Domestic equity indices witnessed consolidation on Tuesday where BSE Sensex and NSE Nifty managed to end up the choppy session near neutral lines as investors opted to book profit after four days of continuous rally. Sensex closed 12.75 points up at 24,659.23, while Nifty 50 settled settled 0.05 points down at 7,485.30.
In the 50-share index, Cairn India, Hindalco, GAIL, Vedanta and Lupin gained between 2.65 per cent and 6.70 per cent. On the other hand, Bank of Baroda, State Bank of India, HUL, Maruti Suzuki and HCL Technologies shares slid between 2.70 per cent and 4.50 per cent.
Sectorwise, the BSE Bankex slid the most — 1.29 per cent, followed by BSE IT index (down 0.49 per cent), BSE TECk index (down 0.42 per cent), BSE Capital Goods index (down 0.30 per cent). On the other hand, BSE Telecom index and BSE FMCG index gained 0.44 per cent and 0.39 per cent, respectively.
Vinod Nair, head, fundamental research, Geojit BNP Paribas Financial Services, said, “The slump in Chinese trade due to the sharp reduction in export data has created the volatility in the market. Nifty is hovering at the important resistance level and is seeking for next direction. Besides, the safe haven assets like dollar and gold have rallied as a cautionary step ahead of the ECB meet on 10th March. Global markets are anticipating further stimulus measures from ECB & FED to upkeep the positive momentum.”
In a scrip specific development, shares of JustDial once again remained in action after it broke its rallying streak and corrected by more than 15 per cent intraday. Achin Goel, head, wealth management and financial planning, Bonanza Portfolio, said, “It is believed that the correction in Tuesday’s session is owing to reverse arbitrage exercised by market players as its derivatives were trading at a 10 per cent discount to its spot prices.”
Overall market breadth for the day remained mildly negative and advances to declines ratio for Nifty stood at 23:27 for the day. Volumes for Nifty stocks stood at 2,647 lakh against Friday’s volumes of 2,903 lakh for Nifty stocks.
Vivek Gupta, CMT, director research, CapitalVia Global Research, said, “On daily charts Nifty is looking bullish but from last 2 days it is trading in narrow range of 7,400 and 7,500. Further, Nifty may go till the level of 7,600 which is its immediate resistance level. While the downside if it breaches the support level of 7,400, it may correct up to 7,300 level which is immediate support. Nifty is taking support of its 50 DMA and RSI of nifty reached to 60 which supports the bullish view.”
Asian markets ended mostly lower on Tuesday as Chinese trade figures rekindled global growth worries and revised Q4 GDP data from Japan underscored the challenges facing Premier Shinzo Abe in restoring growth.
3.30 pm: Sensex closed 12.75 points up at 24,659.23, while Nifty 50 settled settled 0.05 points down at 7,485.30.
2.35 pm: In a bid to encourage women entrepreneurs and promote greater usage of banking services by women, State Bank of India (SBI), the country’s largest public sector lender, has decided to set up one all-woman branch in every district. The bank has already opened 14 such branches – one in each regional hub. SBI offers a wide range of services in the Personal Banking, Agriculture/Rural, NRI services, SME and Corporate Banking etc.
2.00 pm: Sensex was trading 132 points down at 24513. Nifty was down 37.30 points at 7,448.
1.31 pm: Shares of drug firm Strides Shasun on Tuesday surged as much as 10 per cent as the company’s arm Strides Pharma Inc entered a pact with Sweden-based Moberg Pharma to acquire its three brands for over USD 10 million (Rs 67 crore). The scrip was trading 2.27 per cent up at Rs 1,057.05. Sensex was down 58 points at 24,588.
12.54 pm: Sensex was trading 20 points up at 24,667.
12.24 pm: Shares of Emmbi Industries were trading 4.33 per cent up at Rs 61.50. The company has started a construction of ‘Positive Pressure Clean Room facility for manufacturing of Food and Pharmaceutical Grade FIBC Packaging Material’. The project will take 10 to 12 months to complete and start the production. Total cost of the project will be Rs 10 crore (estimated). Project will be funded by internal generation and debt from the banks. Sensex was trading 0.05 per cent up at 24657. Nifty was up 0.04 per cent at 7,488.
12.10 pm: Shares of miners NMDC and Steel Authority of India (SAIL) surged upto 11 per cent on Tuesday on robust metals trade data from China, the world’s biggest consumer of metals, and soaring iron ore prices.
11.41 am: Meanwhile, Nitesh Estates announced the signing of Memorandum of Understanding by its wholly owned subsidiary for a high rise residential project. The project is located off Bangalore – Mysore Highway, West Bangalore in proximity to Bangalore University. The new project will have approximately 300 residential units and is expected to generate revenue of Rs 130 crore over the next four years for the company. Shares of Nitesh Estates were trading 2.43 per cent up at Rs 12.20. Sensex was up 43.10 points at 24,689.
11.23 am: Sensex was up 68.11 points at 24,714. Shares of NMDC were trading 7 per cent up at Rs 95.35 on strong metals trade data from China.
10.53 am: Mindtree shares fell as much as 4 per cent in the morning trade on Tuesday after the IT company informed stock exchanges that it sees a marginal quarter-on-quarter revenue growth in Q4 on an organic basis due to delay in the commencement of few projects in the Retail and Consumer Packaged Goods vertical and Banking, Financial Services and Insurance (BFSI) vertical. The BSE IT index was down 0.65 per cent at 10907.48. Sensex was up 93.90 points at 24,740.
10.23 am: The 30-share index was trading 118 points up at 24,765. In order to expand its Mumbai and Visakhapatnam refineries as well as augmenting its marketing infrastructure, Hindustan Petroleum Corporation (HPCL) is reportedly planning to invest Rs 45,000 crore by 2020. Out of total amount, Rs 21,000 crore would be invested in refining capacity expansion, while Rs 9,000 crore would be spent in marketing infrastructure till 2020. A total of Rs 14,000 crore would go into joint venture refinery projects, natural gas business and upstream oil exploration. Shares of HPCL were trading 0.05 per cent up at Rs 718.104.22.168 am: Traders were seen piling up position in metal, oil and gas, realty, capital goods and PSU, while selling was witnessed in IT, TECK and Bankex. The market breadth on BSE was positive in the ratio of 1370: 593, while 122 scrips remained unchanged.
10.20 am: Indiabulls Real Estate shares were trading 1.35 per cent up at Rs 52.50. Indiabulls Real Estate together with its group firm Indiabulls Housing Finance is planning to invest Rs 25,000 crore in Haryana over the next seven years. In this regards, Indiabulls Group has signed a Memorandum of Understanding (MoU) with the state government making an in-principle commitment to invest Rs 25,000 crore in the state by way of direct lending through home loans as well as indirect lending to the developers of various projects, particularly in the affordable housing segment. The group is headquartered in Gurgaon and already has sizeable exposure in NCR, both as a lender as well as a developer.
9.50 am: VA Tech Wabag shares were trading over 5 per cent up in the morning trade after it informed stock exchanges that the company in consortium with IDE Technologies has won a Rs 594 crore contract from Chennai Metropolitan Water Supply and Sewerage Board (CMWSSB), Chennai, India for Construction and Operation & Maintenance (O&M) of a 45 MLD Tertiary Treatment Plant at Koyambedu, Chennai.
9.47 am: Breaking its sixth-day rising streak, the rupee weakened by 19 paise to quote at 67.27 against the dollar at the Interbank Foreign Exchange (forex) market on fresh demand for the American currency from importers and banks. Sensex was trading 125 points up at 24,772.
9.45 am: Manpasand Beverages has entered into an exclusive tie-up with ‘Baskin Robbins’ to make its beverages available through the latter’s outlets in an attempt to tap the fast-growing urban markets. With this partnership, the company’s flagship brand ‘Mango Sip’ — which is extensively spread out in rural and semi-rural regions and recently launched ‘Fruits Up’ brand will now be available at 250 ice cream parlours and outlets of Baskin Robbins across India. Baskin-Robbins is one of the largest ice-cream retail chains in the country across 150 cities and towns with 550 plus stores. Shares of Manpasand Beverages were trading 1.34 per cent up at Rs 445.
9.42 am: Sensex was up 109.59 points, or 0.44 per cent, at 24756.07. In the 50-share index, Hindalco, Vedanta and Cairn India were trading up by 5.92 per cent, 5.38 per cent and 4.84 per cent, respectively.
Crude oil futures extending their gains surged on Monday, hitting their highest in 2016 on a report that OPEC producers are crafting a strategy to stabilize the price of oil at $50 a barrel. Prices also got support with the Energy Information Administration (EIA) report which sees US shale oil output falling by 106,000 barrels a day in April, helping to fuel oil’s advance. US storage facilities are currently brimming with a record amount of oil inventories. Meanwhile, production in Russia and Saudi Arabia remained near-record monthly highs above 10 million bpd.
9.36 am: Shares of Steel Authority of India were trading 9.49 per cent up at Rs 43.85. India’s domestic steel consumption in February fell for the first time in the last three months by almost 2 per cent to 6.84 mt, something that doesn’t augur well for the industry, which is banking on demand to pick up to spur growth. However, steel imports last month fell marginally by 0.1 per cent to 0.91 million tonnes (mt) compared with January 2016, but the decline was much steeper at 7.3 per cent compared with the same month last year. This is the fourth consecutive year-on-year decline in in-bound shipments.
9.34 am: Nifty was trading 16.75 points up at 7,502.10. Fertilisers and Chemicals Travancore (FACT) is planning to sell 170 acres of its land to Bharat Petroleum Corporation (BPCL) for more than Rs 500 crore at Ambalamedu in Cochin (Kerala). The funds will be used for expansion and modernisation of manufacturing capacity. FACT a government of India enterprise has business interests in manufacturing and marketing of fertilizers, caprolactam, engineering consultancy and fabrication of equipments. Shares of FACT were trading 1.44 per cent down at Rs 23.90.
9.32 am: Ajanta Pharma has received final approval of Almotriptan Malate Tablets (6.25 mg a 12.5 mg), a generic version of Axert for the treatment of acute migraine pain relief, from the US Food and Drug Administration (FDA). Ajanta Pharma USA Inc., a wholly owned subsidiary of the company, is scheduled to launch Almotriptan Tablets in US shortly. Almotriptan Tablets is part of an ever-growing portfolio that the company has developed for the US market. To date, FDA has granted the company eight ANDA final approvals and two tentative approvals. An additional 16 ANDAs are under review with FDA. Shares of Ajanta Pharma were trading 3.09 per cent up at Rs 1,440.35.
9.30 am: Home-grown auto major Tata Motors has joined hands with Bharat Forge and the US-based General Dynamics Land Systems (GDLS) to manufacture a combat vehicle for the Indian Army. The companies will bid for contracts under the Ministry of Defence’s (MoD) Future Infantry Combat Vehicle (FICV) programme. Tata Motors will lead the consortium, with Pune-based Bharat Forge as a partner and GDLS providing expertise on combat vehicle platforms. To be developed under the ‘Make Category’, FICVs are high-mobility armoured battle vehicle for infantry being developed to replace Indian Army’s fleet of 2610 Russian-designed BMP (Sarath BMP-II) series armed vehicles, that are in operations since 1980. Shares of Bharat Forget and Tata Motors were trading higher by 1.72 per cent and 0.79 per cent, respectively.
9.21 am: Jain Irrigation Systems (JISL) has got CCI approval for selling its stake worth Rs 792 crore in the company and its food subsidiary JFFFL to agri-business funding firm Mandala Capital. The company had announced the plan in November last year to raise capital with the primary purpose of accelerating JISL’s balance sheet strengthening and also providing growth capital for JFFFL. The Competition Commission of India (CCI) has approved acquisition of stake in Jain Farm Fresh Foods (JFFFL) and Jain Irrigation by Mandala Rose and Mandala PrimRose Co-Investment. Shares of Jain Irrigation were trading 0.25 per cent up at Rs 39.90. Sensex was trading 32 points up at 24,678.
9.16 am: Sensex was up 51.83 points, or 0.21 per cent, at 24,698.31. In the 30-share index, TCS and SBI were down over 2 per cent.
9.15 am: Domestic equity markets opened on a flat note on Tuesday. Sensex opened 8.71 points up at 24,655.19, while Nifty 50 opened 1.05 points up at 7,486.40.
8.35 am: Domestic equity indices BSE Sensex and NSE Nifty are likely to open lower tracking Nifty futures on the Singapore Stock Exchange (SGX Nifty) and weak Asian markets.
At 8.20 am (IST), SGX Nifty was trading 17.50 points, or 0.23 per cent, down at 7,493.
Asian peers, Hang Seng, Nikkei and Shanghai were down by 1.06 per cent, 1.63 per cent and 2.46 per cent, respectively, in the morning trade.
On Wall Street, the S&P 500 energy sector rose 2.4 per cent while weakness in the tech sector offset gains in the overall market. The S&P 500 Index was only 0.1 per cent higher at 2,001.76 while the Nasdaq composite index edged down 0.2 per cent.
Back home, the benchmark BSE Sensex on Friday managed to close the session with a gain of about 40 points at a one-month high of 24,646.48 on heightened chances of RBI delivering a policy rate cut sooner than later.
The NSE Nifty after recapturing the crucial 7,500-mark closed at 7,485.35, up 9.75 points, or 0.13 per cent. Equity markets were closed on Monday on account of ‘Maha Shivratri’.
Shares of Apollo Tyres and Strides Shasun will remain in focus on Tuesday. Apollo Tyres will invest up to $600 million (about Rs 4,000 crore) next fiscal to enhance capacity at its plants in India and abroad. The company, which on Monday announced its foray into the two-wheeler market, will start rolling out tyres from its upcoming plant in Hungary by January 2017.
Drug firm Strides Shasun on Tuesday said its arm Strides Pharma Inc has entered into a pact with Sweden -based Moberg Pharma to acquire its three brands for over $10 million (over Rs 67 crore).
Mining and mineral stocks too may see some action, as the Cabinet is likely to consider mines ministry’s proposal to allow auction of 100 mineral blocks for exploration as early as this week.
(With agency inputs)