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Indices trade higher; PSU bank shares witness bargain buying

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Last Updated : Jul 03 2024 | 3:17 PM IST
The key equity benchmarks continued to trade with major gains in mid-afternoon trade. The Nifty traded near the 24,250 mark. PSU bank shares advanced after declining in past two consecutive trading sessions.

At 13:30 IST, the barometer index, the S&P BSE Sensex was up 432.22 points or 0.55% to 79,873.78. The Nifty 50 index gained 124.65 points or 0.52% to 24,248.50.

The Sensex and Nifty clocked an all-time high of 80,074.3 and 24,307.25, respectively in early trade. Further, the Nifty Bank also hits record high at 53,256.70 in morning trade.

In the broader market, the S&P BSE Mid-Cap index rose 0.47% and the S&P BSE Small-Cap index jumped 0.70%.

The S&P BSE Small-Cap index hit an all-time high at 53,490.12.

The market breadth was positive. On the BSE, 2,307 shares rose and 1,577 shares fell. A total of 103 shares were unchanged.

Economy:

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Rising from 60.2 in May to 60.5 in June, the seasonally adjusted HSBC India Services Business Activity Index pointed to a sharp expansion in output. Demand strength and rising intakes of new business were cited as the key determinants of growth.

Supporting the upturn in total new business was a record expansion in international orders. Asia, Australia, Europe, Latin America, the Middle East and the US were all cited as sources of new work from abroad.

The HSBC India Composite Output Index recovered from 60.5 in the previous month to 60.9, highlighting a sharp rate of expansion that was considerably above the long-run series average. Manufacturing led the rise for the fifth straight month.

Supporting the stronger increase in output were faster expansions in new business at both goods producers and service providers. Aggregate sales rose sharply, helped by a near-record upturn in exports.

Buzzing Index:

The Nifty PSU Bank index gained 1.32% to 7,272.85. The index fell 2.43% in past two trading sessions.

State Bank of India (up 1.75%), Union Bank of India (up 1.69%), Bank of Baroda (up 1.45%), Canara Bank (up 1.15%), Punjab National Bank (up 1.1%), UCO Bank (up 0.85%), Bank of India (up 0.65%), Indian Overseas Bank (up 0.51%), Bank of Maharashtra (up 0.49%) and Punjab & Sind Bank (up 0.31%) advanced.

Numbers to Track:

The yield on India's 10-year benchmark federal shed 0.07% to 7.004 as compared with previous close 7.009.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 83.5350, compared with its close of 83.4800 during the previous trading session.

MCX Gold futures for 5 August 2024 settlement rose 0.84% to Rs 72,155.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.10% to 105.62.

The United States 10-year bond yield grew 0.03% to 4.438.

In the commodities market, Brent crude for September 2024 settlement gained 29 cents or 0.34% to $ 86.53 a barrel.

Stocks in Spotlight:

Sundaram-Clayton rallied 3.21% after the company's board approved to raise funds not exceeding Rs 400 crore in one or more tranhces.

JSW Infrastructure shed 0.59%. The company said that its subsidiary JSW Tuticorin Multipurpose Terminal has entered into a concession agreement with V.O. Chidambaranar Port Authority, Tamil Nadu.

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First Published: Jul 03 2024 | 2:38 PM IST

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