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Domestic bourses gained momentum to enter into green terrain. Sensex and Nifty are trading in fine contour on continued buying by funds and retail investors in afternoon trade. Sentiments were upbeat as Moody’s expects India's economic growth to rebound strongly, pegging GDP growth of 9.3% and 7.9% in fiscal year 2022 (ending on 31 March 2022) and fiscal 2023, respectively. It also said growing government spending on infrastructure will support demand for steel and cement. It added rising consumption, India’s push for domestic manufacturing and benign funding conditions will support new investments. Additional support also came in as Foreign Secretary Harsh Vardhan Shringla said that India has set an ambitious target of $400 billion of exports for the year 2021-22. On the global front, Asian share markets were trading mixed as US Federal Reserve's most recent policy meeting suggested it would taper its vast bond-buying financial support quicker than expected. Back home, in scrip specific developments, Indiabulls Housing Finance and Escorts remained in focus as these two stocks were under NSE's F&O ban stock list for today. These securities have been put on ban under the F&O segment as they have crossed 95% of the market-wide position limit (MWPL).

The BSE Sensex is currently trading at 58658.84, up by 317.85 points or 0.54% after trading in a range of 58143.86 and 58677.00. 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 0.22%, while Small cap index was up by 0.58%.

The top gaining sectoral indices on the BSE were Energy up by 3.09%, Healthcare up by 1.26%, IT up by 0.78%, TECK up by 0.71% and Realty was up by 0.61%, while FMCG down by 0.42%, Auto down by 0.39%, Capital Goods down by 0.38%, PSU down by 0.37% and Metal was down by 0.28% were the top losing indices on BSE.

The top gainers on the Sensex were Reliance Industries up by 4.26%, Kotak Mahindra Bank up by 1.63%, Dr. Reddy's Lab up by 1.58%, Infosys up by 1.12% and Tech Mahindra was up by 1.11%. On the flip side, Indusind Bank down by 1.20%, NTPC down by 1.14%, ICICI Bank down by 1.14%, Hindustan Unilever down by 1.10% and Asian Paints was down by 0.72% were the top losers.

Meanwhile, Finance Ministry has said that India and the United States have agreed for a transitional approach on equalisation levy or digital tax on e-commerce supplies beginning April 1, 2021. In a major reform of the international tax system, on October 8, 2021, 136 countries, including India, have agreed to an overhaul of global tax norms to ensure that multinationals pay taxes wherever they operate and at a minimum 15% rate.

However, it said the deal requires countries to remove all digital services tax and other similar unilateral measures and to commit not to introduce such measures in the future. It noted that the proposed two-pillar solution of the global tax deal consists of two components - Pillar One, which is about reallocation of an additional share of profit to the market jurisdictions and Pillar Two, consisting of minimum tax and subject to tax rules.

It further said India and the U.S. will remain in close contact to ensure that there is a common understanding of the respective commitments and endeavour to resolve any further differences of views on this matter through constructive dialogue. The final terms of the agreement shall be finalised by February 1, 2022.

The CNX Nifty is currently trading at 17499.45, up by 84.40 points or 0.48% after trading in a range of 17351.70 and 17505.75. There were 22 stocks advancing against 28 stocks declining on the index.

The top gainers on Nifty were Reliance Industries up by 4.24%, Dr. Reddy's Lab up by 1.85%, Kotak Mahindra Bank up by 1.69%, Divi's Lab up by 1.54% and Infosys was up by 1.25%. On the flip side, Indian Oil Corporation down by 1.41%, Hindalco down by 1.35%, NTPC down by 1.33%, ICICI Bank down by 1.23% and Shree Cement was down by 1.17% were the top losers.

Asian markets were trading mixed; Hang Seng increased 40.75 points or 0.17% to 24,726.25, Jakarta Composite soared 36.55 points or 0.55% to 6,719.83, Nikkei 225 surged 196.62 points or 0.67% to 29,499.28 and Taiwan Weighted was up by 11.67 points or 0.07% to 17,654.19.

On the flip side, Shanghai Composite declined 2.91 points or 0.08% to 3,589.79, Straits Times trembled 3.57 points or 0.11% to 3,223.58 and KOSPI was down by 10.58 points or 0.35% to 2,983.71.

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