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Indian equity benchmarks continued their weak trade in afternoon session, on the back of sustained selling activities by market-participants. Selling pressure in the IT and TECK stocks influenced the markets. Traders were worried with reports that even though the cost of funds for the Centre has been trending down following the deft yield management by the Reserve Bank, for the hapless states, whose finances are crippled by the continuing lockdowns, it has been heading north and so far this fiscal as the average interest rate on their market borrowings has jumped 30 bps to 6.86 per cent. On the global front, Asian markets were trading mixed as the tussle between economic optimism and inflation concern continues to play out in markets. Back home, in scrip specific development shares of Infosys tumbled as SEBI has barred eight entities, including individuals and two financial companies, for being involved in insider trading in the company. The investigation found that the total proceeds generated from insider trading was over Rs 3.06 crore.

The BSE Sensex is currently trading at 51557.45, down by 377.43 points or 0.73% after trading in a range of 51505.99 and 51863.94. There were 6 stocks advancing against 24 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 1.12%, while Small cap index was up by 1.02%.

The top gaining sectoral indices on the BSE were Realty up by 1.38%, Power up by 1.33%, Utilities up by 1.21%, Industrials up by 0.94% and PSU was up by 0.73%, while IT down by 0.93%, TECK down by 0.89%, Bankex down by 0.58%, FMCG down by 0.45% and Telecom was down by 0.09% were the top losing indices on BSE.

The top gainers on the Sensex were SBI up by 0.77%, Sun Pharma up by 0.77%, Power Grid up by 0.69%, NTPC up by 0.54% and Indusind Bank was up by 0.53%. On the flip side, ITC down by 2.37%, Tech Mahindra down by 1.37%, HDFC down by 1.30%, Asian Paints down by 1.25% and Titan Company was down by 1.13% were the top losers.

Meanwhile, power ministry in its latest data has stated that power consumption in the country grew 8.2 percent to 110.47 billion units (BU) in May 2021, indicating slow recovery in commercial and industrial demand of electricity. The slower pace of recovery in industrial demand of electricity in May can be attributed to local lockdown restrictions imposed by states to curb the spread of coronavirus amid the second wave of the pandemic.

The commercial and industrial power consumption as well as demand would rise in coming days with many states easing local lockdown restrictions imposed to curb the second wave of coronavirus after the number of daily new positive cases of COVID-19 has started declining. The power consumption in the entire month of May last year was 102.08 BU due to the impact of the lockdown imposed to curb the COVID-19 and had witnessed a year-on-year fall of nearly 15 per cent in May 2020.

Power consumption was 120.02 BU in May, 2019. Therefore, power consumption in May this year has not recovered as fast as it should have been, in view of lower base in 2020. Power consumption in April, 2021, saw year-on-year growth of nearly 40 per cent to 118.08 BU.

The CNX Nifty is currently trading at 15490.95, down by 83.90 points or 0.54% after trading in a range of 15477.15 and 15564.05. There were 22 stocks advancing against 28 stocks declining on the index.

The top gainers on Nifty were Adani Ports up by 2.31%, SBI Life Insurance up by 2.27%, UPL up by 2.05%, HDFC Life Insurance up by 1.47% and Cipla was up by 1.06%. On the flip side, ITC down by 2.42%, Tech Mahindra down by 1.41%, HDFC down by 1.39%, Asian Paints down by 1.20% and HDFC Bank was down by 1.16% were the top losers.

Asian markets were trading mixed; Jakarta Composite soared 58.86 points or 0.99% to 6,006.32, Taiwan Weighted strengthened 2.66 points or 0.02% to 17,165.04, KOSPI rose 2.36 points or 0.07% to 3,224.23 and Nikkei 225 was up by 131.80 points or 0.46% to 28,946.14.

On the other side; Shanghai Composite declined 32.96 points or 0.91% to 3,591.75, Straits Times trembled 28.22 points or 0.89% to 3,159.01 and Hang Seng was down by 207.13 points or 0.7% to 29,260.87.

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