Indices spurt in early trade on positive Asian stocks

The domestic equities are trading with strong gains in early trade amid positive Asian stocks. The Nifty index re-claimed its 17,600 level.

At 9:30 IST, the barometer index, the S&P BSE Sensex, jumped 302.11 points or 0.51% at 59,088.78. The Nifty 50 index gained 93.55 points or 0.53% at 17,604.85.

In the broader market, the S&P BSE Mid-Cap index rose 0.63% while the S&P BSE Small-Cap index added 0.98%.

The market breadth was strong. On the BSE, 2,011 shares rose and 405 shares fell. A total of 98 shares were unchanged.

Foreign portfolio investors (FPIs) sold shares worth Rs 1,092.40 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 386.63 crore in the Indian equity market on 10 December 2021, provisional data showed.

Economy:

India's index of industrial production (IIP) grew by 3.2% in October 2021, according to the data released by the Ministry of Statistics & Programme (MoSPI) on Friday. Industrial output, as measured by IIP, leapt 4.5% in October 2020 and surged 3.1% in September. Meanwhile, the mining output during October (2021) rose by 11.4%, whereas, manufacturing sector output jumped 2%. Electricity generation in October grew 3.1%.

As per the BRICS Economic Bulletin 2021 released by the Reserve Bank of India (RBI) on 10 December 2021, India's recovery from the slowdown inflicted by the COVID-19 pandemic is projected to be higher than other member nations.

Stocks in Spotlight:

UltraTech Cement rose 0.86%. The company informed that it had participated in the e-auction of Ravur Limestone Block conducted by the Government of Karnataka and has been declared as the preferred bidder. The block is situated in Tehsil Chittapur, Kalburgi district of Karnataka and has a total geological resources of 708 million tonnes of limestone over an area of 7.13 sq kms.

Godrej Properties fell 0.37%. The firm acquired 100% issued and paid-up share capital of Yerwada Developers (YDPL). Post-acquisition, YDPL has become the wholly-owned subsidiary of the company and will subsequently hold 20% stake in YDPL. The balance will be held by a real estate focused investment fund of Godrej Group.

Antony Waste Handling Cell spurted 9.86% after its material subsidiary, AG Enviro Infra Projects received a letter of intent for contract namely "Door to Door Collection and Transportation of Municipal Solid Waste to Disposal Site and Operation & Maintenance of Equipment/Machineries" from City - Sadar Paharganj Zone of North Delhi Municipal Corporation (NDMC).

IRB Infrastructure Developers advanced 2.40% after the company said that its wholly-owned subsidiary (the SPV), Pathankot Mandi Highway, has achieved financial closure for the project of Rehabilitation and Upgradation to Four Lane configuration & Strengthening of Punjab/ HP border in Himachal Pradesh on Hybrid Annuity Mode (HAM).

Global Markets:

Asian stocks rallied across the board on Monday, 13 December 2021 with investors looking ahead to a week of central bank meetings that could indicate the end of U.S. policy stimulus.

Investors now await the Federal Reserve's policy decision, due on Wednesday. The Fed is among the 20 central banks due to meet throughout the week, with the group also including the European Central Bank, the Bank of England and the Bank of Japan.

Wall Street advanced on Friday and the S&P 500 notched an all-time closing high as market participants digested an inflation reading that was in line with consensus, but also marked the largest annual increase in consumer prices in nearly four decades.

On Friday, data showed US consumer prices continued to surge in November, climbing 6.8% compared to the same month in 2020, the biggest jump since June 1982.

Geopolitical tensions are on the rise after the Group of Seven reportedly warned Russia on Sunday to de-escalate its activities around Ukraine or face "massive consequences."

In the U.K., the government raised the coronavirus threat level Sunday and warned the rapid spread of the omicron strain pushed the country into risky territory, as per reports. Prime Minister Boris Johnson reportedly said the U.K. faces a "tidal wave" of COVID-19 cases caused by the new variant.

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