Share Market Today: Indian stock markets (Sensex and Nifty) settled higher on Tuesday after recovering from the day’s low in the afternoon session with BSE Sensex closing at an all-time high following the sustained uptick in shares of L&T, Infosys, Maruti Suzuki and HDFC. Indian stocks erased the morning gains in early afternoon deals with BSE Sensex falling 150 points from the all-time high as heavyweight shares of RIL, Kotak Mahindra Bank, TCS and HUL. The Indian rupee crashed 22 paise vs the US dollar at the foreign exchange market.
Indian share markets managed to hold the gains up until the mid-morning trades with railway-related stocks rallying up to 20%. The domestic equity markets rallied to record highs in the wee hours of trading today morning with BSE Sensex making and breaking fresh all-time highs following an uptick in blue-chip shares of Maruti Suzuki, HDFC Bank, ITC and Infosys.
According to the latest data available with the stock exchanges, Sensex has made an all-time high of 36,902.06, up by 183.46 points. The benchmark Sensex was just 98 points short of hitting the fresh psychological mark of 37,000. The NSE Nifty 50 index too surged to a nearly 6-month high of 11,143.40. NSE Nifty was just 28.15 points away from its all-time peak of 11,171.55. Shares of Tata Group’s cash cow TCS (Tata Consultancy Services) joined the jubilation and hit a fresh all-time high of Rs 2,012 on BSE. Earlier yesterday, BSE Sensex settled on a closing all-time high post hitting an intraday record high in the late trade.
The wider share indicator NSE Nifty 50 concluded above 11,100 at a new 6-month high of 11,134.3, up by 49.55 points or 0.45%.
Indian equity markets ended higher on Tuesday with the benchmark Sensex finishing at record closing high following the rally in the shares of L&T, Infosys, HDFC, Maruti Suzuki, Asian Paints, Axis Bank. BSE Sensex rallied as much as 183.46 points to hit an intraday all-time high of 36,902.06 in the late morning deals. The gauge finally settled at a closing all-time high of 36,825.1, up by 106.50 points or 0.29%.
Crude oil prices were trading slightly higher in the late trade on Tuesday. US WTI crude oil was trading 0.52% higher at $68.24 per barrel while Brent crude oil was trading up 0.19% at 73.20 per barrel, Bloomberg data showed.
World markets rallied on Tuesday, gaining momentum from an upbeat day in Asia and from US corporate earnings. But downbeat purchasing managers' index readings hinted at underlying worries, Associated Press said in a report. Germany's DAX rebounded 1.3% to 12,713.07, the CAC 40 in France was 0.9% higher at 5,425.09, the FTSE 100 index gained 0.2% to 7,671.53. Meanwhile, among the regional Asian markets, Japan's Nikkei 225 gained 0.5% to 22,510.48, South Korea's Kospi added 0.5% to 2,280.20, Hong Kong's Hang Seng jumped 1.4% to 28,662.57 and China's Shanghai Composite Index climbed 1.6% to 2,905.56, the report added.
Nifty Next 50, the benchmark of next 50 large-cap stocks after Nifty 50, surged more than 2.5% today. Shares of ACC (up 14%), AB Capital (up 8%), PFC (up 8%), Ambuja Cements (up 7%), Idea Cellular (up 7%), Piramal Enterprises (up 7%), DLF (up 7%), REC (up 6%), BHEL (up 6%), Shree Cement (up 6%), Cummins India (up 5%) were the lead gainers. Nifty Next 50 rose 2.6% to 28,793.8. The index has gained about 1% in the last 30 days.
Shares of Suzlon (up 15%), Hindustan Construction Company (up 16%), GSK Pharma (up 17%), DLF (up 7%) and Indiabulls Housing Finance (up 7%) were the major gainers among the 'A' group of BSE on Tuesday.
Shares of Aditya Birla Group's telecom company Idea Cellular fell off from day's high int he late afternoon dealings on Tuesday. The stock of Idea rallied as much as 17.76% to a day's high of Rs 62 from a share price level of Rs 52.65 on BSE. According to a PTI report, Idea Cellular and Vodafone have made a joint payment of Rs 7,248.78 crore under protest to the Department of Telecom for merging their mobile business.
"Idea Cellular and Vodafone have made payment under protest as demanded by the DoT for the merger. Rs 3,926.34 crore have been paid in cash and bank guarantee of Rs 3,322.44 crore have been furnished," PTI reported citing an unidentified official of Idea Cellular.
Shares of Radico Khaitan surged 5% after the country's fourth-largest liquor maker posted a rise of 84.46% in the standalone net profit to Rs 47.37 crore for the quarter ended 30 June 2018. The stock of Radico Khaitan rose 5% to Rs 380.45 on BSE today.
The Indian rupee recovered from the day's low against US dollar in the afternoon deals but was still trading slightly lower at the foreign exchange market. The rupee was trading down 10 paise at 68.9625 per unit US dollar, Bloomberg data showed.
Sensex Live: Five blue-chip stocks outperformed the drop led by shares of RIL and Kotak Mahindra Bank in the afternoon trades on Tuesday. A sustained uptick in the blue-chip shares of L&T, Infosys, HDFC, Maruti Suzuki, ITC lifted the benchmark Sensex by adding nearly 140 points outnumbering the RIL, Kotak Mahindra Bank led plunge of 60 points.
"By December we could see Nifty breaching 11,500 levels and in the medium term we can expect Nifty to hit 12,000," Mugilan K, deputy manager of research at Cholamandalam Securities was seen as saying in a Reuters report. Technically, the NSE Nifty's wave pattern suggests it is in wave 3 of a five-wave cycle. If the current wave travels the same distance as wave 1, the index may rise up to 11,538.5 in a couple of months, Reuters reported.
Rupee vs dollar exchange rate: The Indian rupee extended losses in the early afternoon session against the US dollar. The rupee went down by 22 paise at 69.0850 apiece US dollar at the interbank foreign exchange market from the previous closing of 68.8613, Bloomberg data showed.
BSE Sensex began to erase the morning gains as blue-chip shares of Kotak Mahindra Bank, RIL, TCS extended losses. The S&P BSE Sensex fell about 149.67 points to a day's bottom of 36,709.72 from the all-time high of 36,902.06.
Big blue-chips crack
Indian stock markets erased morning gains in the early afternoon deals on Tuesday with BSE Sensex falling 125.8 points to 36,776.26 from the all-time high of 36,902.06. However, NSE Nifty managed to trade above 11,100 level.
The major plunge in the benchmark Sensex was largely due to RIL, Kotak Mahindra Bank, HUL and TCS. These 4 stocks wiped off as much as nearly 50 points from the index.
Shares of UltraTech Cement rose more than 5% on Tuesday. The stock of Ultratech Cement witnessed its biggest intraday surge since 25 October 2017. Ultratech Cement stock tested resistance at Rs 4,200.9, the 14.6% Fibonacci projection level of the uptrend from 25 November 2008 low to 17 January 2018 high.
Emerging Asian currencies fell on Tuesday as bond yields climbed globally and markets were impacted by speculation the Bank of Japan (BOJ) could modify its huge stimulus programme and by fears United States interest rates would keep steadily rising, Reuters said in a report.
Sensex Live: Shares of Maruti Suzuki, Infosys and L&T emerged as the top contributors in driving the Sensex rally on Tuesday. These three stocks added more than 60 points to BSE Sensex out of the 136-point gain.
Shares of rail-related stocks rallied up to 20% in the mid-morning deals on Tuesday with Titagarh Wagons leading the charge. Shares of Titagarh Wagons rose 19.96% to a day's high of Rs 86.55 while the stock of 16.86% to Rs 68.95 on BSE.
With most of the small and mid-cap stocks bleeding while, on the other hand, benchmarks indices are hitting all-time highs, the big stock market bear Shankar Sharma has said that the sell-off in small and mid-cap stocks is not due to weaker fundamentals. The downtrodden phase in small and mid-cap stocks is mostly because of technical factors.
'Two types of bear markets: fundamental & technical. Fundamentals in small caps are intact. So what’s caused the meltdown? Technical factors ie, trading curbs, hence low liquidity, hence forced selling into illiquidity, leading to a domino effect collapse on entire segment,” Shankar Sharma said in a tweet.
The US dollar ticked up slightly on Tuesday, adding to gains made in overnight trade after US Treasury yields rose on expectations the Federal Reserve would persist with its rate hikes this year, Reuters reported. The dollar index, a measure of the currency against a basket of six rivals, edged 0.05% higher at 94.707 on Tuesday compared to the previous day, the report added.
The broader benchmark index Nifty 50 made a new 6-month high of 11,143.40, up by 58.65 points. NSE Nifty is now 28.15 points away from all-time high of 11,171.55.
Sensex Live: BSE Sensex index is trading near its all-time high level but some of the big blue-chip stocks are dragging the index down. Shares of RIL, Kotak Mahindra Bank, TCS were seen as the top three contributors in bringing the Sensex down. Collectively, these three stocks have wiped off about 34 points out of the index.
Shares of India's largest two-wheeler maker Hero MotoCorp fell as much as 4.2% to Rs 3,033.75. The stock of Hero MotoCorp hit the lowest level since 16 Jan 2017. The stock of Hero MotoCorp may fall up to Rs 2,950.08. The stock has broken below a support at Rs 3,174.58, the 50% Fibonacci retracement level of the uptrend from 7 Sep 2015 low to 1 Sep 2017 high. This suggests the stock mey fall up to the next support at Rs 2,958.08, the 61.8% retracement level, Reuters noted in a report.
The stock of SCC saw its biggest intraday percentage gain since May 2009. The research and brokerage firm Motilal Oswal Securities has upgraded the stock to a 'buy' with a target price of Rs 1,633 per equity share. According to a Reuters report, 21 of 40 brokerages rate the stock 'buy' or higher, 12 have 'hold' and seven have 'sell' or lower and their median target price is Rs 1,611.50.
Shares of information tech firm Larsen & Toubro Infotech rose nearly 7% to Rs 1,846.75 after the company's Q1 profit attributable to shareholders saw a rise of 35% to Rs 361 crore.
Crude oil prices extended declines into the second session on Tuesday as attention shifted to the risk of oversupply, with market participants shrugging off escalating tensions between the United States and Iran, a Reuters report said. Brent crude oil was down 0.3% at $72.87 a barrel while US WTI crude oil was down 0.3% at $67.68 a barrel.
Earlier yesterday, foreign portfolio investors (FPIs) bought shares worth a net of Rs 259.37 crore and domestic institutional investors (DIIs) purchased net equity shares of Rs 124.82 crore.
Almost all the metal stocks traded higher in the early session on Tuesday with the benchmark Nifty Metal index gaining more than 2%.
The broader Nifty 50 index inched up further in the late morning deals. NSE Nifty added 56.7 points to hit a fresh all-time high of 11,141.45. The index is just 30 points short from its all-time peak of 11,171.55.
Sensex Live: BSE Sensex held the morning gains and was hovering near the all-time high. Sensex was trading at 36,887.31, up by 168.71 points or 0.46%.
Shares of Chennai based cement manufacturer India Cements rose more than 10% in the early trading on Tuesday and emerged in the top 5 gainers out of the 300 constituents of 'A' group on BSE. The stock of India Cements rose 10.43% to a day's top of Rs 118.1 on BSE today.
Shares of L&T Group's IT firm L&T Technology Services rose nearly 14% after the company net profit in the April-June quarter nearly doubled to Rs 197 crore. The stock of L&T Technology Services gained 13.66% to a day's high of Rs 1,485 on BSE today.
Shares of Shree Renuka Sugars rallied nearly 15% in the morning session on Tuesday and emerged as the top gainers among all the components of 'A' group of BSE. The stock of Shree Renuka Sugars surged 14.73% to a day's high share price of Rs 11.84 on BSE.