Market ends in green after a volatile session

Indian equity markets traded with volatility throughout the day and finally managed to end the session in green terrain on Wednesday. Key bourses made a cautious start, as traders remained concerned with the report that corporate India's merger and acquisition activity in the July-September quarter witnessed a downtrend with total deal value falling by more than half compared to the same period last year. This was largely led by slump in economic activity and absence of big ticket deals.

After that, markets gained traction and traded in fine fettle, as traders reacted positively to report that the Department for Promotion of Industry and Internal Trade (DPIIT) is planning to set up a single window system to support foreign investors wanting to invest in India. The single-window system may have representatives from both the Centre and State governments. The system will help in getting all related approvals and clearances required by foreign investors.

Meanwhile, the International Monetary Fund (IMF) sees Indian economic growth rebounding to around 7 per cent in the next financial year, supported by measures like monetary policy stimulus and corporate income tax cuts. However, the markets erased some of initial gains in late afternoon session as India Ratings & Research (Ind-Ra) believes that aggregate states' fiscal deficit slippage to 2.9% of GDP in FY19 revised estimate (RE), from 2.6% in FY19 budget estimate (BE) (Ind-Ra forecast: 2.8%) is mainly due to an expansionary fiscal policy followed by the state governments. 

The BSE Sensex ended at 39058.83, up by 94.99 points or 0.24%. The broader indices ended mixed; the BSE Mid cap index fell 0.18%, while Small cap index was up by 0.24%.

The top gaining sectoral indices on the BSE were IT up by 1.23%, Auto up by 1.18%, Consumer Durables up by 0.87%, Power up by 0.81% and FMCG up by 0.59%, while, Telecom down by 3.08%, Oil & Gas down by 1.35%, Energy down by 1.35% and Realty down by 1.24% were the top losing indices on BSE.

The top gainers on the Sensex were HCL Tech. up by 2.93%, Maruti Suzuki up by 2.55%, SBI up by 1.87%, HDFC up by 1.35% and Bajaj Auto up by 1.22%.

On the flip side, Bharti Airtel was down by 3.59%, Vedanta down by 1.95%, ONGC down by 1.53%, Reliance Industries down by 1.51% and Kotak Bank down by 1.31% among the top losers.