Markets rise despite weak cues; Sensex, Nifty 50 near day's high; Media, Consumer Durable stocks outperform; Titan, Bharti Airtel top bulls

The performance comes after the country's WPI inflation spiked, unlike its counterpart CPI that eased in August.

Sep 15, 2021 09:09 IST India Infoline News Service

Bull and bear
Indian markets traded on a higher note despite weak global cues on Wednesday. However, the pace of upside in benchmarks Sensex and Nifty 50 was at a slower pace. Consumer Durables stocks outperformed, while substantial push was given by oil & gas and IT stocks.

Sensex was a couple of points away from 58,400, however, resisted due to banking stocks that pulled back. Nifty 50 advanced by more than 17,420 at least. The performance also comes after the country's WPI inflation spikes, unlike its counterpart CPI that eased in August.

At around 09.29 AM, Sensex was trading at 58,335.87 up 88.78  points or 0.15%, after touching an intraday high and low of 58,388.99 and 58,272.82 respectively.

Meanwhile, Nifty 50 traded at 17,417.35 higher by 37.35 points or 0.21%. The index had touched the day's high and low of 17,421.50 and 17,386.90 respectively.

In terms of sectoral indices, on BSE, the Consumer Durables index outperformed by rising more than 530 points. BSE Oil & Gas surged nearly 1% after hitting a new 52-week high of 17,702.92. Industrial, Capital Goods and Power indexes also touched a new all-time high.

On NSE, the Nifty Media extended its fresh record highs by nearly 5%. Consumer Durables, Realty and Oil & Gas stocks also witnessed buying spree.

Top bulls on Sensex were - Titan surging 3.4% followed by Bharti Airtel and NTPC climbing 1.5% and 1.4% respectively. Stocks like Bajaj Auto, M&M, Ultratech Cement, Nestle, Bajaj Finserv and RIL jumped between 0.5-1%.

Top bears on Sensex were - Axis Bank and Tech Mahindra plunging nearly 1% each. HDFC Bank, HCL Tech and TCS dived marginally.

Tata stocks will be in focus on Wednesday after reports stated that the parent Tata Sons is planning to revamp its leadership structure and is looking to appoint a chief executive officer. It is being known that Ratan Tata's approval is key to implement the new enhancement in the management.

India's wholesale price index (WPI) inflation increased to 11.39% in August compared to 11.16% in July and 12.07% in June this year. The WPI was at 0.41% in August 2020.

Asian stocks were broadly mixed with Hang Seng and Japan's Nikkei 225 diving by more than 200 points and 160 points respectively. Australia's S&P/ASX dipped 0.5%. China's Shanghai Composite traded marginally up, while South Korea's KOSPI was along similar lines.

Traders on the Asian front reacted cautiously after the Chinese economic data showed a weaker pace of growth that fuelled worries over slowing economic growth globally as well. China's retail sales and industrial output grew at a weaker pace indicating that business activities in the country are impacted due to the localised Covid-19 led lockdowns, higher raw material costs and supply bottlenecks.

Chinese stocks have been rank underperformers and Hang Seng continues to be the worst-performing index over the last month. Metal prices also fall as copper hits one-month lows which could see more pressure on Chinese stocks.

Further, the Asian stocks tracked the weak US cues that saw profit booking overnight.

On Wall Street, on Tuesday, US markets dipped after a one-day pullback as the undertone remains weak with selling emerging on all rallies. Inflation comes below expectations which see bond yields hit 1.28%, however lower yields sees banks and financials come under selling pressure. Dow Jones ends near 2-month lows while Nasdaq falls for 6th consecutive day.

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