Markets trade near neutral lines in late afternoon session

Indian equity markets oscillated around neutral lines with positive bias in late afternoon session.  Traders found some support as member of the economic advisory council to the prime minister -- Sanjeev Sanyal has said that the country's internal market is in a good position and its macroeconomic stability is in a comfortable zone despite the ravage by the pandemic. He said that there has been an unprecedented crisis during the two-year-long pandemic and the Indian economy has emerged stronger after that. Meanwhile, India’s gems and jewellery exports during May witnessed a year-on-year growth of 20 per cent to Rs 25,365.35 crore (USD 3.28 billion), amid strong demand from key markets, including the US. However, the broader indices, the BSE Mid cap index and Small cap index were trading in red.

On the global front, Asian markets were trading mixed despite Wall Street's positive close on Friday. A cautious undertone prevailed due to lingering concerns over inflation and growth. European markets were trading higher as investors react to central banks' hawkish rhetoric.

The BSE Sensex is currently trading at 51494.35, up by 133.93 points or 0.26% after trading in a range of 51062.93 and 51714.61. There were 17 stocks advancing against 13 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 1.91%, while Small cap index was down by 3.38%.

The few gaining sectoral indices on the BSE were FMCG up by 1.02%, TECK up by 0.24% and IT was up by 0.10%, while Metal down by 5.77%, Oil & Gas down by 4.09%, Energy down by 3.65%, Basic Materials down by 3.19% and Utilities was down by 3.16% were the top losing indices on BSE.

The top gainers on the Sensex were HDFC up by 4.10%, Hindustan Unilever up by 4.05%, Asian Paints up by 3.17%, Ultratech Cement up by 2.69% and HDFC Bank up by 2.29%. On the flip side, Tata Steel down by 6.49%, Indusind Bank down by 4.12%, NTPC down by 2.71%, Reliance Industries down by 2.14% and Power Grid down by 1.56% were the top losers.

Meanwhile, in order to meet the growing energy demands of the nation, Union Minister of Coal, Mines and Parliamentary Affairs Pralhad Joshi has said that the Ministry of Coal has initiated a number of reforms to further increase the production of coal.

The Minister further recalled the valuable guidance provided by the Prime Minister Narendra Modi from time to time, to bring about key policy changes.  Joshi also noted that achievements of coal sector will be an inspiration to the other segments of the economy.

Meanwhile, ‘Reforms & Achievements of Ministry of Coal Since 2014’ has been released which highlights the major achievements of the Ministry during the last eight years. The Achievement Report highlights major policy reforms from 2014, amendments of Acts, innovative efforts in commercial coal mining, coal import substitution, first mile connectivity, corporate social responsibility of Coal India and subsidiaries, environ- friendly initiatives, afforestation drive etc.

The CNX Nifty is currently trading at 15303.90, up by 10.40 points or 0.07% after trading in a range of 15191.10 and 15382.50. There were 26 stocks advancing against 24 stocks declining on the index.

The top gainers on Nifty were Hindustan Unilever up by 4.15%, HDFC up by 3.96%, Asian Paints up by 3.28%, Ultratech Cement up by 2.69% and HDFC Bank up by 2.28%. On the flip side, Tata Steel down by 6.69%, ONGC down by 6.54%, Hindalco down by 6.19%, UPL down by 4.48% and Indusind Bank down by 4.18% were the top losers.

Asian markets were trading mixed, Taiwan Weighted dropped 273.68 points or 1.75% to 15,367.58, Nikkei 225 slipped 191.78 points or 0.74% to 25,771.22, KOSPI fell 49.90 points or 2.04% to 2,391.03 and Shanghai Composite was down by 1.36 points or 0.04% to 3,315.43. On the flip side, Straits Times advanced 1.36 points or 0.04% to 3,099.45, Jakarta Composite soared 39.41 points or 0.57% to 6,976.38 and Hang Seng was up by 88.91 points or 0.42% to 21,163.91.

European markets were trading higher, UK’s FTSE 100 increased 36.53 points or 0.52% to 7,052.78, France’s CAC increased 15.80 points or 0.27% to 5,898.45 and Germany’s DAX was up by 68.88 points or 0.52% to 13,195.14.