Markets trade flat with positive bias in early deals; TCS Q2 result eyed

Indian equity benchmarks made flat-to-positive start on Thursday and were trading near neutral lines in early deals as investors brace for the September-quarter (Q2) earnings season, with TCS, India's largest IT services company, scheduled to report result later in the day. Foreign fund inflows also aided domestic sentiments. Foreign institutional investors (FIIs) were net buyers of shares to the extent of Rs 81 crore on Wednesday. Some support came as Union Commerce and Industry Minister Piyush Goyal said no power on earth can stop India from becoming a developed nation by 2047 and that the government is taking a series of initiatives to promote the domestic economy, build infrastructure and expand international trade. 

On the global front, Asian markets were trading mostly higher, as China returned from holidays. Traders are seeking clues about potential policy changes after the Golden Week results indicated that consumer spending in China remains weak. Meanwhile, South Korea is closed for Hangul Day. Back home, Telecom stocks were in focus as Communications Minister Jyotiraditya Scindia said that India's ambitions extend well beyond 5G, with a target of securing 10 per cent of 6G patents, while satellite communications are poised for exponential growth, with the market set to triple by 2033.

The BSE Sensex is currently trading at 81807.54, up by 33.88 points or 0.04% after trading in a range of 81742.68 and 82009.32. There were 16 stocks advancing against 14 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index rose 0.11%, while Small cap index was down by 0.13%.

The top gaining sectoral indices on the BSE were Metal up by 1.29%, Healthcare up by 0.87%, Basic Materials up by 0.61%, Oil & Gas up by 0.38% and Energy up by 0.37%, while Auto down by 0.50%, Power down by 0.40%, Utilities down by 0.39%, FMCG down by 0.16% and Bankex down by 0.15% were the top losing indices on BSE.

The top gainers on the Sensex were Tata Steel up by 2.73%, HCL Technologies up by 1.65%, Sun Pharma up by 1.31%, Eternal up by 1.17% and Larsen & Toubro up by 0.61%. On the flip side, Tata Motors down by 1.58%, Power Grid down by 0.77%, Bajaj Finance down by 0.62%, HDFC Bank down by 0.51% and Maruti Suzuki down by 0.44% were the top losers.

Meanwhile, expressing optimism over India’s economic growth, Commerce and Industry Minister Piyush Goyal has said no power on earth can stop India from becoming a developed nation by 2047, with the government taking a series of initiatives to promote the domestic economy, build infrastructure and expand international trade. He also said currently, the world looks upon India with trust and confidence as the country guarantees high-quality talent, skill, goods and services, and a commitment to timely delivery. He added from being a participant to now being a principal architect of the fintech world, India leads global initiatives.

He further said ‘when India aspires to be a $30, 32 or 35 trillion economy by 2047, our friends from the finance world can quickly do the math and you will see that achieving this is very much in the realm of possibility...something that we are all collectively committed to achieve’. He said the government, on its part is taking massive steps to promote the domestic economy built upon both the pillars of infrastructure development and consumption-led growth.

He said ‘government is committed to expanding international trade, so much so that despite all the global turbulence that we read about, we see, every single day, we hear about it across the world’. He added the country currently is at an inflexion point, with strong macroeconomic fundamentals, expanding trade relations with developed countries around the world, focusing on empowering customers with high-quality, and low taxes. On India's export performance, he said the growth in outward shipments (goods and services combined) is estimated at 4-5 per cent.

The CNX Nifty is currently trading at 25068.00, up by 21.85 points or 0.09% after trading in a range of 25039.10 and 25120.35. There were 30 stocks advancing against 20 stocks declining on the index.

The top gainers on Nifty were Tata Steel up by 2.66%, Dr. Reddy's Lab up by 1.77%, HCL Technologies up by 1.67%, Sun Pharma up by 1.29% and JSW Steel up by 1.22%. On the flip side, Tata Motors down by 1.31%, Eicher Motors down by 1.06%, Power Grid down by 0.79%, HDFC Life Insurance down by 0.64% and Bajaj Auto down by 0.60% were the top losers.

Asian markets are trading mostly in green; Nikkei 225 surged 713.01 points or 1.49% to 48,448.00, Taiwan Weighted rose 243.85 points or 0.9% to 27,307.53, Shanghai Composite strengthened 48.29 points or 1.24% to 3,931.07, Jakarta Composite gained 47.48 points or 0.58% to 8,213.51 and Hang Seng advanced 7.54 points or 0.03% to 26,837.00. On the other hand, Straits Times fell 8.42 points or 0.19% to 4,447.88.