Post Session: Quick Review

Indian equity benchmarks ended on a strong note on Monday’s trading session.  Indices made gap-up opening, as a fall in the daily Covid-19 cases aided the market sentiments. With 366,499 fresh infections, India recorded a significant drop in the number of daily Covid-19 cases. Its cumulative caseload now stands at 22,662,410, while 246,146 people have died from the deadly virus. Sentiments also got boost after the Union Health Ministry said more than 72 lakh COVID-19 vaccine doses are still available with states and union territories, while over 46 lakh doses will be received by them within the next three days.

Markets maintained their gaining momentum during the whole day. Domestic sentiments remained positive, amid reports that corporate India is stepping up to shoulder coronavirus-induced challenges by lending a helping hand through various initiatives like testing, vaccination camps, financial aid, medical help and resource access for COVID-19 care. Adding more comfort among traders, Commerce and Industry Minister Piyush Goyal said that India is committed to concluding negotiations for the proposed free trade agreement and investment protection pact with European Union (EU) together at an early date.

Firm trade continued over the Dalal Street in the second half of the trading session, as the data of the commerce ministry showed continuing a positive growth, India's exports grew by 80 per cent to $7.04 billion during the first week of this month. Exports during May 1-7 last year stood at $3.91 billion and $6.48 billion in the same week of May 2019. Besides, with an aim to augment resources to the three tiers of Panchayats for fighting the contagion, the Department of Expenditure, Ministry of Finance, has released an amount of Rs 8,923.8 crore to 25 States for providing grants to the Rural Local Bodies (RLBs). The grants are meant for all the three tiers of Panchayati Raj Institutions - village, block and district.

On the global front, European markets were trading mostly in red even as reopening of economies and easy monetary policy lifted sectors that typically benefit from a recovery. Asian markets ended mostly higher on Monday, after Malaysia's unemployment rate declined marginally in March. The data from the Department of Statistics showed that the jobless rate fell to 4.7 percent in March from 4.8 percent in February. The number of unemployed persons decreased to 753,200 in March from 777,500 in the previous month. The number of employed rose by 0.4 percent monthly to 15.33 million in March from 15.27 million in the prior month.

The BSE Sensex ended at 49502.41, up by 295.94 points or 0.60% after trading in a range of 49412.05 and 49617.47. There were 25 stocks advancing against 5 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 0.97%, while Small cap index was up by 0.94%. (Provisional)

The top gaining sectoral indices on the BSE were Metal up by 3.53%, PSU up by 2.72%, Capital Goods up by 2.56%, Healthcare up by 2.27% and Power up by 2.13%, while IT down by 0.17% and TECK down by 0.01% were the only losing indices on BSE. (Provisional)

The top gainers on the Sensex were Larsen & Toubro up by 3.89%, Dr. Reddy’s Lab up by 3.01%, Sun Pharma up by 2.74%, NTPC up by 2.52% and Power Grid up by 2.42%. On the flip side, Ultratech Cement down by 1.22%, Infosys down by 0.95%, Reliance Industries down by 0.29%, HCL Tech. down by 0.25% and Axis Bank down by 0.24% were the top losers. (Provisional)

Meanwhile, the Federation of Automobile Dealers Associations (FADA) in its latest report has showed that the total vehicle registrations in India fell by 29.85 per cent to 1,52,71,519 units in financial year 2020-21, as compared to 2,17,68,502 units in fiscal year 2019-20.

FADA further said that all categories of vehicles, except tractors were in red in FY21 with two-wheeler (2W), three-wheeler (3W), commercial vehicles (CV) and passenger vehicles (PV) falling by 31.51 per cent, 64.12 per cent, 49.05 per cent and 13.96 per cent respectively -- the lowest in last eight years and way below the FY13 levels.

As per the report, passenger vehicles (PV) registrations were at 23,86,316 units last fiscal, as against 27,73,514 units in FY20, down 13.96 per cent, while those of two-wheelers dipped 31.51 per cent to 1,15,33,336 units as compared to 1,68,38,965 units in the previous fiscal. Three-wheeler registrations in FY21 were down 64.12 per cent at 2,58,174 units, as compared to 7,19,594 per cent in FY20, while CV registrations were at 4,48,914 units as against 8,81,114 units, a decline of 49.05 per cent.

The CNX Nifty ended at 14942.35, up by 119.20 points or 0.80% after trading in a range of 14892.50 and 14966.90. There were 40 stocks advancing against 10 stocks declining on the index. (Provisional)

The top gainers on Nifty were Coal India up by 7.45%, UPL up by 7.18%, Hindalco up by 6.15%, Indian Oil Corp. up by 4.70% and Tata Motors up by 4.00%. On the flip side, Shree Cement down by 1.90%, Britannia down by 1.37%, Ultratech Cement down by 1.22%, Infosys down by 0.96% and Hero MotoCorp down by 0.86% were the top losers. (Provisional)

European markets were trading mostly in red, France’s CAC decreased 12.01 points or 0.19% to 6,373.50 and Germany’s DAX was down by 22.85 points or 0.15% to 15,376.80. On the flip side, UK’s FTSE 100 increased 12.66 points or 0.18% to 7,142.37.

Asian markets ended mostly higher on Monday as weaker than expected US job growth in April eased concerns over prospects of higher interest rates. Chinese market eked out modest gain, with healthcare firms climbing after European Union leaders cranked up their criticism of the United States call to waive COVID-19 vaccine patents. Japanese market advanced as investors awaited earnings from prominent firms for signs of progress in a pandemic-hit economy. Meanwhile, Seoul stocks hit a record high as a disappointing US jobs report helped allay fears about higher inflation, interest rates and a cutback in stimulus.