Bourses trade at day’s high points in late afternoon session

Local equity markets have enlarged their gains and traded near day’s high points in late afternoon session on sustained buying activities in index heavyweights, viz Dr. Reddy's Lab, Bharti Airtel, Reliance Industries among others. Traders took support after India Meteorological Department said the monsoon is progressing normally and will likely reach Maharashtra in the next two days. Besides, commerce ministry has said that the country’s exports increased 24.18 per cent to USD 9.39 billion during June 1-7, 2022 on account of healthy growth in sectors like engineering, gems and jewellery and petroleum products. The exports during June 1-7, 2021 stood at USD 7.56 billion. On the global front, Asian markets were trading mostly in red and European markets were trading lower as investors worried about the impact of rate rises ahead of a European Central Bank meeting later in the day.

The BSE Sensex is currently trading at 55,144.05, up by 251.56 points or 0.46% after trading in a range of 54507.41 and 55106.53. There were 17 stocks advancing against 13 stocks declining on the index.

The broader indices were trading in mixed; the BSE Mid cap index gained 0.15%, while Small cap index was down by 0.10%.

The top gaining sectoral indices on the BSE were Telecom up by 1.76%, Energy up by 1.37%, Oil & Gas up by 1.25%, Healthcare up by 0.60% and TECK was up by 0.57%, while Metal down by 1.82%, Basic Materials down by 0.99%, Bankex down by 0.16%, Auto down by 0.12% and PSU was down by 0.03% were the top losing indices on BSE.

The top gainers on the Sensex were Dr. Reddy's Lab up by 2.58%, Bharti Airtel up by 1.78%, Reliance Industries up by 1.38%, ITC up by 0.82% and Kotak Mahindra Bank up by 0.54%. On the flip side, Tata Steel down by 3.75%, SBI down by 1.33%, Asian Paints down by 1.16%, Ultratech Cement down by 0.95% and NTPC down by 0.92% were the top losers.

Meanwhile, credit rating agency, India Ratings and Research (Ind-Ra) in its latest report has projected that the revenue of India’s pharmaceutical market (IPM) witnessed 3.3% yoy (year on year) decline during May 2022 on the back of a fall in the sales volumes in acute segment therapies namely anti-infectives, vitamins and respiratory products due to the higher base effect during May 2021 and an inventory correction in the channel.

According to the report, strong volume declines were observed in key therapies such as anti-infectives, vitamins, respiratory and pain/analgesics while derma, central nervous system (CNS) and gynaec therapy reported robust volume growth in May 2022.

The rating agency further highlighted that the IPM performance in May 2022 is better than the agency’s and industry’s expectation, given the high base of 48% yoy growth in May 2021 and expects a positive growth trajectory from June 2022. The revenue growth of 47.8% yoy in May 2021 was led by strong buying patterns impacted by the COVID-19 outbreak.

The CNX Nifty is currently trading at 16,437.25, up by 81.00 points or 0.50% after trading in a range of 16243.85 and 16420.40. There were 31 stocks advancing against 19 stocks declining on the index.

The top gainers on Nifty were BPCL up by 2.99%, Dr. Reddy's Lab up by 2.74%, Bharti Airtel up by 1.94%, Bajaj Auto up by 1.51% and SBI Life up by 1.43%. On the flip side, Tata Steel down by 3.88%, Shree Cement down by 2.15%, Tata Motors down by 1.87%, Grasim Industries down by 1.51% and SBI down by 1.44% were the top losers.

Asian markets were trading mostly in red, Hang Seng decreased 145.54 points or 0.66% to 21,869.05, Taiwan Weighted dropped 49.17 points or 0.29% to 16,621.34, Shanghai Composite declined 24.84 points or 0.76% to 3,238.95, Straits Times trembled 22.72 points or 0.7% to 3,203.08, Jakarta Composite lost 10.48 points or 0.15% to 7,182.83 and KOSPI was down by 0.71 points or 0.03% to 2,625.44. On the flip side, Nikkei 225 was up by 12.24 points or 0.04% to 28,246.53.

European markets were trading lower, UK’s FTSE 100 decreased 42.04 points or 0.55% to 7,550.96, France’s CAC decreased 23.48 points or 0.36% to 6,425.15 and Germany’s DAX was down by 93.43 points or 0.65% to 14,352.56.