Markets continue to trade in red in late afternoon session

Indian equity markets continued to trade in red in late afternoon session tailing weak global cues. Utilities, Power and IT counters were on the priority list of the sellers. Globally investors were worried after the US central bank Federal Reserve continued raising key interest rates in its fight against the multi-decade high inflation. The US Fed raised the key policy rate by 75 basis points to over a decade high at 3.75-4.0 per cent in its latest monetary policy meeting. Sentiments remained down-beat as participants were keenly watching out for the Reserve Bank of India’s monetary policy committee (MPC) meet to be scheduled later in the day. On the global front, Asian markets were trading mostly in red after the Federal Reserve espoused a more hawkish outlook than expected, with Chinese equities cutting short a two-day rally amid uncertainty over the country’s plans to scale back COVID lockdowns. European markets were trading lower after the U.S. Federal Reserve fully reaffirmed its commitment to fight inflation and signaled it was 'very premature' to think about pausing the tightening cycle.

The BSE Sensex is currently trading at 60,708.82, down by 197.27 points or 0.32% after trading in a range of 60485.14 and 60994.37. There were 10 stocks advancing against 20 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index gained 0.12%, while Small cap index was down by 0.02%.

The top gaining sectoral indices on the BSE were Telecom up by 0.74%, PSU up by 0.68%, Bankex up by 0.47%, FMCG up by 0.03% and Realty was up by 0.01%, while Utilities down by 1.40%, Power down by 1.33%, IT down by 1.24%, TECK down by 0.87% and Auto was down by 0.54% were the top losing indices on BSE.

The top gainers on the Sensex were SBI up by 2.27%, Bharti Airtel up by 1.31%, Titan Company up by 0.74%, Indusind Bank up by 0.70% and Hindustan Unilever up by 0.58%. On the flip side, Power Grid down by 2.57%, Tech Mahindra down by 2.55%, Infosys down by 1.64%, NTPC down by 1.63% and Ultratech Cement down by 1.53% were the top losers.

Meanwhile, Chemicals and Fertilisers Minister Mansukh Mandaviya has said that the central government is pro-poor, pro-farmer and also industry friendly, and exhorted domestic as well as global companies to invest in the country's chemicals industry.

Mandaviya said the government is creating an industry-friendly environment and consulting all stakeholders before framing any policy. He also emphasised on industrial development in India and said an eco-system is being created for holistic growth. While stressing that all the 'critical requirements' should be produced locally, he said there is a need to boost India's exports and reduce imports.

Talking about the chemical industry, the minister said there is a huge opportunity in the chemical and petro-chemical sector, and asked corporates to make investments to increase manufacturing capacities. He said ‘India is a best destination for investment. It is the biggest democracy with best judicial system. The government intends to work together with the industry. We are reforming policies after consultation with the industry.’

The CNX Nifty is currently trading at 18027.20, down by 55.65 points or 0.31% after trading in a range of 17959.20 and 18106.30. There were 17 stocks advancing against 32 stocks declining on the index, while 1 stock remained unchanged. 

The top gainers on Nifty were SBI up by 2.33%, Bharti Airtel up by 1.35%, Bajaj Auto up by 1.19%, UPL up by 0.72% and Indusind Bank up by 0.66%. On the flip side, Tech Mahindra down by 2.68%, Power Grid down by 2.61%, Hindalco down by 2.53%, Infosys down by 1.75% and NTPC down by 1.66% were the top losers.

Asian markets were trading mostly in red, Hang Seng decreased 487.68 points or 3.08% to 15,339.49, Taiwan Weighted dropped 113.57 points or 0.87% to 12,986.60, Straits Times trembled 42.03 points or 1.34% to 3,099.10, KOSPI fell 7.70 points or 0.33% to 2,329.17 and Shanghai Composite was down by 5.56 points or 0.19% to 2,997.81. On the flip side, Jakarta Composite was up by 18.88 points or 0.27% to 7,034.57.

European markets were trading lower, UK’s FTSE 100 decreased 56.92 points or 0.8% to 7,087.22, France’s CAC decreased 67.73 points or 1.08% to 6,209.15 and Germany’s DAX was down by 129.66 points or 0.98% to 13,127.08.