Indian equity benchmarks recouped all previous session’s losses with gap-up opening on Friday on firm global cues. Markets are trading firm in early deals with gains of over one and half a percent each on account of value buying after recent fall. Sentiments got a boost as Union Finance Minister Nirmala Sitharaman said that India is setting the global benchmarks on the digital front and that there is a sense of confidence in the country that it will be able to face geopolitical and economic uncertainties and still perform. Adding more optimism, S&P Global Ratings said growth in large Asia Pacific economies like China, India and Indonesia will be less affected as their economies are more domestically oriented. Though, slightly weaker opening in Indian rupee limited the upside in domestic indices. Also, as per provisional data available on the NSE, foreign institutional investors (FIIs) net sold shares worth Rs 1,636.43 crore on October 13. Meanwhile, investors are looking ahead to the wholesale inflation data to be out later in the day.
Global cues remained supportive with most of the Asian markets trading higher following the broadly positive cues from global markets overnight, as a sharp increase in the price of crude oil contributed to significant strength, despite US inflation data coming in hotter than expected in September. Back home, auto stocks were in focus as auto industry body Society of Indian Automobile Manufacturers said riding on the back of strong festive season demand, passenger vehicle wholesales in India increased 92 per cent to 3,07,389 units last month, as compared to the same month last year. In stock specific development, Infosys surged after raising its annual revenue forecast and announcing a Rs 9,300 crore share buyback.
The BSE Sensex is currently trading at 58198.58, up by 963.25 points or 1.68% after trading in a range of 58153.12 and 58322.47. All the 30 stocks were advancing on the index.
The broader indices were trading in green; the BSE Mid cap index jumped 0.96%, while Small cap index was up by 1.03%.
The top gaining sectoral indices on the BSE were IT up by 2.54%, TECK up by 2.41%, Bankex up by 1.93%, Telecom up by 1.62%, Capital Goods up by 1.44%, while there was no loser on the BSE sectoral front.
The top gainers on the Sensex were HCL Technologies up by 4.11%, Infosys up by 3.72%, Tech Mahindra up by 2.53%, HDFC Bank up by 2.29% and Larsen & Toubro up by 2.24%.
Meanwhile, expressing optimism over India’s growth prospects, Union Finance Minister Nirmala Sitharaman has said that India is setting the global benchmarks on the digital front and there is a sense of confidence in the country that it will be able to face geopolitical and economic uncertainties and still perform. On India's economic prospects in the face of global uncertainty, Sitharaman said India is now setting global standards and countries around the world recognise this scale of achievement.
Regarding India's economic resilience amid global uncertainty, she said ‘There were times when global benchmarks and global standards were ones India looked up to... but on the digital front, be it payment, be it identity, health or education, India has actually set the benchmarks. There are countries which recognise that this scale of achievement is absolute watertight proof that it is unfailing over the years...’. She added ‘There are countries which recognise that this scale of achievement is absolute watertight proof that it is unfailing over the years, over the numbers...’.
The finance minister explained that the Indian economy is doing good business largely because the confidence in what has happened in the last two years is ‘palatably felt’. She said the Indian economy's revival is on a sustained path and it will continue to be resilient in the face of a possible global recession. She said ‘Because of the global recession, if my demand is going fall, exports are going to suffer and because of the strong dollar my Indian rupee would suffer -- all this taken on board -- there is a sense of confidence in India, we will go through this and we will be able to still perform’.
The CNX Nifty is currently trading at 17280.70, up by 266.35 points or 1.57% after trading in a range of 17268.05 and 17331.65. All the 50 stocks were advancing on the index.
The top gainers on Nifty were HCL Technologies up by 4.06%, Infosys up by 3.73%, Tech Mahindra up by 2.52%, HDFC Bank up by 2.29% and UPL up by 2.26%.
Asian markets are trading mostly in green; Nikkei 225 surged 920.77 points or 3.51% to 27,158.19, Straits Times rose 23.07 points or 0.76% to 3,063.52, Hang Seng jumped 571.46 points or 3.49% to 16,960.57, Taiwan Weighted soared 383.73 points or 3.00% to 13,194.46, KOSPI advanced 56.30 points or 2.60% to 2,219.17 and Shanghai Composite was up by 47.40 points or 1.57% to 3,063.76, while Jakarta Composite was down by 2.83 points or 0.04% to 6,877.80.
