Key gauges remain in red in morning deals

Indian markets continued to trade in red in morning deals, dragged by Banking, TECK and Metal shares. Traders remained cautious as provisional NSE data showing that foreign institutional investors (FIIs) sold Rs 3,979 crore of Indian equities on a net basis during the previous session, while domestic investors purchased Rs 2,528 crore of shares. Traders overlooked Union minister Rajeev Chandrasekhar’s statement that India is on track to becoming a key player in the global semiconductor supply chain in the next decade with $10 billion (about Rs 81,993 crore) of incentives and assistance provided to encourage local chip manufacturing. Traders also paid no heed towards private report stated that India is likely to grow 6-6.3 per cent in the current fiscal year ending March 31, 2024. It also forecasted growth surpassing 7 per cent over the next two years if global uncertainties recede. 

On the global front, Asian markets are trading mixed as a slew of upbeat economic data from the United States clouded the outlook for interest rates. Traders also remain cautious ahead of the Bank of Japan's policy meeting later in the day. Back home, Gems and jewellery sector stocks remained in focus with report that revenue growth in the gems and jewellery industry is expected to slow down this fiscal year, with export demand falling for the second consecutive year due to a slowdown in key markets even as domestic demand remains positive.

The BSE Sensex is currently trading at 66065.38, down by 201.44 points or 0.30% after trading in a range of 65991.90 and 66351.22. There were 11 stocks advancing against 19 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.21%, while Small cap index was up by 0.20%.

The top gaining sectoral indices on the BSE were Utilities up by 1.53%, Power up by 1.52%, Realty up by 1.11%, PSU up by 0.50% and FMCG up by 0.21%, while Bankex down by 0.47%, TECK down by 0.40%, Metal down by 0.40%, IT down by 0.38% and Consumer Durables down by 0.29% were the top losing indices on BSE.

The top gainers on the Sensex were NTPC up by 2.52%, Power Grid Corp up by 1.88%, Mahindra & Mahindra up by 1.24%, Nestle up by 0.80% and Hindustan Unilever up by 0.66%. On the flip side, Bajaj Finserv down by 1.61%, Tata Motors down by 1.46%, HDFC Bank down by 1.17%, ICICI Bank down by 1.14% and TCS down by 1.09% were the top losers.

Meanwhile, in order to further promote ease of doing business, Commerce and Industry Minister Piyush Goyal said that the government has set up a working group to decriminalise laws. Talking about the Jan Vishwas (Amendment of Provisions) Bill, 2023, he said the group will look at areas, where more decriminalisation of provisions is required.

He said that the group comprised representatives from industry associations, business chambers, legal professionals, legal experts and officials of seven ministries. Besides, it would also have representatives of the National Housing Bank (NHB), National Bank of Agriculture and Rural Development and Central Pollution Control Board.

The Bill seeks to amend 183 provisions across 42 Acts administered by 19 ministries to reduce the compliance burden on individuals and businesses. He said this process would continue and it would help India to promote economic growth.

The CNX Nifty is currently trading at 19616.60, down by 43.30 points or 0.22% after trading in a range of 19595.35 and 19695.90. There were 23 stocks advancing against 27 stocks declining on the index.

The top gainers on Nifty were NTPC up by 2.80%, Power Grid Corporation up by 1.91%, Dr. Reddy's Lab up by 1.55%, Adani Enterprises up by 1.54% and ONGC up by 1.37%. On the flip side, Bajaj Finserv down by 2.25%, TCS down by 1.23%, Tata Motors down by 1.22%, Hindalco down by 1.19% and ICICI Bank down by 1.06% were the top losers.

Asian markets are trading mixed; Straits Times rose 23.9 points or 0.71% to 3,361.32, Taiwan Weighted added 39.85 points or 0.23% to 17,281.67, Hang Seng advanced 175.65 points or 0.89% to 19,814.76 and Shanghai Composite strengthened 44.53 points or 1.37% to 3,261.20. On the flip side, KOSPI dropped 6.78 points or 0.26% to 2,597.03, Jakarta Composite plunged 20.04 points or 0.29% to 6,876.62 and Nikkei 225 slipped 501.23 points or 1.55% to 32,389.93.