Weak trade continues in Indian markets

A weak trade continued in Indian equity markets during early afternoon deals, with both Sensex and Nifty trading lower, impacted by selling at Consumer Durables and Metal counters along with negative cues from other Asian markets. Sentiments were pessimistic, amid a private report stating that India will struggle to create enough jobs for its growing workforce over the next decade even if the economy grows at a rapid pace of 7%. It suggested that the world’s most-populous nation will need more concerted steps to boost employment and skills. On the global front, Asian markets were trading mostly in red, even as Japan posted a current account surplus of 2.849 trillion yen in May. That exceeded expectations for a surplus of 2.07 trillion yen following the 2.52 trillion yen surplus in April. Imports were up 9.3 percent on year to 9.241 trillion yen, while exports jumped 12.1 percent to 8.132 trillion yen for a trade deficit of 1.107 trillion yen.

Back home, defence companies’ stocks were in watch, as Ministry of Defence said that India has achieved the highest-ever growth in indigenous defence production in value terms during Financial Year (FY) 2023-24, on the back of successful implementation of the policies and initiatives of the government. As per the data received from all Defence Public Sector undertakings (DPSUs), other PSUs manufacturing defence items and private companies, the value of defence production in India has gone up to a record-high figure i.e., Rs 1,26,887 crore, reflecting a growth of 16.7% over the defence production of the previous financial year. 

The BSE Sensex is currently trading at 79878.47, down by 118.13 points or 0.15% after trading in a range of 79731.83 and 80022.38. There were 10 stocks advancing against 20 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index fell by 0.17%, while Small cap index was down by 0.27%.

The top gaining sectoral indices on the BSE were FMCG up by 1.30%, PSU up by 0.61%, Energy up by 0.46%, Oil & Gas up by 0.35% and Capital Goods up by 0.25%, while Consumer Durables down by 1.80%, Metal down by 0.75%, Realty down by 0.67%, Basic Materials down by 0.65% and Power down by 0.62% were the top losing indices on BSE.

The top gainers on the Sensex were Hindustan Unilever up by 1.62%, ITC up by 1.53%, Nestle up by 1.19%, Reliance Industries up by 1.01% and Infosys up by 0.65%. On the flip side, Titan down by 3.88%, JSW Steel down by 1.64%, Adani Ports & SEZ down by 1.46%, Asian Paints down by 1.12% and Tata Steel down by 1.06% were the top losers.

Meanwhile, with an aim to accelerate research and development in quantum technologies, the Department of Telecommunications (DoT) has called for proposals, titled ‘Quantum Standardization and Testing Labs’, and has invited submissions from Indian academic institutions or R&D institutions, either individually or in partnership. The last date for submission of proposals is August 05, 2024.

These labs will serve as innovation hubs, uniting quantum technology developers, testing equipment manufacturers, and academic researchers to explore and harness the full potential of quantum technologies for the benefit of all citizens.

The initiative aligns with the Prime Minister’s vision for ‘Jai Anushandhan’, aiming to support research and development in telecom products and technologies that directly enhance the lives of Indian citizens. It represents a significant step towards making India self-reliant in quantum technologies and setting global benchmarks in this cutting-edge field. The effort not only supports the development of secure, reliable, and efficient quantum communication systems, but also aims at providing all Indian citizens with advanced technologies that improve everyday communication, data security, and overall digital experience.

These labs aim at easy accessibility to industry, startups, and local telecom stakeholders at a nominal fee, ensuring that the benefits of advanced quantum technologies are available to all. By fostering a comprehensive approach, this initiative supports the growth of indigenous quantum technology solutions, positioning India as a leader in global standards.  

The CNX Nifty is currently trading at 24278.65, down by 45.20 points or 0.19% after trading in a range of 24240.55 and 24338.85. There were 18 stocks advancing against 32 stocks declining on the index.

The top gainers on Nifty were ONGC up by 1.77%, Hindustan Unilever up by 1.62%, ITC up by 1.57%, Reliance Industries up by 1.12% and Nestle up by 1.09%. On the flip side, Titan down by 3.95%, Divi's Lab down by 3.22%, Shriram Finance down by 2.06%, Adani Enterprises down by 1.87% and BPCL down by 1.68% were the top losers.

Asian markets were trading mostly in red; Hang Seng declined 316.2 points or 1.78% to 17,483.41, Jakarta Composite plunged 17.79 points or 0.25% to 7,235.58, Shanghai Composite weakened 26.5 points or 0.9% to 2,923.43, Straits Times fell 9.46 points or 0.28% to 3,401.35, KOSPI dropped 4.47 points or 0.16% to 2,857.76 and Nikkei 225 slipped 131.67 points or 0.32% to 40,780.70, while Taiwan Weighted added 321.56 points or 1.35% to 23,878.15.