The key benchmark indices BSE Sensex and NSE Nifty snapped a three-day losing streak on Tuesday on the back of stability in global currencies and an announcement by the government that it was considering reconvening Parliament to make another attempt to pass the goods and services tax (GST).
The BSE Sensex and NSE Nifty gained 290.82 points and 71.70 points at 26,032.38 and 7,880.70, respectively, on Tuesday. Sensex plummeted around 2,190 points in the past three trading sessions till August 24.
Barring the BSE Information Technology index, rest all other indices on the Bombay Stock Exchange ended in green. The BSE Realty index gained the most — 6.78 per cent at 1,236.88, it was followed by the BSE Metal index (up 4.04 per cent at 7,146.03), BSE Oil & Gas index (up 3.73 per cent at 8616.77).
Vinod Nair, head-fundamental research, Geojit BNP Paribas Financial Services, said, “As rupee started to appreciate, the market caught up from Tuesday’s low. Improvement in developed markets and stability in global currencies are the important reasons for continuing with this positive momentum.” Rupee appreciated over 1.5 per cent in Tuesday’s trading session and was hovering around 66 levels against dollar.
Gaurav Jain, director, Hem Securities, said, “A sharp bounce back from the Monday’s massacre was witnessed at the bourses. Markets went into the oversold zone which led to short covering triggering the Tuesday’s rise. Appreciation in rupee and bounce back in the global equities too added the league.”
In the 50-share Nifty pack, Yes Bank (up 8.15 per cent), Tata Motors (up 6.89 per cent), Vedanta (up 6.29 per cent) and BPCL (up 6.13 per cent) jumped the most and remained among the top gainers in the Nifty stocks. On the other hand, Tata Power (down 6.43 per cent), HDFC (down 1.52 per cent), Power Grid (down 1.45 per cent) and HCL Technologies (down 1.42 per cent) declined the most and stood at the bottom on the performance chart of the index.
Global markets rebounded on Tuesday after China’s central bank cut its key interest rate to support growth in the world’s second-largest economy. Earlier, China’s main stock index closed sharply lower for a fourth day. The Shanghai Composite Index closed 244.94 points down at 2,964.97 on Tuesday. It tumbled 8.5 per cent on Monday. Chinese stocks have plunged over the last two weeks despite a multi billion-dollar government effort to stop a slide in prices.
In Japan, the Nikkei 225 index, which had risen in early trade on Tuesday, closed down 3.9 per cent at 17,806.70.
Dow Jones and S&P 500 index futures were both up 3.7 per cent, an indication the US market was set to open higher.
3.03 pm: The 30-share Sensex was up 206 points at 25,948.
2.34 pm: The top gaining sectoral indices on the BSE were realty up by 6.16 per cent, Oil & Gas up by 3.08 per cent, Metal up by 3.07 per cent and Bankex up by 2.1 per cent while Capital Goods down by 0.31 per cent, Information Technology down by 0.12 per cent and Consumer Durables down by 0.07 per cent were the top losing indices on BSE.
The top gainers on the Sensex were Vedanta up by 5.92 per cent, NTPC up by 5.57 per cent, ICICI Bank up by 4.85 per cent, Tata Motors up by 4.65 per cent and Coal India up by 3.97 per cent. On the flip side, HDFC down by 1.82 per cent, Maruti Suzuki down by 1.42 per cent, Larsen & Toubro down by 1.15 per cent, BHEL down by 0.98 per cent and Bajaj Auto down by 0.93 per cent were the top losers.
Sensex was up 181.96 points at 25,924.
2.11 pm: Sensex up 300.75 points at 26,042.31. Nifty 80 points at 7,889.00. Meanwhile, Sensex and Nifty bounced back on Tuesday from their lowest levels in around a year after the government said it was considering reconvening parliament to make another attempt to pass the goods and services tax (GST).
Parliament failed to pass the GST bill earlier this month after it fell victim to an impasse over allegations of impropriety against Prime Minister Narendra Modi’s cabinet and party colleagues.
1.27 pm: Sensex was up 266.40 points at 26,007.
12.57 pm: Tata Motors shares were trading 2.37 per cent higher at Rs 317.05 in the afternoon trade. The scrip opened at Rs 308.05 and had touched a high and low of Rs 319.65 and Rs 306.25, in trade so far. Sensex was up 58 points at 25,799.57.
12.38 pm: The decline in the shares of Indian Oil Corporation(IOC) continued on Tuesday – a day after government of India successfully offloaded 10 per cent of its stake from the company through an Offer For Sale(OFS). The scrip was trading 1.12 per cent lower at Rs 374. Nifty was up 0.14 per cent at 7,820.
12.28 pm: Meanwhile, Deven R Choksey, managing director, KRChoksey Investment Managers in a research note said, “Lower crude oil price has indeed brightened the possibilities of lower inflation, which could be sustaining. Keep a close eye on valuations as market could easily recognise under valuations and high growth stocks. In my view, Indian economy and corporate earnings are set to improve, though stressed or highly leveraged companies and companies with high forex exposure could give nasty surprises in their forthcoming earnings.” The brokerage house is bullish on Reliance Industries (Target Price: Rs 1,200), ONGC (Target Price: Rs 300), Indoco Remedies (Target Price: Rs 403) and Cadila Healthcare (Target Pice: Rs 2,105). Sensex was down 41 points at 25,700.
12.16 pm: Adani Enterprises hit a fresh 52-low of Rs 67.45. In the noon trade, the scrip was trading 0.91 per cent lower at Rs 70.60. On BSE, so far 12.25 lakh shares were traded in the counter, compared with an average volume of 14.15 lakh shares in the last two weeks.
Meanwhile, the BSE Sensex was down 180.76 points, or 0.70 per cent, at 25,560.80.
11.55 am: Sensex was down over 409.53 points at 25,332.03. NSE Nifty was 120.80 points down at 7,688.20.
11.23 am: Sensex was down over 350 points at 25,389.
10.30 am: Lower market levels could prove to be a great buying opportunity for the long term investor, said Nilesh Shetty, fund manager, Quantum AMC.
10.21 am: Share price of Tech Mahindra tanked over 4 per cent in the morning trade on Tuesday. The company announced after market hours on August 24 that their in-house developed platform TAP (Tech Mahindra Analytics Platform) for Big Data solutions has been certified by Hortonworks, a technology leader and ecosystem builder for the Apache Hadoop industry. TAP, an asset-based delivery kit, addresses the critical and evolving needs of customers with a multitude of diverse use cases in Big Data Analytics. It is one of the major technology initiatives in the Analytics area and the certification by Hortonworks adds further value to this asset and enables the delivery of analytics solutions on the HWX platform, Tech Mahindra said in a statement. The scrip opened at Rs 529.30, and had touched a high and low of Rs 542.70 and Rs 493.30, respectively, in trade so far. Sensex was 0.71 per cent at 25,925.
10.11 am: Brokers said emergence of buying at prevailing lower levels in bluechips coupled with covering-up of short positions by speculators, helped key indices to trade in the positive zone.
9.58 am: The market breadth indicating the overall health of the market was weak. On BSE, 689 shares advanced and 1,202 shares fell. A total of 53 shares were unchanged.
9.48 am: Sensex was up 113 points at 25,854. Among the sectoral indices on the Bombay Stock Exchange, the BSE Realty and the BSE Metal index were up 1.94 per cent and 1.20 per cent at 1,180.85 and 6,950.85. Share price of Indiabulls Real Estate was up over 11 per cent at Rs 52.25.
9.43 am: Benchmark indices pare some of their initial gains. Sensex and Nifty were up 43 points and 7.95 points at 25,784 and 7,817.
9.33 am: The BSE Midcap index was up 131.83 points or 1.27 per cent at 10,487. The BSE Smallcap index was up 128.59 points or 1.21 per cent at 10,716.49. Both these indices outperformed the Sensex.
Sensex was up 183.49 points at 25,925.
9.29 am: The market may remain volatile in the near future as traders roll over positions in the futures & options (F&O) segment from the near month August 2015 series to September 2015 series. The near month August 2015 derivatives contracts are set to expire on Thursday.
9.22 am: Sensex was up over 300 points at 26,096. In overseas markets, barring China, all other Asian stocks were trading higher.
Shanghai Composite index was down 4.33 per cent at 3,071.06
9.18 am: The BSE Sensex and NSE Nifty were up 272.67 points and 80.40 points at 26,014.23 and 7,899.40. All the sectoral on the BSE were in green.
Rupee was up around 59 paise at 66.43 against dollar.
The key bechmark indices opened in green on Tuesday tracking SGX Nifty. The BSE Sensex and NSE Nifty opened 174.70 points and 86.4 points higher at 25,916.26 and 7,895.40, respectively.
On Monday, the 30-share Sensex and 50-share Nifty index tumbled around 6 per cent at 25,741.56 and 7,809, respectively. The sharp fall was led by a global sell-off triggered by concerns over the slowdown in the Chinese economy and fears of a currency war led by the yuan devaluation.
(With inputs from agencies)