Markets regain footing as Trump rekindles trade truce hopes

| | Mumbai
  • 0

Markets regain footing as Trump rekindles trade truce hopes

Thursday, 15 August 2019 | PTI | Mumbai

Equity benchmarks notched up smart gains on Wednesday as positive macroeconomic data and US delaying tariffs on some Chinese goods buoyed investor sentiment. After surging 515 points during the session, the 30-share BSE Sensex settled 353.37 points or 0.96% higher at 37,311.53.

The broader NSE Nifty reclaimed the 11,000-mark, jumping 103.55 points or 0.95% to close at 11,029.40.

Asian markets closed in the positive territory after US President Donald Trump delayed tariffs on electronic goods from China, assuaging investor concerns over the prolonged US-China trade war.

Domestic investor sentiment got an additional boost as easing retail and wholesale inflation left room for the Reserve Bank to go for another round of rate cut in October, experts said.

Top gainers in the Sensex pack included Vedanta, Tata Steel, Yes Bank, Tech Mahindra, Hero MotoCorp, Bharti Airtel, SBI and Bajaj Finance and IndusInd Bank, which rose up to 4.83%.

However, Sun Pharma, ONGC, Kotak Bank, Tata Motors, Asian Paints, HCL Tech and NTPC ended up to 4.58% lower.

“Moderation in inflation and positive development between US-China on trade war boosted the market sentiment. Market is expecting another rate cut and supportive actions by the government... These points are going to define the trend of the market in the short-term. Any delay in measures can have an adverse impact on the market,” said Vinod Nair, head of research, Geojit Financial Services.

Barring healthcare, all BSE sectoral indices ended in the green, led by metal, telecom, basic materials, capital goods, oil and gas, finance, bankex and teck, which gained up to 2.68%. The broader BSE midcap and smallcap indices ended up to 0.85% higher.

Globally, enthusiasm on the US-China trade front was tempered by disappointing Chinese industrial growth data, while Germany’s economy shrank by 0.1% in the three months to June, hinting at a looming global recession.

Elsewhere in Asia, Hang Seng, Kospi, Shanghai Composite Index and Nikkei closed with gains. Equities in Europe, on the other hand, were trading in the red in early deals.

Meanwhile, the Indian rupee appreciated 13 paise to 71.27 against the US dollar intra-day. Brent crude futures, the global oil benchmark, slipped 0.83% to USD 60.79 per barrel.

Gold loses sheen

New Delhi: Gold price on Wednesday slumped `425 to `37,945 per 10 gram in the national capital due to lacklustre demand from jewellers despite the precious metal gaining overseas, according to the All India Sarafa Association.  Silver also declined `690 to `44,310 per kilogram on reduced offtake by industrial units and coin makers. Easing demand from jewellers in the domestic spot market led to the dip in price of the precious metal, traders said. However positive trend overseas capped the fall, they added.      

State Editions

CM issues instructions for cultural programmes

16 October 2019 | Staff Reporter | Bhopal

24 farmers, 3 officials depart for Israel

16 October 2019 | PNS | Ranchi

Cabinet OK’s 5% DA hike of State Govt employees

16 October 2019 | PNS | Ranchi

Need to conserve tribal culture: Das

16 October 2019 | PNS | Ranchi

Naveen’s biggest asset is not reacting to his critics

16 October 2019 | BISWARAJ PATNAIK | Bhubaneswar

Lawyers’ frequent strikes irk Orissa HC Full Bench

16 October 2019 | PNS | Bhubaneswar

Sunday Edition

The French Bulldozer

13 October 2019 | Miniya Chatterji | Agenda

the power of Forgiveness

13 October 2019 | Swami Mukundananda | Agenda

Yoga and mindfulness

13 October 2019 | Jacqualine Tara Herron | Agenda

Attention feels good

13 October 2019 | Ajit Kumar Bishnoi | Agenda

Astroturf | Check your child’s behaviour early

13 October 2019 | Bharat Bhushan Padmadeo | Agenda

It’s a fine job

13 October 2019 | MUSBA HASHMI | Sunday Pioneer