Sensex, Nifty end marginally higher in volatile session

Indian equity benchmarks witnessed rollercoaster ride throughout the session to finally end with marginal gains on Thursday, on fag-end value buying in Utilities, Power and Oil & Gas stocks along with a positive opening in the European markets. The indices oscillated between the red and the green throughout the session, as continued foreign fund outflows dented domestic sentiments. The National Stock Exchange's provisional data showed foreign institutional investors (FII) sold shares worth Rs 1,271.25 crore on March 15. Some concern also came amid a private report stating that it would be a tough task for the Indian economy to reach the $5-trillion mark a year before the International Monetary Fund (IMF) projection of 2026-27. Adding more worries among market participants, a parliamentary panel has raised concerns over the marginal budgetary increase in one of the key components of Pradhan Mantri Krishi Sinchayee Yojana. It also raised concern over the reduced allocation in the Digital India Land Records Management Programme, saying both the schemes have remarkable impact on the ground.

However, in late afternoon session, equity benchmarks bounced back to end in the positive territory as traders found support with IMF senior representative to India Luis Breuer stating that the RBI was doing the right thing on rate hikes, and added that there was need for more. Breuer also said the Budget’s focus on prudence and fiscal consolidation was a good step that will reduce and stabilise public debt, which is quite high in the country compared to other G20 countries. Some support also came with Commerce Secretary Sunil Barthwal’s statement that the government is expected to release the new five-year foreign trade policy (FTP) by the end of this month, with a view to promoting the country's outbound shipments of goods and services.

On the global front, European markets were trading higher as traders assessed moves from regulators to support Credit Suisse. The European Central Bank is set to announce its interest-rate decision later in the day, with analysts remaining divided over whether the central bank will agree a 25 or 50 basis point rise. Asian markets settled lower on Thursday as concerns grew about the health of the global banking system. Investor attention also moved to central bank meetings and regulatory action to shore up confidence and avoid a repeat of the 2008 financial crisis.

Finally, the BSE Sensex rose 78.94 points or 0.14% to 57,634.84 and the CNX Nifty was up by 13.45 points or 0.08% to 16,985.60.

The BSE Sensex touched high and low of 57,887.46 and 57,158.69, respectively. There were 17 stocks advancing against 13 stocks declining on the index.

The broader indices ended in red; the BSE Mid cap index fell 0.05%, while Small cap index was down by 0.69%.

The top gaining sectoral indices on the BSE were Utilities up by 1.20%, Power up by 1.13%, Oil & Gas up by 1.08%, Realty up by 1.00% and FMCG up by 0.99%, while Metal down by 2.69%, IT down by 0.73%, TECK down by 0.57%, Industrials down by 0.46% and Telecom down by 0.35% were the top losing indices on BSE.

The top gainers on the Sensex were Nestle up by 2.54%, Asian Paints up by 2.32%, Hindustan Unilever up by 2.23%, Titan Company up by 2.21% and Sun Pharma up by 1.66%. On the flip side, Tata Steel down by 3.31%, Indusind Bank down by 2.31%, Bharti Airtel down by 0.98%, Infosys down by 0.93% and Wipro down by 0.81% were the top losers.

Meanwhile, Minister of Electronics and IT Ashwini Vaishnaw has said indigenous electronics production is expected to reach Rs 8.42 lakh crore and export Rs 1.76 lakh crore in the current financial year (FY23).  He said India's share of global exports has increased to around 1.8 per cent in the current year from 1.2 per cent last year.

He mentioned  the domestic production of electronic items is expected to reach Rs 8.42 lakh crore ($105 billion) in the current FY 2022-23 as compared to Rs 6.40 lakh crore ( $87.35 billion) in FY 2021-22 and is targeted to reach $300 billion by 2025-26.

He also said that the export of electronic goods has increased from Rs 39,978 crore ($5.96 billion) in FY 2016-17 to Rs 1,09,797 crore in FY 2021-22 ($14.6 billion), exhibiting a compound annual growth rate (CAGR) of 22.39 per cent. According to data shared by the minister, Karnataka led the electronics exports chart with exports worth $3,898 million (about Rs 3.22 lakh crore), followed by Uttar Pradesh $3,792 million (Rs 3.13 lakh crore).

The CNX Nifty traded in a range of 17,062.45 and 16,850.15. There were 32 stocks advancing against 18 stocks declining on the index.

The top gainers on Nifty were BPCL up by 6.02%, Hindustan Unilever up by 2.45%, Asian Paints up by 2.45%, Nestle up by 2.29% and Titan Company up by 2.12%.

On the flip side, Hindalco down by 5.08%, Tata Steel down by 3.08%, Indusind Bank down by 2.27%, JSW Steel down by 2.01% and HDFC Life Insurance Company down by 1.01% were the top losers.

European markets were trading higher; UK’s FTSE 100 increased 69.2 points or 0.94% to 7,413.65, France’s CAC rose 56.84 points or 0.83% to 6,942.55 and Germany’s DAX gained 84.16 points or 0.57% to 14,819.42.

Asian markets settled lower on Thursday tracking mixed US shares overnight due to concerns over the health of the global banking system after the recent collapse of two US banks, while investors were cautious ahead of next week´s Federal Open Market Committee meeting. Chinese shares declined after reports suggesting that China's securities regulator is holding up approvals for new applications to sell global depository receipts. Japanese shares dropped in spite of positive core machinery orders and trade balance data.