Domestic indices erase all gains in morning deals; HDFC bank drops over 2%

Domestic equity markets erased all their early gains and were trading in red in morning deals on account of selling in HDFC Bank, Asian Paints, Indusind Bank and Hindustan Unilever companies' stocks. Meanwhile, broader indices were trading deeply in red with BSE Mid cap index and Small cap index falling in the range of 0.95-1.10%. Traders were cautious as Fitch Group said South Asian economies would be most affected amid rising hostilities in the Red Sea due to Houthi attacks. They will experience the largest relative increase in maritime trade distance, shipping time, and costs as the crucial trade route remains inaccessible. It added that India’s economic forecast faces a significant risk in the event of a prolonged spell of disruptions.

On the global front, Asian markets were trading mostly in green following positive cues from the US markets overnight.  Traders were getting some encouragement as the Bank of Japan kept its monetary policy unchanged in its first monetary policy meeting of the year. Back home, traders were seen pilling up position in Healthcare, TECK, IT, Telecom and Power, while selling was witnessed in Realty, Oil & Gas, PSU, Metal and Energy. 

The BSE Sensex is currently trading at 71288.43, down by 135.22 points or 0.19% after trading in a range of 71283.20 and 72039.20. There were 16 stocks advancing against 14 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index was down by 0.98%, while Small cap index down by 1.06%.

The top gaining sectoral indices on the BSE were Healthcare up by 1.84%, TECK up by 1.28%, IT up by 0.86%, Telecom up by 0.68% and Power up by 0.21%, while Realty down by 2.11%, Oil & Gas down by 1.60%, PSU down by 1.58%, Metal down by 1.43% and Energy down by 1.40% were the top losing indices on BSE.

The top gainers on the Sensex were Sun Pharma up by 4.55%, Bharti Airtel up by 3.19%, Power Grid up by 2.42%, ICICI Bank up by 2.41% and Bajaj Finserv up by 1.21%. On the flip side, HDFC Bank down by 2.42%, Asian Paints down by 1.95%, Indusind Bank down by 1.78%, Hindustan Unilever down by 1.62% and SBI down by 1.58% were the top losers.

Meanwhile, secretary in the Department for Promotion of Industry and Internal Trade (DPIIT) Rajesh Kumar Singh has said the vision to make India a developed nation by 2047 includes a major shift towards electric vehicles, supported by tax incentives, production linked incentive schemes, and the mandatory provision of charging infrastructure. 

Singh said that the development and adoption of Electric Vehicles (EVs) play a pivotal role in India's transition to a low-carbon economy. He said that a shift in the modal share of freight from road to rail will be an effective lever to decarbonise the freight transport sector.

He added that the government's authorisation of 100 per cent Foreign Direct Investment (FDI) for renewable power projects underscores the nation's dedication to sustainable development. Viksit Bharat @2047 is the vision to make India a developed nation by 2047, the 100th year of independence. The vision encompasses various aspects of development, including economic growth, social progress, environmental sustainability, and good governance.

The CNX Nifty is currently trading at 21541.30, down by 30.50 points or 0.14% after trading in a range of 21536.35 and 21750.25. There were 23 stocks advancing against 27 stocks declining on the index.

The top gainers on Nifty were Cipla up by 6.98%, Sun Pharma up by 4.59%, Bharti Airtel up by 3.12%, Power Grid up by 2.55% and ICICI Bank up by 2.41%. On the flip side, ONGC down by 2.56%, HDFC Bank down by 2.46%, Coal India down by 2.33%, BPCL down by 2.20% and Britannia down by 2.06% were the top losers.

Asian markets were trading mostly in green; Hang Seng advanced 368.72 points or 2.41% to 15,329.90, Nikkei 225 surged 41.31 points or 0.11% to 36,588.26, Taiwan Weighted added 19.96 points or 0.11% to 17,835.06, Straits Times rose 1.74 points or 0.06% to 3,150.86 and KOSPI increased 11.13 points or 0.45% to 2,475.48. However, Shanghai Composite weakened 9.6 points or 0.35% to 2,746.74 and Jakarta Composite plunged 23.82 points or 0.33% to 7,224.11.