Bourses trade range-bound in late afternoon session

Key benchmark indices traded range-bound in the late afternoon session amid sustained buying activities in index heavyweights, viz Mahindra & Mahindra, Titan Company and Infosys among others. The broader indices, the BSE Mid cap index and Small cap index traded above two percent respectively. Traders took support, as with an aim to enhance the competitiveness and productivity of Micro & Small Enterprises, the Government has approved New Guidelines of Micro & Small Enterprises Cluster Development Programme (MSE-CDP), which will be implemented during 15th Finance Commission Cycle (2021-22 to 2025-26). On the global front, all Asian markets were trading higher after the dollar edged lower and U.S. Treasury yields fell amid signs that U.S. inflation may have peaked. China's easing of COVID-19 curbs also boosted sentiment ahead of a meeting of European Union countries to agree on Russian oil import sanctions. European markets were trading higher after Shanghai authorities rolled out a total of 50 stimulus measures to support the local economy, which has been hit hard by the restrictions.

The BSE Sensex is currently trading at 55833.20, up by 948.54 points or 1.73% after trading in a range of 55466.30 and 56082.65. There were 25 stocks advancing against 5 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index gained 2.01%, while Small cap index was up by 2.04%.

The top gaining sectoral indices on the BSE were Consumer Durables up by 3.71%, Realty up by 3.57%, IT up by 3.55%, TECK up by 3.36% and Capital Goods was up by 2.55%, while there were no losers on sectoral indices on the BSE.

The top gainers on the Sensex were Mahindra & Mahindra up by 5.48%, Titan Company up by 4.83%, Infosys up by 4.14%, HCL Tech up by 3.56% and TCS up by 3.49%. On the flip side, Kotak Mahindra Bank down by 2.38%, Sun Pharma down by 1.08%, Dr. Reddy's Lab down by 0.53%, Asian Paints down by 0.33% and ITC down by 0.09% were the top losers.

Meanwhile, with an aim to enhance the competitiveness and productivity of Micro & Small Enterprises, The Government has approved New Guidelines of Micro & Small Enterprises Cluster Development Programme (MSE-CDP), which will be implemented during 15th Finance Commission Cycle (2021-22 to 2025-26).

According to the notification, for common facility centers (CFCs): The central government grant will be restricted to 70% of the cost of project from Rs 5 crore to Rs 10 crore and 60% of the cost of project from Rs 10 crore to Rs 30 crore. In case of NE & Hill States, Island territories, Aspirational Districts, government grant will be 80% of the cost of project from Rs 5 crore to Rs 10 crore and 70% of the cost of project from Rs 10 crore to Rs 30 crore. The project for CFC with project cost more than Rs 30 crore shall also be considered but the Government assistance would be calculated by taking into account the maximum eligible project cost of Rs 30 crore.

Further, for infrastructure development: The central government grant will be restricted to 60% of the cost of project from Rs 5 crore to Rs 15 crore for setting up of new Industrial Estate / Flatted Factory Complex and grant will be 50% of the cost of project from Rs 5 crore to Rs 10 crore for up-gradation of existing Industrial Estate / Flatted Factory Complex. In case of NE & Hill States, Island territories, Aspirational Districts, grant will be 70% of the cost of project from Rs 5 crore to Rs 15 crore for setting up of new Industrial Estate / Flatted Factory Complex and 60% of the cost of project cost from Rs 5 crore to Rs 10 crore for up-gradation of existing Industrial Estate / Flatted Factory Complex. The project for ID with project cost more than Rs 10 crore/15 crore can also be considered but the government assistance would be calculated by taking into account the maximum eligible project cost of Rs 10 crore/15 crore.

The CNX Nifty is currently trading at 16627.75, up by 275.30 points or 1.68% after trading in a range of 16506.15 and 16695.50. There were 42 stocks advancing against 8 stocks declining on the index.

The top gainers on Nifty were Mahindra & Mahindra up by 5.55%, Titan Company up by 4.62%, Infosys up by 4.06%, HCL Tech up by 3.60% and TCS up by 3.52%. On the flip side, Kotak Mahindra Bank down by 2.40%, JSW Steel down by 1.92%, Sun Pharma down by 1.35%, ONGC down by 0.87% and Dr. Reddy's Lab down by 0.58% were the top losers.

All Asian markets were trading higher, Nikkei 225 surged 587.75 points or 2.19% to 27,369.43, Hang Seng increased 426.57 points or 2.06% to 21,123.93, Taiwan Weighted strengthened 344.40 points or 2.12% to 16,610.62, KOSPI rose 31.61 points or 1.2% to 2,669.66, Shanghai Composite gained 18.82 points or 0.6% to 3,149.06, Straits Times advanced 11.55 points or 0.36% to 3,242.10 and Jakarta Composite was up by 11.30 points or 0.16% to 7,037.56.

European markets were trading higher, UK’s FTSE 100 increased 33.68 points or 0.44% to 7,619.14, France’s CAC increased 57.54 points or 0.88% to 6,573.29 and Germany’s DAX was up by 124.25 points or 0.86% to 14,586.44.