HOME > MARKETS > MARKET COMMENTARY
  MARKET COMMENTARY
EQUITY
Markets continue to trade higher in late morning deals
Jan-15-2025

Domestic equity indices continued to trade higher in late morning deals on account of buying by funds and retail investors. Meanwhile, broader indices outperformed their large peers with BSE Mid cap index and Small cap index gaining in the range of 0.50-0.85%. Hectic buying in Power Grid, Zomato, NTPC, Kotak Mahindra Bank and Maruti Suzuki companies’ stocks supported the markets to trade higher. Sentiments got boost after private report said India stands out as a promising market with vast untapped potential, as the country remains below the global average in product penetration across several key sectors. The report highlighted that the under-penetration, coupled with the rising desire for premium products, is set to drive domestic demand dynamics in the coming years. Almost all the sectoral indices on BSE were trading into positive territory; however stocks from Healthcare counter was the only exception. Stocks from Utilities, Power, PSU, Realty and Metal counters were the prominent gainers of the session. 

On the global front, Asian markets were trading mostly in red as traders were cautious and reluctant to make more significant moves ahead of a more closely watched report on US consumer price inflation later in the day that could influence the US Fed's rate trajectory. Back home, in the stock specific development, Premier Energies surged after the company secured and accepted multiple orders aggregating to Rs 1,460 crore.

The BSE Sensex is currently trading at 76833.24, up by 333.61 points or 0.44% after trading in a range of 76555.94 and 76991.05. There were 19 stocks advancing against 11 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.52%, while Small cap index up by 0.81%.

The top gaining sectoral indices on the BSE were Utilities up by 2.94%, Power up by 2.44%, PSU up by 1.52%, Realty up by 1.16%a and Metal up by 1.01%, while Healthcare down by 0.92% was the only losing index on BSE.

The top gainers on the Sensex were Power Grid up by 4.00%, Zomato up by 3.76%, NTPC up by 3.49%, Kotak Mahindra Bank up by 2.19% and Maruti Suzuki up by 1.94%. On the flip side, Bajaj Finance down by 2.23%, Bajaj Finserv down by 2.11%, Axis Bank down by 1.56%, Mahindra & Mahindra down by 1.46% and Nestle down by 1.46% were the top losers.

Meanwhile, credit rating agency ICRA in its latest report has said that the country's civil aviation industry is projected to report a net loss of Rs 2,000 crore to Rs 3,000 crore in the current (FY25) and next financial year (FY26) as supply chain challenges and engine issues are expected to continue for some more time. It said that domestic air passenger traffic was estimated at 153 lakh in December, 7.3 per cent higher compared to 142.5 lakh recorded in November last year. Further, it grew by 10.8 per cent on a YoY basis and was higher by around 17.5 per cent than the pre-Covid levels, i.e., December 2019. 

The report said the airlines' capacity deployment in December 2024 was higher than December 2023 by around 7.5 per cent and by around 3.8 per cent over November 2024. Giving a stable outlook for the Indian aviation industry, ICRA said there are expectations of moderate growth in domestic air passenger traffic and a relatively stable cost environment in FY25. Moreover, the industry witnessed improved pricing power during FY24, reflected in the higher yields (over pre-Covid levels) and the revenue per available seat kilometre-cost per available seat kilometre (RASK-CASK) spread of the airlines.

According to the report, the momentum in the air passenger traffic growth witnessed in FY2024 is likely to marginally taper to 7-10 per cent in FY2025 (compared to 13 per cent in FY2024), given the high base of FY2024 and lower passenger traffic in H1 FY2025, impacted by severe heat waves and other weather-related disruptions. The yields are also likely to be under pressure, as airlines strive to maintain adequate passenger load factor (PLF). International passenger traffic for Indian carriers is expected to grow by 15-20 per cent in FY2025. Supply chain challenges and engine failure issues impacted the industry capacity over the last 18 months and are expected to continue affecting it this year. 

The CNX Nifty is currently trading at 23247.30, up by 71.25 points or 0.31% after trading in a range of 23165.30 and 23293.65. There were 30 stocks advancing against 20 stocks declining on the index.

The top gainers on Nifty were Power Grid up by 3.82%, NTPC up by 3.59%, Coal India up by 3.02%, Kotak Mahindra Bank up by 2.22% and Maruti Suzuki up by 2.08%. On the flip side, Bajaj Finserv down by 2.32%, Bajaj Finance down by 2.28%, Shriram Finance down by 2.13%, HDFC Life Insurance down by 1.85% and Axis Bank down by 1.77% were the top losers.

Asian markets were trading mostly in red; Hang Seng declined 3.78 points or 0.02% to 19,216.00, Shanghai Composite weakened 14.74 points or 0.45% to 3,226.20, Straits Times fell 18.51 points or 0.49% to 3,770.26, KOSPI dropped 3.07 points or 0.12% to 2,494.33, Nikkei 225 slipped 144.16 points or 0.37% to 38,330.14 and Taiwan Weighted lost 277.78 points or 1.23% to 22,519.74. However, Jakarta Composite gained 42.8 points or 0.61% to 6,999.47.
  RELATED NEWS >>
Most Viewed >>
January 13 , 2025
FoFs get their groove back: Tax tune-up resets
January 13 , 2025
Equity mutual funds lost up to 7% last week. H
January 04 , 2025
IPO Calendar: 11 public offerings to keep inve
January 08 , 2025
Why is Nifty Bank going up- top gainers on Ban
EXPLORE
© CITRUS INTERACTIVE
Designed & Developed Accord Fintech Pvt. Ltd.