Key gauges remain in green in morning deals

Indian equity benchmarks remained in green in morning deals, following buying in Realty, Utilities and PSU stocks. Traders took some support with Federation of Indian Chambers of Commerce and Industry (FICCI) in its latest survey stated that India's manufacturing sector is poised for strong growth and expansion, with 87 per cent of respondents reporting higher or same production levels for the September quarter (Q2FY26). Some support also came as British Prime Minister Keir Starmer stated that India is on track to become the third largest economy by 2028 and the UK is perfectly placed to be a partner in this journey. He said the India-UK trade deal is a launchpad to boost British leadership in areas ranging from technology to life sciences to renewable energy and more, and added that the two countries are also deepening the UK-India Technology Security Initiative. Besides, exchange data showed Foreign Institutional Investors (FIIs) bought equities worth Rs 1,308.16 crore on Thursday. On the global front, Asian markets are trading mostly in red after a rally in US stocks stalled amid concern valuations may have become stretched following their relentless surge. 

The BSE Sensex is currently trading at 82509.35, up by 337.25 points or 0.41% after trading in a range of 82072.93 and 82573.31. There were 24 stocks advancing against 6 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.31%, while Small cap index was up by 0.57%.

The top gaining sectoral indices on the BSE were Realty up by 1.42%, Utilities up by 1.21%, PSU up by 1.10%, Power up by 1.00% and Bankex up by 1.00%, while Metal down by 1.06%, Healthcare down by 0.25% and Basic Materials down by 0.24% were the top losing indices on BSE.

The top gainers on the Sensex were SBI up by 2.11%, Axis Bank up by 1.40%, NTPC up by 1.37%, Power Grid Corporation up by 1.29% and Adani Ports &SEZ up by 1.29%. On the flip side, Tata Steel down by 1.59%, Eternal down by 0.46%, TCS down by 0.39%, Mahindra & Mahindra down by 0.18% and Bajaj Finance down by 0.05% were the top losers.

Meanwhile, Crisil Ratings in its latest report has said that volume growth of complex fertilisers is seen slowing to 2-4% this fiscal (FY26) after a strong 9% print last fiscal (FY25) because of availability issues with imported fertilisers, ongoing geopolitical disruptions and high-base effect. It stated that supply disruptions have also led to a rise in raw material prices, which in turn may increase the subsidy requirement. However, it said credit profiles are seen stable because of steady profitability, expected additional subsidy allocation and its timely disbursement.

Complex fertilisers account for a third of the overall domestic fertiliser consumption of which nitrogen phosphorus potassium (NPK) grades comprise 55 per cent and di-ammonium phosphate (DAP) comprises the rest. While NPK is largely indigenously produced, around 60 per cent of the DAP requirement is met via imports. Further, the report stated that key raw materials for both NPK and DAP are primarily imported due to limited domestic reserves. Given such high import dependence, sales growth as well as the mix is primarily influenced by the supply side factors.

In FY25, geopolitical uncertainties, including export curbs by China, which accounts for a third of India's imports, impacted DAP availability globally. This led to a surge in imported DAP prices making such imports unviable. Meanwhile, domestic manufacturers prioritised NPK production, which is fungible with DAP production, due to better cost economics. This impacted the supply of DAP, which saw a steep decline of 12 per cent on year in volumes, while NPK volumes surged 28 per cent.

On the high base of last fiscal, the NPK volumes are expected to grow 4-6 per cent this fiscal, supported by an adequate monsoon. In contrast, DAP volumes are expected to remain flat as prices remain high, though availability is expected to improve. Crisil Ratings Director Anand Kulkarni said ‘This will be supported by additional special compensation for DAP imports by the government, alternative arrangements such as a long-term agreement with Saudi Arabia, and easing trade tensions with China. Over the rest of this fiscal, NPK demand is expected to normalise as the trend of DAP degrowth reverses with increased availability.’

The CNX Nifty is currently trading at 25276.20, up by 94.40 points or 0.37% after trading in a range of 25156.85 and 25300.10. There were 37 stocks advancing against 13 stocks declining on the index.

The top gainers on Nifty were SBI up by 2.08%, Wipro up by 1.73%, Axis Bank up by 1.38%, NTPC up by 1.34% and Power Grid Corporation up by 1.28%. On the flip side, Tata Steel down by 1.52%, Max Healthcare down by 1.06%, JSW Steel down by 0.87%, Hindalco down by 0.81% and Eternal down by 0.61% were the top losers.

Asian markets are trading mostly in red; Nikkei 225 slipped 590.44 points or 1.22% to 47,990.00, Jakarta Composite plunged 21.21 points or 0.26% to 8,229.73, Shanghai Composite weakened 23.75 points or 0.6% to 3,910.22, Hang Seng declined 306.59 points or 1.15% to 26,446.00 and Straits Times fell 3.58 points or 0.08% to 4,436.92.

On the flip side, KOSPI increased 42.83 points or 1.21% to 3,592.04.