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The local equity markets have pared some of their gains but are still trading in positive terrain in noon session. Both Sensex and Nifty were trading above the crucial 54300 and 16150 levels, respectively. Buying was observed in blue-chip stocks like Larsen & Toubro, NTPC and Bharti Airtel. Traders took support with Economic Affairs Secretary Ajay Seth’s statement that the measures taken by Reserve Bank of India (RBI) will increase inflows of overseas funds and help in strengthening the rupee against the US dollar. RBI on Wednesday raised the overseas borrowing limits for companies and liberalised norms for foreign investments in government bonds as it announced a slew of measures to boost foreign exchange inflows. However, upside remain capped amid persistent foreign fund outflows in the capital market. Foreign Institutional Investors (FIIs) were net sellers in the capital market on Thursday as they offloaded shares worth Rs 925.22 crore. On the global front, all Asian markets were trading higher after two Federal Reserve officials said the US economy might avoid a recession and news reports said China might boost construction spending to stimulate its struggling economy.

The BSE Sensex is currently trading at 54346.74, up by 168.28 points or 0.31% after trading in a range of 54334.00 and 54627.14. There were 18 stocks advancing against 12 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index lost 0.27%, while Small cap index was up by 0.19%.

The top gaining sectoral indices on the BSE were Capital Goods up by 1.89%, Industrials up by 0.84%, Bankex up by 0.43%, Power up by 0.26% and FMCG was up by 0.26%, while Realty down by 0.64%, Metal down by 0.46%, Oil & Gas down by 0.34%, Auto down by 0.24% and Consumer Durables was down by 0.23% were the top losing indices on BSE.

The top gainers on the Sensex were Larsen & Toubro up by 4.02%, NTPC up by 1.96%, Bharti Airtel up by 1.17%, Axis Bank up by 1.11% and ICICI Bank was up by 1.08%. On the flip side, Maruti Suzuki down by 1.44%, Tata Steel down by 1.40%, Indusind Bank down by 1.30%, Asian Paints down by 1.21% and Tech Mahindra was down by 0.58% were the top losers.

Meanwhile, Ratings agency ICRA in its latest report has said that India's international air passenger volumes are likely to reach 96-97 per cent of the pre-Covid levels at 329-332 million this fiscal (FY23) with June traffic already at 79 per cent of the levels seen before the outbreak of the pandemic. India's international air passenger traffic resumed from March 27 this year after a hiatus of two years. It also expects international passenger volumes will surge ahead of the FY21 levels (pre-pandemic) by the end of March 2024.

According to the report, while the recovery in domestic passenger traffic declined marginally to 91 per cent of pre-Covid levels in June at 21.1 million as compared to 98 per cent in April and May, respectively, the international air passenger traffic has seen a steady improvement in the last three months, reaching 79 per cent of the pre-Covid levels in June. Overall, the air passenger traffic stood at 88 per cent of pre-Covid levels in June 2022.

The report further said the steep ramp-up in international traffic during the last three months is supported by opening of major international destinations, easing of travel restrictions and increase in aircraft capacity deployment. Overall, it expects international passenger traffic to reach 90-92 per cent of the pre-Covid levels by the end of this fiscal and cross pre-Covid levels in FY24 and added that the recovery of domestic passenger traffic moderated in June 2022 in line with historic trends. It noted that the key reason for lower domestic traffic in June compared to May is due to the end of summer vacation, reopening of schools and consequently reduced leisure travel.

The CNX Nifty is currently trading at 16194.80, up by 61.90 points or 0.38% after trading in a range of 16173.05 and 16275.50. There were 29 stocks advancing against 21 stocks declining on the index.

The top gainers on Nifty were Larsen & Toubro up by 4.45%, Coal India up by 2.26%, NTPC up by 2.06%, Axis Bank up by 1.63% and Grasim Industries was up by 1.21%. On the flip side, HDFC Life Insurance down by 1.67%, Maruti Suzuki down by 1.47%, Indusind Bank down by 1.28%, Tata Steel down by 1.21% and Eicher Motors was down by 1.16% were the top losers.

All Asian markets were trading higher; KOSPI rose 16.34 points or 0.7% to 2,350.61, Jakarta Composite soared 54.57 points or 0.82% to 6,707.16, Taiwan Weighted strengthened 128.26 points or 0.89% to 14,464.53, Nikkei 225 surged 26.66 points or 0.1% to 26,517.19, Straits Times advanced 2.48 points or 0.08% to 3,131.88, Shanghai Composite gained 1.42 points or 0.04% to 3,365.82 and Hang Seng was up by 58.39 points or 0.27% to 21,701.97.

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