Bourses continue to reel under selling pressure in late afternoon session

Following weak global cues, Indian equities continued to reel under selling pressure in late afternoon session. Globally, markets participants maintained cautiousness approach as strong U.S. services data raised doubts whether the Federal Reserve would opt to reduce the size of its interest rate hikes so soon. Traders overlooked World Bank revised upwards its GDP growth forecast for India to 6.9 per cent for 2022-23, saying the economy was showing higher resilience to global shocks. In October, it had cut India’s GDP growth forecast to 6.5 per cent from 7.5 per cent earlier. Now, it has upgraded the projection to 6.9 per cent for 2022-23 (April 2022 -March 2023). On the global front, Asian markets were trading mostly in red and European markets were trading lower as fresh fears that the US Federal Reserve will push interest rates higher than hoped overshadowed growing optimism over China's economic reopening.

The BSE Sensex is currently trading at 62538.91, down by 295.69 points or 0.47% after trading in a range of 62390.07 and 62644.54. There were 10 stocks advancing against 19 stocks declining on the index, while 1 stock remained unchanged.

The broader indices were trading in red; the BSE Mid cap index declined 0.69%, while Small cap index was down by 0.37%.

The top gaining sectoral indices on the BSE were Utilities up by 0.65%, Power up by 0.64%, FMCG up by 0.13%, Energy up by 0.10% and Capital Goods was up by 0.01%, while Metal down by 1.88%, TECK down by 1.50%, IT down by 1.50%, Telecom down by 1.22% and Realty was down by 0.83% were the top losing indices on BSE.

The top gainers on the Sensex were Hindustan Unilever up by 0.93%, Bajaj Finance up by 0.42%, Larsen & Toubro up by 0.38%, Mahindra & Mahindra up by 0.27% and Reliance Industries up by 0.19%. On the flip side, Tata Steel down by 2.81%, Dr. Reddy's Lab down by 1.97%, Infosys down by 1.68%, TCS down by 1.52% and HCL Tech down by 1.39% were the top losers.

Meanwhile, with an aim to solve challenges of the agriculture sector, Union Minister of Agriculture and Farmers Welfare, Narendra Singh Tomar has said that the Government of India is continuously working efficiently under the leadership of Prime Minister. He said that the number of small farmers is more in the country, the government believes that if their strength increases, then the agriculture sector will improve and production will also increase, the government is working in this direction.

The minister also noted that traditional farming methods used to run in the agriculture sector in India, now in the current perspective there is a need for investment in the agriculture sector, in view of which the government has initiated many reforms, incorporated technology in agriculture and to ensure the eligible farmers are provided aid with transparency, the Digital Agriculture Mission has also been started in the country.

Besides, Tomar said that with the aim of further increasing investment in agriculture, the Government of India has allocated a special package of over Rs 1.5 lakh crore for agriculture and allied sectors under the Atmanirbhar Bharat Abhiyan. Work on these provisions has started, including the Rs. 1 lakh crore Agriculture Infrastructure Fund. Once these are implemented, the Indian agriculture sector will be rejuvenated.

The CNX Nifty is currently trading at 18614.70, down by 86.35 points or 0.46% after trading in a range of 18577.90 and 18648.05. There were 16 stocks advancing against 33 stocks declining on the index, while 1 stock remained unchanged.

The top gainers on Nifty were Adani Enterprises up by 2.46%, Hindustan Unilever up by 0.96%, Britannia up by 0.55%, Adani Ports up by 0.50% and Bajaj Finance up by 0.47%. On the flip side, Tata Steel down by 2.89%, Hindalco down by 2.17%, UPL down by 2.11%, BPCL down by 2.01% and Dr. Reddy's Lab down by 1.91% were the top losers.

Asian markets were trading mostly in red, Taiwan Weighted dropped 251.86 points or 1.68% to 14,728.88, Jakarta Composite lost 94.76 points or 1.36% to 6,892.57, Hang Seng decreased 77.11 points or 0.4% to 19,441.18, KOSPI fell 26.16 points or 1.08% to 2,393.16 and Straits Times was down by 18.69 points or 0.57% to 3,248.85. On the global front, Shanghai Composite gained by 0.72 points or 0.02% to 3,212.53 and Nikkei 225 was up by 65.47 points or 0.24% to 27,885.87.

European markets were trading lower, UK’s FTSE 100 decreased 26.25 points or 0.35% to 7,541.29, France’s CAC decreased 23.64 points or 0.35% to 6,673.32 and Germany’s DAX was down by 62.51 points or 0.43% to 14,385.10.