After witnessing highly volatile session, Indian equity benchmark -- Nifty -- ended Tuesday’s trading session on a flat note with minor gains. After making a cautious start, soon index traded on higher note, as traders took some support with Commerce and Industry Minister Piyush Goyal’s statement that many developed and developing countries including Bangladesh, Sri Lanka, and nations of the Gulf region are keen to start trade in rupee with India as it would help cut transaction costs for businesses. He expressed confidence that the development is going to be a ‘very game-changing’ dimension to India's international trade. However, index trimmed gains and turned volatile during the session, as traders were cautious ahead of crucial U.S. inflation data due out later in the day that could influence the timing of the Federal Reserve's pivot to monetary easing.
Index managed to trade in green for the most part of the session, as traders got relief, amid reports that in a bid to boost ease of doing business, the government aims to further bring down the time taken for voluntary closure of companies to three months, in line with international standards. The time taken for voluntary closure has already come down to 110 days since the Ministry of Corporate Affairs (MCA) operationalised Centralised Processing for Accelerated Corporate Exit (C-PACE) on May 1, 2023. However, in last leg of trade, index failed to hold its gains and ended on a flat note with a positive bias.
Most of the sectorial indices ended in red except IT, Financial services and Private Bank stocks. The top gainers from the F&O segment were Balkrishna Industries, IndiaMART InterMESH and Mahanagar Gas. On the other hand, the top losers DLF, Hindustan Copper and National Aluminium Company. In the index option segment, maximum OI continues to be seen in the 22900 - 23100 calls and 20900 - 21100 puts indicating this is the trading range expectation.
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