Share markets in India are presently trading on a strong note.

The BSE Sensex is trading up by 265 points, up 0.6% at 48,518 levels.

Meanwhile, the NSE Nifty is trading up by 74 points.

Sun Pharmaceuticals and UPL are among the top gainers today. Adani Ports and Bajaj Finance are among the top losers today.

Both the BSE Mid Cap and BSE Small-Cap index are trading up by 0.5%.

On the sectoral front, stocks from the healthcare sector and telecom sector, are witnessing most of the buying interest.

On the other hand, stocks from the real estate sector, are witnessing most of the selling pressure.

US stock futures are trading higher today, indicating a positive opening for Wall Street.

Nasdaq Futures are trading up by 9 points (up 0.1%) while Dow Futures are trading up by 60 points (up 0.2%)

The rupee is trading at 73.96 against the US$.

Gold prices are trading flat at Rs 46,876 per 10 grams.

Gold prices were trading higher in domestic markets in early trade today amid mixed economic data and contrasting comments from Fed officials and the US treasury secretary.

On the Multi-Commodity Exchange (MCX), June gold futures rose 0.2%, or Rs 74, to trade at Rs 46,945 per 10 grams.

Speaking of the precious yellow metal, how lucrative has gold been as a long-term investment in India?

The chart below shows the annual returns on gold over the last 15 years...

As you can see, barring just two years - 2013 and 2015, gold has delivered positive returns in 13 of the last 15 years.

The recent price volatility in the bullion market has rattled many traders. Even with the recent volatility in prices, gold remains among the best-performing commodities this year to combat the fallout from the coronavirus pandemic.

Moving on to stock-specific news...

Among the buzzing stocks, today is Hindustan Aeronautics.

Hindustan Aeronautics (HAL) has signed a memorandum of understanding (MoU) with Rolls-Royce to establish a support system in India for the highly regarded Rolls-Royce MT30 marine engines.

The HAL-Rolls-Royce partnership will provide packaging, installation, marketing, and services support for the MT30 engine, creating a business case for the Indian Navy to consider using the engine for powering and propelling its warships.

The Indian Navy, one of the world's major warship builders, has not used the MT30 for even a single warship. Most Indian frigates and destroyers are propelled by Ukrainian Zorya turbines or by American General Electric LM-2500 gas turbines.

The MT30 engine, however, powers the world's most sophisticated warships. It gives the US Navy's Littoral Combat Ship, USS Freedom, the ability to move at 40 knots, or 75 km per hour. It also propels the Royal Navy's two new aircraft carriers - Her Majesty's Ship (HMS) Queen Elizabeth and HMS Prince of Wales.

The British government has been actively lobbying New Delhi to power the Indian Navy's second indigenous aircraft carrier (IAC-2), INS Vishal, with the MT30 engine.

Like the two British carriers, for which Rolls-Royce has already tailor-made a propulsion package, INS Vishal will be a 65,000-tonne vessel that embarks 55-60 aircraft.

Rolls-Royce points out that seven major ship types have chosen propulsion solutions based on the MT30 turbine. These include South Korea's Daegu-class frigates, the Royal Navy's Type 26 City-class frigates, the Australian navy's Hunter-class, and the Canadian navy's Surface Combatant programmes.

Rolls-Royce is famous for its aerospace and land system engines, but the company's marine engines division is also a major money earner. So far, Rolls-Royce and HAL have collaborated mainly in building the Adour aero engines that power the Jaguar fighter and Hawk advanced jet trainer.

How this pans out remains to be seen. Meanwhile, stay tuned for more updates from this space.

At the time of writing, shares of Hindustan Aeronautics were trading up by 1.7% on the BSE.

Speaking of the stock markets, Brijesh Bhatia, Research Analyst at Fast Profits Report, talks about why he is bullish on sugar stocks, in one of his latest videos for Fast Profits Daily.

Tune in here to find out more:

In news from the macroeconomic space...

RBI Announces New Relief Measures Amid Covid Second Wave

Reserve Bank of India (RBI) Governor Shaktikanta Das today announced measures to ease the economic stress of the second wave of Covid-19 in India. The central bank chief announced a term liquidity facility of Rs 500 bn for access to emergency health security.

Das said that to ramp up the Covid related healthcare infrastructure in the country, and on-tap special liquidity facility of Rs 500 bn will be made available to the banks at the repo rate with up to 3-year tenor till March 31, 2022.

During his address, the RBI governor said that India had flattened the Covid-19 infection curve in March, however, new mutants of the virus have emerged. He said that wide-ranging and swift actions are needed against the spread of the second wave of Covid.

The governor also said that the RBI will closely monitor the emerging developments in the economy and use all resources and instruments at its command.

Das announced special long-term repo operations for small finance banks (SFBs) to provide further support to micro, small, and other unorganized sector entities. He said that SFBs will be allowed to lend to small microfinance institutions (MFIs) having an asset size of Rs 5 bn.

The RBI will also conduct a special 3-year long-term repo operation (LTRO) of Rs 100 bn at a repo rate for SFBs. There will be a limit of Rs 1 m per borrower and the facility will be available till October 31, 2021.

We will keep you posted on updates from this space. Stay tuned.