Post Session: Quick Review

Indian equity benchmarks surged to fresh record highs on Thursday with Nifty and Sensex settling above the psychological 25,350 and 82,900 levels, respectively. Positive global markets offered support to the domestic markets. Investors were braced for India’s Consumer Price Index (CPI) inflation and Index of Industrial Production (IIP) data to be out later in the day. As for broader indices, the BSE Mid cap index ended with gains of above a percent, while Small cap index ended above half a percent.

Markets made gap-up opening and remained in green tracking a strong overnight show on Wall Street as well as broadly firm trade in Asian counterparts, as traders react to a key US inflation report that showed a bigger than expected increase in core inflation, raising expectations for a quarter-point rate cut at the US Fed's monetary policy meeting next week. Some support came as Finance Minister Nirmala Sitharaman said the Union government is implementing various schemes to encourage the growth and development of MSME (Micro, Small and Medium Enterprises) sector across the country. She said these schemes include areas of credit support, formalization, technological assistance, infrastructure development, skill development and training and market assistance for the MSMEs. In afternoon session, indices continued to trade in green as sentiments were upbeat with the Union Minister of Petroleum and Natural Gas, Hardeep Singh Puri’s statement that India has a natural advantage in producing Green Hydrogen due to the low cost and abundance of solar energy and investments in the power grid. He added India is poised to lead the global green energy demand and the rising domestic demand across diverse sectors.  Buying got intensified during final hours of trade as investors continued to hunt for fundamentally strong stocks. 

On the global front, European markets were trading higher ahead of a European Central Bank (ECB) policy meeting later in the day. Asian markets ended mostly in green buoyed by a tech-fueled rally on Wall Street overnight. Back home, electric vehicles sector remained in focus as Union Cabinet approved two major schemes with a total outlay of Rs 14,335 crore to promote use of electric vehicles (EVs), including buses, ambulances and trucks.

The BSE Sensex ended at 82,962.71, up by 1439.55 points or 1.77% after trading in a range of 81,534.29 and 83,116.19. There were 29 stocks advancing against 1 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 1.32%, while Small cap index up by 0.79%. (Provisional)

The top gaining sectoral indices on the BSE were Metal up by 3.05%, Telecom up by 2.61%, TECK up by 2.06%, Power up by 2.02% and Auto was up by 1.99%, while there were no losing sectoral indices on the BSE. (Provisional)

The top gainers on the Sensex were NTPC up by 3.87%, Bharti Airtel up by 3.68%, Mahindra & Mahindra up by 3.36%, JSW Steel up by 2.96% and Adani Ports up by 2.67%. On the flip side, Nestle down by 0.09% were the top losers. (Provisional)

Meanwhile, in a move that would help new as well as existing entrepreneurs, the government has launched a trade portal to provide all kinds of information related to exports and imports. The Trade Connect ePlatform is developed in collaboration with the Ministry of MSME, EXIM Bank, TCS, Department of Financial Services (DFS), and the Ministry of External Affairs (MEA). 

The platform will connect more than 6 lakh IEC (import-export code) holders, over 180 Indian Mission officials, over 600 Export Promotion Council Officials, besides the officials from DGFT, department of commerce and banks. The information which would be available on the platform included product and country-wise customs duties and regulations; free trade pacts-related information, trade-related services offered by different departments and agencies; non-tariff barriers; about global buyers, and exhibitions.

Commerce and Industry Minister Piyush Goyal said that it would act as a one-stop solution for all kinds of information such as customs duties, rules and regulations. The portal is set to address information asymmetry by offering exporters comprehensive support and resources. He said that the portal will be updated regularly and stakeholders' feedback will help in launching its second version in 2025. He said ‘The global trade is in a paralytic situation but this is our effort to increase India's market share in the world’ and added that it will be released in regional languages also.

The CNX Nifty ended at 25,388.90, up by 470.45 points or 1.89% after trading in a range of 24,941.45 and 25,433.35. There were 50 stocks advancing on the index. (Provisional)

The top gainers on Nifty were Hindalco up by 4.40%, Bharti Airtel up by 4.37%, NTPC up by 3.90%, Shriram Finance up by 3.68% and Mahindra & Mahindra up by 3.26%. (Provisional)

European markets were trading higher; UK’s FTSE 100 increased 73.98 points or 0.89% to 8,267.92, France’s CAC rose 69.57 points or 0.93% to 7,466.40 and Germany’s DAX was up by 237.02 points or 1.28% to 18,567.29. 

Asian markets settled mostly higher on Thursday, tracking Wall Street’s gains overnight as a key US inflation report signalled slowing price growth and bolstered expectations of a 25-bps rate cut at next week's FOMC meeting. Japanese shares gained as a weak yen against the US dollar lifted semiconductor related shares and automakers. Meanwhile, Japan's soft producer price inflation data undermined hawkish signals from the Bank of Japan. South Korean shares jumped as chip and auto shares led the gain, while the country's top financial regulator said today it plans to lift the ban on short selling at the end of March. However, Chinese shares declined due to rising geopolitical tensions ahead of the November US presidential elections.