Domestic equity markets finished higher on Monday, reversing day’s losses as buying in beaten down blue chip stocks supported market sentiments. The sentiments were on optimistic note after Finance Minister Arun Jaitley stated that India’s economic growth is expected to exceed 7.3 per cent in the current financial year and go higher still in the next one. The growth would come despite rural demand been impacted by lower rains in the last two years.
Sensex closed 149.57 points up at 25,760.10, while Nifty settled 44.35 points up at 7,806.60. Investors also got some encouragement with Prime Minister Narendra Modi’s statement that FDI into India has increased by 40 per cent since last year, showing the increasing global confidence in the country.
Traders were seen piling position in Bankex, Capital Goods and FMCG stocks, while selling was witnessed in IT and TECK sector stocks.
Achin Goel, head, wealth management and financial planning, Bonanza Portfolio, said, “Markets corrected in the first hour of the trading session and later recovered owing to fresh buying in index majors.”
Blue-chips stocks that were heavily oversold last week, led gains with ITC rising 2.69 per cent and Larsen & Toubro up 1.90 per cent. ITC lost 2.34 per cent while L&T shed about 3.34 per cent last week.
Anand James, co head technical research desk, Geojit BNP Paribas, said, “The negative bias in the early trades, evoked fears that the risk appetite of Indian investors may also take a hit as Paris attacks had dragged other Asian equities lower earlier in the morning. However, a firm rupee, as well as recent announcements on the FDI front also gave launchpad for recovery in Indian markets, with Nifty pushing above 7800.”
In the 50-share index, Tata Steel, GAIL, Vedanta, State Bank of India and Dr Reddy’s Labs gained between 3.50 per cent and 4.20 per cent. On the other hand, Coal India, HUL, Tata Power, Hero MotoCorp, Power Grid slid between 1.10 per cent and 2.30 per cent.
In the scrip specific development, GMR Infrastructure gained 13.89 per cent on Monday after the company reported that its consolidated net loss in July-September quarter narrowed to Rs 398.67 crore. The share price of the company closed at Rs 13.53.
SH Kelkar, which marked its market debut on Monday, closed 15 per cent up on BSE from its IPO price of Rs 180. The stock gained as much as 24 per cent to Rs 222.70 earlier in the day. The scrip closed at Rs 207.30.
Shares of Apollo Tyres jumped 2.06 per cent after it informed BSE that it has acquired Reifencom GmbH, one of the largest tyre distributors in Germany, for euro 45.6 million amounting around Rs 301 crore.
Meanwhile, Fitch Ratings has affirmed Reliance Industries’ long term foreign currency and domestic currency issuer default rating at ‘BBB-‘ and ‘BBB’, respectively with stable outlook. The share price of Reliance Industries jumped 0.31 per cent to Rs 933.05. The scrip opened the day at Rs 929 and touched a high and low of Rs 941.80 and Rs 924.70, respectively, in trade.
Overall market breadth for the day remained positive as advances to declines ratio for Nifty stood at 33:17 for the day.
Markets through the day
3.30 pm: Sensex closed 149.57 points up at 25,760.10, while Nifty settled 44.35 points up at 7,806.60.
2.55 pm: Rest of Asian markets mostly fell on Monday following the deadly weekend terror attacks in Paris – with airline stocks taking a beating on concerns over the tourism industry. The late-night assault on Friday in the French capital, which killed 129 people, also sent the euro tumbling on fears for security in Europe and its effect on the already struggling eurozone economy. Shares of Jet Airways, SpiceJet and Indigo were down 1.70 per cent, 2.68 per cent and 1.71 per cent, respectively.
2.50 pm: Blue-chips stocks that were heavily oversold last week, led gains with ITC rising 2.66 per cent and Larsen & Toubro up 2.18 per cent. ITC lost 2.34 per cent while L&T shed about 3.34 per cent last week.
2.16 pm: Sensex was trading 206.52 points up at 25,817.05. NSE Nifty was trading 58.20 points up at 7,820.45. BSE Bankex was up 1.32 per cent and BSE Capital Goods was up 1.22 per cent.
2.07 pm: Sensex was up 177.58 points at 25788.11. Nifty was up 53.35 points at 7,815. Among the sectoral indices on the BSE, the BSE IT index and BSE TECk index were down 0.76 per eent and 0.58 per cent. On the other hand, BSE Bankex and BSE Capital Goods index were up 1.33 per cent and 1.25 per cent, respectively.
1.23 pm: Shares of GMR Infrastructure on Monday advanced by over 11 per cent as the company’s consolidated net loss in July-September quarter narrowed to Rs 398.67 crore.
1.13 pm: Shares of Apollo Tyres jumped over 2 per cent after the company informed BSE that it has acquired Reifencom GmbH, one of the largest tyre distributors in Germany, for euro 45.6 million (around Rs 301 crore). Sensex was up 110 points at 25,721.
1.00 pm: Shares of state-run trading firm MMTC on Monday surged as much as 9.4 per cent after the company reported a net profit of Rs 43.84 crore for the second quarter ended September 30. The stock climbed 9.47 per cent to Rs 46.20 at BSE. At 1 pm, the scrip was trading 6.87 per cent up at Rs 45.10.
12.51 pm: Benchmark indices were trading in green on account of buying in frontline blue chip counters. Also, investors got some encouragement with Prime Minister Narendra Modi’s statement that FDI into India has increased by 40 per cent since last year, showing the increasing global confidence in the country. Meanwhile, October WPI inflation came at 3.8 per cent against September WPI of 4.54 per cent. Sensex was up 152 points at 25762. Nifty was up 37.30 points at 7,799.55.
12.19 pm: MTNL share price jumped as much as 8 per cent on Monday after the state-run telecom firm announced that it will soon launch free roaming scheme, allowing customers to receive calls at no extra cost while traveling across the country. BSNL already has such a scheme in place. At 12.19 pm, the share price of MTNL was up 4.84 per cent at Rs 18.40. The scrip opened at Rs 17.45 and had touched a high and low of Rs 18.95 and Rs 17.20, respectively, in trade so far. Sensex was up 108 points at 25,719. Nifty was up 32 points at 7,794.
11.57 am: The 50-share Nifty was marginally up 11 points or 0.15 per cent at 7,773.75. Major gainers were Kotak Mahindra Bank (up 2.37 per cent), IndusInd Bank (up 2.19 per cent), Dr Reddy’s (up 2.17 per cent), ICICI Bank (up 1.91 per cent) and ITC (up 1.58 per cent). While notable losers include Infosys (down 2.07 per cent), Tech Mahindra (down 1.94 per cent), Tata Motors (down 1.92 per cent), ONGC (down 1.70 per cent) and Ambuja Cements (down 1.58 per cent).
11.53 am: Sensex was up 44 points at 25,654. Meanwhile, Shasun Pharmaceuticals received an approval from the United States Food & Drug Administration (USFDA) for Carisoprodol Tablets USP 250 mg and 350 mg. The product will be manufactured at the Pondicherry facility of the company and will be distributed in US through a partner. The product is expected to be launched shortly. The share price of the pharma company was trading 1.80 per cent up at Rs 405.10.
11.15 am: Share price of Talwalkars Better Value Fitness (TBVF) jumped as much as 3.40 per cent after the company informed BSE that it has entered into an agreement to acquire strategic stake in Inshape Health and Fitnez Private Limited (IHPL), a health and fitness center having operations in Chennai. The investment into IHPL will enable TBVF to further strengthen their presence in a fitness conscious Chennai Market.
The partnership combines TBVF’s strong hold in the fitness industry in India with IHPL’s expertise in the local industry and market knowledge.
11.02 am: Shares of Welspun Corp were trading 4.26 per cent up after the company on November 14 reported a net loss after tax of Rs 2.48 crore for the quarter ended September 30, 2015 as compared to net loss of Rs 11.58 crore for the same quarter in the previous year. Sensex was up 3.33 points at 25,613. Nifty was up 0.80 points at 7,763.
10.46 am: State run fuel retailers, Indian Oil Corp (IOC), Bharat Petroleum Corp (BPCL) and Hindustan Petroleum Corp (HPCL) have hiked prices of petrol and diesel by 36 paise per litre and 87 paise per litre, respectively. The new rates announced by the oil marketing companies (OMCs) were applied from midnight of November 15/16 2015. Following the hike, the petrol now in the national capital cost Rs 61.06 per litre as against Rs 60.70 a litre currently, while diesel price will come at Rs 46.80 per litre as compared to Rs 45.93 per litre currently. This is the first hike in petrol price in five months and the third in diesel rates since October. Shares of HPCL were trading 1.13 per cent up at Rs 773. BPCL and IOCL were down 0.32 per cent and 0.86 per cent, respectively.
10.32 am: A government data released on Monday showed that Japan’s economy slipped back into recession, contracting by 0.8 per cent in the September quarter.
10.30 am: Shares of Jindal Steel and Power (JSPL) wiped off its initial losses and was trading 1.26 per cent up at Rs 80.20. JSPL has received an approval for sale of captive power plants (CPP) of the company situated at Angul, Odisha (6 x 135 MW) and at Raigarh, Chhattisgarh (2 x 55 MW) aggregating to 920 MW capacity to JPL wherein JSPL owns 96.43 per cent shareholding, at a fair market value determined by an independent valuer appointed by the board. The board of directors at its meeting held on November 14, 2015 has given an approval for the same.
10.17 am: Meanwhile, S H Kelkar stocks listed on BSE and NSE. Shares of S H Kelkar opened at a premium of 23 per cent from its issue price of Rs 180 per share. The scrip opened at Rs 222 on BSE and at Rs 223.70 on NSE. The price band for the IPO was fixed at Rs 173-180 per share. The company had fixed the issue price at Rs 180 per share, the upper end of the price band. The fragrance maker’s Rs 500-crore initial public issue (IPO) which closed last month had received an overwhelming response from investors and was over-subscribed 27.08 times.
Sensex was down 103 points at 25,506. Nifty was down 34 points at 7,728.
9.44 am: The rupee weakened by 9 paise to 66.19 against the dollar in early trade, snapping its two-day winning run, on fresh demand for the US unit from importers.
9.28 am: The government has kick-started the process of disinvesting 5 per cent more in Container Corporation of India (Concor). The Department of Disinvestment has invited bids from merchant bankers to take forward the proposal to disinvest an additional 5 per cent in the Navaratna public sector unit. The government holds 61.8 per cent in Concor, the only listed public sector unit of the Railway Ministry. Concor, which was started in 1988 as the only firm with the right to move container trains, now operates in a competitive environment, but still holds over 70 percent of the containerized rail market. The share price of the company was down 0.44 per cent in the early trade.
9.18 am: Sensex was down 105.62 points at 25,504.91. Shares of Bhushan Steel will remain in focus on Monday as the company has received an approval for sale and lease back arrangements of Cock Oven Plant -I and Oxygen Plant -V of the company situated at integrated steel plant, Meramandali in state of Orissa. The board of directors at their meeting held on November 14, 2015 has given an approval for the same. Shares of Bhushan Steel were trading up over 2 per cent in the early trade.
9.15 am: Domestic shares opened on a weaker note on Monday, tracking heavy selling in other Asian markets, where sentiment remained bearish in the wake of last week’s deadly attacks in Paris and downbeat data from Japan. During the day, sentiment would be further guided by the announcement of wholesale inflation data, say experts.
Sensex opened 30.38 points down at 25,580. Nifty opened 29.30 points down at 7732.95.
As per provisional figures, foreign institutional investors (FIIs)/ Foreign Portfolio Investors (FPIs) sold shares worth net Rs 746.7 crore on Friday. Domestic institutional investors bought shares worth Rs 70.89 crore on that day.
Jindal Steel and Power (JSPL) plans to cut costs and divest some non-core assets, as it swung to a second-quarter loss due to a drop in iron and steel sales and a one-time charge linked to an overseas unit. Steelmakers including Tata Steel, JSW Steel and Jindal Steel have seen sales dented in the past few quarters due to rising imports from China, Japan, South Korea and Russia. JSPL registered a consolidated loss of 6.2 billion rupees ($94 million) in the September quarter, compared with a profit of 4.4 billion rupees in the year-ago period.
The benchmark BSE Sensex on Friday declined by 256.42 points to a two-month low of 25,610.53 on bearish macroeconomic data even as muted global cues continued to rile domestic investors. This was the sixth fall in last seven sessions.
Nifty 50 index lost 62.75 points, or 0.80 per cent, at 7,762.25 on Friday.
(With inputs from agencies)