Bourses remain in green in late afternoon session

Indian equity markets remained in green in late afternoon session tracing positive cues from European markets. Traders took support as India’s Composite PMI Output Index recorded an impressive 60.5, marking the 37th consecutive month of expansion. This sustained growth reflects strong demand across various sectors, despite a slight dip in manufacturing activity. The flash survey data from S&P Global showed that the output index stood at 60.5 in August, little changed from 60.7 in July and pointing to a sharp rate of expansion that was above its long-run trend level (54.6). On the global front, Asian markets were trading mixed as traders are a bit cautious after revised data showed US job growth was weaker than previously reported in the twelve months ended March 2024, raising some concerns about growth. European markets were trading higher as a survey showed France's private sector expanded in August for the first time since April, driven by the upturn in services activity. The composite output index rose to 52.7 in August from 49.1 in July, according to flash survey results from S&P Global.

The BSE Sensex is currently trading at 81030.62, up by 125.32 points or 0.15% after trading in a range of 80954.02 and 81236.45. There were 19 stocks advancing against 11 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index gained 0.49%, while Small cap index was up by 0.46%.

The top gaining sectoral indices on the BSE were Telecom up by 1.47%, Basic Materials up by 0.90%, Consumer Durables up by 0.75%, FMCG up by 0.49% and Consumer discretionary was up by 0.42%, while Utilities down by 0.96%, Power down by 0.89%, Oil & Gas down by 0.39%, Energy down by 0.29% and IT was down by 0.27% were the top losing indices on BSE.

The top gainers on the Sensex were Bharti Airtel up by 1.57%, Tata Steel up by 1.48%, Asian Paints up by 1.39%, Titan Company up by 1.22% and ICICI Bank up by 1.19%. On the flip side, Tata Motors down by 1.48%, Mahindra & Mahindra down by 1.45%, TCS down by 1.13%, NTPC down by 1.09% and Power Grid down by 0.58% were the top losers.

Meanwhile, Union Minister of Commerce and Industry Piyush Goyal has said that the growth of e-commerce should be citizen centric. He also said that the growth of e-commerce must democratize the distribution of benefits amongst the larger section of society. Goyal said that technology is a means to empower, to innovate and means to meet consumer requirements - sometimes more efficiently. He said ‘But this growth must be in an orderly fashion, adding that in the race for market share, we must not cause disruption for the 100 million small retailers across the country.’

Underscoring the importance of protecting India's developing economy and supporting those who still need affirmative action, Goyal said ‘There’s a large section out there who still deserves our help. When it comes to jobs and opportunities for the future of India, I think all of us will have to play our part.’ Hr also expressed his concerns regarding the growing influence of e-commerce on India's traditional retail sector and its potential impact on employment. The Minister highlighted the possibility that half of India's market could become part of the e-commerce network in the next decade, a development he described as ‘a matter of concern.’

Reflecting on the broader implications of e-commerce, Goyal urged a dispassionate and data-driven analysis of its impact. Drawing comparisons with the Western countries, he noted the decline of traditional ‘mom and pop’ stores in countries like the United States and Europe due to the rise of e-commerce. He pointed out that Switzerland has a cautious approach to e-commerce. The Minister expressed his concern about the impact of e-commerce on local businesses and employment, particularly in sectors like pharmacies and mobile phone repair shops. He urged the business community and experts to carefully study and evaluate the impact of E-commerce in context of needs of the country in a detailed and scientific manner.

The CNX Nifty is currently trading at 24809.65, up by 39.45 points or 0.16% after trading in a range of 24784.45 and 24867.35. There were 27 stocks advancing against 23 stocks declining on the index.

The top gainers on Nifty were Grasim Industries up by 2.57%, Tata Consumer up by 2.55%, Bharti Airtel up by 1.62%, Tata Steel up by 1.37% and Asian Paints up by 1.22%. On the flip side, Mahindra & Mahindra down by 1.47%, Tata Motors down by 1.42%, NTPC down by 1.23%, Wipro down by 1.21% and Dr. Reddy's Lab down by 1.19% were the top losers.

Asian markets were trading mixed; Nikkei 225 surged 259.21 points or 0.68% to 38,211.01, Hang Seng advanced 249.99 points or 1.42% to 17,641.00, Straits Times rose 8.34 points or 0.25% to 3,382.10 and KOSPI was up by 6.54 points or 0.24% to 2,707.67. On the flip side, Shanghai Composite weakened 7.81 points or 0.27% to 2,848.77, Jakarta Composite plunged 82.21 points or 1.09% to 7,472.38 and Taiwan Weighted was down by 89.06 points or 0.4% to 22,148.83.

European markets were trading higher; UK’s FTSE 100 increased 21.34 points or 0.26% to 8,304.77, France’s CAC rose 29.07 points or 0.39% to 7,553.79 and Germany’s DAX was up by 61.16 points or 0.33% to 18,510.11.