Sensex trims early gains; stays in green

The BSE Sensex trimmed its initial gains in the afternoon deals but stayed in the green, up 0.37 per cent at 33,189.50, on reports of trade negotiations between the US and China, easing fears of a trade war.

Investor sentiment was also buoyed after the Indian government announced borrowing of Rs 2.88 lakh crore in the April-September period of 2018-19, lower than Rs 3.72 lakh crore it had borrowed in the first half of the current fiscal.

It has also decided to introduce bonds linked to CPI or retail inflation.

There was buying in key sectors like capital goods, metals, oil & gas, banks, and industrials amid higher Asian cues.

The benchmark index had extended yesterday’s gains by rising over 200 points in early trade. Buying sentiment was bolstered on firm global cues on reports of trade negotiations between the US and China, easing fears of a trade war.

The 30-share index was however trading at 33,139.48 at 1115 hrs, showing a gain of 73.07 points, or 0.22 per cent.

The broader Nifty-50 index trading at 10,160.65, up 30.55 points or 0.30 per cent.

Around 1240 hrs both the indices had move up again. While BSE was up at 33,189.50, up 0.37 per cent, NSE was trading at 10,177.80, up 0.47 per cent.

Major gainers were SBIN, TataSteel, KotakBank, Axis Bank and SunPharma.

Foreign portfolio investors (FPIs) had sold shares worth Rs 741.19 crore on net basis, while domestic had institutional investors (DIIs) bought equities to the tune of Rs 2,017.95 crore yesterday, provisional data showed.

Asian markets were higher after Wall Street rebounded in previous trading session amid a slight easing in trade tensions.

US stocks closed sharply higher yesterday bouncing back from strong losses in the previous session as trade tensions between the US and China appeared to ease.