Nifty at 17,650; European shares decline

5 Sep 2022 , 01:32 PM

The headline equity indices traded with modest gains in the afternoon trade. The Nifty traded near 17,650 mark. Barring the Nifty FMCG index, all the other sectoral indices on the NSE were in the green. At 13:26 IST, the barometer index, the S&P BSE Sensex, was up 383.28 points or 0.65% to 59,186.61. The Nifty 50 index added 110.40 points or 0.63% to 17,649.85. In the broader market, the S&P BSE Mid-Cap index rose 0.38% while the S&P BSE Small-Cap index advanced 0.91%. The market breadth was strong. On the BSE, 2,198 shares rose and 1,312 shares fell. A total of 164 shares were unchanged. Mixed jobs data in the US coupled with surging gas prices in Europe after Russia shut a major gas exports pipeline weighed on investor sentiment. Hindalco Industries (up 2.94%), JSW Steel (up 2.54%), Reliance Industries (up 1.70%), HCL Technologies (up 1.47%) and Kotak Mahindra Bank (up 1.46%) were top Nifty gainers. Bajaj Auto (down 1.61%), Nestle India (down 1.09%), Britannia Industries (down 0.97%), Apollo Hospitals Enterprise (down 0.96%) and Divis Laboratories (down 0.76%) were major Nifty losers. Economy: The seasonally adjusted S&P Global India Services PMI Business Activity Index rose from Julys four-month low of 55.5 to 57.2 in August, highlighting a rebound in growth. The upturn was attributed to stronger gains in new business, ongoing improvements in demand, job creation and overtime work. Stocks in Spotlight: Wipro declined 0.55%. The IT major on Friday announced that it has partnered with Cisco to accelerate cloud transformation for customers. The IT company said that the partnership will enable its customers to deploy Wipro FullStride Cloud Service to enable a fully automated hybrid-cloud stack, reducing the implementation time and enhancing the user experience. Wipro and Cisco will collaborate to bring together the edge, private, and public clouds to create an agile, programmable, and adaptable hybrid cloud solution. Angel One gained 1.28% after the brokerage company said that its client base climbed 81.9% to 11.18 million in August 2022 as against 6.15 million in August 2021. On a sequential basis, the companys client base rose by 4% month on month (MoM) from 10.75 million clients in July 2022. Gross client acquisition stood at 0.44 million in August 2022 compared with 0.34 million in July 2022 (up 28.7%) and 0.45 million in August 2021 (down 1.06%). GMR Infrastructure shed 1.14%. The companys board of directors has approved raising of funds of up to Rs 6,000 crore in one or more tranche(s) through issue of securities. One 97 Communications fell 2.56%. The company, which operates under the Paytm brand, on Sunday denied any link with the merchants that are under the Enforcement Directorate scanner in the Chinese loan app case. The ED on Saturday said it has conducted raids at six premises of online payment gateways, such as Razorpay, Paytm and Cashfree in Bengaluru, over the alleged irregularities in instant app-based loans controlled by Chinese persons. Global markets: European shares declined while Asian stocks were trading mixed on Monday as investors digest the results of a private survey on Chinese services sector activity. Chinas Caixin Services Purchasing Managers Index came in at 55.0, compared with Julys print of 55.5. The au Jibun Bank Japan Services Purchasing Managers Index dropped to a seasonally adjusted 49.5 for August, lower than 50.3 in July. The marginal decline marks the first contraction in service sector business activity since March, S&P said in the report, citing the recent spike in Covid cases in the nation. US stocks closed lower on Friday, as early gains from a jobs report that showed a labor market that may be starting to loosen gave way to worries about the European gas crisis. American employers slowed down their hiring in August in the face of rising interest rates, high inflation and sluggish consumer spending. The US government reported on Friday that the economy added 315,000 jobs last month, down from 526,000 in July and below the average gain of the previous three months. The unemployment rate rose to 3.7%, from a half-century low of 3.5% in July. Meanwhile, the G-7 agreed to explore the prospect of imposing a ban on shipments of Russian oil above a certain price in June. The statement from the G-7 added that the price caps effectiveness and impact would be closely monitored and revisited as necessary. The G-7 price cap on Russian oil comes as Western economic powers seek to deplete Russias war chest. Powered by Capital Market – Live News