Sensex, Nifty trade near day’s high points

Indian equity benchmarks were trading near their intraday high points in late morning session, on the back of positive cues from other Asian markets. Domestic sentiments remained optimistic, as India's dominant services industry expanded at the fastest pace in over eleven years in June amid strong demand but stubborn inflation remains a concern as prices charged rose at the sharpest rate in almost five years. The S&P Global India Services Purchasing Managers' Index rose to 59.2 in June from 58.9 in May, its highest since April 2011.

On the global front, Asian markets were trading mostly in green, after Japan's service sector expanded at the sharpest pace in more than eight years in June amid the lifting of remaining domestic COVID-19 restrictions. The survey results from S&P Global showed that the au Jibun Bank services Purchasing Managers' Index advanced to 54.0 in June from 52.6 in May. The index signaled the fastest growth since October 2013. There was a second successive monthly expansion in new business. The rate of growth remained strong amid improved client confidence.

Back home, auto industry stocks were in focus, after passenger vehicle retail sales in the country rose 40 per cent in June indicating an improvement in semiconductor supplies even as demand, especially for SUVs, remained robust. According to the Federation of Automobile Dealers Associations (FADA), passenger vehicle (PV) registrations rose to 2,60,683 units last month, as compared to 1,85,998 units in June 2021, registering an increase of 40 per cent.

The BSE Sensex is currently trading at 53833.51, up by 598.74 points or 1.12% after trading in a range of 53437.98 and 53857.49. There were 27 stocks advancing against 3 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.77%, while Small cap index was up by 1.22%.

The top gaining sectoral indices on the BSE were Metal up by 2.10%, Utilities up by 1.44%, Basic Materials up by 1.43%, Power up by 1.38% and Capital Goods up by 1.24%, while there were no losing sectoral indices on the BSE.

The top gainers on the Sensex were Bajaj Finserv up by 2.53%, Tata Steel up by 2.26%, Power Grid up by 2.07%, Sun Pharma up by 1.99% and Dr. Reddy's Lab up by 1.79%. On the flip side, ITC down by 1.25%, Indusind Bank down by 0.07% and Maruti Suzuki down by 0.01% were the only losers.

Meanwhile, the commerce ministry in its latest data has showed that India's merchandise exports rose by 16.78 per cent to $37.94 billion in June 2022 as compared to $32.49 billion in the same month last year. India’s merchandise import in June 2022 was $63.58 billion, an increase of 51.02% over $42.1 billion in June 2021. The trade deficit widened to a record $25.63 billion during the month as compared with $9.61 billion in June 2021. India’s merchandise export in April-June 2022-23 was $116.77 billion with an increase of 22.22% over $95.54 billion in April-June 2021-22. India’s merchandise imports in April-June 2022-23 was $187.02 billion with an increase of 47.31% over $126.96 billion in April-June 2021-22.

According to the data, value of non-petroleum exports in June 2022 was $30.12 billion, registering a positive growth of 5.53% over non-petroleum exports of $28.54 billion in June 2021. The cumulative value of non-petroleum exports in April-June 2022-23 was $92.49 billion, an increase of 11.92% over $82.65 billion in April-June 2021-22. Value of non-petroleum and non-gems and jewellery exports in June 2022 was $26.75 billion, registering a positive growth of 4.0% over non-petroleum and non-gems and jewellery exports of $25.72 billion in June 2021. The cumulative value of non-petroleum and non-gems and jewellery exports in April-June 2022-23 was $82.43 billion, an increase of 12.19% over cumulative value of non-petroleum and non-gems and jewellery exports of $73.47 billion in April-June 2021-22. Petroleum products (98.01%), Electronic goods (50.66%) and RMG of all Textiles (44.67%) led the way in high increase in exports during June 2022.

It further indicated that value of non-petroleum imports was $42.84 billion in June 2022 with a positive growth of 36.36% over non-petroleum imports of $31.42 billion in June 2021. The cumulative value of non-petroleum imports in April-June 2022-23 was $126.95 billion, showing an increase of 32.18% compared to non-oil imports of $96.04 billion in April-June 2021-22. Value of non-oil, non-GJ (gold, silver & Precious metals) imports was $36.7 billion in June 2022 with a positive growth of 31.71% over non-oil and non-GJ imports of $27.87 billion in June 2021. Non-oil, non-GJ (Gold, Silver & Precious Metals) imports in April-June 2022-23 was $107.14 billion, recording a positive growth of 32.55%, as compared to non-oil and non-GJ imports of $80.83 billion in April-June 2021-22.

The CNX Nifty is currently trading at 16012.75, up by 177.40 points or 1.12% after trading in a range of 15891.55 and 16020.80. There were 44 stocks advancing against 6 stocks declining on the index.

The top gainers on Nifty were Hindalco up by 3.48%, Bajaj Finserv up by 2.47%, Tata Steel up by 2.24%, Tata Motors up by 2.09% and Apollo Hospital Ent. up by 2.05%. On the flip side, Britannia down by 1.37%, ITC down by 1.32%, HDFC Life Insurance down by 0.30%, Maruti Suzuki down by 0.06% and Indusind Bank down by 0.05% were the top losers.

Asian markets were trading mostly in green; Nikkei 225 surged 259.41 points or 0.99% to 26,413.22, Hang Seng increased 122.42 points or 0.56% to 21,952.77, Jakarta Composite soared 101.40 points or 1.53% to 6,740.57, Taiwan Weighted strengthened 58.86 points or 0.41% to 14,275.92 and KOSPI rose 34.87 points or 1.52% to 2,335.21. On the flip side, Shanghai Composite declined 3.32 points or 0.1% to 3,402.11 and Straits Times trembled 12.57 points or 0.4% to 3,107.67.