Key gauges extend gains in morning deals

Indian equity benchmarks extended gains in morning deals, led by gains in Telecom, Realty and Utilities stocks. Traders took support with exchange data showed Foreign Institutional Investors (FIIs) extended their buying spree for the third consecutive session, purchasing equities worth Rs 934 crore on Thursday. Some support also came with Commerce and Industry Minister Piyush Goyal’s statement that India is in trade dialogues with countries with whom it doesn't compete but can complement the economies involved. Sector-wise, telecom stocks remained in watch as Telecom Regulatory Authority of India (TRAI) in its latest report stated that telecom operators recorded a 12.44 per cent year-on-year increase in adjusted gross revenue (AGR) to Rs 79,226 crore in the quarter ended March 2025. On the global front, Asian markets are trading mixed as traders remain cautious amid escalation in hostilities between Israel and Iran after Israeli Prime Minister Benjamin Netanyahu ordered intensified strikes on Iran, targeting 'strategic' and 'government' sites in Tehran.

The BSE Sensex is currently trading at 82124.38, up by 762.51 points or 0.94% after trading in a range of 81323.20 and 82126.62. There were 25 stocks advancing against 5 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.56%, while Small cap index was up by 0.56%.

The top gaining sectoral indices on the BSE were Telecom up by 1.76%, Realty up by 1.73%, Utilities up by 1.48%, Power up by 1.18% and PSU up by 1.10%, while there were no losing sectoral indices on the BSE. 

The top gainers on the Sensex were Mahindra & Mahindra up by 2.53%, Power Grid Corporation up by 1.99%, Bharti Airtel up by 1.88%, Reliance Industries up by 1.74% and HDFC Bank up by 1.13%. On the flip side, Bajaj Finance down by 0.71%, Tech Mahindra down by 0.34%, Maruti Suzuki down by 0.14%, TCS down by 0.12% and Infosys down by 0.03% were the top losers.

Meanwhile, the Reserve Bank of India (RBI) has issued norms to provide a harmonised framework for financing of projects in infrastructure and non-infrastructure sectors by banks, NBFCs and other regulated entities. The Reserve Bank of India (Project Finance) Directions, 2025 lay down the revised regulatory treatment upon change in the 'date of commencement of commercial operations' (DCCO) of such projects in the backdrop of a review of the extant instructions and analysis of the risks inherent in such financing. The RBI said the directions entail the adoption of a principle-based regime for resolution of stress in project finance exposures, harmonised across regulated entities (REs). It also entails rationalisation of permissible DCCO extensions with an overall ceiling of three years and two years for infrastructure and non-infrastructure sectors, respectively. For the purpose of application of prudential guidelines contained in the latest norms, projects have been broadly divided into three phases -- design phase, construction phase, and operational phase.

Moreover, RBI said in under-construction projects where the aggregate exposure of the lenders is up to Rs 1,500 crore, no individual lender shall have an exposure which is less than 10 per cent of the aggregate exposure. For projects where aggregate exposure of all lenders is more than Rs 1,500 crore, the exposure floor for an individual lender shall be 5 per cent or Rs 150 crore, whichever is higher. Further, it said a lender shall ensure that all applicable approvals/clearances for implementing/constructing the project are obtained before financial closure. An indicative list of such pre-requisite approvals/clearances includes environmental clearance, legal clearance, regulatory clearances, as applicable to the project. On resolution of stress, it said a lender shall monitor the performance of the project and any buildup of stress on an ongoing basis and shall be expected to initiate a resolution plan well in advance.

It stated occurrence of a credit event with any of the lenders during the construction phase, shall trigger a collective resolution in terms of the prudential framework. It added the reference to 'default' in the prudential framework shall be read as 'credit event' for the purpose of project finance accounts, unless specified otherwise. Besides. It said that a project finance account downgraded to NPA for non-compliance can be upgraded only after the account performs satisfactorily post actual DCCO. It also said a lender may recognise income on accrual basis in respect of project finance exposures which are classified as 'Standard'. For NPAs, income recognition shall be as per extant instructions. The Reserve Bank of India (Project Finance) Directions, 2025 shall come into force with effect from October 1, 2025.

The CNX Nifty is currently trading at 25008.95, up by 215.70 points or 0.87% after trading in a range of 24783.65 and 25018.70. There were 40 stocks advancing against 10 stocks declining on the index.

The top gainers on Nifty were Mahindra & Mahindra up by 2.33%, JIO Financial Services up by 2.02%, Power Grid Corporation up by 1.87%, Bharti Airtel up by 1.82% and HDFC Life Insurance up by 1.59%. On the flip side, Hero MotoCorp down by 2.26%, Bajaj Auto down by 2.09%, Bajaj Finance down by 0.78%, Wipro down by 0.47% and Tech Mahindra down by 0.39% were the top losers.

Asian markets are trading mixed; Shanghai Composite strengthened 2.72 points or 0.08% to 3,364.83, Hang Seng advanced 266.85 points or 1.14% to 23,504.59, KOSPI increased 32.57 points or 1.08% to 3,010.31 and Straits Times rose 3.7 points or 0.09% to 3,897.88.

On the flip side, Nikkei 225 slipped 3.96 points or 0.01% to 38,484.38, Taiwan Weighted lost 40.3 points or 0.18% to 21,963.20 and Jakarta Composite plunged 50.4 points or 0.73% to 6,918.24.