Markets trade in deep red in late afternoon session

Indian equity markets traded in deep red in late afternoon session amid monthly F&O Expiry. Traders were worried as foreign direct investment (FDI) equity inflows in India declined 3.49 per cent to USD 44.42 billion in 2023-24 due to lower infusion in sectors such as services, computer hardware and software, telecom, auto and pharma. FDI inflows stood at USD 46.03 billion during 2022-23. Inflows during January-March FY24, however, rose by 33.4 per cent to USD 12.38 billion as against USD 9.28 billion in the year-ago period. 

On the global front, all Asian markets were trading lower as the dollar and U.S. bond yields continued to surge on bets that global interest rates will stay higher for longer. Traders also looked ahead to the release of key inflation readings from the euro zone and the U.S. for additional clues on the future path of monetary policy. European markets were trading higher supported by healthcare stocks, as investors await more economic data from the euro zone that will provide insights in the European Central Bank's interest rate path.

The BSE Sensex is currently trading at 73878.95, down by 623.95 points or 0.84% after trading in a range of 73853.68 and 74493.55. There were 4 stocks advancing against 26 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index declined 1.12%, while Small cap index was down by 1.19%.

The only gaining sectoral index on the BSE was Bankex up by 0.59%, while Metal down by 2.55%, Consumer Durables down by 2.03%, Basic Materials down by 1.93%, IT down by 1.89% and TECK was down by 1.51% were the top losing indices on BSE.

The top gainers on the Sensex were ICICI Bank up by 1.17%, Axis Bank up by 0.81%, HDFC Bank up by 0.66% and SBI up by 0.61%. On the flip side, Tata Steel down by 5.08%, Tech Mahindra down by 3.67%, Power Grid down by 3.42%, Bajaj Finserv down by 3.25% and Titan Company down by 3.20% were the top losers.

Meanwhile, Joint Secretary, Ministry of Commerce and Industry, Department for Promotion of Industry and Internal Trade (DPIIT), Surendra Ahirwar, has asserted that the cold chain sector in India, a vital component of the logistics ecosystem, is set to witness significant growth and innovation in the coming years. He noted that the cold chain sector currently has a turnover of about Rs 2 lakh crore and is growing at a rapid rate of over 10 per cent. He said ‘as per one estimate, we are going to reach a Rs 5 lakh crore limit, maybe by 2030 or 2032.’ 

Ahirwar expressed hope that there will be an increase in investment by the private sector into the development of infrastructure, to match the rise in public expenditure. He said ‘there is increased investment in the public expenditure and development of infrastructure has been growing at more than 10 per cent annually and this time we have a huge capex allocated for infrastructure development to the extent of Rs 11 lakh crore. We hope that there will be a kind of increased private investment in the development of infrastructure, procurement and adoption of efficient equipment or the transport vehicles for cold chain sector as well.’

He emphasised the importance of the industry's various initiatives, including innovations, infrastructure creation, and partnerships between industry and academia. He also highlighted the government's efforts to create an enabling environment for innovation and efficiency in the cold chain sector. 

The CNX Nifty is currently trading at 22488.60, down by 216.10 points or 0.95% after trading in a range of 22482.40 and 22705.75. There were 5 stocks advancing against 45 stocks declining on the index.

The top gainers on Nifty were ICICI Bank up by 1.18%, Axis Bank up by 0.80%, SBI up by 0.69%, HDFC Bank up by 0.59% and Kotak Mahindra Bank up by 0.04%. On the flip side, Tata Steel down by 5.19%, Tech Mahindra down by 3.77%, Titan Company down by 3.38%, Shriram Finance down by 3.36% and Power Grid down by 3.35% were the top losers.

All Asian markets were trading lower; Nikkei 225 slipped 502.74 points or 1.32% to 38,054.13, Taiwan Weighted lost 298.02 points or 1.39% to 21,364.48, Hang Seng declined 246.82 points or 1.35% to 18,230.19, Jakarta Composite plunged 67.66 points or 0.96% to 7,072.57, KOSPI dropped 41.86 points or 1.59% to 2,635.44, Shanghai Composite weakened 19.34 points or 0.63% to 3,091.68 and Straits Times was down by 1 points or 0.03% to 3,322.20.

European markets were trading higher; UK’s FTSE 100 increased 19.67 points or 0.24% to 8,202.74, France’s CAC rose 19.89 points or 0.25% to 7,954.92 and Germany’s DAX was up by 11.07 points or 0.06% to 18,484.36.