Post Session: Quick Review

Indian equity benchmarks continued gaining momentum on Tuesday’s trading session, with both Sensex and Nifty ending on a strong note. The start of the trading day was in green, as commerce and industry minister Piyush Goyal said Indian rupee has shown more resilience than most of the other currencies in recent years and the compounded average growth rate of depreciation is lower as compared to pre-2014. Some support also came in as India's agricultural and processed food products exports rose by 30% to $9.6 billion during April-July this fiscal.

Bulls held a tight grip over the Dalal Street till the end, as domestic sentiments remained positive, amid reports that there are demands to extend production linked incentive (PLI) scheme to more sectors such as certain electronic components, pharma and medical devices, and discussions are underway in the government on these proposals. Discussions are also going on to bring PLI scheme for toys, furniture, bicycles and containers. Besides, foreign fund inflows aided sentiments in markets. As per data available on the NSE, FIIs net bought shares worth Rs 2,049.65 crore on September 12.

Traders paid no heed towards report stating that the Reserve Bank of India may raise interest rates by another 50 basis points this month after data showed inflation rose further above the central bank's tolerance limit in August. The street also overlooked report stating that India industrial output growth weakens in July. Industrial production logged an annual growth of 2.4 percent in July, much weaker than June's 12.7 percent expansion and the 4.3 percent expected increase.

On the global front, European markets were trading higher with Aveva jumping on a report that France's Schneider was nearing a deal to buy out the company. Asian markets settled mostly higher on Tuesday, following the broadly positive cues from global markets overnight, as traders remain cautious while they await the release of the U.S. inflation data later in the day for more clues about the Fed's interest rate move at the upcoming policy meeting later this month.

The BSE Sensex ended at 60571.08, up by 455.95 points or 0.76% after trading in a range of 60381.02 and 60635.28. There were 24 stocks advancing against 6 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 0.32%, while Small cap index up by 0.24%. (Provisional)

The top gaining sectoral indices on the BSE were FMCG up by 0.77%, Industrials up by 0.74%, Metal up by 0.74%, Capital Goods up by 0.69% and Consumer Durables up by 0.66%, while Oil & Gas down by 0.32%, Realty down by 0.21%, Energy down by 0.12%, Utilities down by 0.06% and Auto down by 0.03% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Bajaj Finserv up by 4.00%, Indusind Bank up by 2.48%, Bharti Airtel up by 2.04%, Titan Co up by 1.68% and Bajaj Finance up by 1.56%. On the flip side, TCS down by 0.37%, Asian Paints down by 0.29%, Tech Mahindra down by 0.20%, Dr. Reddy's Lab down by 0.15% and Sun Pharma down by 0.07% were the top losers. (Provisional)

Meanwhile, calling for investors from the US to come forward and invest in roads and highways projects in India which is a gold-mine for investors, Union Minister for Road Transport and Highways Nitin Gadkari has said that the United States of America and India are prominent democracies of the World with strong bilateral relations.

He said ‘we are natural partners and have lot to contribute for mutual growth. Both the countries have always shown mutual trust, respect and co-operation on the social, economic and strategic front. The theme chosen this year- ‘The New Agenda for next 25 years’, will set the roadmap for strengthening our relationship.’

Besides, Gadkari said the emphasis has been on creating a sustainable business ecosystem with an inclusive growth model. He also expressed a need to encourage out-of-the-box thought process and promote creative agenda to weave new pathways.

He said the Government has launched the Prime Minister National Gati Shakti Master Plan for holistic and integrated infrastructure development in the country. With Gati-Shakti all stakeholders will follow the rule of 3 C’s: Co-operation, Coordination & Communication.

The CNX Nifty ended at 18070.05, up by 133.70 points or 0.75% after trading in a range of 18015.45 and 18088.30. There were 33 stocks advancing against 16 stocks declining, while 1 stock remained unchanged on the index. (Provisional)

The top gainers on Nifty were Bajaj Finserv up by 4.14%, Tata Consumer Products up by 2.85%, Indusind Bank up by 2.37%, Britannia up by 2.34% and Bharti Airtel up by 1.96%. On the flip side, Shree Cement down by 0.84%, Cipla down by 0.55%, Eicher Motors down by 0.48%, BPCL down by 0.45% and TCS down by 0.42% were the top losers. (Provisional)

European markets were trading higher, UK’s FTSE 100 increased 14.47 points or 0.19% to 7,487.50, France’s CAC increased 29.18 points or 0.46% to 6,362.77 and Germany’s DAX was up by 80.11 points or 0.60% to 13,482.38.

Asian markets settled mostly higher on Tuesday following a rally on Wall Street overnight, despite cautious ahead of US inflation data due later in the day. The US Federal Reserve is more likely to deliver another 75-bps interest rate hike next week. Chinese shares climbed after Premier Li Keqiang vowed China will continue to roll out phased policies to stabilize its economy. Japanese shares gained as government's plan to further ease Covid-19 border controls helped lift transportation-linked issues. Seoul shares rose as investors returned to their desks following the four-day Chuseok fall harvest holiday.