Domestic indices trade flat in late morning deals

Domestic equity indices were trading flat in late morning deals as investors remained cautious following India’s strikes on nine terror camps across the border and the Line of Control (LoC). Further, traders were also cautious as S&P Global Ratings has said that the hostilities between India and Pakistan heighten risks to the credit metrics of both countries, and any escalation in clashes would put downward pressure on sovereign credit support. Besides, cautiousness also prevailed in markets as the US Federal Reserve has kept interest rates steady at 4.25–4.5%, choosing caution amid inflation and job market concerns. Federal Reserve Chair Jerome Powell warned that if the significant tariff hikes already announced remain at current levels, they could lead to a slowdown in economic growth and an uptick in long-term inflation.

On the global front, Asian markets were trading mostly in green following positive cues from the US markets over night. Back home, on the BSE sectoral front, traders were seen pilling up positions in Industrials, Consumer Durables, Telecom, Capital Goods and IT, while selling was witnessed in FMCG, Oil & Gas, Metal, Healthcare and Auto. 

The BSE Sensex is currently trading at 80820.03, up by 73.25 points or 0.09% after trading in a range of 80657.30 and 80927.99. There were 16 stocks advancing against 14 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.39%, while Small cap index up by 1.31%.

The top gaining sectoral indices on the BSE were Industrials up by 1.00%, Consumer Durables up by 0.88%, Telecom up by 0.87%, Capital Goods up by 0.69% and IT up by 0.62%, while FMCG down by 0.58%, Oil & Gas down by 0.34%, Metal down by 0.29%, Healthcare down by 0.29% and Auto down by 0.18% were the top losing indices on BSE.

The top gainers on the Sensex were Tata Motors up by 2.59%, Adani Ports up by 1.85%, Titan up by 1.74%, Kotak Mahindra Bank up by 1.17% and Tech Mahindra up by 1.03%. On the flip side, Eternal down by 2.43%, Maruti Suzuki down by 1.47%, Mahindra & Mahindra down by 1.24%, ITC down by 1.06% and Tata Steel down by 0.82% were the top losers.

Meanwhile, Apparel Export Promotion Council (AEPC) Chairman Sudhir Sekhri has said that the free trade agreement (FTA) with the UK will help double India's ready-made garment exports to Britain in the next three years, despite of demand contraction in major economies owed to Russia-Ukraine conflict, Israel-Hamas war, American reciprocal tariff and Chinese belligerence, creating uncertainty and adversely disrupting the global trade. He added that 'this deal has come as a boon, removing immediately tariff disadvantage of 9.6 per cent and making the country competitive in the UK market, which will make the Made in India ready-made garment (RMG) cheaper on UK shelves and will keep country’s product at par with some of major competitors who enjoyed duty-free access in the UK market'.  

India is the fourth largest supplier of garments with a 6.1 per cent share of the total RMG import of the UK, while China being the top supplier followed by Bangladesh and Turkey. During 2024-25, country’s exports to the UK grew 7.8 per cent to $1.4 billion. The top products imported by the UK from India includes t-shirts, singlets and other vests of cotton, knitted or crocheted; women's or girls' dresses of cotton; babies' garments and clothing accessories of cotton, knitted or crocheted. Emphasizing the significance of the deal he added that the deal offers a huge opportunity, coupled with the complementary nature of the two economies and synergy across sectors which will help in rapid growth and expansion of apparel business by providing a competitive edge over competing countries.

AEPC Vice Chairman A Sakthivel said that the FTA is expected to pave the way for long-term growth, attract investment, and create a more favourable business environment for textile stakeholders in both countries. He added that 'by unlocking new export opportunities, reducing trade barriers, and enabling greater access to the premium UK market, this agreement promises to empower Indian weavers, manufacturers, and exporters across the value chain'.

The CNX Nifty is currently trading at 24408.30, down by 6.10 points or 0.02% after trading in a range of 24373.45 and 24447.25. There were 20 stocks advancing against 30 stocks declining on the index.

The top gainers on Nifty were Tata Motors up by 2.63%, Adani Ports up by 1.93%, Titan up by 1.77%, Kotak Mahindra Bank up by 1.16% and Tech Mahindra up by 1.12%. On the flip side, Tata Consumer down by 2.72%, Eternal down by 2.35%, Maruti Suzuki down by 1.50%, Cipla down by 1.44% and Apollo Hospital down by 1.34% were the top losers.

Asian markets were trading mostly in green; Hang Seng advanced 116.47 points or 0.51% to 22,808.35, Shanghai Composite strengthened 4.71 points or 0.14% to 3,347.38, KOSPI increased 10.44 points or 0.4% to 2,584.24, Nikkei 225 surged 191.16 points or 0.52% to 36,970.82 and Taiwan Weighted added 134.4 points or 0.65% to 20,680.89. However, Jakarta Composite plunged 36.55 points or 0.53% to 6,889.68 and Straits Times fell 9.37 points or 0.24% to 3,856.00.