Bourses continues sluggish trade in late afternoon session

The Indian benchmarks continued their sluggish trade in late afternoon session following weak cues from European markets. Selling was witnessed in Metal, Realty and Oil & Gas sector’s stocks. Globally traders were worried after Federal Reserve Chair Jerome Powell suggested the US central bank is inclined to hold interest rates steady again at its next meeting while leaving open the possibility of a future hike if policymakers see further signs of resilient economic growth. Meanwhile, Reserve Bank Governor Shaktikanta Das stressed that the monetary policy must remain actively disinflationary to ensure that the decline in inflation from its peak of 7.44 per cent in July continues smoothly. 

On the global front, Asian markets were trading mostly in red as escalating Middle East tensions and a continued surge in oil prices clouded the outlook for global economic growth. European markets were trading lower reflecting a risk-averse environment amid concerns over rising bond yields and the escalation of the Israel-Hamas conflict. 

The BSE Sensex is currently trading at 65429.49, down by 199.75 points or 0.30% after trading in a range of 65308.61 and 65555.14. There were 8 stocks advancing against 22 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 1.03%, while Small cap index was down by 0.70%.

The only gaining sectoral indices on the BSE was Bankex up by 0.11%, while Oil & Gas down by 1.79%, Consumer Durables down by 1.72%, Realty down by 1.58%, Metal down by 1.55% and Telecom was down by 1.49% were the top losing indices on BSE.

The top gainers on the Sensex were Kotak Mahindra Bank up by 1.53%, Nestle up by 1.23%, Indusind Bank up by 1.21%, TCS up by 0.89% and HDFC Bank up by 0.57%. On the flip side, ITC down by 2.55%, Hindustan Unilever down by 2.25%, Tata Steel down by 1.91%, JSW Steel down by 1.84% and Larsen & Toubro down by 1.61% were the top losers.

Meanwhile, Minister of State (MoS) for Finance Bhagwat K Karad has urged private sector banks to push various financial inclusion programmes like Pradhan Mantri Jan Dhan Yojana, Pradhan Mantri Jeevan Jyoti Bima Yojana and Pradhan Mantri Suraksha Bima Yojana.  He also reviewed the progress of opening brick-and-mortar branches of banks in unbanked villages with a population of more than 3,000 people.

The minister also exhorted private sector banks to take innovative measures and intensify their efforts with enthusiasm for the promotion of various FI programmes of the government. The RBI has been requested to monitor on a regular basis the FI programme-related performance of private sector banks by the MoS Finance. The minister emphasised the importance of FI programmes in providing basic financial services to the last mile delivery.

He also exhorted banks to organise financial literacy camps so that awareness about various financial inclusion schemes like Jan Suraksha schemes and digital financial transactions, including UPI Lite, can be further promoted. He also reviewed the banking preparedness of the newly launched PM Vishwakarma scheme for supporting the traditional artisans and underscored the importance of swift bank account verification.

The CNX Nifty is currently trading at 19547.80, down by 76.90 points or 0.39% after trading in a range of 19518.70 and 19593.80. There were 12 stocks advancing against 38 stocks declining on the index.

The top gainers on Nifty were Kotak Mahindra Bank up by 1.56%, Indusind Bank up by 1.20%, Nestle up by 1.02%, TCS up by 0.85% and SBI Life up by 0.75%. On the flip side, ITC down by 2.51%, Divi's Lab down by 2.49%, BPCL down by 2.25%, Hindustan Unilever down by 2.18% and Cipla down by 1.91% were the top losers.

Asian markets were trading mostly in red; Nikkei 225 slipped 171.26 points or 0.55% to 31,259.36, Hang Seng declined 123.76 points or 0.72% to 17,172.13, KOSPI dropped 40.80 points or 1.72% to 2,375.00, Straits Times fell 22.51 points or 0.73% to 3,077.09, Shanghai Composite weakened 22.33 points or 0.75% to 2,983.06 and Taiwan Weighted was down by 12.01 points or 0.07% to 16,440.72. On the flip side, Jakarta Composite was up by 14.19 points or 0.21% to 6,860.62.

European markets were trading lower; UK’s FTSE 100 decreased 14.68 points or 0.2% to 7,484.85, France’s CAC fell 43.52 points or 0.63% to 6,877.85 and Germany’s DAX was down by 113.58 points or 0.75% to 14,931.65.