Markets remain in green in late morning deals

Indian equity markets continued to trade in green in late morning deals on account of buying in Larsen & Toubro, Tata Steel, Tata Motors and Maruti Suzuki companies’ stocks. Meanwhile, broader indices outperformed their large peers with BSE Mid cap index and Small cap index gaining in the range of 0.90-1.00%. Sentiments got boost as foreign institutional investors (FIIs) extended their buying on the second day on June 10 as they bought Indian equities worth Rs 2,572.38 crore. Traders took note of private report that India is expected to sustain a potential growth rate of 6.5 per cent -7 per cent year-on-year (Y-o-Y) between 2025-26 and 2029-30. On the BSE sectoral front, traders were seen pilling up position in Capital Goods, Industrials, Realty, PSU and Auto, while selling was witnessed only in Banking. 

On the global front, Asian markets were trading mostly in red ahead of several key events later this week, including the Federal Reserve's monetary policy meeting. Back home, Reliance Power surged as the company has become a debt-free company on a standalone basis, successfully clearing all outstanding dues to lenders.

The BSE Sensex is currently trading at 76642.96, up by 152.88 points or 0.20% after trading in a range of 76296.44 and 76766.59. There were 20 stocks advancing against 10 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.91%, while Small cap index up by 0.98%.

The top gaining sectoral indices on the BSE were Capital Goods up by 1.62%, Industrials up by 1.54%, Realty up by 1.27%, PSU up by 1.06% and Auto up by 0.93%, while Bankex down by 0.02% was the only losing index on BSE.

The top gainers on the Sensex were Larsen & Toubro up by 1.81%, Tata Steel up by 1.28%, Tata Motors up by 1.22%, Tech Mahindra up by 0.99% and Maruti Suzuki up by 0.94%. On the flip side, Asian Paints down by 0.96%, Kotak Mahindra Bank down by 0.83%, ITC down by 0.23%, Nestle down by 0.20% and Indusind Bank down by 0.20% were the top losers.

Meanwhile, Former NITI Aayog Vice Chairman Rajiv Kumar has said that prime Minister Narendra Modi led-NDA government in its third term must tackle the problem of unemployment in the country, especially in the unorganised sector and in small and medium enterprises (SMEs). He also emphasised that the government now must finalise the four labour codes as it has been delayed beyond expectations. According to a recent International Labour Organisation (ILO) report, the share of unemployed youths in India's total unemployed population was nearly 83 per cent in 2022. Therefore, he said the large corporations have done very well and, and also those who are highly skilled have done well. But at the lower end, people are without jobs and firms are struggling to expand their capacity.  

According to Kumar, one of the important things about generating employment is one to further ease the conditions of work for the SMEs. There is still a lot of regulatory and compliance burden that SMEs face. So they have to be tackled along with the state governments. On the four labour codes he said ‘it has been a long time since they have been in the making, and I think they should be now finalised and made into statutes.’

Former NITI Aayog Vice Chairman also stressed on giving more attention on skilling of youth, especially to apprenticeship development, saying schooling and the education system in India is lagging behind the demand. He noted ‘our apprenticeship program needs a far bigger push than we have now and access to high quality education should be ensured because ultimately, these are the factors which will determine the employability and employment generation potential for our economy’.

The CNX Nifty is currently trading at 23306.95, up by 47.75 points or 0.21% after trading in a range of 23206.65 and 23348.00. There were 32 stocks advancing against 18 stocks declining on the index.

The top gainers on Nifty were ONGC up by 3.51%, Larsen & Toubro up by 1.81%, Hero MotoCorp up by 1.71%, Britannia up by 1.32% and Tata Steel up by 1.23%. On the flip side, BPCL down by 0.98%, Asian Paints down by 0.98%, Kotak Mahindra Bank down by 0.88%, Dr. Reddy's Lab down by 0.87% and Nestle down by 0.35% were the top losers.

Asian markets were trading mostly in red; Hang Seng declined 261.87 points or 1.45% to 18,105.08, Jakarta Composite plunged 11.85 points or 0.17% to 6,909.70, Shanghai Composite weakened 28.52 points or 0.94% to 3,022.76, Straits Times fell 11.86 points or 0.36% to 3,310.22 and Taiwan Weighted lost 66.26 points or 0.3% to 21,792.12. However, KOSPI increased 7.94 points or 0.29% to 2,709.11 and Nikkei 225 surged 54.28 points or 0.14% to 39,092.44.