Indian stock markets open marginally higher ahead of the Reliance Industries AGM and a Rs 11,000 crore share buyback from Wipro. Positive sentiments fueled up amid the investors ahead of the better expectations of first quarter earnings of blue-chip companies which are yet to be announced. The major earnings on Friday are Ashok Leyland and Dewan Housing Finance Ltd. BSE Sensex opened 131 points higher at 32,035.88 points while NSE Nifty 50 opened just shy away from 9,900 level at 9,899.95 points.
However, within minutes of trading benchmarks washed off the early morning gains with the 30-share barometer trading up 0.22% at 31,973 points while the broader Nifty is trading up 0.13% at 9,886.5 points. Shares of the heavyweight stocks RIL and Wipro which announced the first quarter earnings yesterday after the market closing are trading higher. Reliance Industries and Wipro hit a fresh 52-week high on Sensex rising 3.02% to Rs 1,574.95 while Wipro spikes on the back of share buyback rising 8.17% to Rs 291 leading the benchmark Sensex.
The major earnings lined up for today are Ashok Leyland, Can Fin Homes, Dewan Housing Finance, Indian Bank, MRPL, Persistent Systems, Atul, Chowgule Steamships, DIC India, Hindustan Dorr-Oliver, Keltech Energies, Mafatlal Finance, Onward Technologies, Tata Sponge Iron, Tinplate.
Earlier yesterday, Indian IT major, Wipro Ltd announced a share buyback of Rs 11,000 at the board meeting to consider the April-June quarter results. On 17 July, shares of Wipro Ltd jumped over 5%, after the company said on Friday that it would consider a share buyback proposal in the company’s board meeting.
Oil-to-telecom conglomerate Reliance Industries Ltd shares opened firm on Friday ahead of its AGM, after the company late yesterday evening surprised with the strong performance on its refining margins in the fiscal first quarter which boosted its financial results, lifting the quarterly net profit up by as much as 28% on-year. Later today, chairman Mukesh Ambani is widely expected to launch a low-cost 4G-enabled feature phone handset, which may help its disruptive telecom venture Jio rapidly expand the footprint further, even as its earlier service offerings have already taken the Indian industry by storm.
The results release was conspicuous in its silence on the company’s performance or plans for Jio Infocomm’s retail telecom business, leading some to believe that Mukesh Ambani has kept those plans for unveiling at the upcoming AGM later today.
The lead gainers on Sensex other than Wipro and Reliance Industries are Coal India (up 1.43%), Infosys (up 1.22%), Asian Paints (up 1.08%), Tata Motors (up 0.51%) and TCS (up 0.31%).
The sectoral indices of NSE trade mixed with Nifty PSU Bank (up 0.31%), Nifty Pharma (down 0.71%), Nifty Metal trade with no change, Nifty IT (up 1.66%), Nifty FMCG (down 0.07%), Nifty Media (down 0.78%), Nifty Auto (up 0.1%), Nifty Bank (up 0.08%), Nifty Realty (up 0.35%), Nifty Pvt Bank (up down 0.12%) and Nifty Fin Service (down 0.07%).
The rupee strengthened 8 paise to 64.35 against the dollar today on heightened selling of the US currency by exporters and banks, with stronger domestic stocks providing support. The dollar hit a nearly two-year low against the euro after the head of the European Central Bank said tapering of its stimulus will be on the table this autumn.
Earlier yesterday, Foreign Portfolio Investors equity investments stood at Rs 1,016.88 crore at the end of the day while the debt investments were at Rs 835.56 crore as per the data released by the NSDL (National Securities Depository Limited).
US Stocks ended little changed on Wall Street on Thursday as a deal between Sears and Amazon weighed on home improvement retailers while gains in Microsoft helped buoy the Nasdaq. The Dow Jones Industrial Average fell 28.97 points, or 0.13%, to close at 21,611.78 points, the S&P 500 lost 0.38 point, or 0.02%, to 2,473.45 points and the Nasdaq Composite added 4.96 points, or 0.08%, to end at 6,390 points.