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Domestic indices trade deeply in red in late morning deals
Sep-06-2024

Domestic equity indices traded deeply in red in late morning deals as market participants indulged in reducing their positions. Sensex fell around 900 points and Nifty dropped over 240 points. Hectic selling in SBI, Adani Ports, NTPC, Reliance Industries and Tata Motors companies’ stocks dragged the markets to near low points of day. Meanwhile, broader indices were also trading in red with BSE Mid cap index and Small cap index falling in the range of 0.60-1.00 percent. Investors stayed cautious ahead of a key U.S. jobs report that could influence the magnitude and pace of the Federal Reserve's interest rate cuts. All the sectoral indices on the BSE were trading in red led by Telecom, PSU, Oil & Gas, Energy and Capital Goods. 

On the global front, Asian markets were trading mixed after Japan’s household spending data for July rose 0.1% in real terms from the previous year, compared to a 1.2% rise expected from street, and a reversal compared to a 1.4% fall in June. Back home, in the stock specific development, Sundaram-Clayton surged after the company announced that it has commissioned the commercial production of Aluminium Die Castings, effective September 5, in Tamil Nadu. 

The BSE Sensex is currently trading at 81305.49, down by 895.67 points or 1.09% after trading in a range of 81248.14 and 82254.79. There were 4 stocks advancing against 26 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index was down by 1.00%, while Small cap index down by 0.63%.

The top losing sectoral indices on the BSE were Telecom down by 2.96%, PSU down by 2.37%, Oil & Gas down by 2.07%, Energy down by 2.02% and Capital Goods down by 1.47%, while there were no gainers. 

The top gainers on the Sensex were Bajaj Finance up by 1.22%, Hindustan Unilever up by 0.74%, Asian Paints up by 0.61% and Bajaj Finserv up by 0.39%. On the flip side, SBI down by 3.69%, Adani Ports down by 2.27%, NTPC down by 2.14%, Reliance Industries down by 1.90% and Tata Motors down by 1.80% were the top losers.

Meanwhile, the Railway Board has said that the freight loading statistics for August 2024 highlighted the remarkable performance of Indian Railways as a total of 126.97 million tonnes (MT) of freight was loaded in August alone, contributing to a cumulative total of 653.22 MT for the financial year 2024-25 up to August. As the backbone of the nation's freight transportation, Indian Railways has been facilitating the movement of a vast array of goods across the country with an unwavering commitment to sustainability and efficiency. 

The Railways Ministry said to meet the ambitious target of 3,000 million tonnes (MT) of freight loading by 2030, Indian Railways is expanding its network, upgrading its fleet and enhancing its operational efficiency as part of the National Rail Plan. According to the ministry, this marks a significant increase from the 634.68 MT loaded during the same period in the previous financial year and the year 2023-24 saw a total of 1,591 MT of freight loaded, generating a substantial revenue of Rs 1,68,276 crore. Among all the commodities transported by Indian Railways, coal stands out as the most significant. As of August 2024, Indian Railways has transported 333.40 MT of coal, surpassing the 266.71 MT transported up to the same month in the previous financial year. The total coal loading for the year 2023-24 was 787.58 MT, an increase from 727.98 MT in 2022-23. Indian Railways is not limited to transporting coal and handles a diverse range of commodities essential for the nation's economy.

Elaborating on the commodities handled by its freight service, the ministry stated that the Railways transports around 48 types of coal and coke products, 54 types of minerals and ores, 37 types of food grains, flours & pulses and 23 types of cement and clinker products. Additionally, it moves 42 types of chemical manures, 75 types of iron and steel products, 39 types of petroleum products and gasses and 4 types of automobiles products. There are also 2 types of container services, 51 types of sugar, salt, spices, oils & more, 13 types of pig, sponge, wrought iron & related products and 39 types of stone/bamboo chips, granite & more. Beyond these, Indian Railways also handles 219 types of other products, showcasing its vast capability in freight transportation.

The CNX Nifty is currently trading at 24904.20, down by 240.90 points or 0.96% after trading in a range of 24859.60 and 25168.75. There were 11 stocks advancing against 39 stocks declining on the index.

The top gainers on Nifty were LTIMindtree up by 2.04%, Bajaj Finance up by 1.18%, Asian Paints up by 0.67%, Hindustan Unilever up by 0.67% and Bajaj Finserv up by 0.46%. On the flip side, SBI down by 3.49%, Coal India down by 2.63%, NTPC down by 2.05%, Adani Ports down by 2.05% and Tata Motors down by 1.79% were the top losers.

Asian markets were trading mostly mixed; Shanghai Composite weakened 9.27 points or 0.33% to 2,779.04, KOSPI dropped 28.35 points or 1.11% to 2,547.15 and Nikkei 225 slipped 257.62 points or 0.71% to 36,399.47. However, Straits Times rose 0.83 points or 0.02% to 3,459.49, Taiwan Weighted added 234.36 points or 1.09% to 21,422.07 and Jakarta Composite gained 50.45 points or 0.65% to 7,731.49.

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