Indian markets trade marginally higher in late morning deals

Indian equity markets traded marginally higher in late morning deals on account of buying in Auto stocks. Meanwhile, broader indices on the BSE were also trading in green. Traders were getting encouragement as IMF Working Paper said India has built a world-class digital public infrastructure which is transforming lives and economy and can be a lesson for many countries to follow. Oil & gas companies were in focus after the government officially notified lower domestic natural gas prices as proposed by the Kirit Parikh panel. Last week, the Centre decided to impose a floor price of $4 per MMBtu (Metric Million British Thermal Unit) for the next two years, to cover the cost of gas production by state-run firms ONGC and OIL. The ceiling price will be set at $6.5 per MMBtu. Most of the sectoral indices on BSE were trading in green, with only exceptions of FMCG and Bankex counters. Stocks from Realty, Utilities, Power, Oil & Gas and Auto counters were the prominent gainers.

Asian markets were trading mixed, as investors await a closely watched inflation report as well as the release of minutes of the Fed's March meeting this week for additional clues on the economic and rate outlook. Elsewhere, European Central Bank (ECB) officials indicated another rate hike in May. Back home, in the stock specific development, Godrej Properties soared after the company reported highest-ever quarterly and annual sales. The company reported total bookings of Rs 4,051 crore in January-March quarter (Q4 FY23). 

The BSE Sensex is currently trading at 59910.82, up by 77.85 points or 0.13% after trading in a range of 59800.55 and 60019.57. There were 18 stocks advancing against 12 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.28%, while Small cap index up by 0.14%.

The top gaining sectoral indices on the BSE were Realty up by 3.18%, Utilities up by 1.50%, Power up by 1.43%, Oil & Gas up by 1.09% and Auto up by 1.05%, while FMCG down by 0.36% and Bankex down by 0.34% were the only losing indices on BSE.

The top gainers on the Sensex were Tata Motors up by 5.84%, Larsen & Toubro up by 1.57%, Power Grid Corp up by 1.35%, Mahindra & Mahindra up by 1.14% and Tech Mahindra up by 1.13%. On the flip side, Bajaj Finance down by 1.86%, Asian Paints down by 1.44%, Indusind Bank down by 1.08%, Hindustan Unilever down by 0.80% and Maruti Suzuki down by 0.59% were the top losers.

Meanwhile, the commerce ministry's investigation arm the Directorate General of Trade Remedies (DGTR) has initiated a probe to review the need to continue the anti-dumping duty on flax yarn imported from China, following complaints from the domestic industry. Grasim Industries and Sintex Industries have filed an application before the Directorate General of Trade Remedies for initiation of the sunset review of the anti-dumping duty imposed on imports of 'flax yarn of below 70 lea count' exported from China to India.

Lea is a unit for measuring the length of yarn. Normally it is taken as 80 yards for wool, 120 yards for cotton and silk, and 300 yards for linen. Flax yarn is used to make flax fabrics, which is used in apparel and home textiles. DGTR in a notification has said prima facie there is an evidence of dumping of the product from China in spite of the existing anti-dumping duties. On the basis of the duly substantiated application of the applicants and having satisfied itself, on the basis of the prima facie evidence submitted by the domestic industry...the authority, hereby, initiates a sunset review investigation.

DGTR would review the need to continue the duties and examine whether the expiry of existing duties is likely to lead to continuation or recurrence of dumping and impact the domestic industry. The existing duties are set to expire on October 17, 2023. The duty is aimed at ensuring fair trade practices and creating a level-playing field for domestic producers with regard to foreign producers and exporters.

The CNX Nifty is currently trading at 17635.00, up by 35.85 points or 0.20% after trading in a range of 17605.35 and 17660.65. There were 33 stocks advancing against 17 stocks declining on the index.

The top gainers on Nifty were Tata Motors up by 5.86%, ONGC up by 3.15%, Adani Enterprises up by 1.90%, Adani Ports & SEZ up by 1.68% and Larsen & Toubro up by 1.47%. On the flip side, Bajaj Finance down by 1.91%, Asian Paints down by 1.47%, Tata Consumer down by 1.20%, Indusind Bank down by 1.10% and Hindustan Unilever down by 0.85% were the top losers.

Asian markets were trading mixed; Shanghai Composite weakened 8.73 points or 0.26% to 3,318.92 Jakarta Composite plunged 45.06 points or 0.67% to 6,747.71 and Straits Times fell 7.48 points or 0.23% to 3,293.00.  However, Taiwan Weighted added 31.64 points or 0.2% to 15,868.14, Nikkei 225 surged 129.04 points or 0.47% to 27,647.35 and KOSPI increased 22.05 points or 0.89% to 2,512.46.