by admin | May 25, 2021 | Economy, Markets, News
Mumbai : Profit booking, along with broadly negative global markets and a weak rupee, subdued the key domestic equity indices during a volatile trade session on Friday.
Market observers pointed out that heavy selling pressure in banking, capital goods and FMCG stocks also depressed the key indices.
However, some of the losses were pared on the back of healthy buying in pharma and IT stocks.
Index-wise, the 30-scrip Sensitive Index (Sensex) closed lower by 19.41 points or 0.05 per cent.
The wider 50-scrip Nifty of the National Stock Exchange (NSE) also settled on a flat-to-negative note. It slipped by 0.70 points or 0.01 per cent to close at 10,767.65 points.
The S&P BSE Sensex, which opened at 35,406.47 points, closed at 35,443.67 points, 19.41 points or 0.05 per cent lower from the previous day’s close at 35,463.08 points.
The Sensex touched a high of 35,484.94 points and a low of 35,260 points during the intra-day trade.
“Markets ended flat on Friday after a smart recovery in the late afternoon session. Today’s flat close came after two sessions of healthy gains,” said Deepak Jasani, Head of Retail Research at HDFC Securities.
“Weak global cues capped the gains. Banks fell while IT and Pharma shares gained. Major Asian markets have closed on a negative note. European indices like FTSE 100, CAC 40 and DAX are trading in the red.”
Geojit Financial Services’ Head of Research Vinod Nair said: “Market reversed from low despite weak global sentiment as positive cues on pharma stocks and prospects of government measures on PSU banks supported the market to end flat.”
“Weakening rupee and favourable US FDA outcome on domestic pharma helped to regain positive sentiment in the sector. Volatility in oil price and mixed earnings in the fourth quarter may led the market to stay on the consolidation path.”
On the currency front, the Indian rupee weakened against the US dollar to 67.51, from its previous close at 67.13 per greenback.
Provisional data with exchanges showed that foreign institutional investors sold scrips worth Rs 222.50 crore, while the domestic institutional investors bought stocks worth Rs 459.44 crore.
Sector-wise, the S&P BSE Healthcare index gained 468.38 points, the IT index was higher by 103.09 points and the oil and gas index ended 87.72 points higher.
In contrast, S&P BSE banking index was lower by 71.39 points, capital goods down 44 points and FMCG index slipped by 40.07 points.
The major gainers on the Sensex were Sun Pharma, up 8.13 per cent at Rs 528.20; DrReddy’s Labs, up 4.92 per cent at Rs 2,062.90; Tata Motors DVR, up 3.56 per cent at Rs 186.20; Tata Motors, up 1.56 per cent at Rs 310.05; and State Bank of India, up 1.28 per cent at Rs 272.70 per share.
The top losers were PowerGrid, down 2.12 per cent at Rs 198.50; HDFC, down 1.42 per cent at Rs 1,840.20; Axis Bank, down 1.05 per cent at Rs 536.45; ITC, down 0.98 per cent at Rs 267.85; and Mahindra and Mahindra, down 0.91 per cent at Rs 910.90 per share.
—IANS
by admin | May 25, 2021 | Economy, Markets, News
Mumbai : Caution ahead of the RBI’s monetary policy review, along with negative macro-economic data point, depressed the key Indian equity indices on Tuesday.
According to market observers, heavy selling pressure was witnessed in the capital goods, consumer durables and IT stocks.
Index-wise, the broader Nifty50 of the National Stock Exchange (NSE) closed at 10,593.15 points — down by 35.35 points, or 0.33 per cent — from its previous close.
Similarly, the barometer 30-scrip Sensitive Index (Sensex) settled in the red. It opened at 35,029.45 points, closed at 34,903.21 points — lower by 108.68 points, or 0.31 per cent — from its previous session’s close of 35,011.89 points.
Sensex touched a high of 35,073.12 points and a low of 34,784.68 points during the intra-day trade.
“Markets corrected further on Tuesday after a volatile trade session. It was the third consecutive session of losses for the Nifty,” said Deepak Jasani, Head of Retail Research at HDFC Securities.
“Broad market indices like the BSE Mid Cap and Small Cap indices fell more, thereby underperforming the main indices.”
Geojit Financial Services Head of Research Vinod Nair said: “Consolidation continued as investors turned cautious ahead of RBI monetary policy and rupee is marginally weak due to liquidity constraint.”
“Investors are expecting a status quo on policy rates, but RBI’s commentary would be keenly watched. The elevated levels of crude will influence RBI’s stance on inflation. Earnings cycle is yet to pick up while the divergence in expectation and actual results could trigger downgrades in FY19 estimates.”
The RBI’s MPC began its three-day meet from June 4 to 6 here on Monday. It is expected to announce the second monetary policy review for 2018-19 on Wednesday.
Further, analysts said that investor sentiments were subdued after seasonally adjusted Nikkei India Services Business Activity Index showed a contraction in last month’s output.
On the currency front, the Indian rupee weakened against the US dollar to 67.15, from its previous close at 67.12 per greenback.
Investment-wise, provisional data with exchanges showed that foreign institutional investors sold scrip worth Rs 157.51 crore, while the domestic institutional investors bought stocks worth Rs 474.33 crore.
Sector-wise, the S&P BSE capital goods index fell by 362.23 points, the consumer durables index was down by 278.27 points and the IT index ended 203.06 points lower.
On the other hand, S&P BSE oil and gas index gained 14.85 points followed by the energy index which inched up by 9.94 points.
The major gainers on the Sensex were Reliance Industries, up 0.90 per cent at Rs 947.85; Tata Steel, up 0.88 per cent at Rs 571.95; HDFC, up 0.78 per cent at Rs 1,847.05; Maruti Suzuki, up 0.69 per cent at Rs 8,810.35; and HDFC Bank, up 0.68 per cent at Rs 2,060.55 per share.
The top losers were Coal India, down 2.36 per cent at Rs 285.40; Bharti Airtel, down 2.16 per cent at Rs 363.80; Larsen and Toubro, down 1.93 per cent at Rs 1,344; Dr Reddy’s Labs, down 1.87 per cent at Rs 1,959.60; and Yes Bank, down 1.84 per cent at Rs 336.70 per share.
—IANS
by admin | May 25, 2021 | Economy, Markets, News
Mumbai : The key indices of the Indian equity market — S&P BSE Sensex and NSE Nifty50 — ended in the negative territory on Monday after a volatile trade session.
According to market observers, both the key indices had gained nearly a per cent each during the initial trade hour but failed to sustain the northward trajectory as caution over Reserve Bank of India’s (RBI) second monetary policy review of the fiscal eroded investor’s risk-taking appetite.
The Monetary Policy Committee (MPC) of the RBI began its three-day meet from June 4 to 6 here on Monday.
Accordingly, the wider 50-scrip Nifty of the National Stock Exchange (NSE) closed the day’s trade in the red. It closed lower by 67.70 points or 0.63 per cent to 10,628.50 points from its previous close.
The Sensex of the BSE, which opened at 35,503.24 points, closed at 35,011.89 points, 215.37 points or 0.61 per cent lower from the previous session’s close at 35,227.26 points.
The Sensex touched a high of 35,555.59 points and a low of 34,982.25 during the trade session.
“Markets corrected further on Monday after a positive morning session led by banking and realty stocks,” said Deepak Jasani, Head of Retail Research for HDFC Securities.
“Investors turned cautious ahead of RBI monetary policy review meet which began today. Broad market indices like the BSE Mid Cap and Small Cap indices fell more, thereby underperforming the main indices.”
Geojit Financial Services Head of Research Vinod Nair said: “Market erased early gains despite positive momentum in the global market as investors are gradually factoring a rate hike ahead of RBIs monetary policy.”
“As the result season is over, market participants are keen on macros, the movement of oil price and rupee will remain the key trigger. On the other hand, the tailwinds caused by prognosis of good monsoon and uptick in economic activity in Q4FY18 will boost consumption led story and rural economy.”
On the currency front, the Indian rupee weakened against the US dollar to 67.11-12, from its previous close at 67.06 per greenback.
Sector-wise, the S&P BSE banking index fell by 422.97 points, the consumer durables index was down by 376.37 points and the capital goods index ended 236.38 points lower.
On the other hand, S&P BSE IT index gained 55.34 points followed by the metal index which rose by 31.70 points and the TECK index ended 22.53 points higher.
The major gainers on the Sensex were Dr Reddy’s Labs, up 2.86 per cent at Rs 1,996.95; Infosys, up 1.59 per cent at Rs 1,239.60; Mahindra and Mahindra, up 1.45 per cent at Rs 914.60; Tata Steel, up 1.18 per cent at Rs 566.95; and Reliance Industries, up 1.09 per cent at Rs 939.35 per share.
The top losers were HDFC Bank, down 2.99 per cent at Rs 2,046.55; Bharti Airtel, down 2.81 per cent at Rs 371.85; Adani Ports, down 2.47 per cent at Rs 377.60; PowerGrid, down 2.06 per cent at Rs 201.65; and Hindustan Unilever, down 1.73 per cent at Rs 1,562.20 per share.
—IANS
by admin | May 25, 2021 | Banking, Economy, Markets, News
By Rohit Vaid,
Mumbai : The Reserve Bank of India’s (RBI) second monetary policy review for 2018-19, combined with the direction of foreign fund flows and global crude oil prices are expected to set the course for the key equity indices in the coming week.
Market participants will follow the monsoon’s progress and the rupee’s movement against the US dollar for further cues, analysts opined.
“With the earnings season almost coming to an end, the markets next week would look forward to the RBIs monetary policy,” Devendra Nevgi, Founder and Principal Partner, Delta Global Partners, told IANS.
The Monetary Policy Committee (MPC) of the RBI is slated to meet from June 4 to 6 for the second bi-monthly monetary policy statement for 2018-19.
In its last review, the country’s central bank had maintained the status quo on its key short-term lending rate at 6 per cent, along with its “neutral” stance.
“Given the higher GDP growth rate released last week, the chances of a policy rate hike has risen, though not assured, as RBI would take a wait-and-watch approach,” Nevgi said.
“A rate hike, if it comes accompanied by hawkish policy language, would hit the market sentiment, especially the banks and the NBFCs.”
According to SMC Investments and Advisors’ Chairman and Managing Director D.K. Aggarwal: “Now markets across the globe are closely watching each development regarding US trade policy, Italy ‘s politics and the dynamics unfolding in the global crude market.”
The National Stock Exchange’s (NSE) 50-share “Nifty is expected to move in the range of 10,500-10,900 levels and Bank Nifty is expected to trade between 26,300-27,200 levels”, he added.
Besides, fluctuations in global crude oil prices, along with the movement of Indian rupee against the US dollar and the composite PMI data will also affect investor sentiments.
On a weekly basis, the rupee strengthened by 72 paise to close at 67.06 against the US dollar from its previous week’s close of 67.78 per greenback.
In terms of investments, provisional figures from the stock exchanges showed that foreign institutional investors (FIIs) sold scrips worth Rs 2,707.41 crore during the last trade week.
Figures from the National Securities Depository (NSDL) revealed that foreign portfolio investors (FPIs) divested equities worth Rs 2,756.63 crore, or $405.08 million, during the week ended June 1.
As per the technical charts, the underlying trend of NSE Nifty50 remains bullish.
“Technically, the Nifty seems to have taken a breather after two sessions of gains,” said Deepak Jasani, Head of Retail Research for HDFC Securities.
“With the underlying trend remaining up, the bulls seem to have an upper hand for the coming week. Further upsides are likely once the immediate resistances of 10,765 points are taken out. Crucial supports to watch for any weakness are at 10,620 points level.”
Last week, both the key Indian equity indices — S&P Bombay Stock Exchange (BSE) Sensex and NSE Nifty50 — edged higher on the back of a healthy improvement in the country’s GDP growth rate, along with predictions of a normal monsoon and easing crude oil prices.
Consequently, the barometer 30-scrip Sensitive Index (Sensex) of the BSE rose by 302.39 points or 0.87 per cent to 35,227.26 points.
Similarly, the wider Nifty50 of the NSE closed the week’s trade at 10,696.20 points — up 91.05 points or 0.86 per cent — from its previous close.
(Rohit Vaid can be contacted at rohit.v@ians.in)
—IANS
by admin | May 25, 2021 | Economy, Markets, News
By Rituraj Baruah,
Mumbai : A healthy rise in the country’s GDP, along with predictions of a normal monsoon and easing crude oil prices fuelled a nearly one per cent rise in the key Indian equity indices during the just concluded trade week.
Accordingly, the two key indices — NSE Nifty50 and the S&P BSE Sensex — ended on a positive note for the second consecutive week.
However, geo-political tensions and resurgent concerns over a trade war between the US and China kept the global markets largely volatile and had a cascading impact on the domestic bourses.
Nonetheless, the barometer 30-scrip Sensitive Index (Sensex) of the BSE rose by 302.39 points or 0.87 per cent to close at 35,227.26 points on a weekly basis.
The wider Nifty50 of the NSE closed the week’s trade at 10,696.20 points — up 91.05 points or 0.86 per cent — from its previous close.
Despite the indices’ northward trajectory, market breadth was negative in four out of the five trading sessions of the week, analysts said.
“Markets ended the week building on with modest gains after a sharp bounce back from the lows of 10,417 towards the end of the previous week,” said Deepak Jasani, Head, Retail Research, HDFC Securities.
“It was thus the second consecutive week of gains for the Nifty after the sharp correction seen recently.”
Hem Securities’ Director Prateek Jain said: “Falling crude oil prices helped equity markets to gather steam in the later part of the week. Development in Italy and Euro zone caused a scare but thankfully it was resolved soon and the market resumed its rally higher.”
According to Jain, on the currency front, easing crude oil prices resulted in appreciation of the rupee.
The rupee strengthened by 72 paise to close at 67.06 against the US dollar from its previous week’s close of 67.78 per greenback.
In terms of investments, provisional figures from the stock exchanges showed that foreign institutional investors sold scrips worth Rs 2,707.41 crore, while the domestic institutional investors purchased stocks worth Rs 2,160.44 crore during the week.
Figures from the National Securities Depository (NSDL) revealed that foreign portfolio investors (FPIs) divested equities worth Rs 2,756.63 crore, or $405.08 million, in the week ended June 1.
Sector-wise, the top gainers were the auto, banking and energy stocks. The top losers were media, IT and realty indices, Jasani said.
The top weekly Sensex gainers were Coal India (up 6.56 per cent at Rs 294.15); Mahindra and Mahindra (up 5.16 per cent at Rs 901.55); HDFC Bank (up 4.87 per cent at Rs 2,109.55); Bajaj Auto (up 4.83 per cent at Rs 2,893.25); and Sun Pharma (up 3.50 per cent at Rs 482.90 per share).
The major losers were Tata Consultancy Services (down 3.48 per cent at Rs 1732.25); Power Grid (down 2.85 per cent at Rs 205.90); Tata Motors (down 2.38 per cent at Rs 287.20); ICICI Bank (down 2.36 per cent at Rs 289.50); and Wipro (down 1.70 per cent at Rs 260.45 per share).
(Rituraj Baruah can be contacted at rituraj.b@ians.in)
—IANS
