Domestic indices add more points in late morning deals

Domestic equity indices added more points and were trading higher with gains of around half a percent in late morning deals as market participants indulged in enlarging their positions. Hectic buying in Larsen & Toubro, SBI, ICICI Bank, Indusind Bank and Bajaj Finserv companies’ stocks helped the markets to magnify their gains. Meanwhile, broader indices were also trading in green with BSE Mid cap index and Small cap index gaining in the range of 0.85-1.30%. Positive cues from the global markets supported domestic sentiments. Sentiments remained upbeat as Fitch Ratings said India's post-election budget confirms that the new administration remains committed to reducing the fiscal deficit for FY25 and FY26, despite demands of the coalition government. On the BSE sectoral front, traders were seen pilling up positions in Realty, Capital Goods, Industrials, PSU and Oil & Gas, while selling was witnessed in TECK, FMCG, Consumer Durables, IT and Healthcare. 

On the global front, Asian markets were trading in green after a key U.S. inflation report raised hopes for an interest rate cut. Back home, in the stock specific development, Bandhan Bank surged after the bank reported strong Q1FY25 earnings.

The BSE Sensex is currently trading at 81782.62, up by 449.90 points or 0.55% after trading in a range of 81479.14 and 81800.17. 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 0.87%, while Small cap index up by 1.28%.

The top gaining sectoral indices on the BSE were Realty up by 2.21%, Capital Goods up by 2.20%, Industrials up by 1.94%, PSU up by 1.78% and Oil & Gas up by 1.65%, while TECK down by 0.27%, FMCG down by 0.18%, Consumer Durables down by 0.17%, IT down by 0.14% and Healthcare down by 0.02% were the top losing indices on BSE.

The top gainers on the Sensex were Larsen & Toubro up by 2.85%, SBI up by 2.57%, ICICI Bank up by 2.41%, Indusind Bank up by 2.32% and Bajaj Finserv up by 1.11%. On the flip side, Titan down by 1.78%, Tech Mahindra down by 1.54%, Bharti Airtel down by 1.53%, Power Grid down by 1.25% and Sun Pharma down by 1.01% were the top losers.

Meanwhile, Commerce and Industry Minister Piyush Goyal has said that removal of angel tax, which was introduced in 2012 by the UPA government, for all classes of investors will help startups attract investments. He noted that angel tax (income tax at 30 per cent rate) was imposed on funding raised by unlisted companies, or startups, if their valuation exceeded the company's fair market value.

The minister also said that the customs duty reduction for gold and silver from 15 per cent to 6 per cent will not only help small artisans but also promote the country's gems and jewellery exports. Further, he said the budget has announced the setting up of 12 industrial townships in the country. He said that one of these will be in Maharashtra and it will help create jobs and a strong ecosystem for the industry and trade. 

He also said the budget has also announced steps to promote diamond trade. India is a world leader in the diamond cutting and polishing industry, which employs a large number of skilled workers. The budget has announced that India would provide for safe harbour rates for foreign mining companies selling raw diamonds in the country.  

The CNX Nifty is currently trading at 24959.30, up by 124.45 points or 0.50% after trading in a range of 24866.45 and 24980.45. There were 30 stocks advancing against 20 stocks declining on the index.

The top gainers on Nifty were Larsen & Toubro up by 2.66%, SBI up by 2.62%, ICICI Bank up by 2.47%, BPCL up by 2.45% and Indusind Bank up by 2.32%. On the flip side, Tata Consumer down by 2.31%, Titan down by 1.78%, Cipla down by 1.71%, Tech Mahindra down by 1.60% and Bharti Airtel down by 1.52% were the top losers.

All Asian markets were trading higher; Hang Seng advanced 304.44 points or 1.76% to 17,325.75, Jakarta Composite gained 17.48 points or 0.24% to 7,305.65, Shanghai Composite strengthened 3.43 points or 0.12% to 2,894.33, Straits Times rose 23.23 points or 0.67% to 3,449.70, KOSPI increased 35.88 points or 1.3% to 2,767.78, Nikkei 225 surged 878.47 points or 2.28% to 38,545.88 and Taiwan Weighted added 30.58 points or 0.14% to 22,149.79.