Strong market breadth

Key equity indices were trading higher after hitting fresh intraday high in morning trade. At 10:25 IST, the barometer index, the S&P BSE Sensex, was up 170.28 points or 0.48% at 35,668.72. The Nifty 50 index was up 45.60 points or 0.43% at 10,686.55.

Broader market was trading firm. Among secondary barometers, the BSE Mid-Cap index was up 0.70%. The BSE Small-Cap index was up 0.69%.

The market breadth, indicating the overall health of the market, was strong. On BSE, 1219 shares rose and 571 shares fell. A total of 86 shares were unchanged.

Metal shares advanced. Hindustan Copper (up 1.39%), Vedanta (up 0.95%), National Aluminium Company (up 0.92%), Tata Steel (up 0.91%), Steel Authority of India (up 0.90%), JSW Steel (up 0.67%), Jindal Steel & Power (up 0.39%), Hindalco Industries (up 0.33%) and Hindustan Zinc (up 0.06%), edged higher. NMDC was down 0.16%.

FMCG shares were in demand. Godrej Consumer Products (up 2.55%), Tata Global Beverages (up 2.11%), Bajaj Corp (up 1.62%), Nestle India (up 1.62%), Britannia Industries (up 1.60%), Jyothy Laboratories (up 1.24%), Colgate Palmolive (India) (up 1.20%), Procter & Gamble Hygiene & Health Care (up 0.73%), GlaxoSmithKline Consumer Healthcare (up 0.57%), Dabur India (up 0.56%), Marico (up 0.04%) and Hindustan Unilever (up 0.03%), edged higher.

On the economic front, the central board of the Reserve Bank of India on Monday, 18 February 2019, decided to transfer an interim surplus of Rs 28,000 crore to the central government for the half-year ended 31 December 2018. This is the second successive year that RBI will be transferring an interim surplus.

In a separate notification, RBI said that based on an assessment of prevailing liquidity conditions and also of the durable liquidity needs going forward, it has decided to conduct purchase of the following Government securities under open market operations for an aggregate amount of Rs 12,500 crore on Thursday, 21 February 2019, through multi-security auction using the multiple price method.

Overseas, Asian shares were trading higher on Tuesday despite renewed geopolitical tensions, with China accusing the US of fueling cyber security fears. Investors also awaited developments on the US-China trade front. The White House reportedly said on Monday that trade talks between the two economic powerhouses will continue in Washington on Tuesday, with higher level negotiations starting later in the week.

According to media reports, the Chinese government said Monday that the US is attempting to curtail its technology development by claiming that Chinese mobile network gear might pose a cybersecurity threat to foreign countries which adopt the equipment. The US alleged that Beijing might use Chinese tech companies to gather intelligence about foreign countries, even though those claims have yet to be substantiated.

US stock market was shut on Monday for a public holiday.

Powered by Capital Market - Live News