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Markets pared some of their initial gains but continued to trade in green in afternoon session amid buying in blue chip stocks from across various sectors. Buying in energy, power and capital goods stocks helped markets to trade higher. Sentiments were positive with private report stating that the Indian economic growth likely to touch record high in the quarter through June, reflecting a very weak base last year and a rebound in consumer spending. The rebound came despite the drag from the deadly second wave of the coronavirus, which forced states across India to reimpose localised lockdowns and stop mobility completely from late April to early June. However, markets trim some of their gains as rating agency Moodys states that the India's second Coronavirus (Covid-19) wave is increasing asset risks for banks in retail and the SME loan segment. On the global front, Asian markets were trading mixed as the Delta coronavirus variant's spread darkened the regional mood.

The BSE Sensex is currently trading at 56013.50, up by 69.29 points or 0.12% after trading in a range of 55854.07 and 56112.39. There were 12 stocks advancing against 18 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 0.25%, while Small cap index was up by 0.45%.

The top gaining sectoral indices on the BSE were Energy up by 1.11%, Power up by 0.77%, Capital Goods up by 0.59%, Industrials up by 0.48% and Oil & Gas was up by 0.43%, while Telecom down by 2.27%, Metal down by 1.23%, PSU down by 0.77%, Basic Materials down by 0.69% and TECK was down by 0.36% were the top losing indices on BSE.

The top gainers on the Sensex were Reliance Industries up by 1.35%, Mahindra & Mahindra up by 0.91%, ICICI Bank up by 0.90%, Kotak Mahindra Bank up by 0.67% and HDFC Bank was up by 0.55%. On the flip side, Bharti Airtel down by 2.82%, Power Grid down by 1.79%, Maruti Suzuki down by 1.56%, NTPC down by 1.32% and Bajaj Finserv was down by 1.12% were the top losers.

Meanwhile, Union minister Nitin Gadkari has said that the government looks to increase the contribution of the automobile sector to India's Gross domestic product to 12 percent from the present 7.1 percent and grow employment generation to 50 million from the current 37 million. He further said the automobile industry is a vital player in India's vision to become a $5 trillion economy.

The minister has stated that the Indian automotive industry is a key driver of economic growth in the country. The contribution of the automobile sector to the overall GDP of India stands at 7.1 per cent and 49 per cent of the manufacturing GDP, with an annual turnover of Rs 7.5 lakh crore and export of Rs 3.5 lakh crore.

According to Gadkari, it is estimated that 37 million jobs, directly and indirectly, are supported by the industry. He said the government is working towards making the country the Number 1 global automobile manufacturing hub in the coming years. He mentioned that many multinational automotive brands are now available in India.

The CNX Nifty is currently trading at 16644.70, up by 10.05 points or 0.06% after trading in a range of 16611.15 and 16683.70. There were 17 stocks advancing against 33 stocks declining on the index.

The top gainers on Nifty were Reliance Industries up by 1.26%, Britannia Inds up by 1.11%, HDFC Life Insurance up by 1.01%, ICICI Bank up by 0.92% and Mahindra & Mahindra was up by 0.89%. On the flip side, Bharti Airtel down by 2.81%, Power Grid down by 1.79%, Maruti Suzuki down by 1.50%, Hindalco down by 1.37% and JSW Steel was down by 1.29% were the top losers.

Asian markets were mixed; KOSPI fell 18.28 points or 0.58% to 3,128.53, Shanghai Composite declined 0.62 points or 3537.31% to 22.08, Hang Seng decreased 386.55 points or 1.5% to 25,307.40 and Jakarta Composite was down by 52.75 points or 0.86% to 6,060.49.

On the flip side, Taiwan Weighted strengthened 21.10 points or 0.12% to 17,066.96, Nikkei 225 surged 17.49 points or 0.06% to 27,742.29 and Straits Times was up by 2.45 points or 0.08% to 3,109.94.

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