Post Session: Quick Review

Indian equity benchmarks ended near day’s high points on Thursday, with both the Nifty and Sensex closing over half a percent gains, ahead of earnings season. Investors were eyeing Tata Consultancy Services’ (TCS) quarterly result to be out later in the day. After making a cautious start, indices gained traction in late morning session and ended higher, as traders remained optimistic over the easing geopolitical tensions, and with renewed interest from foreign investors.

Some of the important factors in trade:

Foreign fund inflows: Foreign Institutional Investors (FIIs) extended their buying streak for the second consecutive session on October 8, purchasing equities worth Rs 81.28 crore, according to exchange data. 

No power on earth can stop India from becoming developed nation by 2047: 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. 

Goyal visits Qatar to reinforce India-Qatar strategic economic partnership: Traders took note of report that Union Minister of Commerce and Industry, Piyush Goyal, paid an official visit to Doha, Qatar to co-chair the India-Qatar Joint Commission on Economic and Commercial Cooperation with H.E. Sheikh Faisal bin Thani bin Faisal Al Thani, Minister of Commerce and Industry of the State of Qatar.

Global front: European markets were trading mostly in red after Germany's exports declined for the second straight month in August as higher trade tariffs weighed on shipments to the United States. Asian markets ended mostly in green driven by robust investments in AI technology.

The BSE Sensex ended at 82172.10, up by 398.44 points or 0.49% after trading in a range of 81667.68 and 82247.73. There were 23 stocks advancing against 7 stocks declining on the index. (Provisional)

The broader indices enedd in green; the BSE Mid cap index was up by 0.75%, while Small cap index up by 0.18%. (Provisional)

The gaining sectoral indices on the BSE were Metal up by 2.16%, Basic Materials up by 1.34%, IT up by 1.02%, Healthcare up by 0.84% and Capital Goods up by 0.78%, while there were no losing indices on the BSE. (Provisional)

The top gainers on the Sensex were Tata Steel up by 2.71%, HCL Technologies up by 2.21%, Ultratech Cement up by 1.50%, Bharat Electronics up by 1.47% and Sun Pharma up by 1.37%. On the flip side, Axis Bank down by 0.90%, Titan Company down by 0.41%, HDFC Bank down by 0.38%, Maruti Suzuki down by 0.17% and Bharti Airtel down by 0.06% were the top losers. (Provisional)

Meanwhile, Reserve Bank of India (RBI) Governor Sanjay Malhotra has asked fintech firms to design products that are easy to use and accessible to all to help India achieve financial inclusion and become a developed nation by 2047. He also flagged the issue of growing digital frauds and made a strong case for making efforts to curb the menace. He urged the sector to prioritise trust and compliance as well as embed strong data protection, transparency and safeguards for consumers into every product and service. Besides, he exhorted them ‘to think global while you anchor local. Engage with international partners, share learnings, adopt global best practises and strengthen India's role in shaping the future of digital finance.’ 

By embracing these principles and building on India's unique strengths of Digital Public Infrastructure (DPI), RBI Governor said a vibrant ecosystem, a digitally connected population, enabling policies and a very deep tech talent, FinTech can bridge digital divides, foster healthy competition and drive innovation. He said ‘in doing so, the FinTechs will not only secure their own growth and prosperity but also play a very vital and pivotal role in driving the growth and progress of our country and contributing to the vision of Visit Bharat 2047.’

Observing that India has a vibrant fintech ecosystem and the fintech industry has made it possible to deliver financial services at scale and affordable cost, he said the country has close to 10,000 entities with more than $40 billion of investments over the last decade. The sector has seen phenomenal growth and the future potential is underpinned by several strengths that this sector has. He said ‘first and foremost is the large and the deep pool of skills, technology talent that we have in our country. Second, a very vibrant financial ecosystem spanning payments, lending, insurance, pensions, wealth management which is supporting this fintech innovation.’ He said there are three enabling policies of the government and the regulatory frameworks which are facilitating the fintechs and added that the Reserve Bank has been continuously engaging with the fintech ecosystem.

The CNX Nifty ended at 25181.80, up by 135.65 points or 0.54% after trading in a range of 25024.30 and 25199.25. There were 43 stocks advancing against 7 stocks declining on the index. (Provisional)

The top gainers on Nifty were Tata Steel up by 2.58%, JSW Steel up by 2.34%, HCL Technologies up by 2.29%, SBI Life Insurance up by 2.26% and Ultratech Cement up by 1.68%. On the flip side, Axis Bank down by 0.91%, Titan Company down by 0.61%, Tata Consumer Products down by 0.46%, Eicher Motors down by 0.33% and Maruti Suzuki down by 0.17% were the top losers. (Provisional)

European markets were trading mostly in red; UK’s FTSE 100 decreased 42.3 points or 0.44% to 9,506.57, France’s CAC fell 1.73 points or 0.02% to 8,058.40 and Germany’s DAX gained 82.97 points or 0.34% to 24,680.10.

Asian markets ended mostly higher on Thursday after tech giants like Nvidia and Apple soared in Wall Street amidst AI optimism and solid corporate earnings. Encouraging Chinese data and easing geopolitical tensions lifted risk appetite in the Asian stock indices. Chinese market rallied as trading resumed following the National Day holidays. Japanese market soared to reach new record highs as the yen held steady after touching its weakest level against the dollar since February. Continued weakness in the Japanese yen and Korean won also boosted earnings outlook for export heavy firms, particularly in auto and electronic sectors.