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Bulls made come back after two days of continuous drubbing as traders opted to buy beaten down but fundamentally strong stocks. Key gauges made a gap up opening taking encouragement with CII President TV Narendran’s statement that India’s economy is expected to grow 7.5-8 per cent this fiscal year with exports playing a key role in the country’s success story. Some support also came with report that India and the EU will return to the negotiating table to start serious talks for a free trade agreement (FTA) in June after a gap of nine years. Sentiments remained eminent throughout the day after the Ministry of Commerce and Industry said that there is a five-fold increase in the grant of patent annually, and a four-fold rise in trademark registration every year since 2014. It said that to modernise the Intellectual Property (IP) office and reduce legal compliances, along with facilitating filing of IP applications, the government has adopted several administrative and legislative measures.

Markets extended gains in final hour of trade to end near intraday highs as trader remained optimistic, amid a private reports stating that real-time payments are forecast to boost India's GDP by $45.9 billion in 2026 as real-time payments transaction volumes are set to exceed 206 billion by that time. Also, street took a note of a private report that the government has begun discussions on bringing parity between long-term capital gains (LTCG) tax on debt, listed equities and unlisted equities.

Firm opening in European counters too aided sentiments with all the key indices in Europe were trading higher after falling sharply in the previous session on fears of a new Chinese lockdown and rapid interest-rate hikes in the United States. Asian markets ended mostly in green, after South Korea's gross domestic product gained a seasonally adjusted 0.7 percent on quarter in the first three months of 2022, the Bank of Korea said in Tuesday's advance estimate. That exceeded expectations for an increase of 0.6 percent following the 1.2 percent expansion in the previous three months.

Back home, India Ratings and Research (Ind-Ra) has said it expects housing prices to appreciate by 8 per cent in current financial year (FY23), mainly due to rise in demand from end users. It mentioned that the current housing sales uptick and increased demand is end user driven and not speculative. Hence, the hike in prices will be sustainable and is likely to be incremental. Prices were up 6 per cent pan-India in FY22. Meanwhile, the much awaited Life Insurance Corporation of India is expected to float its maiden public issue on May 4. The offer may remain open to subscription till May 9. The LIC board will meet today to take decision on the price band for the IPO, lot size, policyholder reservation, and discount.

Finally, the BSE Sensex rose 776.72 points or 1.37% to 57,356.61 and the CNX Nifty was up by 246.85 points or 1.46% to 17,200.80.        

The BSE Sensex touched high and low of 57,442.24 and 56,904.51, respectively. There were 25 stocks advancing against 4 stocks declining, while one stock remain unchanged on the index.    

The broader indices ended in green; the BSE Mid cap index rose 1.62%, while Small cap index was up by 0.76%.

The top gaining sectoral indices on the BSE were Power up by 3.63%, Realty up by 3.48%, Utilities up by 3.39%, Auto up by 2.80% and Consumer Durables up by 2.22%, while there were no losers on the BSE sectoral front.

The top gainers on the Sensex were Power Grid up by 3.93%, Titan Company up by 3.92%, Mahindra & Mahindra up by 3.85%, Indusind Bank up by 3.54% and Bajaj Finance up by 3.31%. On the flip side, Axis Bank down by 0.70%, Asian Paints down by 0.15%, Maruti Suzuki down by 0.12% and TCS down by 0.09% were the few losers.

Meanwhile, NITI Aayog member V K Saraswat has said that India's non-fossil energy capacity will reach 500GW by 2030 and the country shall meet half of its energy requirements through renewable energy, reducing the carbon intensity of its economy by less than 45 per cent.

Furthermore, Saraswat said India will reduce the total projected carbon emissions by 1 billion tonnes from now onwards till 2030. By the year 2070, India will achieve the target of Net Zero. He also highlighted that deep decarbonisation requires broad-based systems approach across a portfolio of options including clean energy carriers such as Hydrogen and Methanol and Renewables.

Talking about the use of alternative fuels to reduce import and emissions, NITI Aayog member said that presently BioCNG, ethanol and methanol are alternative fuels available with India and in future green Hydrogen will be available through renewables, which will lead to a reduction in emissions by 40 per cent.

The CNX Nifty traded in a range of 17,064.45 and 17,223.85. There were 42 stocks advancing against 8 stocks declining on the index.    

The top gainers on Nifty were Adani Ports up by 5.81%, Bajaj Auto up by 5.68%, Hero MotoCorp up by 5.18%, Mahindra & Mahindra up by 4.00% and Power Grid up by 3.93%. On the flip side, ONGC down by 1.59%, Apollo Hospital down by 1.11%, Axis Bank down by 0.73%, Hindalco down by 0.41% and Asian Paints down by 0.16% were the top losers.

European markets were trading in green; UK’s FTSE 100 increased 58.83 points or 0.80% to 7,439.37, France’s CAC increased 64.49 points or 1.69% to 6,513.87 and Germany’s DAX increased 128.55 points or 0.92% to 14,052.72.

Asian markets ended mostly higher on Tuesday tracking Wall Street gains overnight, despite lingering concerns about the potential economic impact from the widely expected US monetary tightening. Meanwhile, an overnight slump in crude prices and a retreat in Treasury yields also helped market sentiments. South Korea’s GDP grew an annual 3.1 percent in the first quarter of the year, up 0.7 percent from the previous quarter. However, Chinese shares declined after the Chinese mainland on Monday reported 1,908 new locally transmitted confirmed Covid-19 cases and 52 more deaths in the past 24 hours. While, in a bid to contain a new outbreak Beijing has launched mass coronavirus testing for nearly all its 21 million residents, sparked worries of a wider lockdown similar to Shanghai.

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