Domestic indices remain in red in late morning deals

Indian equity markets remained in red in late morning deals on account of selling in Tata Steel, Indusind Bank and Reliance Industries companies’ stocks. Traders were cautious after Federal Reserve Chair Jerome Powell reiterated that the central bank is not in a hurry to begin lowering interest rates. Powell pointed to higher inflation data over January and February as a reason for the Fed to be cautious but acknowledged it is too soon to say whether the recent readings represent more than just a bump. Meanwhile, traders remained on sidelines ahead of the RBI monetary policy outcome on Friday. On the BSE sectoral front, traders were seen pilling up position in Utilities, Power, IT, Bankex and TECK, while selling was witnessed in Oil & Gas, Energy, Auto, PSU and Healthcare. 

On the global front, Asian markets were trading higher following mostly positive cues from the US markets overnight. Back home, in the stock specific development, HDFC Bank rallied after releasing its update for the fourth quarter ended March. HDFC Bank has reported growth of around 55.4% in its gross advances to around Rs 25,080 billion as of March 31, 2024 (Q4FY24). 

The BSE Sensex is currently trading at 73853.05, down by 23.77 points or 0.03% after trading in a range of 73485.12 and 74501.73. There were 8 stocks advancing against 22 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.05%, while Small cap index up by 0.30%.

The top gaining sectoral indices on the BSE were Utilities up by 1.13%, Power up by 0.86%, IT up by 0.42%, Bankex up by 0.39% and TECK up by 0.19%, while Oil & Gas down by 1.33%, Energy down by 0.94%, Auto down by 0.55%, PSU down by 0.44% and Healthcare down by 0.42% were the top losing indices on BSE.

The top gainers on the Sensex were HDFC Bank up by 2.46%, NTPC up by 2.28%, TCS up by 0.91%, Axis Bank up by 0.59% and Kotak Mahindra Bank up by 0.48%. On the flip side, Indusind Bank down by 1.75%, Sun Pharma down by 1.44%, Tata Steel down by 1.16%, JSW Steel down by 1.12% and Reliance Industries down by 1.08% were the top losers.

Meanwhile, Union Minister Pralhad Joshi has said that captive and commercial coal blocks produced 147 million tonne (MT) coal in financial year 2023-24, registering a year-on-year growth of 27 per cent. The mines had produced 116 MT coal during 2022-23. 

The minister stated that out of 147.2 MT, power sector captive mines produced around 121.3 MT, non-power sector mines produced 8.4 MT and the production from commercial mines was 17.5 MT. The production from power sector captive mines in FY24 rose 19 per cent as compared to the previous year. In non-power captive mines, the production growth was 63 per cent year-on-year. 

He further noted that output from commercial coal mines registered the highest year-on-year growth of 93 per cent in FY24. Dispatch from the mines during FY24 was 143 MT as against 110 MT in FY23. A total of 9 new coal mines commenced production during FY24 which includes 4 captive mines and 5 commercial mines. He added that the increased coal production not only reinforces India's energy security but also fosters economic growth and industrial development across sectors. 

The CNX Nifty is currently trading at 22407.55, down by 27.10 points or 0.12% after trading in a range of 22303.80 and 22619.00. There were 13 stocks advancing against 37 stocks declining on the index.

The top gainers on Nifty were HDFC Bank up by 2.51%, NTPC up by 2.41%, Divi's Lab up by 1.26%, Coal India up by 1.07% and TCS up by 0.76%. On the flip side, Hero MotoCorp down by 1.97%, Shriram Finance down by 1.86%, ONGC down by 1.80%, BPCL down by 1.58% and Indusind Bank down by 1.58% were the top losers.

Asian markets were trading higher; Nikkei 225 surged 400.22 points or 1% to 39,852.07, Straits Times rose 19.62 points or 0.61% to 3,242.28, KOSPI increased 27.60 points or 1.01% to 2,734.57 and Jakarta Composite gained 60.15 points or 0.83% to 7,226.99.