Markets trade lower with cut of over quarter percent

Indian equity markets traded lower with cut of over quarter a percent in late morning deals on account of hectic selling in Asian Paints, Tech Mahindra and Mahindra & Mahindra companies’ stocks. Traders remained cautious on rising crude oil prices. Further, recent weakness in global equities markets over fears of higher interest rates weighed on domestic sentiments. Traders ignored Fitch Ratings’ statement that the inclusion of certain Indian sovereign bonds in key emerging-market bond indices managed by JP Morgan will support a diversification of the investor base for Indian government securities. On the BSE sectoral front, traders were seen pilling up position in Capital Goods, Industrials, PSU, Power and Utilities, while selling was witnessed in IT, FMCG, TECK, Consumer Durables and Auto. 

On the global front, Asian markets were trading mixed following muted cues from US markets. Traders were cautious after the benchmark 10-year U.S. Treasury yield hit its highest levels since 2007. Bank home, in the stock specific development, Vodafone Idea fell after TRAI data showed the telecom company lost over 1.3 million subscribers in July this year. 

The BSE Sensex is currently trading at 65908.07, down by 210.62 points or 0.32% after trading in a range of 65883.36 and 66406.01. There were 10 stocks advancing against 20 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index was down by 0.09%, while Small cap index up by 0.37%.

The top gaining sectoral indices on the BSE were Capital Goods up by 1.29%, Industrials up by 0.86%, PSU up by 0.43%, Power up by 0.32% and Utilities up by 0.30%, while IT down by 0.90%, FMCG down by 0.81%, TECK down by 0.77%, Consumer Durables down by 0.58% and Auto down by 0.46% were the top losing indices on BSE.

The top gainers on the Sensex were Larsen & Toubro up by 2.44%, Sun Pharma up by 0.81%, Axis Bank up by 0.70%, Power Grid up by 0.60% and SBI up by 0.32%. On the flip side, Tech Mahindra down by 3.27%, Asian Paints down by 2.06%, Mahindra & Mahindra down by 1.37%, Kotak Mahindra Bank down by 1.34% and ITC down by 1.18% were the top losers.

Meanwhile, Food and Consumer Affairs Minister Piyush Goyal has said that high-quality standards in products and services will help India achieve its ambition of becoming a developed economy by 2047. He also stressed that ‘standards must support creating robust enforcement ecosystem and that they are developed after extensive consultation with all stakeholder groups’.

Goyal said standards are a cornerstone of domestic trade and export, a facilitator of innovation and efficiency contributing towards national growth. As members of technical committees formulating Indian Standards, they have an enormous responsibility to ensure that standards embed the principles of sustainability, facilitate the fight against counterfeit goods and support MSMEs and startups to become more competitive.

He further said each member must ensure that Indian standards reflect the latest technological advancements in the country and that these are at par with international standards. He said ‘only then, will India be able to achieve its vision of being the manufacturing hub of the world and realise the ambition of becoming Atmanirbhar Bharat’.

The CNX Nifty is currently trading at 19651.90, down by 64.55 points or 0.33% after trading in a range of 19643.50 and 19766.65. There were 17 stocks advancing against 33 stocks declining on the index.

The top gainers on Nifty were Larsen & Toubro up by 2.36%, Sun Pharma up by 0.79%, Adani Ports up by 0.75%, Axis Bank up by 0.67% and Power Grid up by 0.55%. On the flip side, Tech Mahindra down by 3.24%, Asian Paints down by 2.15%, Kotak Mahindra Bank down by 1.39%, Mahindra & Mahindra down by 1.35% and ITC down by 1.21% were the top losers.

Asian markets were trading mixed; Nikkei 225 slipped 499.38 points or 1.57% to 31,872.52 and Hang Seng declined 177.08 points or 1.02% to 17,434.79. On the other hand, Taiwan Weighted rose 43.38 points or 0.27% to 16,353.74, Straits Times added 6.37 points or 0.2% to 3,206.40 and Shanghai Composite was up by 5.44 points or 0.17% to 3,112.76.