Benchmarks continued to trade higher amid improved global cues

Indian equity benchmarks continued to trade higher in morning deals, amid improved global cues due to a weekend debt ceiling deal in the US. The domestic indices also rose led by strong buying interest in Banks, Metal and Realty stocks. Traders took support as the commerce ministry said that members of the 14-nation bloc IPEF have 'substantially' concluded the negotiations on the supply chains agreement, including improving logistics and connectivity; promoting investments in critical sectors and cooperation for mitigation of disruptions to ensure business continuity. Traders also took a note of report that domestic rating agency Icra expects GDP growth in January-March period of 2022-23 at 4.9 per cent, a modest step-up from the 4.4 per cent recorded in preceding quarters, driven by the services sector. On the global front, Asian markets are trading mostly in green after U.S. President Joe Biden and top congressional Republican Kevin McCarthy on Saturday reached a tentative deal to raise the federal government's debt ceiling and avert a potential debt default.  

The BSE Sensex is currently trading at 62978.59, up by 476.90 points or 0.76% after trading in a range of 62801.54 and 63026.00. There were 25 stocks advancing against 5 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.36%, while Small cap index was up by 0.47%.

The top gaining sectoral indices on the BSE were Metal up by 1.26%, Bankex up by 0.90%, Realty up by 0.82%, FMCG up by 0.72% and Consumer Durables up by 0.66%, while Oil & Gas down by 0.75%, Energy down by 0.28% and Healthcare down by 0.17% were the top losing indices on BSE.

The top gainers on the Sensex were Mahindra & Mahindra up by 3.25%, Indusind Bank up by 1.97%, HDFC up by 1.78%, HDFC Bank up by 1.49% and Bajaj Finserv up by 1.39%. On the flip side, Sun Pharma down by 1.53%, Maruti Suzuki down by 0.71%, HCL Technologies down by 0.49%, Infosys down by 0.22% and Power Grid Corporation down by 0.17% were the top losers.

Meanwhile, World Economic Forum (WEF) President Borge Brende has said India is expected to clock the highest growth among the world’s big economies this year and the country’s economy is witnessing the famous snowball effect that will lead to more investments and more jobs. Brende said there have been reforms that have led to less red tape, better climate for investments and also the digital revolution is really happening in India. 

Brende stated that he is very bullish and optimistic about the country’s growth trajectory but not so optimistic about global growth. He mentioned ‘The growth will lead to more investments, more jobs… it will be an exponential growth in the coming years and you will see a situation where more poverty is eradicated and more opportunities are there for young people.’

Further, he highlighted that India has more of a broad ecosystem of startups than in any other developing country and that is growing. This is something that other countries can also be inspired by, he added. India, which currently holds the G20 presidency, is one of the fastest growing key economies in the world and WEF has had close collaborations with the country for the past many years.

The CNX Nifty is currently trading at 18617.00, up by 117.65 points or 0.64% after trading in a range of 18584.45 and 18641.20. There were 38 stocks advancing against 12 stocks declining on the index.

The top gainers on Nifty were Mahindra & Mahindra up by 3.26%, Hindalco up by 2.39%, Indusind Bank up by 1.96%, HDFC up by 1.70% and SBI Life Insurance up by 1.53%. On the flip side, ONGC down by 3.02%, Sun Pharma down by 1.43%, Divi's Lab down by 0.83%, Maruti Suzuki down by 0.67% and HCL Technologies down by 0.54% were the top losers. 

Asian markets are trading mostly in green; Taiwan Weighted added 126.46 points or 0.76% to 16,631.51, Shanghai Composite strengthened 4.84 points or 0.15% to 3,217.34, Straits Times rose 6.85 points or 0.21% to 3,214.24 and Nikkei 225 surged 375.12 points or 1.2% to 31,291.43.

On the flip side, Hang Seng declined 49.68 points or 0.27% to 18,697.24 and Jakarta Composite plunged 45.76 points or 0.69% to 6,641.24.