Indian equity benchmark -- Nifty -- ended Wednesday’s trading session in a positive terrain ahead of F&O monthly expiry and buying intensify in IT sector’s stocks. Index made a positive start, as traders took support with the Reserve Bank stating that it will conduct a USD/INR buy-sell swap auction of $5 billion (about Rs 43,000 crore) on January 31, as part of its over Rs 1.5 lakh crore liquidity injection into the banking system. Some support also came as Agriculture Miniter Shivraj Singh Chouhan reviewed the progress of sowing of rabi crops especially wheat, and called for ‘dynamic’ procurement through government agencies to ensure maximum benefits to the farmers.
In afternoon session, index extended its gains to trade near day’s high point, as sentiments were upbeat with the Central Board of Indirect Taxes and Customs (CBIC) stating that Goods and Services Tax (GST) will not be applicable on penal charges levied by banks and non-banking finance companies (NBFCs). The CBIC through a circular has also clarified that GST will not be levied on transactions of up to Rs 2,000 facilitated by payment aggregators on online platforms. In last leg of trade, index ended with gains of 205.85 points amid US Federal Reserve interest rate decision later in the day.
All the sectorial indices ended in green. The top gainers from the F&O segment were KPIT Technologies, Laurus Labs and CG Power and Industrial Solutions. On the other hand, the top losers were JSW Energy, Bosch and Ambuja Cements. In the index option segment, maximum OI continues to be seen in the 23900 - 24100 calls and 22900 - 23100 puts indicating this is the trading range expectation.
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