Bourses soar higher in late afternoon session

Indian benchmarks traded strength to strength in late afternoon session, on sustained buying activities in IT counters. Index heavyweights ICICI Bank and Reliance Industries also boosted the upward move. However, broader indices, the BSE Mid cap index and Small cap index traded with losses. Investors seem to be expecting a moderation in inflation in the US which would also have an impact on the interest rate hike cycle. Besides, India’s inflation based on wholesale price index (WPI) eased further to 4.73% for the month of January 2023 against 4.95% recorded in December 2022. On the global front, Asian markets were trading mostly in green as investors remained convinced that key U.S. inflation data due later in the day would show an easing in price pressures on an annual basis. European markets were trading higher as investors assess the economic outlook.

The BSE Sensex is currently trading at 61051.09, up by 619.25 points or 1.02% after trading in a range of 60550.25 and 61102.74. There were 22 stocks advancing against 8 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 0.41%, while Small cap index was down by 0.42%.

The top gaining sectoral indices on the BSE were IT up by 1.09%, TECK up by 1.06%, FMCG up by 0.84%, Bankex up by 0.83% and Metal was up by 0.79%, while Utilities down by 1.76%, Realty down by 1.71%, Power down by 1.46%, Healthcare down by 0.42% and Industrials was down by 0.29% were the top losing indices on BSE.

The top gainers on the Sensex were ITC up by 3.09%, Reliance Industries up by 2.24%, ICICI Bank up by 1.92%, HCL Tech up by 1.89% and Bajaj Finance up by 1.86%. On the flip side, NTPC down by 1.07%, Power Grid down by 0.76%, Sun Pharma down by 0.68%, Titan Company down by 0.49% and Maruti Suzuki down by 0.37% were the top losers.

Meanwhile, India’s inflation based on wholesale price index (WPI) eased further to 4.73% for the month of January 2023 against 4.95% recorded in December 2022. Decline in the rate of inflation in January is primarily contributed by mineral oils, chemicals & chemical products, textiles, crude petroleum & natural gas, textiles, and food products. The wholesale inflation was 5.85% in November 2022.

The Component wise, primary articles index, having weight of 22.62%, increased 0.93% to 174.0 (provisional) in January 2023 from 172.4 (provisional) for the month of December 2022. Prices of Minerals, Non-food Articles and Food Articles increased in January 2023 as compared to December, 2022. Prices of Crude Petroleum & Natural Gas declined 0.85% in January 2023 as compared to December 2022.

Fuel & Power index, having weight of 13.15%, declined 1.39% to 155.8 (provisional) in January 2023 from 158.0 (provisional) for the month of December 2022. Prices of Mineral Oils declined 2.13% in January 2023 as compared to December 2022.

Besides, Manufactured Products constituting the major portion of the index with weight of 64.23%, increased 0.14% to 141.3 (provisional) in January 2023 from 141.1 (provisional) for the month of December 2022. Meanwhile, for the month of November, 2022 the final Wholesale Price Index and inflation rate for 'All Commodities' (Base: 2011- 12=100) stood at 152.5 and 6.12% respectively.

The CNX Nifty is currently trading at 17937.90, up by 167.00 points or 0.94% after trading in a range of 17800.05 and 17954.55. There were 32 stocks advancing against 18 stocks declining on the index.

The top gainers on Nifty were Adani Enterprises up by 5.25%, Adani Ports up by 3.21%, UPL up by 3.13%, ITC up by 3.06% and Reliance Industries up by 2.26%. On the flip side, Eicher Motors down by 2.69%, Apollo Hospital down by 1.80%, SBI Life down by 1.19%, BPCL down by 1.12% and NTPC down by 1.07% were the top losers.

Asian markets were trading mostly in green, Nikkei 225 surged 175.45 points or 0.64% to 27,602.77, Taiwan Weighted added 110.2 points or 0.7% to 15,654.48, Jakarta Composite gained 41.72 points or 0.6% to 6,941.86, KOSPI increased 12.94 points or 0.52% to 2,465.64 and Shanghai Composite was up by 9.12 points or 0.28% to 3,293.28. On the flip side, Straits Times fell 2.43 points or 0.07% to 3,322.27 and Hang Seng was down by 50.66 points or 0.24% to 21,113.76.

European markets were trading higher, UK’s FTSE 100 increased 24.86 points or 0.31% to 7,972.46, France’s CAC rose 14.73 points or 0.2% to 7,223.32 and Germany’s DAX was up by 22.77 points or 0.15% to 15,420.11.