Domestic indices remain in green in early noon session

Domestic equity markets remained in green and were trading slightly higher in early noon session on account of buying in stocks of Reliance Industries, Maruti Suzuki, Indusind Bank and Axis Bank. Meanwhile, broader indices outperformed their larger peers with BSE Mid cap index and Small cap index gaining in the range of 0.70-0.85%. Positive cues from the global markets supported domestic sentiments. Traders were getting also encouragement as Finance Minister Nirmala Sitharaman said India will become the third largest economy by 2027-28, with a GDP of over $5 trillion. Sentiments were further supported by Indian rupee appreciating 9 paise to 82.94 against the dollar at the Interbank Foreign Exchange on increased selling of the US currency by exporters and banks. On the sectoral front, traders were seen pilling up position in Auto, Consumer Durables, Consumer Disc, Energy and Basic Materials, while selling was witnessed in Capital Goods, Industrials, IT and TECK. 

On the global front, Asian markets were trading higher following positive cues from the US markets overnight. Sentiments got boost after the Bank of Korea held interest rates. The Bank of Korea left its main lending rate unchanged at 3.50% for the eighth time in a row. Back home, in the stock specific development, Polycab India dropped as the income tax department, in a fresh development, searched Polycab India premises on January 10. As per Ministry of Finance, the officials reportedly raided 50 premises of Polycab India in Pune, Aurangabad, Mumbai and Nashik in Maharashtra. 

The BSE Sensex is currently trading at 71772.67, up by 114.96 points or 0.16% after trading in a range of 71689.22 and 71999.47. There were 18 stocks advancing against 12 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.74%, while Small cap index up by 0.82%.

The top gaining sectoral indices on the BSE were Auto up by 1.27%, Consumer Durables up by 1.27%, Consumer Disc up by 0.93%, Energy up by 0.77% and Basic Materials up by 0.51%, while Capital Goods down by 0.78%, Industrials down by 0.22%, IT down by 0.11% and TECK down by 0.09% were the top losing indices on BSE.

The top gainers on the Sensex were Indusind Bank up by 1.33%, Maruti Suzuki up by 1.14%, Tech Mahindra up by 1.06%, Axis Bank up by 1.05% and Reliance Industries up by 1.02%. On the flip side, Infosys down by 1.12%, Nestle down by 0.89%, JSW Steel down by 0.62%, Larsen & Toubro down by 0.57% and Wipro down by 0.45% were the top losers.

Meanwhile, Foreign Secretary Vinay Kwatra has said that India and the United Arab Emirates (UAE) have signed a deal to explore the establishment of grid connectivity between the two countries. He said one of the pacts is on renewable energy, which also includes green hydrogen and solar.

Kwatra said there is an inherent thought of possible grid connectivity between India and the UAE in that space. He also said other pacts signed are in sectors such as logistics, healthcare innovations and one which involves developing food parks. 

Meanwhile, both the countries are looking for newer propositions from industry and business to further enhance their partnership. Earlier, India signed a similar pact with Saudi Arabia in September 2023. Such connectivity will help India send power to as far as Europe. 

The CNX Nifty is currently trading at 21662.55, up by 43.85 points or 0.20% after trading in a range of 21630.40 and 21726.50. There were 32 stocks advancing against 18 stocks declining on the index.

The top gainers on Nifty were Hero MotoCorp up by 3.62%, Bajaj Auto up by 3.22%, Eicher Motors up by 1.68%, Indusind Bank up by 1.39% and Tech Mahindra up by 1.12%. On the flip side, Dr. Reddy's Lab down by 2.03%, Infosys down by 1.15%, Nestle down by 0.91%, SBI Life down by 0.80% and JSW Steel down by 0.76% were the top losers.

All Asian markets were trading higher; Hang Seng advanced 296.27 points or 1.81% to 16,393.55, Nikkei 225 surged 608.14 points or 1.74% to 35,049.86, Taiwan Weighted added 79.69 points or 0.45% to 17,545.32, Straits Times rose 19.54 points or 0.61% to 3,199.50, KOSPI increased 11.02 points or 0.43% to 2,553.00, Shanghai Composite strengthened 8.6 points or 0.3% to 2,886.30 and Jakarta Composite gained 34.13 points or 0.47% to 7,261.43.