Share market today: Sensex closes 276 points higher on fresh buying in bluechips; Nifty settles above 10,850

The Sensex of the BSE closed Monday's trade higher by 276.86 points or 0.78% at 35934.72 points after surging almost 319 points during afternoon deals. The Nifty of the National Stock Exchange closed at 10,852.90 points, up 80.25 points or 0.74%. Fresh buying in index heavyweights, along with positive global cues and strong rupee, pushed the key indices of the domestic equity markets higher. Vedanta, Asian Paints, Yes Bank, Sun Pharma, Reliance Industries, Axis Bank, Power Grid, LT, SBI, Infosys, ONGC, Kotak Bank shares all closed with gains of over 1% on the Sensex.

"Trading for the week began on a firm note as key benchmark indices saw a gap-up opening on positive global stocks. Fresh buying in index pivotals propelled the key benchmark indices to trade in the positive zone and finally close the day with gains of over 0.50%. The India VIX was down ~0.30% as overseas investors set aside concerns about escalating trade tensions to prepare for the latest earnings season after signs of continued economic strength in their respective regions. On the sectoral front, heavy buying was seen in banking, healthcare and metals stocks. All the sectoral indices on the National Stock Exchange (NSE) closed the day with strong gains."

-Abhijeet Dey, Senior Fund Manager-Equities, BNP Paribas Mutual Fund

Even as Tata Consultancy Services (TCS) prepares for its Q1 results on Tuesday, Jonathan Garner of Morgan Stanley is bullish on this IT stock. Morgan Stanley’s chief strategist of India and emerging markets advised investors on ET Now today to add TCS stock to the focus buy list. Furthermore, he upgraded health care  to overweight reducing beat further. He also said that macro risks are likely to remain unresolved in near term. The shares of TCS plunged 1.27 percent to close the day at Rs 1,889 on BSE.

At 3.30 p.m., the The Sensex closed 276.86 points, or 0.78% higher at 35,934.72 points. The Nifty settled at 10,851.05 points, up 78.40 points or 0.73%.

Gold prices held steady at Rs 31,650 per 10 grams at the bullion market on Monday, reported PTI. However, silver prices went up by Rs 250 to Rs 40,750 per kg following increased offtake by industrial units and coin makers coupled with firm global cues. Traders said besides increased offtake by industrial units and coin makers at the local spot market, a firm trend overseas, mainly led to the rise in silver prices. In Delhi, silver ready rose by Rs 250 to Rs 40,750 per kg while weekly-based delivery by Rs 205 to Rs 39,995 per kg.  On the other hand, gold of 99.9 per cent and 99.5 per cent purity, ruled steady at Rs 31,650 and Rs 31,500 per 10 grams, respectively.

BSE informed that it has postponed the launch of its new platform for listing startups that was scheduled for launch today. "BSE has decided to postpone the split of the BSE startup sub-segment from BSE SME segment. Startups will continue to list on BSE SME segment as usual. These startups will have the option to migrate to BSE startup segment once BSE startup segment is launched," the exchange said in a circular. The exchange's spokesperson declined to give any reason for postponing the launch, reports PTI.

The Sensex of the BSE climbed 305 points to a high of 35,963.33 during afternoon trade deals on Monday. Gains in shares of Yes Bank, Asian Paints, RIL, Vedanta, Axis Bank, Sun Pharma, SBI and LT pushed the Sensex higher. The Nifty rose by 87 points to an intra-day high of 10,859.85 points. 

European shares opened higher on Monday as a wave of optimism about the resilience of the global economy continued to spread across markets despite the escalation of the U.S.-China trade dispute and a new Brexit crisis within the British government, Reuters reported. The pan-European STOXX 600 index was up 0.5% by 0724 GMT while the British blue chip index FTSE 100 gained 0.4%. Positive job data in the United States on Friday reassured investors who have yet to witness an actual slowdown due to the implementation of higher trade barriers.

Motilal Oswal Securities bets big on these 4 bank stocks; except PNB, sees profit revival in all PSU banks

Motilal Oswal Securities is betting big on four banks and is expecting profit revival in all PSU banks except PNB just ahead of the onset of first-quarter corporate earnings season for FY19. The domestic research and brokerage firm has said that an earnings growth will be seen in the banks on a sequential basis but there would be no significant appreciation on a yearly basis. Ahead of the Q1 FY19 results, Motilal Oswal Securities has given a ‘buy’ rating to Yes Bank, ICICI Bank, RBL Bank and SBI.

China's share market and the yuan bounced on Monday despite heightened trade tensions between Washington and Beijing after each imposed major tariffs on the other's goods last week and investors nervously watched for more policy action, Reuters reported. The Shanghai Composite Index ended 2.5% higher, recording its biggest one-day rise since May 2016. The blue-chip CSI300 Index finished 2.8% higher, while Hong Kong's Hang Seng Index and a sub-index tracking mainland companies were both up more than 1.5% in late afternoon trade. The rebound followed a week of savage selling.

The Nifty private bank index rose by 1.03% during mid-afternoon trade session on Monday led by gains in Federal Bank and Yes Bank shares which surged over 3% each. These were followed by Axis Bank (+2.78%), South Indian Bank (+2.07%), ICICI Bank (+1.26%) and IDFC Bank (+1.03%) stocks. IndusInd Bank (-0.53%) was the sole loser on the private bank index.

A day ahead of the first quarter results announcement, shares of Tata Consultancy Services fell by 1.5% to a low of Rs 1,884.05 on the BSE. Among the major companies which are scheduled to announce the Q1 report card in the current week, India’s largest IT company TCS will be the first one to declare the financial results for the April-June period of FY19 on Tuesday, 10 July 2018. Other major companies which are scheduled to announce Q1 FY19 results this week include IndusInd Bank (10 July), Andhra Bank (10 July) and Infosys (13 July).

"Demand outlook for FY19 is positive across segments, driven by healthy rural sales momentum, expectation of normal monsoon for the third year in a row, and a pick-up in economic activities. Key threats to demand are posed by inflationary fuel prices and higher interest rates. Our top picks are Ashok Leyland, Bajaj Auto, and Hero Motocorp among the large caps, and Lumax Auto, JBM Auto and Jamna Auto among the mid/small caps space. We continue to like MSIL’s unique moats, although valuation leaves little room for an upside."

- HDFC Securities report on Consumer (Auto, Auto Anc.): 1QFY19 Results Preview.

As per data released by the Association of Mutual Funds in India (AMFI), net inflow into equity mutual fund schemes came in at Rs 8,237 crore in June, down 32% from Rs 12,070 crore in the month of May. “After three years of good flows there ought to be consolidation, and there so sign of panic. Redemptions are well within control, and its rationale for investors to take a relook at their portfolio do some asset allocation and take some risk off the table from time to time. I think that is what is happening,” Leo Puri of UTI AMC said in an interview to CNBC TV18.

Dalal Street cheers onset of Q1 FY19 results season! Sensex nears 36K; 5 reasons why

The domestic share markets traded higher with BSE Sensex rising more than 250 points in the morning deals on Monday on the onset first-quarter corporate earnings for the financial year 2018-2019. While positive global cues aided in the upsurge, foreign funds infusion has also contributed to the equity markets upward movement.

Shares of various Tata group companies witnessed mixed trends after the NCLT dismissed pleas of Cyrus Mistry against Tata Sons for removing him as chairman. Shares of Tata Consultancy Services (TCS) fell by 1.12%, while Tata Motors rose 1.79% on the BSE. In late morning trade, the scrips of Tata Steel and Tata Power climbed over 1% each. Shares of Tata Chemicals and Tata Coffee rose.

Gains in blue-chip shares of Vedanta, Axis Bank, Yes Bank, Sun Pharma, Tata Motors, Asian Paints, ICICI Bank, Tata Steel, Reliance Industries and M&M sent the Sensex soaring by 273 points to an intra-day high of 35931.09 points during late-morning trade deals on Monday. On the National stock exchange, the Nifty traded firm above the 10,800-mark and rose by 72 points to a high of 10,844.70 points during intra-day trade. Vedanta, Dr Reddy's Lab, Axis Bank, Sun Pharma, Yes Bank, Tata Motors, Hindalco, HCL Technologies were the top gainers on the National Stock Exchange.

Tata-Mistry case: NCLT rules in favour of Tata Sons, rejects merit in Cyrus Mistry’s allegations against Ratan Tata

Ruling in favour of Tata Sons, Mumbai bench of NCLT on Monday dismissed Cyrus Mistry's petition.

Losers on the BSE: TCS (down 1.12%), Coal India (down 0.50%), HDFC (down 0.37%) and Wipro (down 0.15%).

Check out the top gainers:

Shares of Tata Steel Ltd rose 2.2% to Rs 565.7 after it reported strong quarterly sales data on Friday. The company reported 7.82% rise in domestic production at 3.17 million tonnes and 8% increase in sales at 2.97 mt in the June quarter. Tata Steel shares on Monday saw their biggest intraday percentage gain since July 2. Automotive and special products achieved highest ever quarterly sales in India of 557 KT, due to stronger demand and new product approvals, Tata Steel added.

Gold prices rose on Monday on short covering by investors and a weak dollar. The bullion was also supported by lingering U.S.-Sino trade tensions. Spot gold prices were trading 0.4% higher at $1,258.61 an ounce, while U.S. gold futures for August delivery were up 0.3% at $1,259.90 an ounce (as of 0351 GMT), according to a Reuters report.

The Nifty PSU Bank index gained 0.86% in morning deals on Monday. Shares of PNB gained 1.30%, followed by Syndicate Bank (+1.11%), Bank of India (+1.04%), Oriental Bank of Commerce (+0.94%) and Union Bank (+0.92%). Shares of State Bank of India traded 0.87% higher.

Shares of optical fibre cable maker Sterlite Technologies Ltd climbed as much as 6.58% to Rs 308.6 per share on Monday, the highest level since June 13. The company said on Friday that it has signed definitive agreements for the acquisition of a European specialised optical cable manufacturer based in Italy, Metallurgica Bresciana S.p.A (Metallurgica). The acquisition is an all-cash deal for approximately Euro 47 million, which is being funded through a combination of Euro debt instruments and internal accruals, the company said in a statement.

Even as the Rupee continues to feel the pressure, with bankers expecting the domestic currency to hit the 70-mark against US Dollar, CLSA says that Maruti Suzuki, Asian Paints, Bharti Airtel and Adani Power will be vulnerable. The global brokerage expects the Rupee to remain under pressure. Continued strengthening of the US dollar, lack of foreign investment inflows and concerns over rising oil prices are likely to keep the rupee under pressure and push it down to the 70 mark this week, bankers told PTI.

"Today USDINR is likely to remain in the range of 68.44 (stretched 68.17) to 68.73 (stretched 69.01)," says Hiren Sharma, Founder and Managing Partner at Portia Advisory Services LLP.

"Dollar Index has moved to sub-94 levels, now at 93.93, as the U.S. job data released on Friday came better than expected (though Unemployment had risen, and prior NFP data was revised upwards). Greenback's immediate decline has pushed EUR towards 1.1750+. Whereas GBP wasn’t able to gain much as UK’s Brexit Secretary & one more member resigned over the expected plan, putting the UK PM Theresa May’s government on a (yet) again shaky ground. Brent Crude remains around $77 & above levels, currently at $77.48 per barrel. Asian markets setting-off trade tensions with better than expected U.S. jobs data - are up with both Nikkei & Hang Seng currently trading 651points & 423points up respectively."

Shares of PNB, JP Associates, Fortis Healthcare, Ashok Leyland, Tata Steel, United Bank of India in news today

The rupee appreciated by 30 paise to 68.57 against the US dollar in early trade on Monday. The rupee strengthened on the back of increased selling of the greenback by exporters and banks, along with a higher opening of the domestic equity market. On Friday, the rupee had gained 8 paise to end at 68.87 against the US currency.

The Sensex of the BSE surged 273.23 points to a high of 35,931.09 points in opening trade on Monday following positive global markets. The Nifty of the National Stock Exchange edged higher by 72.05 points to a high of 10,844.70 points in early trade. Shares of Vedanta, Bajaj Auto, Yes Bank, ICICI Bank, Tata Steel, Tata Motors, Reliance Industries and M&M gained over 1% in early trade on Monday.

Oil prices inched up in early Asian trading on Monday, with the global benchmark Brent up 14 cents, or 0.2%, at $77.25 a barrel by 0113 GMT, said a Reuters report. Investors focused on any fallout from the U.S. imposition of tariffs on Chinese goods on Friday last week, which prompted immediate retaliation from China. U.S. crude futures added 8 cents, or 0.1%, to $73.88 after trading slightly lower earlier in the morning.

Asian share markets rallied on Monday as favourable U.S. jobs data whetted risk appetites, Reuters reported. Japan's Nikkei followed up with gains of 1.4%, while MSCI's broadest index of Asia-Pacific shares outside Japan climbed 1.1%. However, sterling slipped after two members of the British government resigned over Brexit and put the future of Prime Minister Theresa May in doubt. Chinese shares were attempting to rally with the Shanghai blue-chip index up 1.9% after hitting its lowest in almost 18 months last week.