Indian equity benchmarks continued to trade higher in morning deals, amid a sharp decline in crude oil prices and hopes that a resolution to the West Asia conflict may happen soon after the results of the midterm elections where American voters gave the opposition Democratic Party control of the US Congress. Sustained foreign fund inflows and a sharp rally in the US markets also added to markets' optimism during the initial trading. Foreign Institutional Investors (FIIs) bought equities worth Rs 7,284.03 crore on Wednesday, according to exchange data. Sector wise, power stocks remained in watch as New & Renewable Energy Minister Pralhad Joshi stated that India is on track to achieve the 500 GW renewable energy target by 2030, and another 300 GW will be added after that, as mandated by Prime Minister Narendra Modi. On the global front, Asian markets are trading mostly in red even as global bond yields eased and Brent crude prices plummeted to $94 a barrel on hopes that the U.S.-Iran war could end soon.
The BSE Sensex is currently trading at 78646.42, up by 1345.02 points or 1.74% after trading in a range of 78520.56 and 79001.19. There were 25 stocks advancing against 5 stocks declining on the index.
The top gaining sectoral indices on the BSE were Auto up by 3.71%, Consumer Discretionary up by 2.57%, IT up by 2.43%, Consumer Durables up by 2.09% and Bankex up by 2.08%, while Capital Goods down by 1.16%, Telecom down by 0.95% and Power down by 0.29% were the top losing indices on BSE.
The top gainers on the Sensex were Interglobe Aviation up by 5.41%, Bajaj Finance up by 5.23%, Maruti Suzuki India up by 4.96%, Asian Paints up by 4.08% and Mahindra & Mahindra up by 3.77%. On the flip side, NTPC down by 0.75%, Bharti Airtel down by 0.65%, Reliance Industries down by 0.24% and ITC down by 0.13% were the top losers.
Meanwhile, the Union Cabinet has approved the Viability Gap Funding (VGF) Scheme for Development of Grid-Scale Energy Storage Systems, with a total financial support of Rs 14,500 crore for the period FY 2026-27 to FY 2030-31. The scheme aims to support the development of 92 GWh of, yet to be commissioned; energy storage capacity across the country. The scheme will support creation of new capacities equivalent to 170% of the present-day Grid Scale Energy Storage System capacity in the country and help meet the required Grid Scale ESS capacity of 411 GWh by 2031-32.
The scheme marks a significant step towards strengthening India's power sector infrastructure, facilitating large-scale integration of renewable energy and ensuring reliable, affordable and round-the-clock power supply. It will also provide an impetus to domestic manufacturing of battery energy storage systems, reduce import dependence and enhance the country's long-term energy security. The scheme envisages the development of 60 GWh of Hydro Pumped Storage Plant (PSP) capacity, 30 GWh of Battery Energy Storage System (BESS) capacity and 2 GWh of capacity through alternative energy storage technologies, with a total estimated investment of Rs.97,600 crore. The VGF support will help improve the financial viability of these projects and accelerate the deployment of large-scale energy storage infrastructure in the country.
Energy storage capacity will be allocated through a tariff-based competitive bidding process. Public and private sector electricity distribution companies will be eligible for VGF support for BESS and Hydro PSP projects, while projects based on alternative energy storage technologies will be implemented by public and private sector entities. A key objective of the scheme is to strengthen India's domestic energy storage manufacturing ecosystem through demand-side financial support and reduce dependence on imported components. To promote indigenous manufacturing, BESS projects will be subject to a minimum Domestic Content Requirement (DCR) of 40%. The requirement will encourage domestic manufacturing, create opportunities for Indian industry and complement existing supply-side incentives for battery manufacturing.
The scheme represents an important intervention towards building a flexible, resilient and future-ready electricity system. By accelerating the deployment of grid-scale energy storage, it will facilitate greater utilisation of renewable energy, address the variability of renewable energy generation and reduce dependence on conventional generation for meeting balancing round-the clock power supply. The initiative will strengthen grid stability, improve renewable energy integration, encourage domestic manufacturing and enhance India's energy security, while advancing the vision of Atmanirbhar Bharat and Viksit Bharat.
The CNX Nifty is currently trading at 24348.45, up by 387.85 points or 1.62% after trading in a range of 24296.30 and 24442.20. There were 41 stocks advancing against 9 stocks declining on the index.
The top gainers on Nifty were Shriram Finance up by 5.84%, Interglobe Aviation up by 5.25%, Bajaj Finance up by 4.86%, Tata Motors Passenger up by 4.81% and BSE up by 4.70%. On the flip side, Apollo Hospital down by 2.72%, ONGC down by 2.28%, Coal India down by 1.34%, NTPC down by 0.85% and Power Grid down by 0.73% were the top losers.
Asian markets are trading mostly in red; Nikkei 225 slipped 979.63 points or 1.58% to 61,209.00, Taiwan Weighted lost 1246.93 points or 2.9% to 41,701.98, Shanghai Composite weakened 11.91 points or 0.32% to 3,674.26, KOSPI dropped 297.05 points or 5.23% to 5,386.75 and Straits Times fell 8.48 points or 0.16% to 5,282.95.
On the flip side, Jakarta Composite gained 96.41 points or 1.96% to 5,016.18 and Hang Seng advanced 789.5 points or 3.3% to 24,709.00.