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Markets continue to show a sluggish trend in the afternoon session, on the back of sustained selling activities by market-participants. Traders overlooked a private report stating that the June inflation data showed annual retail price growth steady at 6.26 percent versus 6.3 percent in May. This takes off pressures upon the central bank, which was battling apprehensions of higher inflation risks soon after its June 4 review. Also, downfall remain capped as bank credit grew by 6 per cent to Rs 109.31 lakh crore and deposits increased by 9.76 per cent to Rs 154.51 lakh crore in the fortnight ended July 2, 2021, RBI data showed. Meanwhile, RBI remained net buyer of the US dollar in May 2021, after it net purchased $5.842 billion from the spot market, according to data from the central bank. In the reporting month, the RBI purchased $7.142 billion while sold $1.3 billion in the spot market. On the global front, Asian markets were trading mixed as investors weighed concerns over economic growth and virus outbreaks and risk aversion set in following dovish comments from the Federal Reserve chief.

The BSE Sensex is currently trading at 53061.05, down by 97.80 points or 0.18% after trading in a range of 53047.48 and 53290.81. There were 15 stocks advancing against 15 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.14%, while Small cap index was up by 0.10%.

The top gaining sectoral indices on the BSE were Telecom up by 2.09%, Healthcare up by 1.00%, Metal up by 0.78%, Energy up by 0.51% and Basic Materials was up by 0.28%, while IT down by 1.17%, TECK down by 0.85%, Bankex down by 0.51%, Power down by 0.33% and Utilities was down by 0.28% were the top losing indices on BSE.

The top gainers on the Sensex were Bharti Airtel up by 2.37%, Tata Steel up by 0.96%, Sun Pharma up by 0.95%, Reliance Industries up by 0.79% and ITC was up by 0.70%. On the flip side, HCL Tech down by 3.85%, Tech Mahindra down by 1.85%, Infosys down by 1.46%, Bajaj Finserv down by 1.31% and Indusind Bank was down by 1.14% were the top losers.

Meanwhile, RBI Governor Shaktikanta Das has said financial inclusion will continue to be a ‘policy priority’ for the central to make the post-pandemic recovery more equitable and sustainable. Das said the Reserve Bank of India will very soon be coming out with the first financial inclusion index, which will assess progress in terms of access, usage and quality. He added that it is the responsibility of all stakeholders to ensure that the financial ecosystem (including the digital medium) is inclusive and capable of effectively addressing risks like mis-selling, cybersecurity, data privacy and promoting trust in the financial system through appropriate financial education and awareness.

Since the start of the last decade, financial inclusion has been a key focus area for the RBI to help formalise the economy by ensuring that banks reach the people. Technological advances made it easier and the government also gave it a greater thrust with the launch of the PM Jan Dhan Yojana scheme. RBI Governor said ‘In order to make the post-pandemic recovery more inclusive and sustainable, FI would continue to be our policy priority’. To measure the extent of financial inclusion in the country, he said it has been decided to construct and periodically publish a financial inclusion index (FII), and added that an announcement was made some time back about such an index.

He said the index will have parameters across the three dimensions, including access, usage and quality, and added that ‘work on FII is underway and the index will be published very shortly by the Reserve Bank’. Das said financial inclusion is a key driver of sustained and balanced economic growth, which helps reduce inequality and poverty, and while we have made tremendous strides on this aspect, the pandemic has created newer challenges and complexities. He noted ‘The financial system will have a crucial role to fulfil the aspirations and needs of our economy on the mend’.

The CNX Nifty is currently trading at 15893.00, down by 31.20 points or 0.20% after trading in a range of 15892.55 and 15962.25. There were 25 stocks advancing against 25 stocks declining on the index.

The top gainers on Nifty were Divi's Lab up by 3.31%, Bharti Airtel up by 2.10%, Tata Steel up by 1.06%, Sun Pharma up by 0.90% and Reliance Industries was up by 0.78%. On the flip side, HCL Tech down by 3.83%, Tech Mahindra down by 1.84%, Infosys down by 1.55%, Adani Ports down by 1.43% and Eicher Motors was down by 1.36% were the top losers.

Asian markets were trading mixed, KOSPI fell 9.31 points or 0.28% to 3,276.91, Shanghai Composite declined 15.77 points or 0.44% to 3,548.82, Taiwan Weighted dropped 138.94 points or 0.77% to 17,895.25 and Nikkei 225 was down by 276.01 points or 0.98% to 28,003.08.

On the flip side; Hang Seng increased 103.82 points or 0.37% to 28,100.09, Jakarta Composite soared 16.51 points or 0.27% to 6,063.26 and Straits Times was up by 13.66 points or 0.44% to 3,153.64.

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