Market opens on a firm note; breadth strong
Published on Jun 01, 2022 09:28
The key equity indices were trading with decent gains at the onset of trading session on Wednesday. The Nifty was trading above 16,600 level. Barring oil & gas index, all the other sectoral indices were trading in the green.
At 09:25 IST, the barometer index, S&P BSE Sensex was up 169.75 points or 0.31% to 55,736.16. The Nifty 50 index rose 45.90 points or 0.28% to 16,630.45.
The broader market outperforms the benchmark indices. The S&P BSE Mid-Cap index rose 0.49% while the S&P BSE Small-Cap index gained 1%.
The market breadth was strong. On the BSE, 1,866 shares rose while 601 shares fell. A total of 110 shares were unchanged.
Foreign portfolio investors (FPIs) sold shares worth Rs 1,003.56 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 1,845.15 crore in the Indian equity market on 31 May 2022, provisional data showed.
India`s GDP growth in Q4 FY22 was at 4.1% year-on-year, compared to a revised growth of 5.4% for Q3 FY22. Gross Value Added (GVA), which excludes the impact of subsidies and indirect taxes, grew 3.9% year-on-year in the fourth quarter.
For the full fiscal year, GDP grew 8.7% year-on-year, compared to a contraction of 6.6% in FY21. GVA for FY22 grew 8.1% year-on-year, compared to a contraction of 4.8% in FY21.
Stocks in Spotlight:
Bharat Dynamics (BDL) rallied 4.87% after the state-run company has signed a contract worth Rs 2,971 crore with Ministry of Defence. The contract is for the supply of ASTRA MK-I beyond visual range (BVR) air-to-air missile and associate equipment to the Indian Air Force & the Indian Navy.
Rail Vikas Nigam (RVNL) gained 4.01%. The company`s joint venture named RVNL - Bhartia JV has been awarded Letter of Acceptance (LoA) by Northeast Frontier Railway for Construction of Single Line BG Tunnel. The total estimated cost of the project is Rs 560.26 crore.
HFCL advanced 2.38%. The company, along with its material subsidiary HTL, has received the purchase orders aggregating to Rs 237.25 crore, from one of the leading private telecom operators of the country for supply of optical fibre cables (OFC).
Quess Corp rose 1.08%. The board approved an interim dividend at Rs 4 per equity share for the financial year ended 31 March 2022. The record date is on 10 June 2022.
Somany Ceramics fell 1.70 after Saikat Mukhopadhyay has tendered his resignation from the post of chief financial officer of the company vide his letter dated 30 May 2022.
Gujarat Themis Biosyn fell 0.47% after Jagadish G. Kaujalgi, chief executive officer of the company, has tender his resignation with effect from 10 July 2022 vide letter date 30 May 2022.
The US Dow Jones index futures were up 157 points, indicating a positive opening in the US stocks today.
Asian shares were mixed on Wednesday as investors reacted to the release of a private survey on Chinese factory activity for May.
China`s Caixin/Markit manufacturing Purchasing Managers` Index for May came in at 48.1 on Wednesday, an improvement over April`s reading of 46 but still remaining below the 50-level mark that separates expansion from contraction.
Meanwhile, Bank of Japan Deputy Gov. Masazumi Wakatabe said Wednesday that both monetary easing and fiscal expansion would be needed to tackle higher commodity prices and Japan`s low inflation at the same time.
The deputy governor also said medium- to long-term inflation is still expected to rise only moderately in Japan, where he believes there are "scarring effects of prolonged deflation."
U.S. stocks closed lower Tuesday, as Treasury yields pushed higher following last week`s equity market bounce after a historic string of weekly losses. The S&P 500 shed 0.63% to 4,132.15. The Dow Jones Industrial Average dropped 222.84 points, or 0.67%, to 32,990.12. The tech-heavy Nasdaq Composite dipped 0.41% to 12,081.39.
In the commodities market, Brent crude for August 2022 settlement was up $0.23 or 0.20% at $115.83 a barrel. The gains came after European Union leaders agreed to a partial and phased ban on Russian oil and China ended its COVID-19 lockdown in Shanghai.
Powered by Capital Market - Live News