Post Session: Quick Review

Indian equity markets traded with limited gains throughout the day amid monthly F&O expiry. In last leg of trade, markets managed to come off from day’s lows and ended in green. During the day, markets hit fresh record high led by gains in Bajaj twins. Globally, investors were eyeing on crucial US inflation data, which could provide additional indications about the future for interest rates. As for broader indices, the BSE Mid cap index and Small cap index ended in red.

Markets made cautious start following the broadly negative cues from Wall Street overnight coupled with weakness in Asian counterparts. However, markets able to gain traction, as traders took support after government approved 12 new industrial cities in 10 states on the lines of Greater Noida in Uttar Pradesh and Dholera in Gujarat to boost domestic manufacturing with an estimated investment of Rs 28,602 crore. Traders took note of report that Prime Minister Narendra Modi said that The government will continue to build on the success of the Pradhan Mantri Jan Dhan Yojana (PMJDY) and initiate even more steps to build a Viksit Bharat. In afternoon session, markets continued to trade in green, as investors continued to hunt for fundamentally strong stocks. Traders took note of report that the National Council of Applied Economic Research (NCAER) in its Monthly Economic Review for August has said that the Indian economy has remained resilient but the outlook seems softer due to moderation in a couple of high-frequency indicators. However, in last leg of trade, indices came under pressure to turn negative, but somehow managed to wipe out all losses.

On the global front, European markets were trading higher after data showed Spanish inflation eased to its lowest level in a year and a measure of Eurozone economic sentiment rose more than expected in August.  Asian markets ended mostly in red with tech stocks bearing the brunt of selling after Nvidia's earnings forecast fell short of investor expectations. Investors also awaited the release of a key U.S. inflation reading on Friday that is likely to show that consumer price increases continued to run cool in July. Back home, Union Minister of State for Commerce & Industry Jitin Prasada has said India’s emergence as a premier, cost-effective healthcare destination and a global leader in pharmaceuticals.

The BSE Sensex ended at 82,134.61, up by 349.05 points or 0.43% after trading in a range of 81,682.78 and 82,285.83. There were 19 stocks advancing against 11 stocks declining on the index. (Provisional) 

The broader indices ended in red; the BSE Mid cap index declined 0.27%, while Small cap index was down by 0.72%. (Provisional)

The top gaining sectoral indices on the BSE were Oil & Gas up by 0.91%, Energy up by 0.88%, FMCG up by 0.58%, Telecom up by 0.44% and Auto was up by 0.32%, while Capital Goods down by 0.89%, Industrials down by 0.89%, Power down by 0.72%, Basic Materials down by 0.60% and Utilities was down by 0.51% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Tata Motors up by 4.19%, Bajaj Finance up by 2.41%, Bajaj Finserv up by 2.41%, HCL Tech up by 1.72% and ITC up by 1.57%. On the flip side, Mahindra & Mahindra down by 1.11%, Sun Pharma down by 0.85%, Kotak Mahindra Bank down by 0.74%, JSW Steel down by 0.73% and Tata Steel down by 0.46% were the top losers.

Meanwhile, amid global geo-political uncertainties, the National Council of Applied Economic Research (NCAER) in its Monthly Economic Review for August has said that the Indian economy has remained resilient but the outlook seems softer due to moderation in a couple of high-frequency indicators. The report said bank credit growth of scheduled commercial banks (both food and non-food) moderated in June 2024.

It added that personal loan credit growth and bank credit for the services sector has decelerated. It also said ‘the Purchasing Managers' Index (PMI) for manufacturing and services declined marginally in July 2024 but maintained its expansionary momentum’. However, growth in the Index of Industrial Production (IIP) and IIP for core industries moderated in June 2024.

NCAER said that while Consumer Price Index (CPI) headline inflation declined in July 2024, mainly due to an easing of food inflation, wholesale price inflation also declined in July 2024. It also said the merchandise trade deficit widened while the services trade surplus increased sequentially in July 2024.

The CNX Nifty ended at 25,151.95, up by 99.60 points or 0.40% after trading in a range of 24,998.50 and 25,192.90. There were 29 stocks advancing against 20 stocks declining on the index. (Provisional)

The top gainers on Nifty were Tata Motors up by 4.38%, Bajaj Finserv up by 2.46%, BPCL up by 2.38%, Bajaj Finance up by 2.37% and Britannia up by 2.25%. On the flip side, Grasim Industries down by 1.45%, Mahindra & Mahindra down by 1.44%, JSW Steel down by 1.01%, Dr. Reddy's Lab down by 0.97% and Kotak Mahindra Bank down by 0.78% were the top losers. (Provisional)

European markets were trading higher; UK’s FTSE 100 increased 23.94 points or 0.29% to 8,367.79, France’s CAC rose 52.31 points or 0.69% to 7,629.98 and Germany’s DAX was up by 121.1 points or 0.64% to 18,903.39.

Asian markets settled mostly down on Thursday tracking Wall Street’s overnight fall, while technology heavyweights faced selling pressure following Nvidia's underwhelming earnings result. Meanwhile investors are cautious ahead the release of a key US inflation reading on Friday that might impact future interest rate decisions. Chinese shares dropped after UBS Investment Bank cut its 2024 GDP growth forecast for China to 4.6% from 4.9%, citing a deeper-than-expected property market downturn.