Local equities trade near neutral line with negative bias

Indian equity markets traded near neutral line with negative bias in late afternoon session.  NTPC, Ultratech Cement and Mahindra & Mahindra were the top losers, white HCL Tech and Tech Mahindra were the major gainers on the bourses. However, losses got restricted after a private report stated that India can generate $813 billion in revenue creating 152 million jobs, making it the largest private sector industry in the country. With agriculture continuing to remain the mainstay of economy for the country, investment in agritech and allied segments can transform the face of Indian agriculture with far-reaching implications for food security and sustainable farming solutions. In scrip specific development, the Data Patterns (India) shares debuted with premium of 48 percent on the BSE.

On the global front, Asian markets were trading mostly in green extending their rally as fears over the Omicron coronavirus variant faded and further positive economic data from the United States cheered investors. European markets were trading mixed ahead of the Christmas holiday amid thin trading volumes, with traders weighing risks from the omicron variant.

The BSE Sensex is currently trading at 57270.52, down by 44.76 points or 0.08% after trading in a range of 56813.42 and 57623.69. There were 11 stocks advancing against 19 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 0.83%, while Small cap index was down by 0.26%.

The top gaining sectoral indices on the BSE were IT up by 0.73%, TECK up by 0.60%, FMCG up by 0.29%, Telecom up by 0.24% and Energy was up by 0.16%, while Utilities down by 1.63%, Power down by 1.60%, PSU down by 1.23%, Realty down by 0.96% and Oil & Gas was down by 0.86% were the top losing indices on BSE.

The top gainers on the Sensex were HCL Tech up by 3.19%, Tech Mahindra up by 1.73%, Reliance Industries up by 0.65%, ITC up by 0.62% and Asian Paints up by 0.58%. On the flip side, NTPC down by 2.05%, Ultratech Cement down by 1.72%, Mahindra & Mahindra down by 1.64%, Bajaj Finserv down by 1.34% and Power Grid down by 1.27% were the top losers.

Meanwhile, amid increasing spread of the Omicron variant of COVID-19, Automobile dealers' body Federation of Automobile Dealers Associations (FADA) has expressed worries that passenger vehicle supplies may get affected further if chip-making countries go under lockdown.

However, the industry body noted that it expects the semiconductor shortage situation to normalize by the second half of next year. Besides, the Automobile dealers' body anticipates that the second half of 2022 may see supply as well as demand slowly coming back to normalcy.

Further, FADA President Vinkesh Gulati said that autoiIndustry may fully recover only by 2023 and come back to its pre-COVID levels if COVID becomes a history. He, however, noted that the two-wheeler market which continues to face demand headwinds may further go into a slump if the third wave becomes a reality.

The CNX Nifty is currently trading at 17046.90, down by 25.70 points or 0.15% after trading in a range of 16909.60 and 17155.60. There were 15 stocks advancing against 35 stocks declining on the index.

The top gainers on Nifty were HCL Tech up by 3.19%, SBI Life up by 2.16%, Tech Mahindra up by 1.84%, Reliance Industries up by 0.70% and ITC up by 0.62%. On the flip side, Grasim Industries down by 3.12%, NTPC down by 1.97%, Ultratech Cement down by 1.68%, Mahindra & Mahindra down by 1.67% and ONGC down by 1.64% were the top losers.

Asian markets were trading mostly in green, Hang Seng increased 30.12 points or 0.13% to 23,223.76, Taiwan Weighted strengthened 14.98 points or 0.08% to 17,961.64, KOSPI rose 14.26 points or 0.48% to 3,012.43, Straits Times advanced 11.47 points or 0.37% to 3,108.28 and Jakarta Composite was up by 7.35 points or 0.11% to 6,562.90. On the flip side, Nikkei 225 slipped 15.78 points or 0.05% to 28,782.59 and Shanghai Composite was down by 25.29 points or 0.69% to 3,618.05.

European markets were trading mixed, UK’s FTSE 100 increased 13.13 points or 0.18% to 7,386.47. On the flip side, France’s CAC was down by 3.67 points or 0.05% to 7,102.48.