Domestic markets trade in fine-fettle in early deals

Indian equity benchmarks made gap-up opening on Thursday mirroring firm global cues. Markets are trading in fine-fettle in early deals with gains of around a percent each on the back of buying in all the sector indices led by IT, Bankex and TECK. Sentiments got a boost with a private report that India is likely to be the fastest-growing Asian economy in 2022-23. The report expects India’s gross domestic product growth to average 7 per cent during this period - the strongest among the largest economies - and contributing 28 per cent and 22 per cent to Asian and global growth, respectively. Foreign fund inflows also aided the domestic sentiments. Foreign institutional investors (FIIs) have net bought shares worth Rs 1,061.88 crore on August 10, as per provisional data available on the NSE. Traders took note of report that the Centre has released two instalments of tax devolution totalling Rs 1.16 lakh crore to states. Meanwhile, India will start supplying petrol with 20 per cent ethanol at select petrol pumps from April next year and will ramp up supplies thereafter as it looks to cut oil import dependence and address environmental issues.

Asian markets are trading higher following the broadly positive cues from global markets overnight, as traders reacted softer-than-expected US consumer price inflation data that raised speculation the Fed will slow the pace of interest rate hikes at its September meeting. The Japanese stock market is closed on account of Mountain Day. Back home, aviation industry stocks were in focus as the Union Aviation Ministry said limits imposed on domestic airfares will be removed from August 31, after a span of approximately 27 months. In stock specific development, Eicher Motors hit 52-week high after it reported over two-fold jump in consolidated net profit to Rs 611 crore in Q1FY23.

The BSE Sensex is currently trading at 59416.98, up by 599.69 points or 1.02% after trading in a range of 59320.45 and 59484.99. There were 29 stocks advancing against 1 stock declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.76%, while Small cap index was up by 0.60%.

The top gaining sectoral indices on the BSE were IT up by 1.63%, Bankex up by 1.41%, TECK up by 1.34%, Capital Goods up by 1.06%, Realty up by 1.05%, while there was no loser on the BSE sectoral front.

The top gainers on the Sensex were Tech Mahindra up by 2.48%, Wipro up by 2.14%, Axis Bank up by 1.92%, Indusind Bank up by 1.90% and TCS up by 1.83%. On the flip side, Bharti Airtel down by 0.01% was the sole loser.

Meanwhile, the Reserve Bank of India (RBI) in its latest data has showed that bank credit rose 14.52 per cent to Rs 123.69 lakh crore and deposits increased 9.14 per cent to Rs 169.72 lakh crore in the fortnight ended July 29.

In the fortnight ended July 30, 2021, bank advances stood at Rs 108 lakh crore and deposits at Rs 155.49 lakh crore. As per the data, in the previous fortnight ended July 15, 2022, bank credit went up 12.89 per cent and deposits increased 8.35 per cent.

In FY 2021-22, bank credit rose 8.59 per cent and deposits rose 8.94 per cent. RBI said the figures on credit and deposit as on July 29 are provisional figures incorporated in respect of such banks as have not been able to submit final figures.

The CNX Nifty is currently trading at 17691.75, up by 157.00 points or 0.90% after trading in a range of 17668.20 and 17719.30. There were 43 stocks advancing against 6 stocks declining, while 1 stock remain unchanged on the index.

The top gainers on Nifty were Tech Mahindra up by 2.49%, Wipro up by 2.10%, TCS up by 1.93%, Axis Bank up by 1.89% and Eicher Motors up by 1.82%. On the flip side, Tata Consumer Products down by 1.59%, Hindalco down by 0.82%, Divi's Lab down by 0.73%, Grasim Industries down by 0.26% and Apollo Hospital down by 0.17% were the top losers.

Asian markets are trading in green; Straits Times rose 16.29 points or 0.50% to 3,302.62, Hang Seng jumped 373.55 points or 1.90% to 19,984.39, Taiwan Weighted surged 232.96 points or 1.56% to 15,171.98, KOSPI added 32.39 points or 1.31% to 2,513.27, Jakarta Composite advanced 79.19 points or 1.12% to 7,165.43 and Shanghai Composite was up by 38.00 points or 1.18% to 3,268.02.