Indices trade firm

Key benchmark indices continued to trade firm in afternoon trade. At 13:20 IST, the barometer index, the S&P BSE Sensex, was up 103.33 points or 0.35% at 29,435.49. The Nifty 50 index was up 26.25 points or 0.29% at 9,112.55. Gains on the bourses were led by ICICI Bank, ITC and State Bank of India.

Domestic stocks extended gains in morning trade after opening with a slightly positive bias. Indices held firm and hovered in a small range in the positive terrain later during the session.

The BSE Mid-Cap index was up 0.24%, underperforming the Sensex. The BSE Small-Cap index was up 0.61%, outperforming the Sensex.

The market breadth, indicating the overall health of the market, was positive. On the BSE, 1,442 shares rose and 1,168 shares fell. A total of 175 shares were unchanged.

Capital goods stocks were mixed. BEML (down 1.02%), Bharat Heavy Electricals (Bhel) (down 0.15%), Havells India (down 1.42%) declined. L&T (up 0.08%), Thermax (up 0.35%), and Va Tech Wabag (up 6.62%) gained.

Siemens rose 0.77% after the company announced that it has won an order worth about Rs 187.4 crore from Bangladesh Rural Electrification Board, Dhaka. The announcement was made after market hours yesterday, 23 March 2017.

Siemens said the project includes construction of new 33/11 kV Air Insulated Switchgear substations in Dhaka, Chittagong and Sylhet. Bangladesh Rural Electrification Board (BREB) is an electricity distribution provider under the Government of Bangladesh responsible for providing electricity to the rural parts of Bangladesh. All the products and solutions delivered for the project have been manufactured in factories at Siemens India.

Shares of power generation and power distribution companies gained in a firm market. Torrent Power (up 0.16%), Tata Power Company (up 0.46%), Reliance Infrastructure (up 0.94%) and Reliance Power (up 1.04%) gained. Adani Power shed 0.75%.

Power Grid Corporation of India rose 0.73% after the company announced commercial operation of 1500 megawatts, Pole-I of +/-800kV high-voltage, direct current (HVDC) Champa-Kurukshetra transmission line today, 24 March 2017. The announcement was made during market hours today, 24 March 2017.

NHPC rose 3.17% after the company said it signed power purchase agreements with Tata Power-Delhi Distribution on 22 March 2017 for seven power stations, namely Bairasiul, Salal, Tanakpur, Chamera-I, Uri-I, Sewa-II and Chamera-III for a period of 35 years from the date of commercial operations (COD) of the respective power stations. The announcement was made after market hours yesterday, 23 March 2017.

Shares of state run coal mining major Coal India rose 0.63% to Rs 297.55. The stock had hit high of Rs 298.95 and low of Rs 295.80 in intraday trade.

Sun Pharmaceutical Industries rose 0.38% after Almirall S.L, and the company announced the validation of the regulatory filing of tildrakizumab with the European Medicines Agency (EMA) by Almirall. Tildrakizumab is an investigational IL-23p19 inhibitor being evaluated for the treatment of moderate-to-severe plaque psoriasis. The announcement was made during market hours today, 24 March 2017.

In July 2016, Almirall entered into a licensing agreement with Sun Pharma for the development and commercialization of tildrakizumab for psoriasis in Europe. Under the terms of the signed agreement, Sun Pharma will continue to lead other indications, for which Almirall will have the right to primary negotiation. In addition, Almirall will be able to lead European studies, and participate in larger Global clinical studies for psoriasis.

Skipper jumped 7.4% after the company said that it has secured contracts worth around Rs 405 crore for supply of transmission towers to the projects of Power Grid Corporation of India, Transmissions Corporation of Telengana and Power Transmission Corporation of Uttrakhand. The announcement was made during market hours today, 24 March 2017.

On the economic front, India's current account deficit (CAD) at $7.9 billion (1.4% of GDP) in Q3 of FY 2017, was higher than $7.1 billion (1.4% of GDP) in Q3 of FY 2016 and $3.4 billion (0.6% of GDP) in the preceding quarter. The data was released by government after market hours yesterday, 23 March 2017.

Despite a slightly lower trade deficit on a year-on-year (y-o-y) basis, the CAD widened primarily on account of a decline in net invisibles receipts. Net services receipts moderated on a y-o-y basis, primarily owing to the fall in earnings from software, financial services and charges for intellectual property rights.

Overseas, Asian stocks were trading on a mixed note as investors await a delayed vote on US health care reform, which is seen as a proxy for the success of US President Donald Trump's pro-growth agenda. US stocks closed slightly lower yesterday, 23 March 2017 as a delay in a closely watched health-care vote raised questions about the President Donald Trump's administration's ability to win passage of its ambitious legislative agenda.

The vote to dismantle the Affordable Healthcare Act, which was previously set for Thursday, 23 March 2017, is now expected to occur today, 24 March 2017. Traders see the success or failure of the legislation as a bellwether for Trump's ability to deliver on tax reform and infrastructure spending plans.

Investors are also grappled with mixed economic data. Filings for unemployment benefits rose to a seven-week high, while purchases of new homes increased in February to a seven-month high.

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