Indian share markets rose in today's session after seven consecutive sessions of declines. At the closing bell, the BSE Sensex closed higher by 330 points and the NSE Nifty finished higher by 100 points. The S&P BSE Mid Cap finished up by 1.8% while S&P BSE Small Cap finished up by 2.3%.

Gains were largely seen in realty stocks, capital goods' stocks and pharma stocks.

Asian stock markets finished mixed as of the most recent closing prices. The Nikkei 225 gained 1.13% and the Hang Seng rose 0.29%. The Shanghai Composite lost 1.43%. European markets are lower today with shares in Germany off the most. The DAX is down 0.89% while London's FTSE 100 is off 0.55% and France's CAC 40 is lower by 0.48%.

Rupee was trading at Rs 64.16 against the US$ in the afternoon session.

Oil prices were trading at US$ 61.42 at the time of writing.

The Market cap to GDP ratio for Indian companies too is close to dangerously high levels. While this is still some way off the peak of FY-08, when it had once reached close to 150, it's relatively high.

FY17 saw this ratio reach close to 80. It is also expected to increase further given the moderate growth expectations in India's GDP for FY18. Warren Buffett once considered this as one of the best valuation metrics to gauge the markets.

Past history shows some correlation between the ratio and the share market. 2008 saw Sensex decline by 38% when this ratio crossed the 100 mark. Also, the market has bounced back sharply when this ratio was low.

The Warren Buffett Indicator Suggests Indian Equity Market Is Overvalued

The basic assumption in this ratio is that whenever the GDP of the country grows, the market performance will reflect it. Also, when stocks do well, it can be extrapolated to assume the Indian economy is doing well.

Cipla share price surged 7.8% after it reported a 4.8% growth year-on-year in profit at Rs 4 billion in Q3FY18. The growth was largely supported by better-than-expected operational performance and tax reversal but restricted due to lower other income. Profit in year-ago quarter stood at Rs 3.9 billion.

Bharat Heavy Electricals Ltd (BHEL) share price finished up by 1.6% on the BSE after the company posted a nearly 64% rise in third-quarter net profit. The company's net profit rose to Rs 1.53 billion, up from Rs 935.4 million a year ago. However, the company missed street expectations which expected a profit of Rs 1.9 billion.

Moving on to news from steel sector. JSW Steel share price surged 5% in today's trade after the company crude steel production of 1.46 million tonnes (MT) in January 2018, a growth of 5% over the corresponding month in 2017.

This takes the production of crude steel to 13.42 MT for the first 10 months of FY18, an increase of 2.8% yoy.

The sentiments also remained optimistic as JSW steel emerged as the favorite to bag Bhushan Steel. Other bidders included Tata Steel and a consortium consisting of employees of Bhushan Steel.

As per the reports, JSW Steel has put in a bid of Rs 297 billion. This includes Rs 280 billion upfront cash and Rs 17 billion as equity to the banks.

Meanwhile, global metal major ArcelorMittal is speeding up the sale of its stake in bankrupt Uttam Galva Steel to make it eligible to bid for Bhushan Steel. Currently, the Insolvency and Bankruptcy Code does not allow promoters of defaulting companies to bid for a stressed asset.

In another development, Vedanta share price fell in today's trade after it was reported that the company stands to lose less than 2% of its consolidated revenue after the Supreme Court canceled all mining leases in Goa.

The total banned capacity in Goa stands at 20 million tonnes a year, of which Vedanta operates 5.5 MTPA. The miner reportedly stands to lose about US$165 million, or about Rs 10 billion, in revenue.

As per the company's former managing director, India stands to lose Rs 40 billion of export value with this ban given that the low-quality iron ore is shipped at about US$30 a tonne.

Meanwhile, Coal India share price finished up by 0.5% after the company supplied 371.8 million tonnes of coal to the power sector in the last 10 months ending January, a rise of 6.8%.

The miner also supplied 103.1 million tonnes of coal to the non-power sector in the April-January period of the current fiscal registering a growth of 8.8% over the corresponding period last year.

This comes at a time when it has missed its own production target by 29.2 million tonnes.

In news from the economy, global rating agency, Moody's Investors Service in its latest report has said that the issuance of green bonds worldwide is expected to shoot up by 60% to US$250 billion in the year 2018 as against US$155 billion of green bonds issued in the previous year.

Besides, it pointed out that developed market banks and corporates will remain the most active participants in the market, with emerging market issuers, sovereigns and municipals, and green secularisations providing important engines of growth.

The rating agency observed that India and China will be the leaders among emerging markets. It also said that growth in aggregate issuance will be supported mainly by China and India, which have accounted for a combined US$53 billion of issuance since the inception of the green bond market.

As per the Moody's findings, the cumulative green bond issuance in India has more than doubled to US$6.5 billion (in US dollar-equivalent terms) since bond regulations in May 2017.

It observed that despite a number of challenges the green bond market for emerging regions are strong, underpinned by ambitious climate and sustainable policy agendas and multilateral support for market development.