Benchmarks manage to keep heads above water in morning deals

Indian equity benchmarks managed to keep their heads above water in morning deals, led by gains in Oil & Gas, Consumer Durables and Healthcare stocks. Traders took support with research firm ICRA’s report stating that the Indian economy is likely to have grown 7 percent in the second quarter of the current financial year (Q2FY24), higher than the RBI's projections on the back of robust investment activities. Some support also came with the Finance Ministry in the Monthly Economic Review report stating that the current financial year (FY24) should conclude as projected with a strong growth performance and macroeconomic stability as more than half of this fiscal has witnessed positive developments in the economy. However, gains were restricted amid unabated foreign fund outflows from the equity markets. Provisional data from the National Stock Exchange showed that foreign institutional investors net offloaded shares worth Rs 455.59 crore on November 21. On the global front, Asian markets are trading mostly in red ahead of minutes from the U.S. Federal Reserve's most recent policy meeting as expectations grow the central bank will start to cut rates in the early portion of next year.

The BSE Sensex is currently trading at 65995.71, up by 64.94 points or 0.10% after trading in a range of 65835.54 and 66057.32. There were 21 stocks advancing against 9 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index rose 0.09%, while Small cap index was down by 0.28%.

The top gaining sectoral indices on the BSE were Oil & Gas up by 0.76%, Consumer Durables up by 0.73%, Healthcare up by 0.64%, Energy up by 0.54% and Utilities up by 0.36%, while Realty down by 0.93%, Industrials down by 0.34%, Bankex down by 0.33%, Capital Goods down by 0.31% and Basic Materials down by 0.22% were the top losing indices on BSE.

The top gainers on the Sensex were Power Grid Corporation up by 1.12%, Titan Company up by 0.94%, Sun Pharma up by 0.80%, Tech Mahindra up by 0.73% and HCL Technologies up by 0.67%. On the flip side, Indusind Bank down by 0.98%, Kotak Mahindra Bank down by 0.69%, ICICI Bank down by 0.64%, Mahindra & Mahindra down by 0.56% and Ultratech Cement down by 0.28% were the top losers.

Meanwhile, the data from the Department for Promotion of Industry and Internal Trade (DPIIT) has showed that foreign direct investment (FDI) equity inflows in India declined 24 per cent to $20.48 billion in April-September 2023 (first six months of current financial year), dragged by lower inflows in computer hardware and software, telecom, auto and pharma. FDI equity inflows stood at $26.91 billion during the first six months of the last fiscal.

Further, it showed that the total FDI - which includes equity inflows, reinvested earnings and other capital - contracted 15.5 per cent to $32.9 billion during the period under review against $38.94 billion in April-June 2022. 

During the six months of this fiscal, FDI equity inflows decreased from major countries, including Singapore, Mauritius, the US, the UK, and UAE. Besides, it highlighted State-wise, though Maharashtra received the highest inflow of $7.95 billion during the period, it was down compared to $8 billion in the same period last year. Similarly, overseas inflows in Karnataka plunged to $2.84 billion in April-September 2023 from $5.32 billion in the same period last year.

The CNX Nifty is currently trading at 19806.70, up by 23.30 points or 0.12% after trading in a range of 19767.15 and 19825.55. There were 34 stocks advancing against 16 stocks declining on the index.

The top gainers on Nifty were BPCL up by 3.14%, Cipla up by 1.66%, Dr. Reddy's Lab up by 1.27%, Power Grid Corporation up by 1.12% and Hero MotoCorp up by 1.10%. On the flip side, Adani Enterprises down by 1.07%, Hindalco down by 1.02%, Indusind Bank down by 0.97%, Eicher Motors down by 0.93% and Kotak Mahindra Bank down by 0.72% were the top losers.

Asian markets are trading mostly in red; Jakarta Composite plunged 32.68 points or 0.47% to 6,929.11,  Shanghai Composite weakened 8.77 points or 0.29% to 3,059.16, Taiwan Weighted lost 135.2 points or 0.78% to 17,281.50 and Hang Seng declined 13.71 points or 0.08% to 17,720.18.

On the flip side, Nikkei 225 surged 138.33 points or 0.41% to 33,492.47, Straits Times rose 10.41 points or 0.34% to 3,106.75 and KOSPI increased 1.87 points or 0.07% to 2,512.29.