Firm trade persists on Dalal Street

Firm trade continued on the Dalal Street in morning session, on value-buying at lower levels along with buying in blue-chip stocks Mahindra & Mahindra and Adani Ports & SEZ. Domestic sentiments remained optimistic as the National Sample Survey Office (NSSO) stated that the unemployment rate for people aged 15 years and above in urban areas dipped to 6.4 per cent in the July-September quarter. Joblessness, or unemployment rate, is defined as the percentage of unemployed people in the labour force. The unemployment rate in the September quarter of FY24 was 6.6 per cent. Traders took a note of a report by CRISIL stating that the tariff hikes proposed by Donald Trump may pose threat to India’s exports but the country’s surplus in services trade and robust remittances flow may provide comfort. Firm global trends and continuous buying by domestic institutional investors also added to markets' rebound. On the global front, Asian markets are trading mostly in green after a broadly positive day on Wall Street, with focus turning to the upcoming release of tech giant Nvidia's earnings, while traders also kept tabs on Donald Trump's picks for his new administration. 

The BSE Sensex is currently trading at 78201.20, up by 862.19 points or 1.11% after trading in a range of 77525.05 and 78305.08. There were 28 stocks advancing against 2 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 1.71%, while Small cap index was up by 1.97%.

The top gaining sectoral indices on the BSE were Realty up by 2.10%, Auto up by 2.04%, Industrials up by 1.98%, Capital Goods up by 1.97% and Consumer Durables up by 1.91%, while there were no losing sectoral indices on the BSE. 

The top gainers on the Sensex were Mahindra & Mahindra up by 3.15%, Adani Ports &SEZ up by 3.12%, Tech Mahindra up by 2.58%, Titan Company up by 2.52% and Tata Motors up by 2.47%. On the flip side, Bajaj Finserv down by 0.52% and ICICI Bank down by 0.16% were the only losers.

Meanwhile, Finance Minister Nirmala Sitharaman has said that the banking community should view Micro, Small and Medium Enterprises (MSMEs) not merely as a sector of risk but as a sector brimming with opportunity. Sitharaman noted that cash flow-based lending has the transformative potential to address the working capital requirements of MSME units. She said India’s sound banking system, with cleaner balance sheets & adequate capital buffers and robust earnings, is well positioned to cater to the financing of long-term projects. She said that India’s economy, in its traditional or modern ways, depend a lot on MSMEs and ‘we need to be sensitive towards their needs’.

Besides, she said digital financial literacy must also be a priority to build public confidence in digital transactions. She stated ‘Digital financial literacy must also be a priority to build public confidence in digital transactions. In managing the banks, we should be extremely careful that governance is given a priority. By addressing both the ‘access’ and ‘quality’ aspects of financial inclusion, we can ensure that all segments of society are part of India’s journey toward Viksit Bharat’.

She added over the decade, through Jan Dhan Yojana and DBT, 54 crore Indians, including men and women, at the last mile and outside the formal banking net, have all come to enjoy the fruits of financialization. Moreover, she said the next wave of financial inclusion should see the transformation of these savers into investors of acumen, creating a largely self-reliant domestic financial system that bodes well for a resurgent Global South and India as well. That would be the ultimate success for banking, in a uniquely Indian way.

The CNX Nifty is currently trading at 23719.85, up by 266.05 points or 1.13% after trading in a range of 23517.10 and 23750.00. There were 45 stocks advancing against 5 stocks declining on the index.

The top gainers on Nifty were Mahindra & Mahindra up by 3.20%, Adani Ports &SEZ up by 2.99%, Trent up by 2.81%, Tech Mahindra up by 2.66% and BPCL up by 2.63%. On the flip side, HDFC Life Insurance down by 1.10%, SBI Life Insurance down by 0.64%, Bajaj Finserv down by 0.64%, Hindalco down by 0.54% and ICICI Bank down by 0.16% were the top losers.

Asian markets are trading mostly in green; Nikkei 225 surged 233.55 points or 0.61% to 38,454.40, Taiwan Weighted added 348.2 points or 1.54% to 22,894.74, Hang Seng advanced 64.13 points or 0.33% to 19,640.74, KOSPI increased 2.71 points or 0.11% to 2,471.78, Straits Times rose 32.02 points or 0.86% to 3,764.57 and Jakarta Composite gained 72.77 points or 1.02% to 7,207.05, while Shanghai Composite weakened 12.84 points or 0.39% to 3,311.01.