Benchmarks continue to trade higher in morning deals

Indian equity benchmarks continued to trade higher in morning deals, led by gains in Utilities, Power and PSU stocks amid positive cues from global markets. Sentiments remained positive with a report stated that foreign investors have infused a net Rs 11,557 crore in Indian equities in December so far despite a market correction and increasing concerns over re-emergence of COVID in China and some other parts of the world. Some optimism also came with Union Minister of State in the Ministry of Commerce and Industry Anupriya Patel’s statement that bilateral trade between India and the Gulf Cooperation Council (GCC) grew from $87.35 billion in fiscal year 2020-21 to $154.66 billion in 2021-22, registering an increase of 77.06 per cent on a year-on-year basis. Meanwhile, The Department for Promotion of Industry and Internal Trade (DPIIT) has sought the views of 16 departments and ministries on its draft national retail trade policy, which is aimed at the overall development of all formats of the sector.

On the global front, Asian markets are trading in green even as strong U.S. data revived fears the Federal Reserve will have to retain its hawkish stance to tame inflation. Back home, retail industry stocks remained in watch as Retailers Association of India (RAI) said India's retail industry saw a 19 per cent rise in sales over pre-pandemic levels during the April-November 2022 period riding on the back of strong performance of segments such as quick service restaurant and footwear.

The BSE Sensex is currently trading at 60301.81, up by 456.52 points or 0.76% after trading in a range of 59754.10 and 60351.27. There were 25 stocks advancing against 5 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 1.39%, while Small cap index was up by 2.08%.

The top gaining sectoral indices on the BSE were Utilities up by 1.88%, Power up by 1.79%, PSU up by 1.77%, Industrials up by 1.65% and Metal up by 1.59%, while Healthcare down by 0.35% was the lone losing index on BSE.

The top gainers on the Sensex were Indusind Bank up by 2.09%, Tata Motors up by 2.04%, SBI up by 1.88%, Tata Steel up by 1.86% and Ultratech Cement up by 1.64%. On the flip side, Sun Pharma down by 0.86%, Bharti Airtel down by 0.78%, Asian Paints down by 0.38%, Nestle down by 0.36% and Kotak Mahindra Bank down by 0.03% were the top losers.

Meanwhile, Retailers Association of India (RAI) has said India's retail industry saw a 19 per cent rise in sales over pre-pandemic levels during the April-November 2022 period riding on the back of strong performance of segments such as quick service restaurant and footwear.

It highlighted that region wise, the eastern part clocked the highest growth at 21 per cent as compared to the same period in 2019. North India followed with a 19 per cent growth while both western and southern parts witnessed an 18 per cent rise each.

Further it stated the industries that did particularly well during this period were the QSR (quick service restaurant) and the footwear industries, with a 30 per cent growth compared to 2019. However, it added the beauty, wellness and personal care industry only saw a 7 per cent growth as against the same period in 2019.

On the outlook for 2023, RAI Chairman Bijou Kurien said retail in India is expected to grow better than all other key markets across the world. Omnichannel retail has become the norm for retailers. He also said concepts like ONDC (Open Network for Digital Commerce) will enable millions of small retailers to participate in digital commerce.

The CNX Nifty is currently trading at 17937.65, up by 130.85 points or 0.73% after trading in a range of 17774.25 and 17958.20. There were 41 stocks advancing against 9 stocks declining on the index.

The top gainers on Nifty were Indusind Bank up by 2.42%, Eicher Motors up by 2.20%, Tata Motors up by 2.07%, SBI up by 2.01% and Hindalco up by 1.92%. On the flip side, Dr. Reddy's Lab down by 1.52%, Divi's Lab down by 0.98%, Cipla down by 0.84%, Sun Pharma down by 0.72% and Asian Paints down by 0.65% were the top losers.

Asian markets are trading in green; Nikkei 225 surged 168.92 points or 0.64% to 26,404.17, Shanghai Composite gained 21.67 points or 0.71% to 3,067.54, Taiwan Weighted strengthened 19.85 points or 0.14% to 14,291.48, KOSPI rose 7.48 points or 0.32% to 2,321.17 and Jakarta Composite soared 1.31 points or 0.02% to 6,801.98.