Key gauges trade marginally in red in morning deals

Indian equity benchmarks trimmed some of their initial losses and were trading marginally in red in morning deals, due to surging crude oil prices amid escalating tensions in the West Asia. Some concern also came as exchange data showed Foreign Institutional Investors (FIIs) offloaded equities worth Rs 819.20 crore on Wednesday after a day's breather. However, traders took some support with the Reserve Bank Bulletin said Indian economy has navigated the external uncertainties well and the recovery of foreign investments in recent months shows a revival of confidence. Sector-wise, cement industry’s stocks remained in watch as Crisil Ratings’ report stated that Elevated input costs due to the ongoing West Asia conflict will pare the operating margin of cement makers by Rs 50-75 per tonne this fiscal to Rs 925-950 per tonne. Operating cash flows, however, should improve as domestic demand holds steady. On the global front, Asian markets are trading mixed following the broadly negative cues from Wall Street overnight, as traders seemed reluctant to make significant moves amid concerns about the escalating Middle East conflict between the U.S. and Iran and the related surging crude oil prices after shipping traffic across the Strait of Hormuz has vastly diminished. 

The BSE Sensex is currently trading at 76631.29, down by 123.76 points or 0.16% after trading in a range of 76344.67 and 76666.78. There were 11 stocks advancing against 19 stocks declining on the index.

The top gaining sectoral indices on the BSE were Auto up by 0.93%, Consumer Disc up by 0.52%, Capital Goods up by 0.11% and Industrials up by 0.11%, while Telecom down by 1.13%, Utilities down by 0.80%, TECK down by 0.57%, Bankex down by 0.53% and Power down by 0.48% were the top losing indices on BSE.

The top gainers on the Sensex were Eternal up by 3.21%, Trent up by 0.94%, Kotak Mahindra Bank up by 0.92%, Mahindra & Mahindra up by 0.88% and Bajaj Finserv up by 0.76%. On the flip side, Infosys down by 0.85%, Adani Ports &SEZ down by 0.80%, NTPC down by 0.76%, HDFC Bank down by 0.73% and Maruti Suzuki India down by 0.71% were the top losers.

Meanwhile, External Affairs Minister S. Jaishankar has met US Secretary of State Marco Rubio in Manila to discuss key priorities, including trade, tariffs, energy, defence, critical minerals, and artificial intelligence (AI). The two leaders are also understood to have exchanged views on the West Asia crisis and its broader impact on global energy supplies and market stability.

Both leaders were in Manila, the Philippine capital, to participate in high-level discussions under the framework of the Association of Southeast Asian Nations (ASEAN) and the Quad grouping.
Jaishankar stated ‘Our meeting focused on areas which are priority for the India-US Comprehensive Global Strategic Partnership, including trade and tariffs, energy, defence and security, critical minerals and artificial intelligence.’ He added ‘We also exchanged quick perspectives on regional, global and multilateral issues of mutual interest.’

The CNX Nifty is currently trading at 23962.80, down by 33.45 points or 0.14% after trading in a range of 23876.20 and 23973.70. There were 20 stocks advancing against 30 stocks declining on the index.

The top gainers on Nifty were Eternal up by 3.41%, Bajaj Auto up by 2.20%, Mahindra & Mahindra up by 2.14%, Hindalco Industries up by 1.00% and Tata Consumer Products up by 0.79%. On the flip side, Dr. Reddy's down by 2.35%, Nestle India down by 2.34%, Adani Enterprises down by 1.63%, Adani Ports &SEZ down by 1.09% and NTPC down by 0.90% were the top losers.

Asian markets are trading mixed; Nikkei 225 surged 367.4 points or 0.56% to 66,483.00, Jakarta Composite gained 96.91 points or 1.53% to 6,431.39, KOSPI increased 233.58 points or 3.44% to 7,031.28 and Hang Seng advanced 369.34 points or 1.48% to 25,262.00.

On the flip side, Straits Times fell 35 points or 0.63% to 5,560.42, Taiwan Weighted lost 291.86 points or 0.65% to 44,533.92 and Shanghai Composite weakened 2.46 points or 0.06% to 3,864.57.