Benchmarks remain in green in morning deals

Indian equity benchmarks remained in green in morning deals, tracking gains from Asian peers and driven by index heavyweights Ultratech Cement, Hindustan Unilever and Tata Steel. Traders took some support as S&P Global Market Intelligence stated that the Indian government's capital spending, recovery in private consumption and investment are expected to help carry forward the economic momentum post-elections. Some support also came as a global financial institution revised its GDP forecast for India by 10 basis points to 6.7 percent expecting a sustained growth momentum with additional fiscal space on account of a bumper dividend transfer from the central bank. It also expects the Reserve Bank of India to go for a rate cut in the October-December quarter as it forecast an uptick in core goods inflation due to a rise in manufacturing costs. However, gains remain capped as traders remained on sidelines ahead of upcoming exit poll results, India’s gross domestic product (GDP) data for Q4FY24 and May F&O expiry.  On the global front, Asian markets are trading mostly in green despite escalating geopolitical tensions in the Middle East and lingering uncertainty surrounding U.S. rate cuts.

The BSE Sensex is currently trading at 75506.02, up by 115.52 points or 0.15% after trading in a range of 75347.05 and 75585.40. There were 20 stocks advancing against 10 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index fell 0.11%, while Small cap index was down by 0.43%.

The top gaining sectoral indices on the BSE were Metal up by 0.42%, Basic Materials up by 0.38%, Healthcare up by 0.30%, Consumer Durables up by 0.25% and FMCG up by 0.21%, while Realty down by 1.09%, Power down by 0.70%, PSU down by 0.52%, Utilities down by 0.50% and Industrials down by 0.41% were the top losing indices on BSE.

The top gainers on the Sensex were Ultratech Cement up by 0.92%, Hindustan Unilever up by 0.69%, Tata Steel up by 0.68%, Wipro up by 0.67% and JSW Steel up by 0.64%. On the flip side, Tech Mahindra down by 0.78%, Power Grid Corporation down by 0.60%, Sun Pharma down by 0.46%, Tata Motors down by 0.35% and Bharti Airtel down by 0.34% were the top losers.

Meanwhile, Finance Minister Nirmala Sitharaman said that the Modi government has reshaped the Union budget in the last 10 years from a mere record of expenditure to a strategic blueprint for equitable distribution, and stressed that the pace of reforms will continue to make India a developed nation. She said the government will continue to maximise the value and impact of hard-earned taxpayer money, ensuring it is put to the best possible use for the benefit of all. 

The minister said the Modi government has prioritised transparency in its budgeting practices and numbers. Countries with transparent budgets are often viewed favourably by international bodies such as the IMF and the World Bank. This can lead to improved global trust. She said the last decade has witnessed a substantial improvement in the sanctity and credibility of the Union Budget, leaving past constraints and archaic practices behind.

Sitharaman said ‘our government has reshaped the budget from a mere record of expenditures into a strategic blueprint for equitable development. We make judicious & efficient use of every rupee collected from our taxpayers and give them a transparent picture of public finances.’ She said the government has taken various reforms to strengthen and bring transparency to the budgetary process and practice. She noted that the Union budgets under the Modi government are characterised by fiscal prudence, transparency, and inclusiveness, ensuring investments in social development and infrastructure. She added that the Modi government is committed to harnessing cutting-edge technology, enhancing transparency, and pursuing ongoing reforms to lay a strong foundation for a Viksit Bharat.

The CNX Nifty is currently trading at 22983.35, up by 50.90 points or 0.22% after trading in a range of 22926.35 and 22998.55. There were 32 stocks advancing against 18 stocks declining on the index.

The top gainers on Nifty were Divi's Lab up by 2.86%, Hindalco up by 1.99%, HDFC Life Insurance up by 1.73%, Dr. Reddy's Lab up by 1.52% and SBI Life Insurance up by 1.26%. On the flip side, Adani Ports &SEZ down by 0.74%, Power Grid Corporation down by 0.61%, Tech Mahindra down by 0.52%, Coal India down by 0.50% and Bajaj Auto down by 0.46% were the top losers.

Asian markets are trading mostly in green; Hang Seng advanced 64.58 points or 0.34% to 18,891.93, Jakarta Composite gained 81.37 points or 1.12% to 7,257.79, Shanghai Composite strengthened 1.63 points or 0.05% to 3,125.67, Straits Times rose 10.74 points or 0.32% to 3,329.19 and Taiwan Weighted added 118.03 points or 0.54% to 21,921.80.

On the flip side, KOSPI dropped 2.46 points or 0.09% to 2,720.53 and Nikkei 225 slipped 50.14 points or 0.13% to 38,849.88.