Share Market News Today | Sensex, Nifty, Share Prices Highlights: After fluctuating between losses and gains, Indian benchmark indices managed to end on a positive note in the highly volatile session. The BSE Sensex ended 237.42 points or 0.46% higher at 51,597.84, and the NSE Nifty 50 settled 56.70 points or 0.37% above at 15,350.20. Sectorally, FMCG index added 1 percent and IT index up 0.5 per cent, however oil & gas, metal, capital goods, power and realty down 1-4 per cent. BSE midcap index shed 1.4 per cent and smallcap index fell 3 per cent. HUL, HDFC, Apollo Hospitals, Asian Paints and UltraTech Cement were among the top Nifty gainers, while losers were ONGC, Tata Steel, UPL, Hindalco Industries and Coal India.
Share Market Today | Sensex, Nifty, BSE, NSE, Share Prices, Stock Market News Live Updates 20 June 2022, Monday
Benchmark indices managed to end on a positive note in the highly volatile session. The BSE Sensex ended 237.42 points or 0.46% higher at 51,597.84, and the NSE Nifty 50 settled 56.70 points or 0.37% above at 15,350.20.
Vodafone Idea's Board is scheduled to meet on June 22, to consider and approve a proposal for raising funds to the tune of Rs 500 crore. The fundraising will be through the issuance of equity shares or convertible warrants on a preferential basis to one or more entities belonging to Vodafone Group (one of the promoters of the company). “… A meeting of the Board of Directors of the company is scheduled to be held on Wednesday, 22nd June 2022… to consider proposal for raising of funds aggregating up to Rs 500 crore, by way of issuance of equity shares and / or convertible warrants on a preferential basis to one or more entities belonging to Vodafone Group (one of the promoters of the company),” VIL said in a filing to BSE on Sunday.
Benchmark indices were trading flat amid volatility with metal index shed over 5 percent, while buying was seen in the FMCG names. The Sensex was up 68.84 points or 0.13% at 51429.26, and the Nifty was up 2.40 points or 0.02% at 15295.90.
Among stocks, Vedanta plunged nearly 8 per cent after the company invited expressions of interest (EOI) to sell its Tamil Nadu-based (Tuticorin) copper plant.
BSE Midcap index shed 1 percent dragged by the Oil India, Hindustan Aeronautics (HAL), JSW Energy
India faces multiple near-term challenges like managing its fiscal deficit, sustaining economic growth, reining in inflation and containing the current account deficit while maintaining a fair value of its currency, the finance ministry said in its monthly economic report. “Many countries around the world, including and especially developed countries, face similar challenges. India is relatively better placed to weather these challenges because of its financial sector stability and its vaccination success in enabling the economy to open up,” the ministry said. The challenges need to be managed carefully without sacrificing the hard-earned macroeconomic stability, the finance ministry added.
India's steel exports is expected to come down by 40 per cent to 12 million tonnes (MT) in the ongoing fiscal, as a result of the duty-related measures taken by the government last month, according to CRISIL. The export of finished steel had reached a record high of 18.3 million tonnes in the 2021-22 financial year and the prices were at their all-time high, the agency said on Monday.
“India's steel exports will drop 35-40 per cent to 10-12 million tonnes this fiscal following the 15 per cent export duty imposed on several finished steel products last month. Exports of iron ore and pellets will also fall this fiscal, and lower domestic prices,” the CRISIL research analysis said.
“Domestic steel prices have crashed nearly 20 percent recently from the peak following the excess supply in the market caused by the imposition of 15 percent export duty. Unless this decision is reversed, steel exports are likely to take a hit of nearly 35 percent. This will also severely impact the profitability of the steel sector and this is getting reflected in the prices of steel stocks which have taken a big hit. The positive side is that steel consumers, notably in the automobile and construction sectors will gain from this steep decline in prices.”
~VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services
Sugar stocks witnessed heavy selling across-the-board amid reports of a possibility of extension on the sugar export limitations into next year. Shree Renuka Sugar, Dwarikesh Sugar and Bajaj Hindusthan were the major losers, down up to 10.5 per cent.
Sensex is up 57.18 points or 0.11% at 51417.60, and the Nifty shed 8.50 points or 0.06% at 15285.
Global rating agency Fitch on Monday moved 13 Indian companies from the category of entities carrying 'elevated downgrade risk' — becoming sub-investment grade entities — to those with 'moderate downgrade risk'. This follows the stabilisation of their outlooks and upgrading outlook on India’s sovereign rating to 'stable' from 'negative'.
BSE Smallcap index shed 2 percent dragged by MRPL, Chennai Petroleum Corporation, Mirza International
Benchmark indices were trading higher with Nifty above 15300. The Sensex was up 221.15 points or 0.43% at 51581.57, and the Nifty was up 43.80 points or 0.29% at 15337.30.
Shares of Vedanta plunged more than 12 per cent during Monday's trading session after the company put up its Tuticorin copper plant for sale. The Anil Agarwal-led mining major has invited an expression of interest (EoI) for the Tuticorin-based smelter, following an order from the Tamil Nadu government. The plant has been closed for more than four years.
BSE Power index shed 1 percent dragged by the Tata Power, JSW Energy, Adani Power
Shares of metal companies reeled under severe pressure on Monday with the S&P BSE Metal index hitting a 15-month low amid demand slowdown concerns. Tata Steel, Hindalco Industries, Jindal Steel and Power (JSPL), NMDC and Vedanta have shed up to 35 per cent in the past one month, as compared to 5 per cent decline in the S&P BSE Sensex. The S&P BSE Metal index, the top sectoral loser among indices, was down 5 per cent as compared to 0.10 per cent rise in the benchmark Sensex index. In the past one month, the index has slipped 21 per cent.
India’s steel exports will drop 35-40% on-year to 10-12 million tonne this fiscal following the 15% export duty imposed on several finished steel products last month, a CRISIL Research analysis shows.
In the meanwhile, global growth has started falling. Lowering of policy accommodation, the end of pent up demand, rising commodity prices, increase in interest rate and lowering of business, consumer and investor optimism are major factors. The combined impact of high inflation, rapid monetary tightening and slowdown of growth rate are negative for financial markets in short term and markets are already abuzz about recession fears if growth slows significantly without any favourable improvement in inflation. Which has already been seen as major indices corrected by about 15-17% recently. Read full story
NSE Nifty 50 has not bottomed out yet. In fact, the index has broken the crucial support level at 15700, which it has held for the last 3 months, Shrikant Chouhan, Head of Equity Research (Retail) at Kotak Securities, said. In an interview with Surbhi Jain of FinancialExpress.com, Shrikant Chouhan said that if the 50-share index falls below 15000 levels, then it may plunge to 14500 on the downside. As the upcoming 3-4 weeks looks extremely volatile, Chouhan advised investors to invest in select companies in parts between 15100 and 14500 levels. He also listed a few top stocks to buy and sell this week, and noted the important levels to track this week on the Nifty. Read full interview
Nifty FMCG index gained 1 percent led by the HUL, Godrej Consumer Products, Britannia Industries.
“Events of the last few days have increased the risk of recession in the US. Synchronised rate hikes by most central banks will certainly hit global growth this year. High interest rates and lower growth will impact corporate earnings. Risky assets are reacting to this pessimistic scenario. The 72 percent crash in the price of bitcoin is a reflection of the fear and risk aversion among investors.”
“The correction in the Indian market is not as steep as in the US mainly because of the sustained buying by DIIs and retail countering the relentless selling by FIIs which crossed Rs 7000 crore last Friday. A bounce back from the steady decline is possible any time. An important factor favouring such a scenario is the 6 percent decline in crude. If this trend persists it can help tame inflation globally. Investors can use weakness in the market to buy high quality large-caps across sectors.”
~V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
Kotak Institutional Equities has initiated coverage on PB Fintech with buy rating and increased its target price to Rs 700 a share, signalling a potential upside of 20 per cent from its last close. “High multi-year growth, leading to consistent market share gains, will likely improve unit economics and drive operating leverage over time. Its diversifying product mix, aided by increasing distribution channels, will help gather trail commissions – a key driver of its profitability,” Kotak Institutional Equities said in its report.
The rupee strengthened by 12 paise to 77.93 against the US dollar in opening trade on Monday as easing crude oil prices supported the local unit. However, unabated foreign fund outflows, a lacklustre trend in domestic equities and strong American dollar overseas restricted the gain, forex dealers said. At the interbank foreign exchange, the rupee opened strong at 77.98 against the US dollar, then inched higher to quote 77.93, registering a rise of 12 paise over the last close.
Indices trade flat amid volatility, Sensex down by around 30 points, Nifty around 15,250. The Sensex was trading flat with a loss of 34.1 points or 0.07% at 51,326.28 and the Nifty was lower by 24.15 points or 0.16% at 15,269.
Nifty PSU Bank index fell 1 percent dragged by the Indian Bank, Canara Bank, Central Bank
Shares of energy companies were under pressure falling by up to 17 per cent on the BSE after oil prices tumbled about 5 per cent to a three-week low on Friday, as investors feared that interest rate hikes from major central banks could slow the global economy and cut demand for energy. Mangalore Refinery & Petrochemicals tanked 17 per cent to Rs 78.55, while Chennai Petroleum Corporation tumbled by 15 per cent to Rs 277.75 and Oil India plunged 8 per cent to Rs 233.40 on the BSE in intra-day trade. These stocks had seen sharp run-up on higher crude oil prices.
The mutual fund industry AUM at the end of the month of May 2022 decline by 2.1% to 37.2 lakh crore from |38.0 lakh crore in April 2022. The decline in AUM was due to outflow from debt funds and mark to market decline in equity funds. The AUM of pure equity funds in May 2022 stands at Rs 13.3 lakh crore as compared to Rs 13.6 lakh crore in April 2022. Inflows in the month of May increased to Rs 18500 crore as against Rs 15900 crore in April. Higher inflows was seen as markets were down during the month of May 2022. SIP inflows continue to trend higher and came in at Rs 12286 crore in May as compared to Rs 11863 crore. ICICI Securities
COMEX gold trades marginally lower near $1838/oz holding on to losses noted last week. Weighing on gold price is monetary tightening stance of Fed and other central banks which may keep yields higher. Global growth worries, inflation concerns and geopolitical tensions have however kept a floor to prices. ETF flows also show pick up in investor buying as price has managed to hold above $1800/oz level. Gold may remain choppy amid mixed factors however Fed’s tightening stance may keep US dollar supported and this may weigh on gold price. Ravindra Rao, CMT, EPAT, VP- Head Commodity Research at Kotak Securities
This week may be another calm for the local forex markets with old factors like crude oil prices, risk sentiments and foreign funds flows to drive. Technically, USDINR is having resistance at 78.40 and support at 77.70. Read full story
BSE Oil & Gas index shed 2 per cent dragged by the Adani Total Gas, ONGC, Gail India.
Sectorally, metals, realty, oil & gas indices on the Nifty slumped 0.7-2 per cent. While, Nifty IT, financials and pharma were higher.
Vedanta plunged 6 per cent. The company has invited expressions of interest (EOI) to sell its Tamil Nadu-based copper plant.
Sun Pharma, Asian Paints, Apollo Hospitals, HDFC and HDFC Bank were among major gainers on the Nifty, while losers were ONGC, Coal India, Tata Steel, Power Grid Corporation and Britannia Industries.
Sun Pharma, Asian Paints, HUL Bajaj Finance, Wipro, TCs and HDFC twins were the top winners on the Sensex, while Tata Steel, PowerGrid, Nestle and Maruti were the top losers.
NSE Nifty 50 opens above 15,300 levels
Sensex trades flat
We expect gold prices to trade sideways to up this week with COMEX spot gold resistance at $1870 per ounce and support at $1800 per ounce. At MCX, Gold August prices have near term resistance at Rs. 51800 per 10 grams and support at Rs. 50200 per 10 gram. COMEX Spot silver has near term resistance at $22.90 per ounce with support at $21.10 per ounce. MCX Silver July has important resistance at Rs. 63800 per KG and support at Rs. 59200 per KG. Read full story
Indian markets are likely to open on a negative note tracking weak global cues. Investors remain concerned about steep hikes in interest rates by central banks to tackle high levels of inflation. US markets ended mixed tracking gains in technology stocks amid concerns about the economic impact of aggressive monetary policy tightening.
“The market has been in a sharp down trend over the last 14-15 sessions. Minor consolidations or small upside bounces have resulted in a sharp weakness as of now. Hence, any upside bounce from here could be a sell on rise opportunity for the short term. On the higher side, the area of 15600 levels (mid part of Thursday's long bear candle) is expected to be a crucial overhead resistance ahead and is unlikely to be broken on the upside in a hurry. After a small upside bounce, the Nifty could slide down to the 15000-14800 levels in the near term.”
~Nagaraj Shetti, Technical Research Analyst, HDFC Securities
Nifty likely to find support at around 15150 while 15750 is likely to act as resistance on the upside. Bank Nifty likely to find support at around 32200 while 33500 is likely to act as resistance.
“Nervousness is likely to prevail for key domestic benchmark indices amid weakness in other Asian gauges, even as US markets witnessed a sharp bounce back on Friday. Although markets may be relieved after crude oil prices tumbled to around $109 a barrel, other lingering concerns such as higher inflation levels, fears of more rate hikes, recession fears and continued FII selling will continue to keep investors on tenterhooks. Both, Nifty and Sensex, are at one-year low and are down around 18% from their all-time-highs. Technically, bulls can win only if Nifty’s closes above its biggest interweek hurdles of 15927 mark. Until then the downside risk is seen at 14251 mark.”
~Prashanth Tapse, Vice President (Research), Mehta Equities
Benchmark indices are trading flat in the pre-opening session. The Sensex was up 14.24 points or 0.03% at 51374.66, and the Nifty was down 13 points or 0.09% at 15280.50.
The chart pattern suggests that if Nifty 50 crosses and sustains above 15400 level it would witness buying which would lead the index towards 15600-15700 levels. However, if the index breaks below 15100 level it would witness selling which would take the index towards 15000-14500. For the week, we expect Nifty to trade in the range of 15700-14800 with a negative bias. The weekly strength indicator RSI is moving downwards and is quoting below its reference line indicating negative bias. Read full story
Bearish extreme readings on momentum and sentiment indicators in Nifty suggest that going aggressive short at lower levels should be avoided as technical pullbacks could not be ruled out. Going ahead, for a meaningful pullback to materialise, index needs to form higher high-low on a weekly time frame along with improvement in market breadth. In the process, 15800 will act as key resistance on the up side. Read full story
“The markets would regain strength only after surpassing the key levels of 15700 – 15800 on a closing basis. Till then it's not advisable to carry aggressive longs overnight. Traders are advised to take one step at a time this week and should ideally look to lighten up positions during the day only. Since we are mirroring the global trends, markets can surprise us anytime in either direction. There is a famous saying in the market that one should avoid catching a falling knife (market). This holds true for momentum traders but with a slightly broader perspective, we are of the strong belief that no one should certainly start accumulating quality propositions in a staggered manner.”
~Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel One
“Following weak global cues, Nifty 50 ended the week sharply lower and decisively broke below the critical support level of 15,700. While market sentiment is extremely bearish, the indices have become oversold in the near term. Even the major global indices are trading near the support of the falling channel. As a result, a short-covering bounce cannot be ruled out. We recommend that traders maintain a negative to neutral outlook in the coming week and use any bounce as an exit opportunity. The immediate support and resistance levels are now placed at 15,200 and 16,200 levels respectively.”
~Yesha Shah, Head of Equity Research, Samco Securities
Market has been in a sharp down trend over the last 14-15 sessions. Minor consolidations or small upside bounces have resulted in a sharp weakness as of now. Hence, any upside bounce from here could be a sell on rise opportunity for the short term. On the higher side, the area of 15,600 is expected to be a crucial overhead resistance ahead and is unlikely to be broken on the upside in a hurry. After a small upside bounce, the Nifty could slide down to the 15,000-14,800 levels in the near term. If Nifty hits 14,882 mark, then it would be regarded as a bear market. However, a slip below the 15,000 mark is also a key psychological level to watch out for.
Violent swings marked the closing hours of last week, in line with the drama prevailing all through the week. But it also lent an even poise, giving all types of traders something to look forward to in the coming week. Put options were added the most to 14000 strike, which is also what charts are pointing for the medium term. However, we believe that a short term bounce is due. OI in NSE Nifty 50 is the highest at 15000 and 16000, which is relatively a muted range, when put in the backdrop of last week’s plunge. Read full story
“India VIX has inched higher and is trading around 23 levels which indicates volatility likely to continue for now. Going ahead, we expect market to remain under pressure with increasing fears of economic slowdown. Given the hawkish commentaries from Central banks and record high inflation, rate hike cycle is likely to continue over the next couple of months and would keep investors jittery. Traders should avoid long positions and maintain Sell on rise strategy.”
~ Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services
Rupee to depreciate further this week till 78.70 amid strong dollar and persistent foreign funds outflows. However, investors will remain vigilant ahead of existing home sales data. Existing home sales in the United States is expected to decline from 5.61M to 5.41M in another sign the housing market is cooling, as higher home prices and mortgage rates have reduced buyer activity. USDINR (June) as long as it sustains above 77.80 it may rise till 78.70 this week.
Vodafone Idea: Ahead of the 5G auctions, which commences from July 26, the government will convert its debt into equity in Vodafone Idea, official sources said.
State Bank of India: A key position in the risk department of Jio Payments Bank, typically held by an official on deputation from State Bank of India (SBI), has remained unfilled for nearly a year. Read full story