Post Session: Quick Review

Indian equity benchmarks ended with losses on Wednesday’s trading session. The start of the day was on a strong note, as a periodic labour force survey by the National Statistical Office (NSO) showed that unemployment rate for persons of age 15 years and above in urban areas dipped to 9.8 per cent in July-September 2021 from 13.2 per cent in the same quarter of the previous year. Besides, the Organization for Economic Cooperation and Development (OECD) retained the outlook for India’s real gross domestic product (GDP) at 5.5% in FY24.

Despite some volatility in the first half of the trading session, markets managed to remain higher for the most part, as traders got some support, after Prime Minister Narendra Modi said that history has been scripted, as India achieved its highest ever goods export target of USD 400 billion nine days ahead of schedule. Some support came with reports stating that foreign institutional investors (FIIs) were net buyers as they bought shares worth Rs 384.48 crore on Tuesday.

But, key indices turned negative in the second half of the trading session, investors remained focused on news updates about the Russia-Ukraine war and rising coronavirus infections in China. Adding some worries among traders, as IMF Managing Director Kristalina Georgieva said that new International Monetary Fund forecasts due in April will show that the war in Ukraine will slow global economic growth, but will not cause a global recession.

On the global front, European markets were trading higher despite news that UK inflation hit the fastest rate for about 30 years. Asian markets settled mostly higher, after producer prices in South Korea were up 8.4 percent on year in February, the Bank of Korea said on Wednesday - slowing from 8.9 percent in January. Individually, prices for agricultural, forestry and marine products fell 6.6 percent on year, while manufacturing products jumped 14.0 percent, utilities climbed 12.0 percent and services rose 2.5 percent.

The BSE Sensex ended at 57684.82, down by 304.48 points or 0.53% after trading in a range of 57568.59 and 58416.56. There were 13 stocks advancing against 17 stocks declining on the index. (Provisional)

The broader indices ended mixed; the BSE Mid cap index was up by 0.39%, while Small cap index down by 0.02%. (Provisional)

The top gaining sectoral indices on the BSE were Metal up by 1.53%, Utilities up by 1.36%, Power up by 1.30%, Basic Materials up by 0.54% and Oil & Gas up by 0.35%, while Bankex down by 0.81%, Auto down by 0.72%, Capital Goods down by 0.59%, Industrials down by 0.56% and Realty down by 0.34% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Dr. Reddy's Lab up by 2.31%, Tata Steel up by 2.15%, ITC up by 0.86%, Power Grid up by 0.65% and NTPC up by 0.45%. On the flip side, HDFC down by 2.36%, Kotak Mahindra Bank down by 2.25%, Bharti Airtel down by 1.97%, Sun Pharma down by 1.65% and Maruti Suzuki down by 1.54% were the top losers. (Provisional)

Meanwhile, underlining that sustained supply of coal to the power sector is of paramount importance, Union Minister of Coal, Mines and Parliamentary Affairs Pralhad Joshi has said that the Coal Ministry is likely to approach the Ministry of Environment, Forest and Climate Change for certain relaxation in norms so that overall coal production can be further increased. He pointed out that with steep hike in international prices, domestic demand for coal has gone up considerably.

The Minister urged Coal India (CIL) and the Ministry of Coal officials to deliberate upon immediate measures required to enhance coal production. The Minister asked Coal India to complete 35 First Mile Connectivity projects as per the set deadlines.

Besides, Minister of State for Coal, Mines and Railways Raosaheb Patil Danve said while enhancing production, environmental concerns need to be addressed. Pro-people initiative is equally important. Also, Secretary Ministry of Coal Anil Kumar Jain said that investments need to be utilized properly within stipulated time to give more momentum to mechanised transportation of coal. He further said that Indian Railways will be requested to increase rake availability as per requirement.

The CNX Nifty ended at 17245.65, down by 69.85 points or 0.40% after trading in a range of 17199.60 and 17442.40. There were 22 stocks advancing against 28 stocks declining on the index. (Provisional)

The top gainers on Nifty were Hindalco up by 2.53%, Dr. Reddy's Lab up by 2.41%, Divi's Lab up by 2.36%, Tata Steel up by 2.23% and UPL up by 1.66%. On the flip side, HDFC down by 2.35%, Kotak Mahindra Bank down by 2.11%, Bharti Airtel down by 1.99%, Britannia down by 1.78% and Cipla down by 1.76% were the top losers. (Provisional)

European markets were trading higher, UK’s FTSE 100 increased 26.01 points or 0.35% to 7,502.73, France’s CAC increased 10.24 points or 0.15% to 6,669.65 and Germany’s DAX was up by 24.78 points or 0.17% to 14,497.98.

Asian markets settled mostly higher on Wednesday, despite concerns about the Ukraine war and inflation. Market sentiments improved by tracking strong rebound on Wall Street overnight with optimism that the Fed’s plan to hike interest rates will help bring inflation under control. Meanwhile, investors are awaiting Fed Chair Jerome Powell's speech, a NATO meeting and the upcoming EU Summit Thursday in Europe. Japanese shares ended higher as a cheaper yen helped lift export-reliant sectors such as electronics and automobiles.