Sensex, Nifty manage to trade above neutral lines

Indian equity benchmarks were managing to trade above their neutral lines during early afternoon deals, aided by positive cues from other Asian markets.  Traders got relief, amid a private report stating that the government is evaluating measures to bring down the tax burden on foreign investors that put money in alternative investment funds (AIFs), which include venture capital (VC) and private equity (PE) domiciled in India. Besides, Union minister Nitin Gadkari  said that social and economic equality is the ultimate goal of the government and Vasudhaiva Kutumbakam' (world is one family) embodies a powerful message from India's G20 Presidency, signalling the commitment to pursue fair and equitable growth for all in the world.

On the global front, Asian markets were trading higher, even after Hong Kong's current account surplus decreased considerably in the final quarter of 2022. The figures from the Census and Statistics Department showed that the current account surplus declined to HK$63.8 billion in the December quarter from HK$117.1 billion in the September quarter. The surplus also decreased from HK$82.8 billion in the corresponding period last year.

The BSE Sensex is currently trading at 58190.58, up by 115.90 points or 0.20% after trading in a range of 58063.50 and 58418.78. There were 20 stocks advancing against 10 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose by 0.44%, while Small cap index was up by 0.72%.

The top gaining sectoral indices on the BSE were Utilities up by 0.68%, Industrials up by 0.48%, Power up by 0.43%, Auto up by 0.42% and Realty up by 0.39%, while Consumer Durables down by 0.11% was the only losing index on the BSE.

The top gainers on the Sensex were Bajaj Finserv up by 3.28%, Bajaj Finance up by 2.45%, Indusind Bank up by 1.56%, Tata Motors up by 0.74% and Ultratech Cement up by 0.66%. On the flip side, NTPC down by 0.71%, HDFC Bank down by 0.59%, Axis Bank down by 0.49%, Titan Company down by 0.34% and Nestle down by 0.31% were the top losers.

Meanwhile, the commerce and industry ministry has said that a task force will be set up by the Department for Promotion of Industry and Internal Trade (DPIIT) for formulating a framework to determine logistics costs in the country in a time-bound fashion. The task force members would include representatives from NITI Aayog, Ministry of Statistics and Programme Implementation (MOSPI), National Council of Applied Economic Research (NCAER), academic experts and other stakeholders.

Further, Commerce and Industry Minister Piyush Goyal said that e-commerce, smarter free trade agreements, adopting international quality standards, good manufacturing practices, leveraging on successful startups ecosystem, drone technology, artificial intelligence and centre-state partnerships will work towards catalyzing India's development.

Meanwhile, the government is going by certain estimates which suggest that logistics cost in India stands at about 13-14 per cent of the country's GDP. The government has rolled out a national logistics policy and PM Gati Shakti initiative to boost competitiveness of industry and cut logistics cost.

The CNX Nifty is currently trading at 17141.50, up by 34.00 points or 0.20% after trading in a range of 17107.85 and 17207.25. There were 31 stocks advancing against 19 stocks declining on the index.

The top gainers on Nifty were Bajaj Finserv up by 3.26%, HDFC Life Insurance up by 2.59%, Bajaj Finance up by 2.38%, Sbi Life Insurance Company up by 1.83% and Hindalco up by 1.67%. On the flip side, BPCL down by 1.63%, Coal India down by 0.90%, Apollo Hospital down by 0.89%, Cipla down by 0.85% and HDFC Bank down by 0.62% were the top losers.

All Asian markets were trading higher; Nikkei 225 surged 520.94 points or 1.9% to 27,466.61, Hang Seng advanced 379.97 points or 1.97% to 19,638.73, Taiwan Weighted added 247.01 points or 1.57% to 15,760.46, Straits Times rose 46.66 points or 1.47% to 3,220.59, KOSPI increased 28.61 points or 1.18% to 2,416.96 and Shanghai Composite strengthened 7.81 points or 0.24% to 3,263.46.