Sensex, Nifty remain near neutral lines

Indian equity benchmarks remained near neutral lines during early afternoon deals, with both Sensex and Nifty holding marginal gains, amid mixed cues from other Asian markets. Investors are looking ahead to the release of key U.S. inflation data and comments from Federal Reserve officials this week for clarity on the Fed's rate path. However, sentiments remained positive as S&P Global Market Intelligence said that the new government will likely focus on job creation and addressing farmers’ concerns in its first 100 days. It also said ‘India’s recent parliamentary elections have resulted in Prime Minister Narendra Modi’s continued leadership, although the Bharatiya Janata Party (BJP) has lost its majority and now relies on coalition parties for stability and policy passage.’

On the global front, Asian markets were trading mixed as Singapore's consumer price inflation increased more-than-expected in May to the highest level in three months amid higher private transport charges. The data published by the Monetary Authority of Singapore and the Ministry of Trade and Industry showed that the consumer price index, or CPI, climbed 3.1 percent year-over-year in May, faster than the 2.7 percent stable increase in the previous month.

The broader indices were trading in green; the BSE Mid cap index rose by 0.38%, while Small cap index was up by 0.52%.

The top gaining sectoral indices on the BSE were Capital Goods up by 1.43%, Power up by 1.35%, Industrials up by 1.34%, Consumer Durables up by 0.86% and Auto up by 0.84%, while Metal down by 0.72%, Realty down by 0.38%, Energy down by 0.23%, Basic Materials down by 0.20% and Oil & Gas down by 0.13% were the top losing indices on BSE.

The top gainers on the Sensex were Sun Pharma up by 2.15%, Power Grid up by 1.96%, Mahindra & Mahindra up by 1.46%, Nestle up by 1.12% and TCS up by 1.03%. On the flip side, Indusind Bank down by 2.40%, Adani Ports & SEZ down by 1.97%, Tata Steel down by 1.03%, Bajaj Finance down by 0.85% and HCL Tech. down by 0.74% were the top losers.

Meanwhile, in efforts to make the country self-sufficient in coal sector by significantly reducing foreign imports, Ministry of Coal has launched the 10th tranche of commercial coal mine auctions and a total of 67 coal mines are offered. The Ministry of Coal has taken a series of reforms to ensure that the coal sector grows at a rapid pace and is able to meet the country’s energy needs.

For 10th Tranche also, mines falling under protected areas, wildlife sanctuaries, critical habitats, having forest cover greater than 40%, heavily built-up area, etc. have been excluded. The block boundaries of some of the coal mines where there was presence of dense habitation, high green cover or critical infrastructure, etc. have been revised to improve the attractiveness of the coal mines.

The commencement of sale of tender document started from June 21, 2024. Details of the mines, auction terms, timelines, etc. can be accessed on MSTC auction platform and website of Ministry of Coal. The auction shall be held online through a transparent two stage process, based on Percentage Revenue Share.

The CNX Nifty is currently trading at 23522.10, up by 21.00 points or 0.09% after trading in a range of 23350.00 and 23558.10. There were 28 stocks advancing against 22 stocks declining on the index.

The top gainers on Nifty were Sun Pharma up by 2.10%, Power Grid up by 1.83%, Apollo Hospital up by 1.79%, Bajaj Auto up by 1.47% and Mahindra & Mahindra up by 1.41%. On the flip side, Indusind Bank down by 2.42%, Adani Ports & SEZ down by 1.96%, Cipla down by 1.79%, Coal India down by 1.28% and Tata Steel down by 1.12% were the top losers.

Asian markets were trading mixed; Hang Seng declined 152.94 points or 0.85% to 17,875.58, Shanghai Composite weakened 35.04 points or 1.17% to 2,963.10, KOSPI dropped 19.53 points or 0.71% to 2,764.73 and Taiwan Weighted lost 439.69 points or 1.93% to 22,813.70, while Jakarta Composite gained 24.66 points or 0.36% to 6,904.64, Straits Times rose 2.19 points or 0.07% to 3,308.21 and Nikkei 225 surged 208.18 points or 0.54% to 38,804.65.