Benchmarks trade in green in morning deals

Indian equity benchmarks turned positive in morning deals, led by gains in Capital Goods, Industrials and Realty stocks. Traders took support with Union Minister of State for Chemicals and Fertilizers Bhagwanth Khuba's statement that unemployment rate in the country is the lowest among the developing countries and Pradhan Mantri Mudra Yojana (PMMY) has helped in achieving this self-sustaining employment. Some support also came as private report stating that Indian equity markets continue to draw foreign portfolio investments as foreign investors put in Rs 43,800 crore in July so far on stable macroeconomic fundamentals, steady earnings growth and challenges faced by the Chinese economy. However, gains remain capped as retail inflation for farm workers and rural labourers inched up marginally to 6.31 per cent and 6.16 per cent, respectively in June as compared to 5.99 per cent and 5.84 per cent in May this year. On the global front, Asian markets are trading mixed as traders also looked ahead to central bank meetings in Europe and Japan this week for further clues on the rate outlook.

The BSE Sensex is currently trading at 66788.93, up by 104.67 points or 0.16% after trading in a range of 66532.31 and 66808.56. There were 21 stocks advancing against 9 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.56%, while Small cap index was up by 0.51%.

The top gaining sectoral indices on the BSE were Capital Goods up by 1.19%, Industrials up by 1.18%, PSU up by 0.97%, Realty up by 0.92% and Auto up by 0.61%, while Metal down by 0.51%, Energy down by 0.20%, Consumer Durables down by 0.13%, FMCG down by 0.10% and Bankex down by 0.06% were the top losing indices on BSE.

The top gainers on the Sensex were Mahindra & Mahindra up by 1.70%, Larsen & Toubro up by 1.35%, Indusind Bank up by 1.25%, Axis Bank up by 1.19% and Infosys up by 0.90%. On the flip side, Kotak Mahindra Bank down by 3.48%, Tata Steel down by 1.41%, Reliance Industries down by 1.22%, JSW Steel down by 0.94% and Nestle down by 0.61% were the top losers.

Meanwhile, The Engineering Exports Promotion Council of India (EEPC) has said that India's engineering exports declined for the third straight month in June 2023, falling 11 per cent year-on-year to $8.53 billion. It stated that India's engineering exports to major markets like the United States, the European Union (EU) and China continued to decline in June 2023, reflecting a challenging global trade environment. 

However, it said the country's shipments to West Asia and North Africa (WANA), North East Asia, and CIS countries showed positive growth during the same period. It mentioned exports to the US fell 12.5 per cent to $1.45 billion, while exports to the EU fell 16.2 per cent to $1.51 billion. Exports to China fell 20 per cent to $184 million. However, an almost threefold increase in engineering exports to Russia reached a substantial $116.9 million in June 2023.

Moreover, it said, cumulatively, during the April-June period of the current fiscal year, exports to Russia witnessed a remarkable four-fold surge, totalling $337.4 million compared to $89.7 million in the same period of the previous fiscal year.

The CNX Nifty is currently trading at 19777.85, up by 32.85 points or 0.17% after trading in a range of 19704.20 and 19782.75. There were 36 stocks advancing against 13 stocks declining on the index.

The top gainers on Nifty were Grasim Industries up by 1.95%, HDFC Life Insurance up by 1.71%, Mahindra & Mahindra up by 1.56%, Indusind Bank up by 1.37% and Larsen & Toubro up by 1.31%. On the flip side, Kotak Mahindra Bank down by 3.43%, Reliance Industries down by 1.39%, Tata Steel down by 1.16%, JSW Steel down by 0.86% and Tech Mahindra down by 0.71% were the top losers.

Asian markets are trading mixed; Shanghai Composite strengthened 2.55 points or 0.08% to 3,170.30, KOSPI increased 17.51 points or 0.67% to 2,627.27, Jakarta Composite gained 17.24 points or 0.25% to 6,898.04 and Nikkei 225 surged 404.16 points or 1.25% to 32,708.41. On the flip side, Straits Times fell 17.55 points or 0.54% to 3,260.75, Taiwan Weighted lost 7.74 points or 0.05% to 17,022.96 and Hang Seng declined 266.67 points or 1.42% to 18,808.59.