour of the trade, key indices tuned negative and ended the day on a lower note.

On the global front, European markets were trading higher after a four-day losing streak, as higher commodity prices helped offset fears around Europe’s worsening COVID-19 situation and prospects of severe restrictions dampened the economic outlook. Asian markets ended mostly lower on Wednesday, even after the manufacturing sector in Japan picked up steam in November, the latest survey from Jibun Bank revealed on Wednesday with a manufacturing PMI score of 54.2. That's up from 53.2 in October and it moves further above the boom-or-bust line of 50 that separates expansion from contraction.

The BSE Sensex ended at 58340.99, down by 323.34 points or 0.55% after trading in a range of 58143.44 and 58968.12. There were 8 stocks advancing against 22 stocks declining on the index. (Provisional)

The broader indices ended mixed; the BSE Mid cap index was down by 0.57%, while Small cap index up by 0.44%. (Provisional)

The top gaining sectoral indices on the BSE were Oil & Gas up by 0.78%, PSU up by 0.60%, Bankex up by 0.53%, Utilities up by 0.52% and Telecom up by 0.10%, while IT down by 1.24%, Auto down by 1.18%, TECK down by 1.02%, Capital Goods down by 0.93% and FMCG down by 0.86% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were ICICI Bank up by 1.11%, Kotak Mahindra Bank up by 1.09%, NTPC up by 1.09%, Bajaj Finance up by 0.73% and Power Grid up by 0.62%. On the flip side, Maruti Suzuki down by 2.62%, Infosys down by 2.01%, ITC down by 1.60%, Reliance Industries down by 1.48% and Larsen & Toubro down by 1.47% were the top losers. (Provisional)

Meanwhile,underlining the importance of integrating the two economies across sectors to harness the untapped potential of the relationship, India and United States have reaffirmed their commitment to take economic relationship between the two countries to the next high level.

During the meeting the leaders pushed to work towards a more ambitious future for the bilateral trade and economic relationship and take it to the next level so that both economies could benefit from the inherent complementarities.

Further, India highlighted the importance of cooperation in health sector, and expressed interest in partnering with the U.S. and allies in developing a secure pharmaceutical manufacturing base for augmenting global supply chains.

India also highlighted the significance of restoration of GSP (Generalized System of Preferences) benefits as it would help industries from both sides in integrating their supply chain efficiently.  United States noted it for suitable consideration.

The CNX Nifty ended at 17415.05, down by 88.30 points or 0.50% after trading in a range of 17354.00 and 17600.60. There were 17 stocks advancing against 32 stocks declining, while 1 stock remained unchanged on the index. (Provisional)

The top gainers on Nifty were Adani Ports & SEZ up by 4.63%, ONGC up by 4.60%, Coal India up by 1.86%, BPCL up by 1.45% and Kotak Mahindra Bank up by 1.44%. On the flip side, Tata Consumer Products down by 2.68%, Eicher Motors down by 2.39%, Infosys down by 2.35%, Maruti Suzuki down by 2.35% and Grasim Industries down by 2.04% were the top losers. (Provisional)

European markets were trading higher, UK’s FTSE 100 increased 36.13 points or 0.5% to 7,302.82, France’s CAC increased 35.02 points or 0.5% to 7,079.64 and Germany’s DAX was up by 12.33 points or 0.08% to 15,949.33.

Asian markets ended mostly lower on Wednesday due to rise in US dollar and treasury yields following expectations that the US central bank Federal Reserve will speed up policy tightening. Lingering concerns over resurgence in corona-virus cases and fresh lockdown measures in Europe and elsewhere have also pressurising market sentiments. Japanese shares declined as investors shrugged off positive data showing that the manufacturing sector in Japan picked up steam in November, with a manufacturing PMI score of 54.2, up from 53.2 in October, the latest survey from Jibun Bank revealed. While, the services PMI improved to 52.1 in November from 50.7 in October. However, Chinese and Hong Kong shares settled higher after reports showing that Chinese Estates Holdings, a long-time supporter of China Evergrande Group, has further trimmed its stake in the embattled property developer.