The BSE Sensex and NSE Nifty pared some of their gains on Monday in late hour of trade and closed on a flat note on account of selling in frontline blue chip stocks taking cues from European counterparts. The sentiments also came under pressure after Moody’s poll stated that the greatest challenge facing the Indian economy is exposure to external shocks such as interest rate hike in the US and slowdown in China and the risk has risen since last year. Sensex closed 50.29 points up at 24,485.95, while Nifty 50 index settled 13.70 points up at 7,436.15.
In the 50-share index, Cairn India, Tata Steel, Sun Pharma, ICICI Bank and Ambuja Cements gained between 1.80 per cent and 5.20 per cent. On the other hand, Larsen & Toubro, GAIL, Hero MotoCorp, Tata Motors, Adani Ports slid between 1.65 per cent and 2.70 per cent.
Among the sectoral indices in the BSE, the Metal index gained the most — 1.58 per cent, followed by the Consumer Durables index (up 1.34 per cent), Healthcare index (up 0.97 per cent), Realty index (up 0.50 per cent). On the other hand, Capital Goods index and Auto index slid 0.90 per cent and 0.69 per cent, respectively.
Gaurav Jain, director, Hem Securities, said, “Indices opened the week on a green note supported by global markets which zoomed on expectation of stimulus by European Central Bank (ECB). However, trimmed gains following correction in European peers and crude oil prices. Indices continued to be volatile on account of expiry of derivative contracts ahead.”
There were lots of result announcements that kept markets buzzing through the day, HDFC Bank gained nearly one per cent as its third quarter earnings matched expectations and profit increased 20 per cent year-on-year to Rs 3,357 crore during the quarter, supported by operating profit, net interest income and other income despite higher tax cost.
Spice Jet surged over 11 per cent after the company reported net profit for the fourth consecutive quarter during weekend. The company posted a net profit of Rs.238.39 crore in the December quarter, against a net loss of Rs.275.02 crore in the year-ago period.
In a big surprise, Cairn India surged over 5 per cent even as the company posted a 99 per cent YoY drop in net profit to Rs 9 crore in the December quarter, as a host of brokerages retained their ratings on the stock.
Asian equity markets ended in green on Monday, as oil prices rose above $32 a barrel after the onset of a massive snowstorm on the US East Coast and Chinese shares began the week on a firm note amid indications that the Chinese government will hold the yuan steady for long. Investors also took heart from a rally on Wall Street Friday that helped US stocks notch their first week of gains in a month.
Japan shares ended higher after a sharp rebound in crude oil prices helped global market sentiment, despite a firmer yen and the latest trade figures showing exports falling for a third straight month.
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Data Source: Ace Equity
Markets through the day
3.30 pm: Markets gave up most of their gains in the late hour of trade after Europe showed signs of dithering after the oil declined again in day’s trade. Sensex closed 50.29 points up at 24,485.95, while Nifty 50 index settled 13.70 points up at 7,436.15.
3.22 pm: Staffing firm TeamLease Services has fixed Rs 785-850 per share as the price band for its initial public offer (IPO) which will hit the capital market on February 2.
3.21 pm: Supreme Petrochem received an approval for modification of one of the three Polystyrene (PS) producing lines at the plant in villages Amdoshi, Wangani in the state of Maharashtra into a swing line capable of producing 42,500 TPA of SMMA (Styrene Methyl Methacrylate) in addition to PS. The board of directors at its meeting held on January 22, 2016 has approved for the same. Shares of Supreme Petrochem were trading 12.77 per cent up at Rs 113.90.
3.14 pm: Meanwhile, Kansai Nerolac Paints reported 28.57 per cent rise in its net profit at Rs 84.42 crore for the quarter ended December 31, 2015 as compared to Rs 65.66 crore for the same quarter in the previous year. Total income of company increased by 8.93 per cent to Rs 973.96 crore for the quarter under review from Rs 894.08 crore for the corresponding quarter of the previous year. Shares of Kansai Nerolanc were trading 1.31 per cent up at Rs 267.40. Sensex was up 42 points at 24,477.
3.01 pm: MRF posted a net profit of Rs 388.15 crore for the quarter ended December 31, 2015 as compared to Rs 323.51 crore for the quarter ended December 31, 2014. Shares of MRF were trading 0.63 per cent up at Rs 36,486. Sensex was up 36 points at 24,472.
2.52 pm: HDFC Bank has reported results for third quarter ended December 31, 2015. The bank has registered a rise of 20.12 per cent in its net profit at Rs 3356.84 crore for the quarter under review as compared to Rs 2794.51 crore for the same quarter in the previous year. Gross non-performing assets (NPAs) improved to 0.97 per cent in the October- December quarter as against 0.99 per cent in the same quarter previous year, while net NPAs stood at 0.29 per cent. Shares of HDFC Bank were trading 0.90 per cent up at Rs 1,039.
2.47 pm: Sensex was up 53 points at 24,489. Nifty was trading 20.55 points up at 7,443. Traders were seen piling position in Metal, Consumer Durables and IT stocks while selling was witnessed in Capital Goods, Oil & Gas and Power sector stocks.
2.15 pm: Ramco Systems, the global Aviation software provider on cloud, mobile & tablets, has entered in to a share subscription cum shareholder’s agreement on January 23, 2016 to subscribe for 18.93 per cent shareholding in Smartmegh Solutions. The company will purchase 2,335 equity shares of Rs 10 each of Smartmegh Solutions at a premium of Rs 6,414 each. Ramco Systems shares were quoting 0.18 per cent up at 24,480. Sensex was up 41 points at 24,477.
2.02 pm: Benchmark indices pared most of their initial gains in the afternoon trade. Sensex was up 21 points at 24457. Nifty was up 2.65 points at 7425.
1.43 pm: MRF shares were trading 4.33 per cent up at Rs 37,827. The company will announce its December-quarter result later in the day.
1.40 pm: Aarti Drugs informed BSE that a meeting of the Board of Directors of the Company will be held on February 05, 2016, to consider, approve and take on record Audited Financial Results and Accounts for the quarter and nine months ended on December 31, 2015, and to consider declaration of 2nd Interim Dividend, if any. Shares of Aarti Drugs were trading 4.52 per cent up at Rs 542.20.
1.34 pm: Bhushan Steel shares were trading 8.68 per cent up at Rs 40.05. Sensex was up 127 points at 24,563.
1.24 pm: Metal stocks were witnessing buying interest. Vedanta, Tata Steel, NALCO, SAIL, NMDC, Hindalco and Hindustan Zinc all were trading in green. The BSE Metal index was up 1.98 per cent at 6793.26.
12.50 pm: ITC shares were trading 0.76 per cent down at Rs 306.30 after the company on Friday reported a marginal rise in its net profit to Rs 2652.82 crore during the quarter ended December 31, 2015 from Rs 2,635 crore for the same period a year ago, on the back of subdued revenue growth as its cigarettes business remained muted and sluggish demand environment prevailed in the FMCG sector. Sensex was trading 106.44 points up at 24,542.10. NSE Nifty was trading 32.20 points up at 7,454.65.
12.39 pm: Meanwhile, Moody’s poll said that the greatest challenge facing the Indian economy is exposure to external shocks such as interest rate hike in the US and slowdown in China, and the risk has risen since last year.
12.18 pm: Shares of Lakshmi Vilas Bank were trading 1.66 per cent up at Rs 94.65. The bank has registered a rise of 41.52 per cent in its net profit at Rs 46.07 crore for the quarter ended December 2015 compared to Rs 32.56 crore for the same quarter in the previous year. Sensex was up 137 points at 24,573. Nifty was up 40.65 points at 7,463.
11.44 am: Amid fall in global prices and demand, Exports of 15 of the sectors out of the 30 closely monitored by the Commerce Ministry were in the negative zone in the month of December 2015. According to the data of the Commerce Ministry, top two sectors – engineering and petroleum products contracted by 15.68 per cent and 47.69 per cent, respectively during the month. Besides, the exports of Gems and Jewellery too shrank by about 7.75 per cent to $2.46 billion in the same month.
11.20 am: Sensex was up 118 points at 24,554. Tata Power Company’s 100% subsidiary – Tata Power Renewable Energy (TPREL), has issued and allotted Guaranteed, Unsecured, Non-Cumulative, Redeemable, Taxable, Listed, Rated, Non-Convertible Debentures (NCDs) for an amount of Rs 425 crore on private placement basis. These NCDs have been issued on a private placement basis through a private placement offer letter cum information memorandum. Shares of Tata Power were trading 0.40 per cent up at Rs 62.05.
10.49 am: Shares of SpiceJet surged as much as 13.47 per cent on Monday after the airline major on Friday reported a net profit of Rs 238.40 crore for the three-month period ended December 2015. This is also the highest ever profit recorded by the carrier, which was facing turbulent times a year ago. The airline had incurred a net loss of Rs 275.03 crore in the corresponding quarter a year ago. Sensex was up 183 points at 24,618.
10.14 am: State-owned aluminium maker Nalco will send a team of officials to Iran, Qatar and Oman as early as next month to explore opportunities for setting up a gas-based thermal power plant and an aluminium smelter. Previously, the over $2-billion project was slated to come up at one of the specially designated economic zones in Iran’s Kerman province, but could not materialise due to sanctions on the Persian Gulf nation. Shares of Nalco were trading 1.75 per cent up at Rs 34.95. Sensex was up 186 points at 24,622.
10.00 am: Brokers said investors speculated over the possibility that central banks will unleash more stimulus measures to bolster financial markets, which led to a firm trend at other Asian markets, lifting spirits here. Stock markets will remain closed tomorrow for the Republic Day.
9.53 am: Beer maker United Breweries (UBL) is looking to introduce its recently launched malt-based ready-to-drink (RTD) beverage ‘Kingfisher Buzz’ in all major cities of the country by this year-end. Kingfisher Buzz is currently available in two flavours – berry and lychee – in Mumbai, Pune and Thane. The company plans to add more flavours to expand its portfolio in the segment. The introduction of Buzz marks UBL’s latest efforts in product innovation, and is an extension of the company’s portfolio that caters to even non-beer drinkers. Shares of UBL were trading 0.31 per cent down at Rs 785.85.
9.47 am: Idea Cellular proposes to roll out 4G LTE network in 750 towns under 10 circles by June this year. Idea had announced the launch of 4G services in the southern States last December. The operator is transplanting existing 2G and 3G towers with 4G equipment. As of now, it is providing 3G in the 2,100 Mhz spectrum. In the last auction, 1,800 MHz spectrum was regularised. So it is able to offer 4G on 1,800 MHz spectrum in all the four southern circles. Shares of Idea Cellular were trading 0.05 per cent up at Rs 106.90.
9.39 am: The rupee appreciated 10 paise to 67.53 against the dollar at the Interbank Foreign Exchange in early trade today on increased selling of the US currency by banks and exporters.
9.33 am: In the 50-share index, Vedanta, Cairn India, BHEL, Tata Steel and HCL Tech were up between 2.20 per cent and 3.10 per cent. On the other hand, Hero MotoCorp, Bharti Airtel, ITC, BPCL and Axis Bank were down between 0.40 per cent and 1.35 per cent. Nifty was up 57.75 points, or 0.78 per cent, at 7,480.20.
9.28 am: Jaypee group-promoted Jaiprakash Associates has received four bids for the cement capacity of 20 million tonnes per year that it has put on the block for paring debt, which was Rs 75,000 crore at the end of last financial year. The bidders include global private equity firm KKR, and domestic players UltraTech and Dalmia Bharat Cement. The company is expecting a valuation of over $140 a tonne for these assets. This could help it pare about Rs 20,000 crore of debt. Jaiprakash Associates stocks were quoting at Rs 9.28, up 1.64 per cent. Sensex was up 201.39 points at 24,637.
9.25 am: State-owned Oil & Natural Gas Corporation (ONGC) has got environmental clearance for drilling 45 development wells and other related infrastructure involving a cost of over Rs 53,000 crore in the Krishna-Godavari basin in Andhra Pradesh. The environmental clearance has been given subject to specific and general conditions. It is expected that the proposed development drilling and subsequent development of fields would lead to production of 51.33 billion cubic meters of gas over a period of 16 years and 26.71 million cubic meters of oil in 12 years. Shares of ONGC were trading 1.57 per cent up at Rs 219.85. Sensex was up 165 points at 24,601.
9.18 am: Sensex was trading over 150 points up at 24,597. Shares of SpiceJet were trading 8.47 per cent up at Rs 76.85.
9.15 am: BSE Sensex opened 105.31 points up at 24540.97 tracking firm global cues. NSE Nifty opened 46.30 points up at 7,468.75. Godrej Properties (GPL), the real estate development arm of the Godrej Group, has entered the Noida real estate market for the first time through a development management agreement to develop a residential group housing project within Lotus Greens Sports City in Sector 150, Noida. Shares of Godrej Properties were trading 1.95 per cent up at 315.80.
9.06 am: As per provisional figures, foreign institutional investors (FIIs)/ Foreign Portfolio Investors (FPIs) sold shares worth net Rs 769.83 crore on 22 January 2016. Domestic institutional investors bought shares worth Rs 915.60 crore on that day.
9.02 am: HDFC Bank, MRF, Mcleod Russel, Kansai Nerolac, Container Corporation of India, Eveready Ind., Kirloskar Brothers, Supreme Ind and Swaraj Engines to announce their results today.
8.42 am: The BSE Sensex and NSE Nifty are likely to open in green on Monday tracking SGX Nifty and global markets.
At 8.29 am (IST), SGX Nifty was up 33 points, or 0.44 per cent, at 7,459.50.
Asian stocks moved further away on Monday from four-year lows struck last week, as the blizzard on the US East coast pushed oil prices higher, relieving some of the bearish pressure on Wall Street and world markets.
Shanghai, Nikkei and Hang Seng were up by 0.94 per cent, 1.39 per cent and 1.89 per cent, respectively.
On Friday, the S&P 500 rose 2 per cent and the Dow added 1.3 per cent on Friday as a cold snap in North America and Europe caused a rally in oil prices. The S&P energy sector surged 4.3 per cent.
Back home, equities staged a sharp pullback rally on Friday to recover from 20-month low as the benchmark BSE Sensex surged over 473 points to 24,435.66, tracking gains in global markets on hopes of a fresh stimulus from the euro zone and rebound in oil prices.
Nikhil Kamath, director – trading and risk, Zerodha said, “The market’s move on Friday can be attributed to short covering and we expect this to last for another couple of more trading session. However around 7,500, we expect fresh round of shorting in the market. At 7,500, traders can look at initiating fresh short position in the options market preferably by taking a spread position by simultaneously purchasing 7,500 PE and selling 7300 PE.”
Stock of Cipla and Adani Power will remain in focus on Monday. Drug major Cipla on Monday announced completion of selling its entire holding in Hong Kong-based Biomab Holding to Biomab Brilliant for $2.5 million.
Adani Power has received shareholders’ approval to convert debt or parts those of up to Rs 35,000 crore into fully paid up equity shares of the company.
(With agency inputs)