by admin | May 25, 2021 | Economy, Markets, News
By Rohit Vaid,
Mumbai : Macro-economic data points, coupled with fourth quarter (Q4) earning results, are expected to influence the Indian equity markets during the upcoming truncated week.
According to market observers, the US Fed’s open market committee meet along with the trajectory of global crude oil prices and the rupee’s movement against the US dollar can trigger volatility during the week’s trade sessions.
“The earnings momentum would again be critical since HDFC, Kotak Bank and Dabur will be releasing their numbers. For PSU and other banks, the key question is whether the peak in NPA (non-performing assets) reporting cycle is near,” Devendra Nevgi, Founder and Principal Partner, Delta Global Partners, told IANS.
Companies like HDFC, Kotak Mahindra Bank, HCL Technologies, Hero MotoCorp, Interglobe Aviation, Marico, Welspun Corp and Adani Ports and Special Economic Zone are expected to announce their Q4 earning results next week.
“Earnings and (the Karnataka) election will be the main triggers for the market while investors will have to keep an eye on domestic headwinds like rise in oil price and rupee movement,” said Vinod Nair, Head of Research at Geojit Financial Services.
“On the other hand, the earnings season has started on a positive note led by private sector banks and IT companies. Global market sentiment will be based on the outcome of two-day FOMC meet which is scheduled to start from May 1.”
Apart from Q4 results, investors will look out for upcoming macro-economic data points such as the eight core industries’ (ECI) output, the country’s fiscal deficit numbers and PMI manufacturing and services’ figures which will be released during the week starting April 30.
“Next week, the fiscal deficit for the full financial year would be available and the data would be scrutinised in detail for any slippages, especially in the month of March,” Nevgi said.
“The PMI would be tracked, too, for the economic progress. Crude prices would be tracked closely for any spurt.”
Nevgi added that DIIs (domestic institutional investors) have supported the market as they remained net buyers, whereas FPIs (foreign portfolio investors) have been net sellers since April 13.
The provisional figures from the stock exchanges showed that during last week, foreign institutional investors (FIIs) sold scrips worth Rs 3,060.41 crore, while the domestic institutional investors purchased stocks worth Rs 2,649.61 crore.
In terms of currency, the rupee weakened by 54 paise to close at 66.67 against the dollar on last Friday.
On technical charts, the underlying trend for the National Stock Exchange’s (NSE) Nifty remains bullish.
“Technically, the near-term trend of Nifty is positive and one may expect further upside in the early part of next week. Nifty could face resistance at the 10,750-10,800 band for the next week,” said Deepak Jasani, Head of Retail Research for HDFC Securities.
Last week, healthy Q4 earnings lifted the benchmark equity indices as they settled at their highest closing levels in over three months.
On a weekly basis, the barometer 30-scrip Sensitive Index (Sensex) of the Bombay Stock Exchange (BSE) rose by 554.12 points or 1.61 per cent to close at 34,969.70 points.
Similarly, the wider Nifty50 made gains during the week ended April 27. It closed trade at 10,692.30 points — up 128.25 points or 1.21 per cent from its previous week’s close.
The Indian equity indices will remain closed on Tuesday to observe Maharashtra Day.
(Rohit Vaid can be contacted at rohit.v@ians.in )
—IANS
by admin | May 25, 2021 | Economy, Markets, News
By Rituraj Baruah,
Mumbai : Healthy earnings in the fourth quarter of 2017-18 lifted the benchmark equity indices during the week ended Friday.
Indices logged gains in four of the five trading sessions as both — the S&P BSE Sensex and the NSE Nifty50 — settled at their highest closing levels in over three months.
On a weekly basis, the barometer 30-scrip Sensitive Index (Sensex) of the BSE rose by 554.12 points or 1.61 per cent to close at 34,969.70 points.
The wider Nifty50 of the National Stock Exchange (NSE) closed trade at 10,692.30 points — up 128.25 points or 1.21 per cent from its previous week’s close.
“Markets surged higher extending winning streak to fifth consecutive week on positive sentiment…,” said Prateek Jain, Director, Hem Securities.
“Good roll-over of long-position in the May Series of derivative contract, continuous buying by domestic institutional investors also boosted sentiment,” Jain told IANS.
Rahul Sharma, Senior Research Analyst at Equity99 said: “Better than expected quarterly earnings led the rally in the April series. Traders preferred to ignore major on-going concerns like rising crude oil prices, rising bond yields and weaker rupee.”
According to D.K. Aggarwal, Chairman and MD of SMC Investments and Advisors, the stock markets remained volatile amid corporate earnings and ahead of its expiry of April futures and options contracts.
“As expected, the European Central Bank left interest rates and its bond-buying program unchanged after a meeting Thursday. Keeping inflation target at close to two percent, Bank of Japan (BoJ) left monetary policy unchanged,” Aggarwal told IANS.
On the currency front, the rupee weakened by 54 paise to close at 66.67 against the dollar from its previous week’s close at 66.13.
Aggarwal further said: “Domestic currency continued to get hammered, and is headed for its third straight week of losses as outflows increase from stock market and bonds amid rising US yields.”
On the investment front, provisional figures from the stock exchanges showed that foreign institutional investors sold scrips worth Rs 3,060.41 crore, while the domestic institutional investors purchased stocks worth Rs 2,649.61 crore during the week.
Figures from the National Securities Depository (NSDL) revealed that foreign portfolio investors (FPIs) divested equities worth Rs 1,028.83 crore, or $155.20 million, during April 23-27.
Sector-wise, on the benchmark indices, the top sectoral gainers for the week were banking, realty and pharmaceuticals, while the top losers for the week were infrastructure and oil and gas sectors, Deepak Jasani, Head, Retail Research, HDFC Securities told IANS.
Scrip-wise, Tata Consultancy Services (TCS) achieved a major landmark during the week as it become the first Indian listed techonology company to cross the $100-billion mark in terms of market capitalisation on Monday due to its robust quarterly earnings.
“It (TCS) also entered the list of top 100 global companies by market capitalisation,” Rahul Sharma said, adding that, “Reliance Industries was also seen heading towards the $100 billion market cap mark, as the stock rose over seven percent in the last five days.”
The top weekly Sensex gainers were: Yes Bank (up 12.97 per cent at Rs 348.45); Mahindra and Mahindra (up 7.61 per cent at Rs 861.45); Reliance Industries (up 7.19 per cent at Rs 994.75); Axis Bank (up 6.53 per cent at Rs 538.90); and Adani Ports (up 5.30 per cent at Rs 401.45).
The losers were: Wipro (down 7.71 per cent at Rs 275.35); Maruti Suzuki (down 2.87 per cent at Rs 8777.95); Tata Steel (down 2.75 per cent at Rs 589.65); Coal India (down 2.23 per cent at Rs 285.55); and NTPC (down 1.95 per cent at Rs 170.85).
(Rituraj Baruah can be contacted at rituraj.b@ians.in)
—IANS
by admin | May 25, 2021 | Economy, Markets, News
Mumbai : Weak global cues coupled with profit booking and caution ahead of the April derivatives expiry pulled the key Indian equity indices lower on Wednesday.
According to market observers, a weak rupee, along with recent surge in crude oil prices and heavy selling in banking, consumer durables and capital goods stocks weighed heavy on the key indices.
Index-wise, the wider Nifty50 on the National Stock Exchange closed at 10,570.55 points, down 43.80 points or 0.41 per cent from the previous close.
Similarly, the barometer 30-scrip Sensitive Index (Sensex) of the BSE closed in the red. It opened at 34,593.17 points, closed at 34,501.27 points, down 115.37 points or 0.33 per cent.
The Sensex touched a high of 34,631.27 points and a low of 34,400.56 points during the day. The BSE market breadth was bearish with 1,794 declines and 867 advances. Market breadth on the NSE too was bearish on Wednesday.
In the broader market segment, the S&P BSE mid-cap index closed lower by 0.52 per cent and the small-cap index by 0.72 per cent.
“Markets ended lower on Wednesday as selling was seen through the day. The recent rise in crude oil prices and cautiousness ahead of April derivatives expiry due on Thursday, 26 April, 2018 seemed to have affected investors,” Deepak Jasani, Head, Retail Research, HDFC Securities, told IANS.
Abhijeet Dey, Senior Fund Manager, Equities, BNP Paribas Mutual Fund said: “Recent firmness in crude prices, rising bond yields in the US and the expiry of derivatives contracts this week, all contributed to the volatility in the markets.”
“Asian stocks tumbled across the board while US stocks witnessed selling pressure after the 10-year US Treasury yield briefly touched the psychologically important three per cent level for the first time in four years,” he said.
Dhruv Desai, Director and Chief Operating Officer of Tradebulls said: “Markets traded lower as global markets were in negative territory and investors booked profits amid weakened global sentiment.”
Sector specific trade, saw IT stocks’ rise due to a weak rupee which fell by 53 paise to 66.91 against the US dollar on Wednesday from its previous close at 66.38.
In terms of investments, provisional data with the exchanges showed that FIIs sold scrip worth Rs 304.79 crore, while the domestic institutional investors purchased stocks worth Rs 435.98 crore.
Sector-wise, the S&P BSE IT index rose by 163.05 points, followed by Teck (technology, media and entertainment) index by 71.36 points and telecom stocks which inched up by 9.26 points.
On the other hand, the S&P BSE banking index declined by 301.59 points, cosumer durables index by 270.76 points and capital goods index by 231.99 points.
The major gainers on Sensex were: Bharti Airtel, up 3.37 per cent at Rs 419.80; Tata Consultancy Services (TCS), up 2.43 per cent at Rs 3,467.90; Mahindra & Mahindra (M&M), up 1.88 per cent at Rs 854.25; Infosys, up 0.61 per cent at Rs 1,160.90; and Power Grid, up 0.58 per cent at Rs 207.20 per share.
The top losers were: Tata Steel, down 2.01 per cent at Rs 586.20; ICICI Bank, down 1.86 per cent at Rs 278.90; ONGC, down 1.67 per cent at Rs 179.55; Tata Motors (DVR), down 1.65 per cent at Rs 185.15; and Dr. Reddy’s Lab, down 1.46 per cent at Rs 2,124.75 per share.
—IANS
by admin | May 25, 2021 | Economy, Markets, News
Mumbai : Key Indian equity indices on Tuesday closed with humble gains riding on broadly positive global markets, coupled with expectations of healthy quarterly corporate earnings and healthy buying in oil and gas, banking and capital goods stocks.
Index heavyweights like Reliance Industries (RIL), Yes Bank, Adani Ports, Mahindra and Mahindra (M&M), and ICICI Bank were the top gainers on the BSE.
However, heavy selling pressure in metals, IT and consumer durables stocks, along with outflow of foreign funds and higher crude oil prices, trimmed some gains of the benchmark indices, market observers said.
On closing basis, the wider Nifty50 of the National Stock Exchange (NSE) edged higher by 29.65 points or 0.28 per cent from the last closing to 10,614.35 points.
The barometer 30-scrip Sensitive index (Sensex) of the BSE closed at 34,616.64 points — up 165.87 points or 0.48 per cent from its previous session’s close.
In contrast, the BSE market breadth remained bearish with 1,497 declines and 1,180 advances.
The broader markets underperformed the benchmark index, with the S&P BSE mid-cap index closing lower by 0.02 per cent and the small-cap index by 0.13 per cent.
“Markets ended with moderate gains on Tuesday after (the Nifty50) finding support at the 10,569 levels,” Deepak Jasani, Head – Retail Research, HDFC Securities, told IANS.
“Major Asian markets have closed on a mixed note. European indices like FTSE 100 and DAX traded in the green,” added Jasani.
On the currency front, the Indian rupee strengthened by 10 paise at 66.38 against the US dollar from its previous close at 66.48.
Anand James, Chief Market Strategist, Geojit Financial Services, said: “Earnings positivity and buoyancy in the Asian and European peers led the market further higher, despite negative closing in the US towed by higher bond yields and fall in technology stocks.”
“Brent testing the $75 mark and FIIs (foreign institutional investors)’s continuous selling in the equities ensured that upsides were capped. All eyes would now be on whether the government will cut excise duty to provide relief to common man or stick to fiscal prudence,” he said.
In terms of investments, provisional data with the exchanges showed that FIIs sold scrip worth Rs 680.99 crore, while the domestic institutional investors purchased stocks worth Rs 508.55 crore.
Sector-wise, the S&P BSE oil and gas index rose by 215.36 points, followed by capital goods index by 123.98 points and banking stocks by 110.66 points.
On the other hand, the S&P BSE metal index declined by 265.55 points, IT index by 227.26 points and Teck (technology, media and entertainment) index by 104.52 points.
The major Sensex gainers on Tuesday were: RIL, up 3.70 per cent at Rs 969.75; Yes Bank, up 3.31 per cent at Rs 323.40; M&M, up 1.94 per cent at Rs 838.45; Adani Ports, up 1.74 per cent at Rs 391.95; and ICICI Bank, up 1.66 per cent at Rs 284.20.
The top losers were: Wipro, down 3.30 per cent at Rs 287.05; Infosys, down 2.49 per cent at Rs 1,153.90; Tata Steel, down 1.23 per cent at Rs 598.25; State Bank of India, down 0.87 per cent at Rs 240.60; and Tata Consultancy Services, down 0.87 per cent at Rs 3,385.65.
—IANS
by admin | May 25, 2021 | Economy, Markets, News
Mumbai : The Indian equity indices witnessed a volatile trade session on Monday and closed on a flat-to-positive note as healthy quarterly results drove investors’ sentiments.
According to market observers, healthy buying was witnessed in healthcare, IT and auto stocks.
However, global cues, profit booking and upcoming derivatives expiry arrested the upward movement of the key indices.
Index-wise, the wider Nifty50 of the National Stock Exchange (NSE) closed higher by 20.65 points or 0.20 per cent at 10,584.70 points.
The barometer 30-scrip Sensitive index (Sensex) of the BSE, which opened at 34,493.69 points, closed at 34,450.77 points — up 35.19 points or 0.10 per cent — from its previous session’s close.
The Sensex touched a high of 34,663.95 points and a low of 34,259.27 during the intra-day trade.
The BSE market breadth was tilted towards the bulls with 1,384 advances and 1,304 declines.
In the broader market segment, the S&P BSE mid-cap index closed higher by 0.49 per cent and the small-cap index inched up by 0.53 per cent.
“It has been a volatile day on the bourses as markets have not been able to hold on to gains, while bears have been unsuccessful in putting a lid on positive sentiment. Benchmark indices opened lower on negative global clues but recovered as the session progressed,” said Abhijeet Dey, Senior Fund Manager-Equities, BNP Paribas Mutual Fund.
“However, unable to hold onto larger gains, both the benchmarks — Sensex and the Nifty — finally closed the day near the flat line.”
HDFC Securities’ Retail Research Head Deepak Jasani said: “Markets ended with modest gains on Monday after a sell-off from the highs curbed the gains. Selling emerged from the highs of 10,638 points (on Nifty50).
“Trading was volatile ahead of derivative expiry this week,” Jasani told IANS.
On the currency front, the Indian rupee weakened by 35 paise on Monday to 66.48 against the US dollar from its previous close at 66.13.
In terms of investments, provisional data with the exchanges showed that foreign institutional investors sold scrip worth Rs 259.08 crore, while the domestic institutional investors purchased stocks worth Rs 387.26 crore.
Sector-wise, the S&P BSE healthcare index rose by 178.18 points, followed by IT which gained 89.92 points and auto stocks which edged up by 83.33 points.
On the other hand, the S&P BSE metal index fell by 133.04 points, FMCG index by 47.57 points and basic materials index by 7.92 points.
In another major market development, IT bellwether Tata Consultancy Services (TCS) on Monday emerged as the first Indian listed company to cross the $100-billion mark in terms of market capitalisation (m-cap).
On closing basis, however, the company’s m-cap stood at Rs 653,767.50 crore or $99.05 billion on the BSE. Share price of the company settled at Rs 3,415.20 each, up 0.26 per cent from the previous close.
The major Sensex gainers on Monday were IndusInd Bank, up 3.40 per cent at Rs 1,875.60; Mahindra and Mahindra, up 2.74 per cent at Rs 822.50; Sun Pharma, up 1.74 per cent at Rs 514.20; Asian Paints, up 1.68 per cent at Rs 1,178.60; and Yes Bank, up 1.49 per cent at Rs 313.05 per share.
The top losers on Sensex were HDFC Bank, down 1.42 per cent at Rs 1,933.05; Tata Motors (DVR), down 1.15 per cent at Rs 188.75; Coal India, down 0.98 per cent at Rs 289.20; Hindustan Unilever, down 0.97 per cent at Rs 1,451.25; and ICICI Bank, down 0.85 per cent at Rs 279.55 per share.
—IANS
