Indian equity markets continued their trade deep in red during late afternoon deals. The escalating tension in West Asia have made investors nervous after Isreal and Iran exchange fire. Further, the tensions have spiked up the global crude oil prices with Brent crude rising over 4% to trade near $97 a barrel. Besides, concerns over higher-for-longer US interest rates and weakened commodity prices have weighed on Metal sector stock with BSE metal index declining 1.92%. Moreover, losses in Asian and European markets kept traders’ risk appetite subdued.
On the global front, all Asian and European equity markets were trading lower amid heavy sell-off among global technology stocks and heightened geopolitical tensions.
The BSE Sensex is currently trading at 73620.64, down by 622.70 points or 0.84% after trading in a range of 73318.94 and 73934.35. There were 8 stocks advancing against 22 stocks declining on the index.
The lone gaining sectoral index on the BSE was Healthcare up by 0.26%, while Telecom down by 2.01%, Realty down by 2.00%, Metal down by 1.92%, Basic Materials down by 1.72% and Industrials down by 1.51% were the top losing indices on BSE.
The top gainers on the Sensex were Power Grid Corporation up by 1.98%, Tech Mahindra up by 1.50%, Bharat Electronics up by 1.09%, NTPC up by 0.75% and Bharti Airtel up by 0.69%. On the flip side, Eternal down by 2.75%, TCS down by 2.44%, Mahindra & Mahindra down by 2.39%, Interglobe Aviation down by 2.26% and Bajaj Finance down by 1.84% were the top losers.
Meanwhile, welcoming the monetary policy announcement, the Federation of Indian Chambers of Commerce and Industry (FICCI) President Anant Goenka has said that retaining the repo rate at 5.25% and maintaining a neutral stance is a balanced and prudent decision taken by the Reserve Bank of India (RBI) given the heightened global uncertainty. He noted that maintaining policy stability at this juncture provides confidence to businesses and investors alike.
FICCI also welcomed the proactive regulatory measures announced by the Ministry of Finance and the RBI to strengthen external sector resilience and facilitate capital inflows. It said the decision to review the regulatory framework for Foreign Portfolio Investments in Government Securities along with rationalisation of taxes on such investments will deepen the G-Sec market and attract greater participation of FPIs in Indian government securities.
Besides, it said that in addition, the steps introduced by the RBI like introducing forex swap facilities, facility for bearing full hedging costs to banks for raising foreign currency deposits from NRIs and OCIs will incentivise foreign capital inflows and strengthen India’s external sector.
FICCI President further stated that ‘Today’s policy sends a reassuring signal that the government is dynamically utilizing its policy instruments to safeguard India's growth trajectory. By ensuring appropriate liquidity and introducing measures to support inflow of foreign capital, the government and the RBI are building a vital buffer against external volatility.’
The CNX Nifty is currently trading at 23159.05, down by 207.65 points or 0.89% after trading in a range of 23070.15 and 23267.30. There were 12 stocks advancing against 38 stocks declining on the index.
The top gainers on Nifty were Max Healthcare Inst up by 3.01%, Power Grid Corporation up by 1.91%, Tech Mahindra up by 1.45%, Apollo Hospitals Enterprise up by 1.35% and Nestle up by 1.17%. On the flip side, Wipro down by 7.56%, Eternal down by 2.77%, Shriram Finance down by 2.68%, Jio Financial Services down by 2.61% and TCS down by 2.45% were the top losers.
All Asian equity markets were trading lower; Nikkei 225 slipped 2808.12 points or 4.4% to 63,780.00, Taiwan Weighted lost 1568.16 points or 3.6% to 43,502.78, Hang Seng declined 339.95 points or 1.38% to 24,622.00, KOSPI dropped 676.18 points or 9.03% to 7,484.41, Jakarta Composite plunged 229.39 points or 4.28% to 5,365.38, Straits Times fell 82.06 points or 1.65% to 4,967.90 and Shanghai Composite weakened 68.4 points or 1.73% to 3,959.34.
All European equity markets were trading lower; UK’s FTSE 100 decreased 31.16 points or 0.3% to 10,336.89, France’s CAC fell 52.64 points or 0.64% to 8,165.60 and Germany’s DAX lost 268.95 points or 1.09% to 24,490.10.
