Market Insights: Nifty Gains, Foreign Inflows, and Monsoon Impact on Agriculture

Market Summary

The benchmark Nifty index rose by 0.77% to close at 24502.2 on 12-Jul. The Nifty Midcap150 index fell by 0.06% to close at 21300.2. The Nifty Smallcap250 index fell by 0.07% to close at 17679.2. The 10yr yield remained unchanged at 7.02%. The rupee gained 0.06% to close at 83.52 against the US Dollar.

Key News

* Foreign investors poured Rs 15,352 crore into Indian equities in the first half of July, driven by the government’s ongoing reforms, low US Fed Reserve rates, and robust domestic demand, reports FE
* The government is working towards a strategy to tackle non-tariff barriers faced by exporters by setting up a committee and launching a portal, a senior official said, reports BS
* Active monsoon since the third week of June has boosted sowing of kharif crops such as paddy, pulses, oilseeds, cotton and sugarcane, reports FE
* Amid the threat of drought looming over parts of Chhattisgarh following scanty rainfall, the state has seen a surge in crop loan disbursement in the last few months, reports BS
* To accelerate the pace of critical mineral mining in the country, the Centre is planning to increase the area granted to individual players by more than fourfold, reports BS
* The government is likely to introduce a bill seeking amendments to the Insurance Act, 1938, during the upcoming Budget session to achieve ‘Insurance for All by 2047’, reports ET
* Ahead of the budget, the country’s agrochemical sector has sought an increase in import duties, flagging dumping of chemicals from China, reports ET