Post Session: Quick Review

Indian equity markets spend entire their day in green territory driven by positive expectations from the upcoming Union Budget. However, markets traded with limited gains amid mixed microeconomic data. Positive Industrial Production (IIP) figures offered some support to the markets. Q1 earnings captured significant focus during the day. Nifty touched its new high level in a day. IT sectors stocks witnessed some profit booking in last leg of trade. 

Markets made optimistic start and remained in green amid foreign fund inflows. The Foreign Portfolio Investment (FPI) in the Indian equity market increased by Rs 7,390 crore during the second week of July, according to investment data from the National Securities Depository. The data also pointed out that the net investment by Foreign Portfolio Investors (FPIs) in July has increased to Rs 15,352 crore. Traders took encouragement as the government data showed that the industrial output growth surprised in May rising to a seven month high of 5.9 percent from 5 percent in the previous month, as manufacturing and electricity production soared. Investors overlooked report that India’s retail inflation rose to four-month high of 5.08 percent in June compared with 4.75 percent in the previous month as food inflation galloped to 9.4 percent given the impact of heatwave on vegetables. In afternoon session, markets touched day’s high levels. Some support also came with Commerce and Industry Minister Piyush Goyal’s statement that India's exports have recorded healthy growth in May and remained in the positive zone in June and the first quarter of the current fiscal despite global challenges. He also said that growth in the services sector is helping the country's outbound shipments to register positive growth rates. Traders paid no heed towards Wholesale Price Index number. the annual rate of inflation based on the all-India Wholesale Price Index number edged up to 3.36 per cent in June this year compared to the same month of the previous year. The month-over-month change in WPI for June stood at 0.39 per cent as compared to May. Finally, Nifty and Sensex settled above the psychological 24550 and 80600 levels, respectively. 

On the global front, European markets were trading lower after a raft of dour updates from companies made investors, already jittery from the assassination attempt on U.S. presidential candidate Donald Trump, more cautious. Asian markets ended mixed as China's GDP data disappointed and the dollar firmed up on bets that Donald Trump will win the upcoming presidential election after an assassination attempt on his life Saturday. Back home, Central Board of Direct Taxes (CBDT) in its latest data has showed that net direct tax collection grew 19.54 per cent to over Rs 5.74 lakh crore so far this fiscal on higher advance tax payment by corporates.

The BSE Sensex ended at 80,664.86, up by 145.52 points or 0.18% after trading in a range of 80,556.97 and 80,862.54. There were 18 stocks advancing against 12 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index gained 0.95%, while Small cap index was up by 0.21%. (Provisional)

The top gaining sectoral indices on the BSE were Oil & Gas up by 2.32%, Energy up by 1.61%, PSU up by 1.42%, Realty up by 1.40% and Utilities was up by 1.09%, while IT down by 0.20%, Capital Goods down by 0.12%, Industrials down by 0.07% and TECK was down by 0.03% were the few losing indices on BSE. (Provisional)

The top gainers on the Sensex were SBI up by 2.55%, NTPC up by 2.23%, Ultratech Cement up by 1.98%, Mahindra & Mahindra up by 0.96% and ITC up by 0.83%. On the flip side, Asian Paints down by 1.44%, Tata Steel down by 1.13%, Axis Bank down by 0.77%, JSW Steel down by 0.44% and Tech Mahindra down by 0.43% were the top losers. (Provisional)

Meanwhile, inflation based on wholesale price index (WPI) surged in the month of June 2024 to 3.36% from 2.61% in May 2024, due to increase in prices of food articles, minerals, chemicals & chemical products, textiles, rubber & plastics products,  motor vehicles, trailers & semi-trailers etc.

The Component wise, primary articles index, having weight of 22.62%, rose 2.08% to 191.6 (provisional) in June 2024 from 187.7 (provisional) for the month of May 2024, on the back of surge in prices of food articles and minerals. However, prices of non-food articles and crude petroleum & natural gas declined in June 2024 as compared to May 2024. 

Fuel & Power index, having weight of 13.15%, declined by 1.93% to 147.7 (provisional) in June 2024 from 150.6 (provisional) for the month of May 2024, due to fall in prices of electricity and mineral oils.

Further, Manufactured Products constituting the major portion of the index with weight of 64.23%, increased 0.14% to 141.9 (provisional) in June, 2024 from 141.7 (provisional) for the month of May 2024. Meanwhile, for the month of April 2024 the final Wholesale Price Index and inflation rate for 'All Commodities' (Base: 2011- 12=100) stood at 152.9 and 1.19% respectively.

The CNX Nifty ended at 24,586.70, up by 84.55 points or 0.35% after trading in a range of 24,522.75 and 24,635.05. There were 34 stocks advancing against 16 stocks declining on the index. (Provisional)

The top gainers on Nifty were ONGC up by 5.01%, SBI Life Insuran up by 3.24%, Shriram Finance up by 3.15%, Bajaj Auto up by 2.57% and SBI up by 2.52%. On the flip side, LTIMindtree down by 1.70%, Asian Paints down by 1.42%, Grasim Industries down by 1.41%, Tata Steel down by 1.14% and Axis Bank down by 0.75% were the top losers. (Provisional)

European markets were trading lower; UK’s FTSE 100 decreased 16.74 points or 0.2% to 8,236.17, France’s CAC fell 28.86 points or 0.38% to 7,695.46 and Germany’s DAX was down by 24.01 points or 0.13% to 18,724.17. 

Asian markets settled mostly higher on Monday tracking Wall Street’s gains last Friday, and despite bets that Donald Trump will win the upcoming presidential election after an assassination attempt on his life Saturday. Seoul shares gained slightly ahead of Fed Chair Jerome Powell's speech, US retail sales figures and Eurozone inflation data. Chinese shares rose after the central bank left its medium-term lending rate unchanged, as expected, at 2.5%, while investors were watching the third plenum meeting in China for measures to help revive the slumping property market and address huge local government debts. However, Hong Kong shares declined after China reported that its economy expanded at a lower-than-forecast 4.7% annual pace in the last quarter. Japanese market was closed for Marine Day holiday.