Bourses trade with hefty gains in late afternoon session

Indian benchmarks traded with hefty gains in late afternoon session on sustained buying activities in index heavyweights, viz Maruti Suzuki, Asian Paints and Bharti Airtel among others. Traders took support after edible oil prices in the retail market have started easing with softening of international rates and the government's timely intervention. Sector wise, airline industry remain in focused, as Directorate General of Civil Aviation (DGCA) in its latest data has stated that domestic air passenger traffic saw a strong recovery in demand as Indian carriers flew 1.20 crore passengers on the local routes in May 2022, logging nearly five-fold year-on-year volume growth, Domestic air passenger traffic in May 2021 stood at a meager 21-lakh.

On the global front, Asian markets were trading mostly in green after Federal Reserve Chair Jerome Powell said he believed the U.S. economy is strong enough to handle coming interest-rate hikes, but acknowledged that a recession could happen. European markets were trading lower after a survey showed euro zone business activity slowed significantly in June, adding to fears of a sharp economic downturn, while sliding oil and metal prices hit commodity-linked stocks.

The BSE Sensex is currently trading at 52,265.80, up by 443.27 points or 0.86% after trading in a range of 51632.85 and 52516.79. There were 21 stocks advancing against 9 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index gained 0.83%, while Small cap index was up by 0.72%.

The top gaining sectoral indices on the BSE were Auto up by 3.35%, Consumer Discretionary up by 1.72%, TECK up by 1.59%, Realty up by 1.51% and IT was up by 1.50%, while Energy down by 1.00%, Oil & Gas down by 0.77%, Metal down by 0.65%, PSU down by 0.31%, Utilities down by 0.19% were the top losing indices on BSE.

The top gainers on the Sensex were Maruti Suzuki up by 5.06%, Asian Paints up by 2.85%, Mahindra & Mahindra up by 2.75%, Bharti Airtel up by 2.74% and TCS up by 2.43%. On the flip side, Reliance Industries down by 1.92%, Power Grid down by 1.35%, NTPC down by 0.80%, Axis Bank down by 0.61% and Tata Steel down by 0.60% were the top losers.

Meanwhile, in line with the practice adopted by other countries, the Insurance Regulatory and Development Authority of India (Irdai) is working on a proposal to move towards a risk-based capital framework to ensure optimum utilisation of capital.

Irdai chairman Debasish Panda also noted that the regulator is also trying to move away from the traditional supervision-based framework to a risk-based supervision framework which will be enabled by technology. He further noted that so, these two major programmes are already launched within the Irdai in consultation with industry and other stakeholders.

The chairman said 'I hope the risk-based supervisory framework, we should be able to do this within 6-9 months. And the risk-based capital regime will take maybe around 2-3 years. And that is the estimate that the international experts also (express)...but we are fast-tracking that as well.’

The CNX Nifty is currently trading at 15,560.05, up by 146.75 points or 0.95% after trading in a range of 15367.50 and 15628.45. There were 36 stocks advancing against 14 stocks declining on the index.

The top gainers on Nifty were Maruti Suzuki up by 4.98%, Eicher Motors up by 4.78%, Hero MotoCorp up by 4.58%, Bajaj Auto up by 3.28% and Asian Paints up by 2.96%. On the flip side, Coal India down by 2.26%, Reliance Industries down by 1.81%, Grasim Industries down by 1.33%, Power Grid down by 1.28% and Hindalco down by 1.20% were the top losers.

Asian markets were trading mostly in green, Hang Seng increased 265.53 points or 1.26% to 21,273.87, Shanghai Composite gained 52.95 points or 1.62% to 3,320.15, Nikkei 225 surged 21.70 points or 0.08% to 26,171.25, Jakarta Composite soared 13.96 points or 0.2% to 6,998.27 and Straits Times was up by 3.27 points or 0.11% to 3,096.58. On the flip side, KOSPI fell 28.49 points or 1.22% to 2,314.32 and Taiwan Weighted was down by 171.31 points or 1.12% to 15,176.44.

European markets were trading lower, UK’s FTSE 100 decreased 55.89 points or 0.79% to 7,033.33, France’s CAC decreased 68.49 points or 1.16% to 5,848.14 and Germany’s DAX decreased 180.51 points or 1.37% to 12,963.77.