Key gauges continue to trade flat in morning deals

Indian equity benchmarks continued to trade flat in morning deals amid soaring tensions in the Middle East. Traders took a note of rating agency ICRA’s statement that India's Consumer Price Index (CPI) is expected to be above 3.5 per cent, while the Wholesale Price Index (WPI) will be over 1.8 per cent for the current fiscal (FY26). It said India’s real GDP (Gross Domestic Product) growth for 2025-26 will be 6.2 per cent, down from 6.5 per cent in the preceding financial year. Real Gross Value Added (GVA) growth is also expected to ease to 6 per cent from 6.4 per cent. However, some support came with exchange data showed Foreign Institutional Investors (FIIs) bought equities worth Rs 890.93 crore on Wednesday. Domestic Institutional Investors (DIIs) also bought equities worth Rs 1,091.34 crore. On the global front, Asian markets are trading lower as the U.S. Federal Reserve flagged stagflation concerns and the conflict between Israel and Iran entered its seventh day.

The BSE Sensex is currently trading at 81492.78, up by 48.12 points or 0.06% after trading in a range of 81191.04 and 81583.94. There were 16 stocks advancing against 14 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index fell 0.53%, while Small cap index was down by 0.35%.

The top gaining sectoral indices on the BSE were Capital Goods up by 0.43%, Auto up by 0.37%, Power up by 0.28%, Consumer Disc up by 0.15% and Industrials up by 0.13%, while IT down by 1.12%, Metal down by 0.72%, PSU down by 0.69%, Oil & Gas down by 0.69% and TECK down by 0.64% were the top losing indices on BSE.

The top gainers on the Sensex were Eternal up by 2.15%, Titan Company up by 0.99%, Kotak Mahindra Bank up by 0.92%, Mahindra & Mahindra up by 0.65% and Bajaj Finserv up by 0.64%. On the flip side, Tech Mahindra down by 2.38%, Adani Ports &SEZ down by 1.97%, SBI down by 1.11%, Infosys down by 0.91% and HCL Technologies down by 0.74% were the top losers.

Meanwhile, rating agency ICRA has said that India's Consumer Price Index (CPI) is expected to be above 3.5 per cent, while the Wholesale Price Index (WPI) will be over 1.8 per cent for the current fiscal (FY26). It said India’s real GDP (Gross Domestic Product) growth for 2025-26 will be 6.2 per cent, down from 6.5 per cent in the preceding financial year. Real Gross Value Added (GVA) growth is also expected to ease to 6 per cent from 6.4 per cent. 

It has forecast the fiscal deficit to be 4.4 per cent of GDP for 2025-26, with the current account deficit projected at 1.2 per cent to 1.3 per cent during the same period. According to it, rural demand is likely to remain upbeat, aided by Rabi cash flows and above-normal reservoir levels. It also said that the combination of the sizeable income tax relief in the Union budget for 2025-26, rate cuts leading to lower EMIs and moderation in food inflation is expected to boost household disposable incomes. It said that the tepidness in India’s merchandise exports is expected to continue in the near term.

Moreover, it said services exports are likely to outpace merchandise export growth. The Centre’s capital expenditure is budgeted to rise by 10.1 per cent in 2025-26, which will boost investment activities. However, private capital expenditure may gain some traction on the face of a muted outlook for exports and uncertainty around trade policies.

The CNX Nifty is currently trading at 24833.55, up by 21.50 points or 0.09% after trading in a range of 24738.10 and 24863.10. There were 27 stocks advancing against 23 stocks declining on the index.

The top gainers on Nifty were Tata Consumer Product up by 1.73%, Eternal up by 1.49%, Eicher Motors up by 1.31%, Titan Company up by 1.21% and Grasim Industries up by 0.99%. On the flip side, Tech Mahindra down by 2.43%, Adani Ports &SEZ down by 1.90%, SBI down by 1.14%, Indusind Bank down by 1.09% and Infosys down by 0.98% were the top losers.

All Asian markets are trading lower; Nikkei 225 slipped 311.74 points or 0.8% to 38,573.41, Taiwan Weighted lost 323.99 points or 1.45% to 22,032.74, Hang Seng declined 479.21 points or 2.06% to 23,231.48, KOSPI dropped 1.54 points or 0.05% to 2,970.65, Straits Times fell 11.05 points or 0.28% to 3,909.76, Jakarta Composite plunged 92.85 points or 1.31% to 7,014.94 and Shanghai Composite weakened 29.03 points or 0.86% to 3,359.78.