Benchmarks trade lower in morning deals

Swinging between losses and gains, Indian equity benchmarks were trading lower in morning deals, due to selloff in Auto and Banking stocks. Investors await more of financial results from India Inc. for domestic cues, with Bharti Airtel and LIC Housing Finance due to post its earnings later in the day. Traders remained cautious as the commerce ministry data showed India's exports to the UAE contracted by 22 per cent to $2.23 billion as against $2.86 billion in April. Indian and the UAE have operationalised a comprehensive free trade agreement since May 1 last year. Meanwhile, imports to the UAE also declined by 34.08 per cent to $3.15 billion in April. Some pessimism also came as a private weather forecaster suggests that southwest monsoon might be delayed and weak, and needs to be watched closely. On the global front, Asian markets are trading mostly in green despite weaker-than-expected Chinese economic data, with investors expecting the world's second-biggest economy to provide policy support.

The BSE Sensex is currently trading at 62201.19, down by 144.52 points or 0.23% after trading in a range of 62174.39 and 62475.95. There were 15 stocks advancing against 15 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.80%, while Small cap index was up by 0.53%.

The top gaining sectoral indices on the BSE were Realty up by 0.63%, IT up by 0.58%, Telecom up by 0.55%, PSU up by 0.54% and Industrials up by 0.47%, while Auto down by 0.23% and Bankex down by 0.15% were the only losing indices on BSE.

The top gainers on the Sensex were Bajaj Finance up by 1.05%, Infosys up by 0.91%, Asian Paints up by 0.76%, Bajaj Finserv up by 0.70% and Wipro up by 0.51%. On the flip side, HDFC down by 1.94%, HDFC Bank down by 1.27%, Maruti Suzuki down by 1.25%, Mahindra & Mahindra down by 1.12% and Larsen & Toubro down by 0.82% were the top losers.

Meanwhile, the commerce ministry in its latest data has showed that India’s merchandise exports contracted by 12.7 per cent, third month in a row, to $34.66 billion in April 2023 as compared to $39.70 Billion in April 2022. The decline in exports is mainly on account of poor demand in India's key destinations -- the Europe and the US -- and it may take some more months for the situation to improve. 

According to the data, Imports too declined by about 14 per cent, fifth month in a row, to $49.9 billion as against $58.06 billion recorded in the same month last year. However, trade deficit reduced to a 20-month low of $15.24 billion in April 2023 as against $18.36 billion in April last year. 

It further showed that non-petroleum and non-gems & jewellery exports in April 2023 were $25.76 billion, compared to $28.37 billion in April 2022. Non-petroleum, non-gems & jewellery (gold, silver & precious metals) imports in April 2023 were $31.49 billion, compared to $36.00 billion in April 2022.

The CNX Nifty is currently trading at 18371.90, down by 26.95 points or 0.15% after trading in a range of 18360.10 and 18432.35. There were 33 stocks advancing against 17 stocks declining on the index.

The top gainers on Nifty were BPCL up by 1.23%, ONGC up by 1.15%, Bajaj Finance up by 1.04%, Divi's Lab up by 0.97% and Infosys up by 0.90%. On the flip side, HDFC down by 1.94%, Maruti Suzuki down by 1.25%, HDFC Bank down by 1.20%, Mahindra & Mahindra down by 1.12% and Larsen & Toubro down by 0.81% were the top losers.

Asian markets are trading mostly in green; Taiwan Weighted added 239.29 points or 1.55% to 15,714.34, Hang Seng advanced 78.21 points or 0.39% to 20,049.34, Shanghai Composite strengthened 0.32 points or 0.01% to 3,311.06, KOSPI increased 0.02 points or 0% to 2,479.37 and Nikkei 225 surged 230.05 points or 0.78% to 29,856.39.

On the flip side, Jakarta Composite plunged 37.27 points or 0.56% to 6,674.47 and Straits Times fell 1.67 points or 0.05% to 3,213.05.