Market extends gains

Key benchmarks extended gains and hit fresh intraday high in afternoon trade. At 13:25 IST, the barometer index, the S&P BSE Sensex, was up 157.24 points or 0.44% at 35,913.50. The Nifty 50 index was up 45.15 points or 0.42% at 10,780.60. Positive Asian cues boosted investors sentiment.

Broader market outperformed the main stock indices. Among secondary barometers, the BSE Mid-Cap index was up 0.63%. The BSE Small-Cap index was up 0.73%.

The market breadth, indicating the overall health of the market, was positive. On BSE, 1,380 shares rose and 964 shares fell. A total of 144 shares were unchanged.

Tata Motors (up 2.67%), Vedanta (up 2.56%), ONGC (up 1.98%), ICICI Bank (up 1.91%) and Reliance Industries (up 1.17%) edged higher from the Sensex pack.

Bharti Airtel (down 1.5%), Yes Bank (down 1.19%) and Infosys (down 0.84%) edged lower from the Sensex pack.

Tata Steel rose 1.44% after Moody's Investors Service upgraded the company's corporate family rating by one notch to Ba2 from Ba3. The announcement was made after market hours yesterday, 20 February 2019.

Global ratings agency Moody's Investors Service upgraded Tata Steel's corporate family rating (CFR) by one notch to Ba2 from Ba3. The outlook is stable. Tata Steel's CFR is supported by its significant, diversified and growing operating base and its globally cost competitive steel operations in India, with the latter being a function of its ownership of key raw materials. These factors, alongside favorable industry dynamics in its key operating market in India have translated into the company's sustained track record of improving credit metrics.

Tech Mahindra was up 2.33% to Rs 830.65. The company announced during trading hours today, 21 February 2019, that its board approved the proposal to buyback upto 2.05 crore equity shares, or 2.10% equity, at Rs 950 each.

Overseas, most Asian shares were trading higher on Thursday. US stock indices ended the choppy session moderately higher Wednesday, following the release of minutes from the US Federal Reserve's January meeting.

Fed minutes affirmed it would be "patient" on interest rate rises. Fed highlighted downside risks, including "the possibilities of a sharper-than-expected slowdown in global economic growth, particularly in China and Europe, a rapid waning of fiscal policy stimulus, or a further tightening of financial market conditions.

The minutes showed extensive discussion of market conditions, particularly on the emphasis that Fed actions were having on prices of risky assets like stocks and corporate bonds. The Fed also judged that a "patient" approach to interest rate hikes would be prudent as it continued to weigh various headwinds to growth.

On the trade front, President Donald Trump said Tuesday that the US may not increase tariffs on Chinese goods as scheduled after March 1, but he did raise the specter of addressing auto tariffs in Europe.

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