Markets continue to trade in green in late morning deals

Indian equity markets continued to trade in green in late morning deals on account of buying in Mahindra & Mahindra, JSW Steel, NTPC and Titan. Meanwhile, broader indices outperformed their large peers with BSE Mid cap index and Small cap index gaining in the range of 0.75-1.35%. Traders were getting some encouragement as the union ministry of ports, shipping, and waterways said that India and Iran signed a 10-year long-term bilateral contract for the operation of Chabahar Port, a vital cog in India’s trade plans with central Asia and parts of Europe. Under the agreement – signed between India Port Global Limited (IPGL) and the Ports and Maritime Organization (PMO) of Iran – India will develop the strategic port for 10 years.  Further, support also came in as the government data showed that retail inflation eased to an 11-month low of 4.83 per cent in April aided by softening core and fuel inflation. On the BSE sectoral front, traders were seen pilling up position in Utilities, Realty, Power, Metal and Industrials, while selling was witnessed in Healthcare, TECK, FMCG, IT and Bankex. 

On the global front, Asian markets were trading mostly in red as traders remained cautious ahead of key US inflation data, including producer and consumer price inflation, due later in the day that could offer more clarity on the US Fed's interest rate trajectory. Back home , in the stock specific development, Cochin Shipyard (CSL) surged after the company has bagged a large order from a European client, for the design and construction of a hybrid service operation vessel (Hybrid SOV) with an option for two more such vessels. 

The BSE Sensex is currently trading at 72990.92, up by 214.79 points or 0.30% after trading in a range of 72683.99 and 73047.25. 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 0.75%, while Small cap index up by 1.32%.

The top gaining sectoral indices on the BSE were Utilities up by 1.91%, Realty up by 1.69%, Power up by 1.52%, Metal up by 1.46% and Industrials up by 1.42%, while Healthcare down by 0.14%, TECK down by 0.08%, FMCG down by 0.08%, IT down by 0.07% and Bankex down by 0.00% were the top losing indices on BSE.

The top gainers on the Sensex were Mahindra & Mahindra up by 3.70%, JSW Steel up by 1.85%, NTPC up by 1.50%, Titan up by 1.29% and Power Grid up by 1.21%. On the flip side, Nestle down by 1.16%, Axis Bank down by 1.06%, TCS down by 0.89%, Bajaj Finance down by 0.53% and ICICI Bank down by 0.31% were the top losers.

Meanwhile, to safeguard the consumer interest, Nidhi Khare, Secretary at the Consumer Affairs Ministry has said that the government is considering to make it mandatory for e-commerce companies to comply with quality norms for consumer reviews after a voluntary push failed to effectively curb fake reviews. She said the government issued the new quality norms for e-tailers a year ago, prohibiting them from publishing paid reviews and demanding disclosure of such promotional content.

The Secretary said it's been more than one year that the voluntary standard on 'online reviews' was notified. Some entities claim that they are complying with it. However, fake reviews are still getting published. She added that the ministry has scheduled a meeting with e-commerce firms and consumer organisations on May 15 to discuss the proposed move.

The ministry's Bureau of Indian Standards (BIS) that formulated and issued the new standard for ‘Online Consumer Reviews’ in November 2022, barred publishing of reviews purchased and/or written by individuals employed for that purpose by the supplier or third party concerned. With no chance to physically inspect products, consumers heavily rely on online reviews while making purchases. Misleading reviews and ratings can lead them to purchase goods or services based on incorrect information.

The CNX Nifty is currently trading at 22162.40, up by 58.35 points or 0.26% after trading in a range of 22081.25 and 22189.80. There were 31 stocks advancing against 19 stocks declining on the index.

The top gainers on Nifty were Mahindra & Mahindra up by 3.96%, Adani Enterprises up by 2.79%, Hero MotoCorp up by 2.60%, Shriram Finance up by 1.86% and JSW Steel up by 1.73%. On the flip side, Cipla down by 3.11%, Britannia down by 1.80%, Nestle down by 1.32%, Axis Bank down by 1.06% and TCS down by 0.93% were the top losers.

Asian markets were trading mostly in red; Hang Seng declined 23.7 points or 0.12% to 19,091.36, Jakarta Composite plunged 16.29 points or 0.23% to 7,082.97, Shanghai Composite weakened 5 points or 0.16% to 3,143.02 and Straits Times fell 1.6 points or 0.05% to 3,302.06. However, KOSPI increased 4.73 points or 0.17% to 2,731.94, Nikkei 225 surged 138.41 points or 0.36% to 38,317.87 and Taiwan Weighted added 129.31 points or 0.62% to 20,987.02.