Key barometer indices extended early gains and hit fresh intraday high in morning trade. Barring IT index, all the other sectoral indices on the NSE were trading in the green. The Nifty hovered above the 11,150 level.
At 10:23 IST, the barometer index, the S&P BSE Sensex, was up 362.86 points or 0.97% at 37,751.52. The Nifty 50 index added 103.9 points or 0.94% at 11,154.95.
The broader market extended gains for second trading session. The S&P BSE Mid-Cap index was up 1.55% while the S&P BSE Small-Cap index was up 1.84%.
The market breadth was strong. On the BSE, 1669 shares rose and 465 shares fell. A total of 124 shares were unchanged.
Foreign portfolio investors (FPIs) sold shares worth Rs 2,080.21 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 2,070.63 crore in the Indian equity market on 25 September, provisional data showed.
Total COVID-19 confirmed cases worldwide stood at 32,994,213 with 996,682 deaths. India reported 9,62,640 active cases of COVID-19 infection and 95,542 deaths while 50,16,520 patients have been discharged, according to the data from the Ministry of Health and Family Welfare, Government of India.
President Ram Nath Kovind on Sunday gave assent to three farm bills recently passed by the parliament. The bills are Farmers' Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020, the Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill, 2020 and the Essential Commodities (Amendment) bill, 2020. The act is aimed at transforming agriculture in the country and raising farmers' income.
The Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act, 2020 permits the electronic trading of farmers' produce and allows setting up of transaction platforms for facilitating direct online buying and selling of farm products.
The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020 provides for a farming agreement prior to the production or rearing of any farm produce. A guaranteed price to be paid for the purchase of farming produce will be mentioned in such agreements.
The Essential Commodities (Amendment) Act, 2020 allows the central government to regulate the supply of certain food items only under extraordinary circumstances such as war and famine.
Meanwhile, National Cooperative Development Corporation (NCDC) has sanctioned the first installment funds of Rs 19,444 crore to Chhattisgarh, Haryana and Telangana for Kharif paddy procurement under minimum support price operations. Chhattisgarh gets the highest amount to the tune of Rs 9,000 crore. Telangana has been sanctioned Rs 5,500 crore and Haryana Rs 5,444 crore.
The Agriculture Ministry said this proactive step by NCDC during the COVID pandemic will give the much needed financial support to farmers of these three states who account for nearly 75% of production of paddy in the country.
The Nifty Bank index gained 1.73% at 21,343.40. The index has added 4.33% in two trading days.
Bandhan Bank (up 3%), Axis Bank (up 2.64%), Federal Bank (up 2.52%), IndusInd Bank (up 2.28%), RBL Bank (up 2.15%), ICICI Bank (up 1.71%), Kotak Mahindra Bank (up 1.59%), and HDFC Bank (up 1.2%) advanced.
Shares of state-run banks were trading firm on hopes that the government may infuse some capital into the sector as early as the coming quarter. The Nifty PSU Bank index was up 1.67% at 1,297.55. Punjab National Bank (up 1.55%), State Bank of India (up 1.51%), Union Bank of India (up 1.44%), IDBI Bank (up 1.33%) and Bank of Baroda (up 0.72%) rose.
Stocks in Spotlight:
Surya Roshni surged 8.27% to Rs 210.10 after the company said it received orders worth Rs 272.86 crore for supplying coated API line pipes to GAIL (India) and Indradhanush Gas Grid (IGGL). The announcement was made on Sunday, 27 September 2020.
Premier Explosives hit an upper circuit of 5% at Rs 119.50 after the company said it received arms licence for making all types of warheads and fuses in Telangana. The licence, which is valid for life time, enables the company to enter into new business area in defence explosives like warheads (blasts, fragmentation, shaped charge) and all types of fuses (electronic, mechanical).
Thomas Cook (India) fell 3.19% after the company said its board has withdrawn the proposal of share buyback due to Covid-19. The company on 26 February 2020 had approved the proposal to buyback of 2.60 crore equity shares (6.90% equity) at Rs 57.50 each for a maximum aggregate amount of Rs 150 crore.
"The board was of the view that the purpose of the buyback was to create a mechanism for distributing surplus cash to our shareholders and enhance shareholder value, but considering the fact that the present commercial and financial position of the company has undergone substantial deterioration on account of the impact of the COVID-19 pandemic and the extended global lockdown measures, it is critical and in the best interests of all our shareholders and investors to protect the financial sustainability of the company," Thomas Cook said in a statement.