Indices widen gains in late afternoon session

Key benchmark indices widened their gains in late afternoon session on account of buying in front line counters. However, the broader indices, the BSE Mid cap index and Small cap index continued to trade in red. Investors overlooked private report that a steeper-than-expected surge in the prices of vegetables, especially tomatoes, over the past few weeks could push India's retail inflation towards 5.5% in the July-September quarter. Traders took note of report that the GST Council is likely to decide on a new rule in GST law under which businesses would be required to explain the reasons for excess input tax credit (ITC) claimed or deposit the amount with the exchequer.

On the global front, Asian markets were trading mixed after data showed China's economy teetered on the brink of deflation in June, adding to the case for policymakers to launch more stimulus to boost growth. European markets were trading higher as traders assessed inflation data from China which sparked speculation about potential economic stimulus, ahead of US figures that are likely to show prices are cooling. 

The BSE Sensex is currently trading at 65474.35, up by 193.90 points or 0.30% after trading in a range of 65264.82 and 65633.49. There were 11 stocks advancing against 19 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 0.36%, while Small cap index was down by 0.19%.

The few gaining sectoral indices on the BSE were Metal up by 1.77%, Energy up by 0.96%, Telecom up by 0.17% and Oil & Gas was up by 0.07%, while Consumer Durables down by 1.27%, Utilities down by 1.03%, Power down by 0.85%, IT down by 0.73% and Realty was down by 0.53% were the top losing indices on BSE.

The top gainers on the Sensex were Reliance Industries up by 4.33%, Tata Steel up by 3.27%, Bharti Airtel up by 1.60%, Sun Pharma up by 1.00% and Tata Motors up by 0.68%. On the flip side, Titan Company down by 2.80%, HCL Tech down by 2.43%, Power Grid down by 2.17%, Bajaj Finance down by 1.53% and Nestle down by 1.34% were the top losers.

Meanwhile, Union Minister of Commerce and Industry Piyush Goyal is visiting the UK from July 10-11, 2023. The visit will not only be focused on the ongoing Free Trade Agreement (FTA) negotiations between India and the UK but he will also be meeting with ministers from the European Free Trade Association (EFTA) member countries to discuss the progress of the Trade and Economic Partnership Agreement (TEPA) with EFTA.

The visit comes at a crucial juncture, as both India and the UK are committed to expanding their economic ties and exploring avenues for enhanced bilateral trade. With the FTA negotiations gaining momentum, the visit aims to further propel the discussions and pave the way for a comprehensive and mutually beneficial agreement that would drive economic growth and strengthen ties between the two nations.

The Minister will engage in high-level meetings with his UK counterparts, including the Secretary of State for International Trade, as well as representatives from various sectors and industries. These meetings will provide an opportunity to discuss the key priorities and objectives of the FTA negotiations, with a focus on addressing trade barriers, promoting investments, and fostering greater cooperation in areas such as technology, innovation, and intellectual property rights.

The CNX Nifty is currently trading at 19397.00, up by 65.20 points or 0.34% after trading in a range of 19332.15 and 19435.85. There were 21 stocks advancing against 28 stocks declining on the index, while 1 stock remained unchanged. 

The top gainers on Nifty were Reliance Industries up by 4.42%, Tata Steel up by 3.54%, JSW Steel up by 2.25%, HDFC Life Insurance up by 1.66% and Bharti Airtel up by 1.66%. On the flip side, Titan Company down by 2.80%, HCL Tech down by 2.52%, Power Grid down by 2.17%, Bajaj Finance down by 1.55% and Nestle down by 1.41% were the top losers.

Asian markets were trading mixed, Hang Seng advanced 114.02 points or 0.62% to 18,479.72, Jakarta Composite gained 22.02 points or 0.33% to 6,738.48, Shanghai Composite strengthened 7.09 points or 0.22% to 3,203.70 and Straits Times was up by 6.94 points or 0.22% to 3,146.41. On the flip side, KOSPI dropped 6.01 points or 0.24% to 2,520.70, Taiwan Weighted lost 11.41 points or 0.07% to 16,652.80 and Nikkei 225 was down by 198.69 points or 0.62% to 32,189.73.

European markets were trading higher, UK’s FTSE 100 increased 9.69 points or 0.13% to 7,266.63, France’s CAC rose 20.64 points or 0.29% to 7,132.52 and Germany’s DAX was up by 38.24 points or 0.25% to 15,641.64.