Post Session: Quick Review

Indian equity benchmarks ended in positive terrain on Thursday, buoyed by positive global cues. Soon after making a slightly positive opening markets gained momentum led by buying in blue-chip stock and fresh foreign fund inflows. Gauges extended gains in noon deals to touch intraday highs. However, markets witnessed some profit booking in later part of the day but managed to trade in green to end with over half a percent gains ahead of RBI’s policy outcome. RBI is likely to reduce benchmark rate by 25 basis points for the third consecutive time, aiming to support economic growth amid global uncertainties. 

Some of the important factors in today’s trade:

India Inc well positioned to handle tariff, geopolitical challenges: Some support came as Moody's Investors Service and its local arm ICRA Ratings have said that Indian enterprises are well positioned to handle the impact of tariffs and geopolitical tensions.

Goyal to meet Italian businesses, leaders to discuss trade, investments: Traders took note of report that Commerce and Industry Minister Piyush Goyal started his two-day visit to Italy where he will meet leaders and businesses to discuss ways to boost trade and investments. 

Fresh foreign fund inflows: Foreign Institutional Investors (FIIs) turned buyers on Wednesday. They bought equities worth Rs 1,076.18 crore, according to exchange data

Global front: European markets were trading in green ahead of an expected rate cut from the European Central Bank later in the day. Asian markets ended mostly in green as Singapore's retail sales increased for the second straight month in April. Retail sales rose 0.3 percent year-on-year in April, following an upwardly revised 1.3 percent rebound in March. 

The BSE Sensex ended at 81442.04, up by 443.79 points or 0.55% after trading in a range of 80983.73 and 81911.13. There were 20 stocks advancing against 10 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 0.39%, while Small cap index up by 0.65%. (Provisional)

The top gaining sectoral indices on the BSE were Realty up by 1.79%, Healthcare up by 0.88%, Consumer Disc up by 0.73%, Industrials up by 0.60% and Basic Materials up by 0.51%, while Auto down by 0.05% and Oil & Gas down by 0.02% were the few losing indices on BSE. (Provisional)

The top gainers on the Sensex were Eternal up by 4.54%, Trent up by 3.07%, Power Grid Corp up by 1.99%, ICICI Bank up by 1.64% and Adani Ports and Special Economic Zone up by 1.33%. On the flip side, Axis Bank down by 0.94%, Bajaj Finserv down by 0.70%, Bajaj Finance down by 0.67%, Kotak Mahindra Bank down by 0.51% and Asian Paints down by 0.27% were the top losers. (Provisional)

Meanwhile, the Indian Stainless Steel Development Association (ISSDA) President Rajamani Krishnamurti has said that the demand for stainless steel in the country is expected to grow in the range of 7-8 per cent Year-on-Year (Y-o-Y) over the next three years. It said the overall consumption of stainless steel reached 4.8 million tonnes in FY25, registering a Y-O-Y growth of about 8 per cent. He added that the per capita steel consumption in India stands at around 3.4 kg as against the world average of over 6 kg. 

Krishnamurti said low consumption as against the world average provides a great opportunity to the domestic industry as the government's focus remains on infrastructure development in the country. The areas where opportunities are at the upcoming railways, tunnel projects, ports, airports, roads, highways, and other similar projects. The government has significantly boosted its capex. The capex to GDP ratio surged to 3.3 per cent for FY24. 

He said the construction market in India is expected to reach $1.42 trillion by 2027, expanding at a CAGR of 17.26 per cent up to 2027. Green hydrogen is also a new area where stainless steel will find application. Talking on India's position, he said the country is the second largest consumer of stainless steel in the world, and its melt production is the third largest in the world after China and Indonesia. On the properties of stainless steel, he said, it is safe for infrastructure projects because of its strength, zero maintenance and life cycle cost, and it is recyclable.

The CNX Nifty ended at 24750.90, up by 130.70 points or 0.53% after trading in a range of 24613.10 and 24899.85. There were 34 stocks advancing against 15 stocks declining on the index, while one stock remained unchanged. (Provisional)

The top gainers on Nifty were Eternal up by 4.52%, Trent up by 3.15%, Dr. Reddy's Lab up by 3.05%, Power Grid Corp up by 2.01% and ICICI Bank up by 1.75%. On the flip side, Indusind Bank down by 1.36%, Tata Consumer Products down by 1.07%, Axis Bank down by 0.94%, Bajaj Finserv down by 0.66% and Bajaj Finance down by 0.58% were the top losers. (Provisional) 

European markets were trading higher; France’s CAC rose 38.21 points or 0.49% to 7,842.88, Germany’s DAX gained 93.47 points or 0.39% to 24,369.95 and UK’s FTSE 100 increased 16.2 points or 0.18% to 8,817.49.