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 TCS, ICICI Bank, Infosys, HCL and Sun Pharma companies' stocks. Meanwhile, broader indices were also trading in green with BSE Mid cap index and Small cap index gaining in the range of 0.35-.50%. Positive cues from the global markets supported domestic sentiments. Sentiments got boost as a slew of weak U.S. data spurred bets the Federal Reserve could move as soon as September to begin lowering borrowing costs. Trades took a note of report that S&P Global Ratings Director, Sovereign Ratings, YeeFarn Phua, said a sovereign rating upgrade for India in the next 24 months is possible if the central government is able to prudently manage its finances and bring down fiscal deficit to 4 per cent of GDP. 

On the global front, Asian markets were trading mostly higher following the mostly positive cues from global markets overnight, reflecting optimism about an interest rate cut by the US Fed in September following the release of weaker than expected US economic data. Back home, in the stock specific development,  GE T&D India jumped on bagging orders worth euro 90 million from France and Dubai.

The BSE Sensex is currently trading at 80181.64, up by 194.84 points or 0.24% after trading in a range of 80052.34 and 80392.64. 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 0.37%, while Small cap index up by 0.46%.

The top gaining sectoral indices on the BSE were IT up by 1.51%, TECK up by 1.15%, Healthcare up by 0.70%, Auto up by 0.63% and PSU up by 0.46%, while Bankex down by 0.22%, Consumer Durables down by 0.08%, Oil & Gas down by 0.06% and Basic Materials down by 0.01% were the top losing indices on BSE.

The top gainers on the Sensex were HCL up by 2.95%, TCS up by 2.03%, ICICI Bank up by 1.94%, Infosys up by 1.62% and Sun Pharma up by 1.26%. On the flip side, HDFC Bank down by 2.24%, Indusind Bank down by 1.05%, Ultratech Cement down by 0.98%, Bajaj Finance down by 0.65% and Axis Bank down by 0.47% were the top losers.

Meanwhile, the economic think tank National Council of Applied Economic Research (NCAER) in its research paper has said that poverty in India is estimated to have declined to 8.5 per cent in 2022-24 from 21.2 per cent in 2011-12, despite the challenges posed by the pandemic. 

The paper said economic growth and poverty decline create a dynamic climate that requires nimble social protection programmes. It also said traditional strategies designed to address chronic poverty in a large segment of society may be less effective as accidents of birth become less important than accidents of life. It noted that ensuring social protection systems keep up with the pace of social transformation will be a key challenge for India as it strives towards equitable development.

According to the paper, during an era of economic growth, when opportunities increase, the long-term determinants of poverty may decline while accidents of life associated with natural disasters, illness and death, and changes in occupation-specific opportunities may become more important. Accidents of birth are more likely to affect long-term chronic poverty, accidents of life may have a transitory effect on moving in and out of poverty. 

The CNX Nifty is currently trading at 24347.55, up by 61.05 points or 0.25% after trading in a range of 24300.35 and 24401.00. There were 30 stocks advancing against 20 stocks declining on the index.

The top gainers on Nifty were HCL up by 2.99%, ICICI Bank up by 1.99%, TCS up by 1.98%, Infosys up by 1.61% and HDFC Life Insurance up by 1.34%. On the flip side, HDFC Bank down by 2.19%, Adani Enterprises down by 1.30%, Indusind Bank down by 1.06%, Ultratech Cement down by 1.03% and Bajaj Finance down by 0.81% were the top losers.

Asian markets were trading mostly in green; Straits Times rose 17.56 points or 0.51% to 3,433.07, KOSPI increased 23.79 points or 0.85% to 2,817.80, Nikkei 225 surged 364.41 points or 0.9% to 40,945.17, Taiwan Weighted added 339.72 points or 1.47% to 23,512.15 and Jakarta Composite gained 44 points or 0.61% to 7,240.76. However, Hang Seng declined 16.21 points or 0.09% to 17,962.36 and Shanghai Composite weakened 18.67 points or 0.63% to 2,963.71.