The Indian equity markets have made a gap up start tracking positive cues from global indices. The US markets continued their bull run for the fourth consecutive day overnight while, all the Asian equity indices barring KLSE Composite were trading in the positive terrain. However, increased buying by funds and retail investors following easing concerns over the European debt crisis and fall in food inflation on domestic front too aided the sentiments. Back home, sustained buying in mostly all the key heavyweights along with broader indices supported BSE's -- Sensex -- and NSE's -- Nifty -- to trade comfortably over their crucial 18,900 and 5,650 mark respectively. Though, Sensex touched its crucial 19,000 mark for a while in the initial trade, but, came off a bit after hitting 8-1/2-week high as some of the profit booking witnessed in Reliance Industries while, Bharti Airtel declined by over two percent after one of the top broking firm downgrade its rating. The broader indices were outperforming benchmarks. The market breadth on the BSE was positive; there were 1,384 shares on the gaining side against 413 shares on the losing side while 50 shares remained unchanged.
The BSE Sensex opened at 18,974.96; about 129 points higher compared to its previous closing of 18,845.87, and has touched a high and a low of 19,031.38 and 18,887.91 respectively.
The index is currently trading at 18,925.39, up by 79.52 points or 0.42%. There were 25 stocks advancing against just 5 declines on the index.
The overall market breadth has made a strong start with 74.93% stocks advancing against 22.36% declines. The broader indices were outperforming benchmarks; the BSE Mid cap and Small cap indices surged 0.78% and 1.00% respectively.
The top gaining sectoral indices on the BSE were, Realty up by 1.75%, PSU up by 0.97%, FMCG up by 0.88%, Metal up by 0.86% and IT was up by 0.76%. While, there were no losers on the index.
The top gainers on the Sensex were RCom up by 3.71%, ONGC up by 2.74%, Sterlite Industries up by 2.11%, Jaiprakash Associates up by 1.79% and DLF was up by 1.66%.
On the flip side, Bharti Airtel was down by 2.34%, HUL was down by 0.99%, Maruti Suzuki was down by 0.99%, RIL was down by 0.56% and Cipla was down by 0.26% were the only losers on the Sensex.
Meanwhile, the Free Trade Agreement (FTA) between India and Malaysia will come into effect from July 01 2011. This FTA will provide access to Indian professional like accountants, engineers and doctors to the key South-East Asian nation. As per the official statement released by Ministry of commerce and industry on June 30, "the Comprehensive Economic Cooperation Agreement (CECA) envisage liberalization of trade in goods, trade in services, investments and other areas of economic cooperation." This is the fourth FTA with key Asian country, before this India has also entered into similar agreement with South Korea, Singapore and Japan, while FTA with Japan will come into effect from August.
According the statement, under India-Malaysia CECA, the items on which India has obtained market access from Malaysia includes basmati rice, mangoes, eggs, trucks, motorcycles and cotton garments, which are all items of considerable export interest to India. However, adequate protection has been provided by the Indian side for sensitive sectors such as agriculture, fisheries, textiles, chemicals, auto, etc, it added.
The CECA also facilitates the temporary movement of business people including contractual service suppliers, and independent professionals in commercially meaningful sectors including accounting and auditing, architecture, urban planning, engineering services, medical and dental, nursing and pharmacy, Computer and Related Services (CRS), and Management Consulting Services.
It aims to promote investments and create a liberal, facilitative, transparent and competitive investment regime. The CECA creates an attractive operating environment for the business communities of the both countries to increase bilateral trade and investment, the statement said.
The two way trade between India and Malaysia increased by 26% to $10 billion in 2010-11 from 2009-10, the implementation of FTA is expected to boost the bilateral trade to $15 billion by 2015.
India had already entered, an FTA with ASEAN, a ten nation association, and this CECA agreement with Malaysia will further liberalizes tariffs beyond the India-ASEAN FTA, which is in implementation from January 01, 2010.
The S&P CNX Nifty opened at 5,705.75; about 58 points higher compared to its previous closing of 5,647.40, and has touched a high and a low of 5,705.80 and 5,655.60 respectively.
The index is currently trading at 5,667.70, higher by 20.30 points or 0.36%. There were 40 stocks advancing against 10 declines on the index.
The top gainers of the Nifty were RCom up by 3.76%, ONGC up by 2.44%, GAIL up by 2.30%, Sterlite Industries up by 1.93% and Reliance Infra up by 1.84%.
On the flip side, Bharti Airtel down by 2.37%, Cairn down by 1.23%, Maruti Suzuki down by 1.11%, HUL down by 1.09% and Reliance Industries down by 0.62%, were the major losers on the index.
All the Asian equity indices barring KLSE Composite were trading in the green; Shanghai Composite was up 10.60 points or 0.38% to 2,772.68, Jakarta Composite was up 60.14 points or 1.55% to 3,948.71, Nikkei 225 was up 59.03 points or 0.60% to 9,875.12, Straits Times was up 18.43 points or 0.59% to 3,138.87, Seoul Composite was up 22.84 points or 1.09% to 2,123.53 and Taiwan Weighted was up by 85.10 points or 0.98% to 8,737.69.
On the flip side KLSE Composite was down by 0.25 points or 0.02% to 1,578.82.
However, Stock markets in Hong Kong remained closed on account of Special Administration Region (SAR) Day.
Unit-8, 3rd Floor, First Mall, The Mall, Ludhiana-141001, Punjab (INDIA).
| To unsubscribe or change subscriber options visit: http://www.aweber.com/z/r/?TJzsLEwstCyc7OysHMyctEa0jAzMDIyszCw=  |
Posts
0 comments:
Post a Comment
Note: only a member of this blog may post a comment.