Post Session: Quick Review

Indian equity benchmarks ended Wednesday’s trading session flat with negative bias as investors remained cautious due to U.S. tariff-related uncertainties. After making a negative start, soon markets turned positive as traders were optimistic after a meeting between Russian and U.S. officials raised hopes of an end to the three-year war in Ukraine. Indices erased most of its gains to trade near neutral lines in noon deals pressured by index heavyweights amid mixed global cues. 

Some of the important factors in today’s trade:

US Fed FOMC minutes: Sentiments were down beat ahead of the Federal Open Market Committee (FOMC) minutes for the January policy meeting, which will be released tonight. Market participants are eyeing the FOMC minutes to get cues about the monetary policy outlook. 

FIIs turn net buyers on Tuesday: Traders paid no attentions toward the Foreign Institutional Investors (FIIs) turned buyers on Tuesday after unabated selling. They bought equities worth Rs 4,786.56 crore, according to exchange data.

India, Qatar to double trade to $28 billion: Traders took note of report that India and Qatar have agreed to double bilateral trade to $28 billion over the next five years and announced elevation of their relationship to the level of strategic partnership as Prime Minster Narendra Modi held talks with Amir Sheikh Tamim Bin Hamad Al-Thani.

Global front: Most of the European markets were trading in red, as U.S. President Donald Trump continued his aggressive stance on trade, reiterating that America will charge reciprocal tariff to trading partners which would be 'no more, no less' levied by other countries. Most of the Asian markets ended in mixed, amid lingering tariff concerns and tense Russia-Ukraine negotiations.

The BSE Sensex ended at 75939.18, down by 28.21 points or 0.04% after trading in a range of 75581.38 and 76338.58. There were 13 stocks advancing against 17 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 1.30%, while Small cap index up by 2.41%. (Provisional)

The top gaining sectoral indices on the BSE were Industrials up by 2.59%, Capital Goods up by 2.19%, Realty up by 1.62%, PSU up by 1.51% and Metal up by 1.41%, while TECK down by 1.31%, IT down by 1.21% and Healthcare down by 0.31% were the few losing indices on BSE. (Provisional)

The top gainers on the Sensex were Zomato up by 4.86%, Larsen & Toubro up by 1.77%, Axis Bank up by 1.54%, ICICI Bank up by 1.43% and Kotak Mahindra Bank up by 1.09%. On the flip side, TCS down by 2.28%, Infosys down by 2.21%, Hindustan Unilever down by 1.98%, Bharti Airtel down by 1.66% and Power Grid down by 1.35% were the top losers. (Provisional)

Meanwhile, in order to aid states affected by natural disasters, the High-Level Committee (HLC) has approved Rs 1554.99 crore of additional Central assistance under the National Disaster Response Fund (NDRF) to five States, affected by flood, flash flood, landslides, cyclonic storm during year 2024. 

The HLC approved central assistance of Rs 1554.99 crore to five States from NDRF, subject to an adjustment of 50% of the opening balance for the year available in the State Disaster Response Fund (SDRF). Out of the total amount of Rs 1554.99 crore, Rs 608.08 crore has been approved for Andhra Pradesh, Rs 170.99 crore for Nagaland, Rs 255.24 crore for Odisha, Rs 231.75 crore for Telangana and Rs 288.93 crore for Tripura.

This additional assistance is over and above the funds released by the Centre to the States in the State Disaster Response Fund, already placed at the disposal of the States. During the financial year 2024-25, the Central Government has released Rs 18,322.80 crore to 27 States in SDRF and Rs 4,808.30 crore from NDRF to 18 States, Rs 2208.55 crore from the State Disaster Mitigation Fund (SDMF) to 14 States and Rs 719.72 crore from National Disaster Mitigation Fund (NDMF) to 08 States.

The CNX Nifty ended at 22932.90, down by 12.40 points or 0.05% after trading in a range of 22814.85 and 23049.95. There were 25 stocks advancing against 24 stocks declining on the index, while one stock remained unchanged. (Provisional)

The top gainers on Nifty were Bharat Electronics up by 3.60%, Hindalco up by 2.43%, Eicher Motors up by 1.93%, Axis Bank up by 1.73% and Larsen & Toubro up by 1.73%. On the flip side, Dr. Reddy's Lab down by 2.63%, TCS down by 2.30%, Infosys down by 2.22%, Hindustan Unilever down by 1.99% and Adani Enterprises down by 1.78% were the top losers. (Provisional)

European markets were trading mostly in red; France’s CAC fell 10.85 points or 0.13% to 8,195.71 and UK’s FTSE 100 decreased 3.21 points or 0.04% to 8,763.52, while Germany’s DAX gained 22.3 points or 0.1% to 22,866.80.

Asian markets settled mostly down on Wednesday amid concerns over US President Donald Trump's tariff plans and Russia-Ukraine negotiations, while market participants are awaiting US Federal Reserve's January meeting minutes for more cues on Fed's interest rate trajectory. Japanese shares declined after the release of mixed economic data, with core machinery orders, a key indicator of capital spending, unexpectedly declined in December, while exports rose 7.2% year-on-year in January. Although, Chinese shares gained, despite comments from Trump that the US may impose tariffs of around 25% on pharmaceutical, automobile, and semiconductor imports.