Domestic equity indices traded higher in late morning deals, supported by buying in Trent, Bharat Electronics, ITC, Ultratech Cement and Larsen & Toubro. Positive momentum came after government data showed India’s industrial production growth touched a 4-month high of 3.5% in July, led by strong performance in the manufacturing sector. However, gains were capped amid concerns over the impact of U.S. tariffs on Indian goods.

On the BSE sectoral front, Capital Goods, Industrials, FMCG, Bankex and Telecom indices gained, while Auto, Utilities, IT, Oil & Gas and TECK witnessed selling pressure.

Globally, Asian markets traded mixed as investors digested key economic data. Tokyo’s core CPI rose 2.5% year-on-year in August, easing from July’s 2.9%, while Japan’s unemployment rate fell to 2.3% from 2.5%. Back home, Reliance Industries remained in focus ahead of its Annual General Meeting (AGM).

The BSE Sensex is currently at RS. 80219.52, up by 138.95 points or 0.17%, after moving between RS. 79944.67 and RS. 80288.44. On the index, 22 stocks advanced while 8 declined. The broader markets also traded in green, with the BSE Midcap index up 0.32% and the Smallcap index up 0.53%.

Top sectoral gainers included Capital Goods (up 1.03%), Industrials (0.93%), FMCG (0.77%), Bankex (0.45%) and Telecom (0.45%). Meanwhile, Auto (down 0.36%), Utilities (0.22%), IT (0.16%), Oil & Gas (0.10%) and TECK (0.07%) were among the losers.

On the Sensex, Trent rose 2.03%, Bharat Electronics 1.81%, ITC 1.52%, Ultratech Cement 1.48% and L&T 1.17%. On the flip side, Mahindra & Mahindra fell 2.07%, Eternal 1.54%, Infosys 1.10%, NTPC 0.79% and Titan 0.67%.

The RBI’s latest bulletin highlighted downside risks to domestic demand due to uncertainties over U.S. trade policies. However, it noted that inflation is likely to remain benign, aided by muted food prices and favourable base effects. S&P’s sovereign rating upgrade for India is also expected to boost capital inflows and improve yields.

Favourable monsoon conditions are expected to support kharif crop output and rising rural wages could strengthen demand in the second half of FY25. Alongside rate cuts, fiscal support and improving consumer sentiment, these factors are seen sustaining aggregate demand.

The CNX Nifty is currently trading at RS. 24556.40, up by 55.50 points or 0.23%, after moving between RS. 24464.15 and RS. 24564.35. The index saw 35 stocks advancing against 15 declining.

Top Nifty gainers included Shriram Finance (up 2.75%), Trent (2.02%), Bharat Electronics (1.77%), Ultratech Cement (1.58%) and ITC (1.46%). The losers were Mahindra & Mahindra (down 2.10%), Eternal (1.55%), Infosys (1.10%), Apollo Hospital (0.82%) and Nestle (0.65%).

Across Asia, Nikkei 225 slipped 118.79 points or 0.28% to 42,710.00, Taiwan Weighted lost 0.01%, Jakarta Composite fell 2.33% and KOSPI dropped 0.32%. On the positive side, Shanghai Composite gained 0.24%, Hang Seng advanced 1.01% and Straits Times rose 0.36%.