The key equity benchmarks trade with significant gains in mid- afternoon trade. The Nifty traded above the 22,300 level. PSU Bank shares extended gains for the two consecutive trading sessions.
At 14:30 IST, the barometer index, the S&P BSE Sensex, jumped 695.57 points or 0.95% to 73,682.54. The Nifty 50 index added 241.90 points or 1.10% to 22,325.55.
The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index advanced 2.25% and the S&P BSE Small-Cap index jumped 2.26%.
The market breadth was strong. On the BSE, 3,184 shares rose and 767 shares fell. A total of 97 shares were unchanged.
Economy:
The HSBC India Services PMI was revised to 59.0 in February 2025 from 61.6 (flash), up from January's 26-month low of 56.5, marking 43 straight months of expansion.
New business inflows remained strong, driving one of the sharpest job growth rates since records began in 2005.
Backlogs of work rose, with outstanding business increasing at the fastest pace since May 2024.
Input cost inflation eased to a four-month low, while output price inflation stayed above the long-term average as firms passed costs onto customers. However, business confidence slipped to a six-month low.
The HSBC India Composite PMI eased to 58.8 in February 2025 from 60.6 (flash) but stayed above January's 57.7, marking 43 consecutive months of expansion. Services activity accelerated, while manufacturing hit a 14-month low.
New orders rose strongly, led by services, and employment growth stayed near record levels.
Cost pressures were the softest since last October, with lower inflation in manufacturing than services. However, selling prices for goods and services saw the sharpest rise in three months.
Buzzing Index:
The Nifty PSU Bank index rose 2.27% to 5,849. The index added 3.86% in the two consecutive trading sessions.
Bank of Baroda (up 4.11%), Bank of Maharashtra (up 3.08%), Canara Bank (up 3.04%), Punjab & Sind Bank (up 3%) and UCO Bank (up 2.51%), Union Bank of India (up 2.45%), Punjab National Bank (up 2.4%), Bank of India (up 2.05%), Indian Overseas Bank (up 1.98%) and Central Bank of India (up 1.9%) added.
Numbers to Track:
The yield on India's 10-year benchmark federal paper was up 1.45% to 6.839 as compared with previous close 6.852.
In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 86.9925, compared with its close of 87.1900 during the previous trading session.
MCX Gold futures for 4 April 2025 settlement rose 0.08% to Rs 86,095.
The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was shed 0.48% to 105.04.
The United States 10-year bond yield added 0.67% to 4.238.
In the commodities market, Brent crude for May 2025 settlement lost 20 cents, or 0.28% to $70.84 a barrel.
Stocks in Spotlight:
Power Grid Corporation of India rose 3.92% after the company won tariff-based competitive bids for three build, own, operate, and transfer (BOOT) inter-state transmission projects.
RHI Magnesita India fell 2.41%. The firm’s wholly owned subsidiary, Intermetal Engineers (India) (Intermetal), entered into a share purchase agreement (SPA) with Ashwath Technologies to acquire a 100% stake from its shareholders.