Benchmarks continue to trade flat in morning deals

Indian equity benchmarks continued to trade flat in morning deals, as traders remained cautious ahead to the November inflation figures and industrial production data for October to be out later in the day. Traders remained worried as Asian Development Bank (ADB) in its latest edition of Asian Development Outlook (ADO) stated that it lowered India’s economic growth forecast to 6.5 per cent for the current financial year (FY25) from its earlier estimate of 7 per cent due to lower-than-expected growth in private investment and housing demand. It has also lowered India’s growth forecast for 2025-26 financial year. Some concern also came as exchange data showed Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Wednesday, as they offloaded shares worth Rs 1,012.24 crore. On the global front, Asian markets are trading mostly in green following another record day on Wall Street fuelled by inflation data that reinforced expectations for a US interest rate cut next week, while traders also remained hopeful for more measures to stimulate China's economy.

The BSE Sensex is currently trading at 81528.66, up by 2.52 points after trading in a range of 81444.92 and 81680.97. There were 10 stocks advancing against 20 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index was down by 0.11%, while Small cap index down by 0.34%.

The few gaining sectoral indices on the BSE were IT up by 1.21%, TECK up by 1.04% and Telecom up by 0.24%, while Energy down by 0.61%, Utilities down by 0.60%, Power down by 0.53%, Basic Materials down by 0.52% and FMCG down by 0.44% were the top losing indices on BSE.

The top gainers on the Sensex were Tech Mahindra up by 2.14%, Infosys up by 1.37%, TCS up by 1.07%, HCL Technologies up by 0.90% and ICICI Bank up by 0.62%. On the flip side, NTPC down by 1.08%, Titan Company down by 1.03%, Tata Motors down by 1.00%, Larsen & Toubro down by 0.94% and Maruti Suzuki down by 0.91% were the top losers.

Meanwhile, the Asian Development Bank (ADB) in its latest edition of Asian Development Outlook (ADO) has said that it lowered India’s economic growth forecast to 6.5 per cent for the current financial year (FY25) from its earlier estimate of 7 per cent due to lower-than-expected growth in private investment and housing demand. It has also lowered India’s growth forecast for 2025-26 financial year.

It however said India’s growth will remain robust, with the economy supported by higher agriculture output resulting from the summer (or kharif) crop season (which will also put downward pressure on food prices); continued resilience of the services sector; and lower-than-expected Brent crude prices in 2024 and 2025. 

It further said strong forward-looking and labour market indicators, such as PMI for industry and services, urban labour force participation and Reserve Bank of India’s industrial outlook, suggest that economic momentum will recover in the coming quarters. Besides, it said Asia and the Pacific’s economies are projected to grow 4.9 per cent in 2024, slightly below ADB’s September forecast of 5 per cent.

The CNX Nifty is currently trading at 24617.80, down by 24.00 points or 0.10% after trading in a range of 24604.45 and 24675.25. There were 14 stocks advancing against 36 stocks declining on the index.

The top gainers on Nifty were Tech Mahindra up by 1.91%, TCS up by 1.02%, Infosys up by 0.94%, Wipro up by 0.94% and HCL Technologies up by 0.83%. On the flip side, Coal India down by 1.46%, Tata Consumer Product down by 1.44%, Hindustan Unilever down by 1.32%, Apollo Hospital down by 1.31% and Hero MotoCorp down by 1.15% were the top losers.

Asian markets are trading mostly in green; Nikkei 225 surged 525.79 points or 1.34% to 39,898.02, Taiwan Weighted added 173.19 points or 0.76% to 23,076.82, Hang Seng advanced 346.09 points or 1.69% to 20,501.14, KOSPI increased 20.35 points or 0.83% to 2,462.86, Straits Times rose 15.29 points or 0.4% to 3,808.11 and Shanghai Composite strengthened 22.03 points or 0.64% to 3,454.52.

On the flip side, Jakarta Composite plunged 62.96 points or 0.84% to 7,401.79.