Barometers turn range bound; pharma stocks in demand

The domestic equities trade near the flat line in mid-morning trade. Metal, oil & gas and bank were under pressure while pharma and IT shares were in demand. The Nifty slipped below the 17,000 mark after briefly crossing that level in mid-morning trade.

At 11:30 IST, the barometer index, the S&P BSE Sensex, fell 49.84 points or 0.09% at 57,074.47. The Nifty 50 index lost 27.45 points or 0.16% at 16,976.30.

In the broader market, the S&P BSE Mid-Cap index fell 0.29% while the S&P BSE Small-Cap index rose 0.14%.

The market breadth was positive. On the BSE, 1,850 shares rose and 1,373 shares fell. A total of 171 shares were unchanged.

Economy:

India looks set to overtake France next year and then Britain in 2023 to regain its place as the world`s sixth biggest economy.

In a report, the British consultancy CEBR said the world`s economic output will exceed 100 trillion dollar for the first time next year and it will take China a little longer than previously thought to overtake the United States as the No.1 economy. CEBR predicted China will become the world`s top economy in dollar terms in 2030, two years later than forecast in last year`s World Economic League Table report.

CEBR deputy chairman Douglas McWilliams said, the important issue for the 2020s is how the world economies cope with inflation, which has now reached 6.8 per cent in the U.S.

The report showed Germany was on track to overtake Japan in terms of economic output in 2033. Russia could become a Top 10 economy by 2036 and Indonesia looks on track for ninth place in 2034.

Buzzing Index:

The Nifty Pharma index rose 0.78% to 13,596.80. The index skid 1.12% in the past trading session.

Torrent Pharmaceuticals (up 3.22%), Laurus Labs (up 3.16%), Natco Pharma (up 2.48%), Glenmark Pharmaceuticals (up 1.62%) and Lupin (up 1.38%) were the top gainers in the Pharma segment.

Stocks in Spotlight:

GMR Infrastructure rose 1.17%. The letter of award for the project was received on 23 November 2021. GMR Airports Netherlands B.V., a step down subsidiary of GMR Airports (GAL), on 23 December 2021, signed the shareholders` agreement (SHA) and share subscription agreement (SSA) with Angkasa Pura II (AP II) for the development and operation of Kualanamu International Airport (project) in Medan, Indonesia. AP II is the state-owned enterprise and the bidding authority for the Kualanamu International Airport.

Adani Transmission (ATL) gained 1.15% after the company said that it has received a letter of intent (LoI) for the acquisition of Karur Transmission. The company won the Karur Transmission project through the tariff-based competitive bidding (TBCB) process and has received the LoI for the central renewable energy (RE) evacuation project. ATL will build, own, operate and maintain the transmission project in Tamil Nadu for a period of 35 years.

Global Markets:

Asian stocks were mixed on Monday, 27 December 2021, with multiple major markets in the region closed for holidays, as uncertainty over the economic impact of the Omicron coronavirus variant continue to weigh on investor sentiment. Major markets in Asia-Pacific such as Australia and Hong Kong are closed for the Christmas holidays.

China`s industrial profits in November jumped 9% from last year, data released by China`s National Bureau of Statistics showed. The US markets were shut on Friday, 25 December 2021 on account of Christmas holiday.

US airlines have cancelled or delayed thousands of flights over the past three days due to COVID-19-related staff shortages, while several cruise ships had to cancel stops after outbreaks on-board.

Powered by Capital Market - Live News