Benchmarks shed some more gains after hitting fresh 30-month high in early deals

Investors at D-street continue to book profits post benchmarks hit new 30-month high level in early deals. Nevertheless, the trade continues to remain positive at Indian equity markets supported by strong rally in rate sensitive stocks. Stocks from Health Care and Oil & Gas counters too following the suit are aiding the uptrend of the bourses. A cautious start of European counterparts too, some extent has also encouraged some profit-booking at D-street. 30-share index, Sensex, trading over 25 points, is now oscillating above the crucial 20,200 level, after piercing through 20,300 level, while Nifty trading with gains of around 20 points is comfortably cruising past the crucial 6,150 level. Meanwhile, broader indices too have pared some gains.

On the global front, European stocks opened flat to lower on Thursday after setting five-year highs in the previous session, with disappointing earnings muting a recent rally that has been fuelled by monetary stimulus. Meanwhile, most stock markets in Asia edged up on Thursday after solid growth data from Japan improved sentiment, although Tokyo's Nikkei lagged.

Closer home, continued hopes of rate cut are mainly driving banking shares higher, which in turn are boosting the spirit of benchmark equity indices. Meanwhile, in stock-specific activity, select stocks Apollo Hospitals, GlaxoSmithkline Consumer Healthcare, Oil India and Wockhardt were trading higher ahead of inclusion in MSCI index. The overall market breadth on BSE is in favour of advances, which have thumped declines in the ratio of 952:947; while 116 shares remain unchanged.

The BSE Sensex is currently trading at 20,248.77, up by 35.81 points or 0.18% after trading in a range of 20,326.48 and 20,162.12. There were 17 stocks advancing against 13 declines on the index.

The broader indices too pared some gains; the BSE Mid cap and Small cap were trading up by 0.57% and 15% respectively.

The top gaining sectoral indices on the BSE were, Realty up by 1.83%, Oil & Gas up by 1.67%, Health Care up by 1.61%, Bankex up by 1.12% and Capital Goods up by 0.98% while, FMCG down by 1.63%, IT down by 1.12%, Teck down by 0.74%, Consumer Durables down 0.50% and Auto down by 0.15% were the top losers on the BSE.

The top gainers on the Sensex were Dr Reddys Lab up by 3.41%, Cipla up by 2.35%, Reliance up by 1.87% and ICICI Bank up by 1.56%.

On the flip side, ITC down by 2.45%, Infosys down by 1.35%, Jindal Steel down by 1.28%, TCS  down by 1.25%, and  Tata Motors was down by 0.83% were the top losers on the Sensex.

Meanwhile, mirroring the effect of the expanding Indo-US partnership in clean energy sector, India and America have managed to garner $1.7 billion from the private sector to finance clean energy initiatives. Further, an additional $125 million public-private joint research center is also being created that will be led by 95 government, research, and private organizations.

While attending the 4th US-India Energy Partnership Summit, Assistant Secretary of Central Asia Robert Blake said, both nations are expanding bilateral cooperation on clean energy through the US-India Partnership to Advance Clean Energy and has mobilized over $1.7 billion.          

Expressing that collaboration in this area can drive broader cooperation and economic connectivity, he said, the US will address India’s all energy issues, from the Ministry of New and Renewable Energy to the Ministry of External Affairs and the Prime Minister's Office. Further, clean energy cooperation will be a key part of the agenda, when the US-India Strategic Dialogue will be held this summer.

Meanwhile, India is an energy deficient nation and is seeking more collaboration with the United States in the renewable energy sector. India needs massive investment in the renewable energy sector which is estimated to be between $60-70 billion in the next five years. India-US energy dialogue focuses on critical areas of social development and both the countries are also developing a joint strategy of clean energy development.  

The CNX Nifty is currently trading at 6,166.65, up by 19.90 points or 0.32% after trading in a range of 6,187.30 and 6,128.25. There were 34 stocks advancing against 16 declines on the index.

The top gainers of the Nifty were JP Associates up by 4.75%, Dr Reddy's Laboratories up by 3.33%, IDFC up by 3.29%, Cipla up by 2.64% and Grasim up by 2.64%.

On the flip side, ITC down by 2.51%, NMDC and Jindal Steel were down by 1.52%, TCS down by 1.50%, and Infosys down by 1.36% were the major losers on the index.

Most of the Asian equity indices were trading in green; Shanghai Composite rose 1.06%, Hang Seng increased 0.22%, Jakarta Composite jumped 0.19%, Straits Times was up by 0.01%, KOSPI Composite 0.79% and Taiwan Weighted was up by 0.86%. On the flip side, KLSE Composite declined 0.75% and Nikkei 225 tumbled 0.39%.

European markets made a flattish start; with CAC 40 declining by 0.54%, DAX sliding by 0.17% and FTSE 100 gaining by 0.10%