The BSE Sensex and NSE Nifty snapped two day losing streak on Thursday and closed 182.89 points and 52.20 points up at 25,958.63 and 7,883.80, respectively. Benchmark indices rose on hopes that the Parliament would consider a key reform on goods and services tax (GST) and some short coverings also uplift market mood on the last day of F&O expiry.
In the 50-share index, Tata Motors, Sun Pharma, Idea Cellular, GAIL and Reliance Industries gained between 2.35 per cent and 5.50 per cent. On the other hand, Dr Reddy’s, Tech Mahindra, TCS, Adani Ports and Bajaj Auto slid between 0.70 per cent and 8.30 per cent.
Barring the BSE Healthcare index (down 0.53 per cent) and BSE Capital Goods index (down 0.23 per cent), rest all other indices ended in green. The BSE Telecom index and BSE Realty index gained 2.66 per cent and 1.8 per cent, respectively.
Hopes for the GST tax were rising as the idea of setting a relatively low rate for a new Indian sales tax seemed to be gaining traction, as politicians of all stripes met to debate what would be the country’s biggest tax reform since independence.
The bill has passed the lower house of parliament, but has been blocked in the upper house. Legislators started their winter session on Thursday, which will continue until December 23.
Gaurav Jain, director, Hem Securities, said, “Indices shut the expiry day on a firm note aided by short covering. The market extended rally in afternoon trade on positive global cues and hopes of likely passing of GST Bill. A rally in commodity prices worldwide also supported the upbeat of the indices.”
Vinod Nair, head, fundamental research, Geojit BNP Paribas Financial Services, said, “Market momentum gained on the expiry day as the optimism increased about the GST bill being passed in the upper house. On the other hand, European market has gained with expectation of further easing by the ECB at the next week policy meet.”
Logistics company Gati Ltd gained 5.90 per cent on hopes of GST being cleared.
Drug major Sun Pharmaceutical Industries rose 4.11 per cent after the company on Wednesday said its unit would not go ahead with a wind energy project in the United States.
Hero MotoCorp fell as much as 1.34 per cent in the early trade but closed 1.52 per cent up after the US private equity firm Bain Capital sold stake in the company.
However, Dr Reddy’s Laboratories fell over 8 per cent after the US Food and Drug Administration released details of its warning letter issued to the drugmaker earlier in November.
European markets were trading higher, UK’s FTSE 100 was up by 26.56 points or 0.42 per cent to 6,364.20, France’s CAC gained 35.29 points or 0.72 per cent to 4,928.28 and Germany’s DAX increased by 141.89 points or 1.27 per cent to 11,311.43.
The FIIs were net sellers in the cash market segment on 24 November 2015, Tuesday sold shares worth Rs 540.12 crore. The DIIs on the other hand were net buyers on 24 November, bought shares worth Rs 532.13 crore in the capital markets segment.
The Asian markets made mostly a positive close on Thursday, ahead of the Thanksgiving holiday in the US. Chinese stocks fell on worries a spate of IPO’s next week may drain funds from the secondary market, while the Hang Seng markets giving up the gains ended flat. Although some of the indices in the region made a lower close but the Japanese market despite coming off the day’s high, closed just shy of the 20,000 mark, extending a two-month rally spurred by a weakening Japanese yen. The expectations the US Federal Reserve will raise interest rates in December has pushed the yen weaker. Seoul shares too rose sharply amid foreign fund buying in undervalued blue-chips, while Taiwan Weighted rallied 1.2 percent.
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Markets through the day
3.30 pm: Benchmark indices snapped two-day losing streak on Thursday. Sensex closed 182.89 points up at 25,958.63, while NSE Nifty settled 52.20 points up at 7,883.80.
3.18 pm: Sensex was up 186 points at 25,962. Shares of Videocon Industries climbed nearly 10 per cent on Thursday after Idea Cellular signed a pact with Videocon Telecommunications to buy its airwaves in
Gujarat and Uttar Pradesh West for Rs 3,310 crore.
3.00 pm: Shares in National Aluminium were up 4 per cent after the company on Tuesday said it received $8 million towards an out of court settlement from a US firm.
2.25 pm: Sensex was up 209 points at 25984. Nifty was up 58.30 points at 7890.10. Benchmark indices continued to trade in green on hopes of seeing Goods and Services Tax (GST) bill sail through in Parliament, which has gathered for a winter session that begins today. Some strength also came in after Moody’s said that most Indian companies under its rating scanner would benefit from strong domestic growth and accommodative monetary policy in 2016. Some support also came with the report that India’s crude oil import bill is likely to dip by 35 per cent to $73 billion this fiscal as global energy prices slumped on weak demand.
2.13 pm: India’s crude oil import bill is likely to dip by 35 per cent to $73 billion this fiscal as global energy prices slumped on weak demand. India had imported 189.43 (milion tonnes) mt of crude oil in 2014-15 for Rs 6.87 lakh crore. This fiscal the imports are projected at 188.23 mt almost the same level as previous year. The country imported 114.9 mt of crude during April- October for $43.6 billion, according to the data of Petroleum Planning & Analysis Cell (PPAC). Going by the trend, PPAC projected an import of 188.23 mt for $73.28 billion or Rs 4.73 lakh crore.
1.52 pm: Shares of Indian Oil Corporation was up 1.70 per cent at Rs 425.35. Stocks of the oil marketing company jumped after the company announced that it has entered into a licencing agreement with Evonik, a euro 1.9 billion creative industrial group from Germany, to get hydraulic fluid formulated with DYNAVIS technology in India. This oil will help the hydraulic equipment owners and operators (e.g. excavators, loaders, etc.) achieve higher levels of fuel efficiency and productivity. The BSE Oil & Gas index was up 0.84 per cent at 9338.71.
1.30 pm: Shares of Jindal Steel and Power were trading 4.52 per cent up at Rs 90.10 apiece. The BSE Metal index was up 1.57 per cent at 7126.20. Sensex was up 160 points at 25,936.
1.16 pm: Sensex was trading 156.04 points up at 25,931.78. NSE Nifty was trading 42.60 points up at 7,874.20. BSE Realty index was up 2.46 per cent and BSE Metal index was up 1.61 per cent.
1.00 pm: IDBI Bank launched a $ 350 million 5 year Reg S Green Bond issue on November 23, 2015. The transaction received an overwhelming response and the issue was oversubscribed by 3 times. The issue was made under the $5 billion MTN Programme listed on the Singapore Stock Exchange. The share price of IDBI Bank was trading 1.10 per cent up at Rs 82.90 in the afternoon trade. Sensex was up 141 points at 25,917.
12.51 pm: Godrej Properties has launched its flagship project — The Trees. With an area of 34 acres, this is one of the largest real estate projects in Mumbai and is the first step towards the greater development opportunity that will unfold in Vikhroli. The share price of Godrej Properties were up 0.98 per cent 318.60. Benchmark index Sensex was up 148 points at 25,924.
12.32 pm: Larsen & Toubro shares were trading 0.28 per cent up at Rs 1346.15. The share price of the engineering major climbed after the company said power transmission and distribution business of L&T Construction has bagged orders worth Rs 1,038 crore in domestic and international markets so far this month.
12.23 pm: Shares of Sun Pharmaceutical Industries gained as much as 4.5 per cent on Thursday after the company on Tuesday announced that its Israeli arm Taro has decided not to proceed with an investment in a wind energy project in the US. The scrip was trading 3.83 per cent up at Rs 735 in the afternoon trade.
11.38 am: Shares of Gammon India were up 15.56 per cent at Rs 17.90. The company on November 23 informed BSE that the Corporate Debt Restructuring Empowered Group-(CDR EG) in its meeting held on November 23, 2015 has discussed and noted the invocation of Strategic Debt Restructuring (SDR) in the Company by the CDR Lenders, pursuant to RBI Circular dated June 08, 2015.
11.33 am: In the scrip specific development, Lumax Automotive Systems was locked in upper circuit of 20 per cent on the BSE after the company said it filed application with the Board for Industrial and Financial Reconstruction (BIFR) for determination of the measures which shall be adopted with respect to the company. Sensex was up 145.33 points at 25,921.
11.10 am: Logistics stocks are in focus today as Prime Minister Narendra Modi on Wednesday called for a collective effort to make the two Houses function smoothly and ensure passage of important legislations, including the goods and services tax bill. Shares of Gati were trading 4.37 per cent up at Rs 161.05. Allcargo Logistics and Agarwal Industrial Corporation were up 1.31 per cent and 0.98 per cent at Rs 385.75 and Rs 155.30, respectively.
11.06 am: Apart from blue chips, broader indices too equally participated in the gain with both mid cap and small cap indices were up by 0.37 per cent and 0.67 per cent respectively. However, caution is likely to prevail in the markets ahead of the derivatives contracts expiry for the month of November.
10.59 am: Value-buying in consumer durables, realty, FMCG, IT and metal stocks positively impacted trading sentiment. Sensex was up 163 points at 25,938. Nifty was up 41.75 points at 7,873.
10.46 am: Shares of DLF were trading over 4 per cent up after promoters of realty major bought 23 lakh shares of the company through open market transactions for nearly Rs 25 crore. The promoters have bought these shares between November 23-24 from open market. Post this transactions, the stake of promoters, KP Singh and family, has increased to 74.99 per cent from 74.86 per cent it held earlier in the firm. The BSE Realty index was up 1.49 per cent at 1322.20.
10.29 am: Most of the Asian equity benchmarks are trading up in the early deals on Thursday, as geopolitical concerns eased and oil prices steadied on data showing a lower-than-expected buildup in oil inventories. Traders also cheered the prospects of fresh stimulus amid mounting speculation the European Central Bank will ease its policy further at its meeting next week.
10.27 am: US private-equity firm Bain Capital is set to exit Hero MotoCorp by selling its residual stake for Rs 800 crore ($116 million) in the Indian two-wheeler maker in a block deal. Bain Capital is selling its remaining stake at 1.7 per cent to 2.85 per cent discount within a price band of Rs 2,570 to Rs 2,600 per share. The share price of Hero MotoCorp was up 0.32 per cent at Rs 2,654. Sensex was up 133.50 points at 25,909.
10.10 am: Shares of Idea Cellular were trading 0.75 per cent up at Rs 140.90. Idea Cellular has entered into agreement with Videocon Telecommunications for acquiring right to use spectrum of Gujarat and Uttar Pradesh (West) for Rs 33.10 billion. This agreement for the company’s two Leadership telecom circles is for a quantum of 2×5 MHz contiguous blocks of 1800 MHz in each service areas, with right to use spectrum until December, 2032. The company intends to use this acquired spectrum for launch of 4G (LTE) Mobile Broadband Services in the service areas of Gujarat and Uttar Pradesh (West).
10.07 am: The rupee lost 9 paise to 66.41 against the US dollar in early trade on Thursday at the Interbank Foreign Exchange due to appreciation in the US currency overseas.
9.53 am: Shares of Lanco Infratech hit upper circuit on Thursday on reports that the company will raise about Rs 6,600 crore ($ 1 billion) through the sale of one of its large power projects and listing of its power business in the next two years. The share price of the company surged 9.86 per cent to Rs 7.02. Sensex was up 107.74 points at 25,883. Nifty was up 34.35 points at 7,865.
9.42 am: Tata Motors has displayed four new construction and mining related commercial vehicles at the Excon 2015 international trade fair in Bengaluru. The new vehicles showcased at Excon 2015 are the Tata PRIMA 3138.K 32 CuM Coal Tipper, Tata PRIMA LX 2523.K RePTO, Tata PRIMA LX 3128.K 19 CuM Scoop HRT and Tata SAK 1613. Shares of Tata Motors were trading 1.67 per cent up at Rs 407.75.
9.17 am: Sensex was up 96.46 points at 25,872. Nifty was up 26.40 points at 7,858. Shares of Dr Reddy’s Laboratories were down 6.26 per cent at Rs 3,176.60. The US Food and Drug Administration (US FDA), which had issued a warning letter to Dr Reddy’s Laboratories over quality issues, has said it might withhold approval of the company’s fresh drugs and stop import if no corrective action is taken.
9.15 am: Domestic equity markets opened on a flat to cautious note on Thursday on account of derivatives expiry. Traders are also eyeing the winter session of Parliament, which will begin today. Prime Minister Narendra Modi on Wednesday called for a collective effort to make the two Houses function smoothly and ensure passage of important legislations, including the goods and services tax bill.
The BSE Sensex opened 5.93 points, or 0.02 points, down at 25,769.81, while NSE Nifty opened 5.55 points up at 7,837.15.
However, markets are likely to remain volatile throughout the day on account of derivatives expiry. Also, the Winter Session of the Parliament that will start from November 26 (Thursday) is expected to be a stormy one.
Ambareesh Baliga, independent market expert said, “We could see a continuous logjam, unless the BJP takes an accommodative stance. The important bills going thorough is a pipe dream but the silver lining for the markets is the expectation levels are low. So any positive developments will be welcomed with a rally.”
Asian shares advanced in early trade on Thursday, while growing bets the European Central Bank was gearing up to deliver further stimulus steps kept the euro under pressure. Hang Seng, Nikkei and Shanghai were up 0.93 per cent, 0.56 per cent and 0.05 per cent, respectively.
The US markets made a flat closing in last session, despite some good economic data, as the traders remained on sidelines ahead of the Thanksgiving holiday. The Asian markets have made mostly a positive start with some indices rallying, led by surge in the industrial metal stocks and with recovery in global oil prices.
Back home, markets ended in the red on Tuesday as the benchmark BSE Sensex slipped by about 44 points to end at 25,775.74 on offloading of positions by participants amid a mixed trend in Asia and a lower opening in Europe. Domestic equity markets were closed on Wednesday on account of ‘Guru Nanak Jayanthi’.
(With inputs from agencies)