Sensex skids 531 pts; RIL, IndusInd Bank dip 5%, pharma stocks outperform

India VIX ticked up 4 per cent

4:43 PM

MARKET CLOSING COMMENT :: Shrikant Chouhan, Executive VP, Equity Technical Research at Kotak Securities

Today, the market has formed “the three black crows candlestick pattern”. Consisting of three consecutive bearish candles at the end of a bullish trend, the three black crows signals a shift of control from the bulls to the bears. The Nifty/Sensex is also diverging negatively on a daily chart and that would trigger further weakness. In brief, the Nifty 50 index is heading for 14100/13900 levels, (BSE Sensex 48100/47500), if it breaks 14200 (BSE Sensex 48400) decisively. On the higher side 14350/49000 and 14500/49400 would be crucial levels to surpass and sustain. As the market is falling vertically, we are of the view that ahead of the budget we should look for adding strong stocks and selective stocks to our positional portfolio between 14100/13900 (48100/47500) levels.

4:37 PM

MARKET CLOSING COMMENT :: Keshav Lahoti, associate equity analyst at Angel Broking

Nifty started on a positive note after suffering steep losses in the previous two trading sessions but could not sustain it and closed down by 1%.  Except pharma, all the other sectors closed flat or in red. YES Bank closed down by 3.8% after the private sector lender has posted a net profit of Rs 151 crore in the third quarter ended December 2020 and said it will not be raising capital via equity soon. Heavyweight Reliance Industries tumbled by 5.3% on reporting a 13 per cent rise in quarterly net profit.  UltraTech Cement also closed down by 3% even after its quarterly results beat on all the fronts. Now all eyes would be on budget. This week the market will react on the basis of expectation of the budget.

4:24 PM

MARKET CLOSING COMMENT :: Ajit Mishra, VP - Research, Religare Broking

Markets traded volatile and lost nearly a percent, in continuation to the prevailing corrective phase. The benchmark opened on a firm note following positive global cues however it pared all its gains no time and hovered range-bound thereafter. Dometic cues viz. decline in index major, Reliance, post the results and news of fresh feud between India-China at Sikkim border dented the sentiment. Finally, the Nifty index ended lower by 0.9% at 14,238.9 levels. On the sector front, except healthcare and metals, all the other indices ended with losses wherein Oil & Gas, IT and Auto were the top losers. The broader indices were trading under pressure from the beginning and lost in the range of 1.2% each.

 

It’s a holiday-shortened week and we expect volatility to remain high ahead also due to the scheduled expiry of January month derivatives contracts. Besides, we’re seeing participants speculating on the probable announcements in the Union Budget, which is further adding to the volatility. Amid all, we reiterate our view that a decisive close below 14,200 in Nifty would derail the present momentum so participants should align their positions accordingly.

4:20 PM

MARKET CLOSING COMMENT :: Deepak Jasani, Head of Research, HDFC Securities

Indian benchmark equity indices fell for the third straight session on January 25. The Nifty fell post 1315 Hrs as European markets gave up their initial gains.  At close, the Nifty was down 133 points or 0.93% at 14,238.90.

 

Volumes on the NSE were lower than the previous session but in line with recent average. Among sectors, Pharma was the main gainer while IT, Realty and Auto were the main losers. Reliance Industries fell 5.6% - its biggest single-day fall seen in the stock in nearly three months.

 

Nifty has fallen for the third consecutive session. This has happened after about 4 months. Poor advance decline ratio hints at broader profit taking. Pre Budget nervousness has resulted in some unloading. Locking up of large sums in the recent IPOs have also led to this sell-off. 14123-14148 is the next support band for the Nifty.

4:11 PM

MARKET CLOSING COMMENT :: Sumeet Bagadia, Executive Director, Choice Broking.

Fundamental

 

Indian equity markets opened higher this week on account of positive sentiments across Asia, however markets turned volatile bouncing between gains and losses until profit booking in the afternoon session pulled the benchmarks down. The Nifty index ends today’s session around 0.93% down. Pharma, Metal and Bank sectors were the top gainers, while IT, Auto and Realty sectors were the top laggards. Broader markets saw losses too with the Midcap index moving in line with the benchmarks and the Smallcap was around 1.2% down. For stock specific performance, Grasim Industries, UPL and Cipla were the top gainers in the index today, while Reliance Industries, IndusInd Bank and HCL Technologies were the top losers. Going ahead investors will pay attention to the earnings of key companies like L&T to be announced later today.

 

Technical

 

Nifty closed at 14238 level with the loss of 120 points on back of few large cap stocks which tumbled over 2% average loss during the trading session. On the other hand, the Bank Nifty index closed at 31198 level with the gain of 31 points. Technically, the benchmark index has been trading in its Upward Rising Channel Formation since the last many days which is a continuation formation and indicates an upside movement. Moreover, it has been trading above its 21 days moving average which shows a positive trend for the time being. At present, Nifty has strong support of 14200 level which is a lower band of the formation as well as recent bottom also placed at 14200 level while upside resistance comes at 14500.

 

 

4:02 PM

TECH VIEW :: Rohit Singre, senior technical analyst at LKP Securities

One more volatile session ended on a negative note as nifty closed a day at 14239 with loss of nearly one per cent and formed three black crows candle pattern which is bearish in nature. The index has breached all good support which hints if index managed to sustain below today’s low then index may hit 14k mark soon which is strong support on the downside, on the higher side now index has good resistance near 14350-14440 zone again that would be profit booking levels for longs

3:51 PM

TECH VIEW :: Ashis Biswas, Head of Technical Research, CapitalVia Global Research

The market witnessed yet another day where bears were able to take the charge completely despite the positive opening. Market might continue to witness the correction this week. 14170-14200 will be an important support zone, a decisive break-down below this level could lead to the next support zone of 13970-14000. the momentum indicators like RSI, MACD indicating the corrections might continue.

3:50 PM

MARKET CLOSING COMMENT :: Vinod Nair, Head of Research at Geojit Financial Services

Indian markets witnessed a highly volatile trade and closed in red due to weak global market and reports of Indo-China border tension. The downside was equally contributed by all the sectors except pharma which traded in the green. Policy decisions of the US Fed meeting which will commence tomorrow will drive the global market in the coming days. We have seen Indian markets being highly volatile these days and this trend is expected to continue this week as we inch closer to the Union Budget

 

3:49 PM

Market stats :: Advance-decline ratio, at 1:4, tilts towards bears

3:45 PM

SECTOR OF THE DAY :: Pharma index ends firm in a weak market

3:43 PM

Sensex contributors :: RIL, Infosys, HDFC top drags

3:41 PM

Grasim ends nearly 6% higher on foray into paint business

3:40 PM

STOCK OF THE DAY :: Reliance Industries tank over 5% on profit booking

3:39 PM

Sectoral trends on NSE :: IT stocks take a back seat, pharma counters shine

3:37 PM

Sensex Heatmap at Close :: Axis Bank ends 2% higher ahead of results on Wednesday, RIL slides 5%

3:35 PM

CLOSING BELL

The benchmark S&P BSE Sensex settled the session at 48,347.6 levels, down 531 points or 1.09 per cent, dragged by Reliance Industries (down 5.6 per cent), IndusInd Bank (down 5.5 per cent), HCL Tech (down 3.86 per cent), and HDFC (down 1 per cent).

 

The Nifty50, meanwhile, gave up the 14,250-mark and closed at 14,239 levels, down 133 points or 0.93 per cent.

 

3:24 PM

Hero MotoCorp, TVS Motor hit 52-week highs; Bajaj Auto scales fresh peak

Among individual stocks, TVS Motor Company rallied 5 per cent to Rs 548 in the intra-day trade, gaining 8 per cent in the past two trading days. The company is scheduled to announce its October-December quarter (Q3FY21) results on Thursday, January 28, and may declare interim dividend, if any for the financial year 2020-21 (FY21). READ MORE

3:15 PM

Sensex Heatmap at this hour

2:53 PM

Nifty IT witnesses profit-taking, drops nearly 1%

2:51 PM

India's corporate bond sales set to slow significantly after record year

Issuance will fall by 17 per cent to about 7.55 trillion rupees ($103.5 billion) this year, according to the median estimate of six of the nation’s top debt arrangers. Companies have less need to build up cash buffers and the potential for higher funding costs were cited by bankers as reasons for the expected drop. READ MORE

2:50 PM

Fall from intra-day high in BSE500 stocks in today's session

COMPANY	DAY'S HIGH(RS)	DAY'S LOW(RS)	LATEST(RS)	FALL(%)
Apollo Tyres	239.60	210.65	211.85	-11.58
Cyient	638.00	556.95	573.25	-10.15
Vodafone Idea	12.84	11.55	11.69	-8.96
Future Retail	89.50	81.05	81.50	-8.94

2:42 PM

India VIX jumps over 3%, tops 23-mark

-- VIX is a measure of volatility

2:32 PM

ALERT :: Sensex extends fall

2:30 PM

L&T scales fresh 52-week high ahead of December quarter results

Shares of Larsen & Toubro (L&T) rose 2.4 per cent and hit a fresh 52-week high of Rs 1,396 on the BSE on Monday in intra-day trade ahead of its December 2020 quarter (Q3FY21) results later in the day. The stock of the engineering & construction (E&C) major was trading at its highest level since November 2019. READ MORE

2:30 PM

L&T scales fresh 52-week high ahead of December quarter results

Shares of Larsen & Toubro (L&T) rose 2.4 per cent and hit a fresh 52-week high of Rs 1,396 on the BSE on Monday in intra-day trade ahead of its December 2020 quarter (Q3FY21) results later in the day. The stock of the engineering & construction (E&C) major was trading at its highest level since November 2019. In the past three months, L&T has outperformed the market by surging nearly 50 per cent, on the back of strong orders flow, as compared to 20 per cent rally recorded by the S&P BSE Sensex. READ MORE

2:21 PM

FDI in India rose by 13% in 2020 as inflows declined in major economies: UN

An 'investment trends monitor' issued by the United Nations Conference on Trade and Development (UNCTAD) on Sunday said that global foreign direct investment (FDI) collapsed in 2020 by 42 per cent to an estimated USD 859 billion from USD 1.5 trillion in 2019.

 

Such a low level was last seen in the 1990s and is more than 30 per cent below the investment trough that followed the 2008-2009 global financial crisis. READ MORE

2:11 PM

MARKET UPDATE:: Sensex at day's low

2:02 PM

Apollo Hospitals gains 4%, hits new high on successful fund raising via QIP

Shares of Apollo Hospitals Enterprises jumped 4 per cent in intra-day trade on Monday to hit a new high of Rs 2,688, in an otherwise subdued market, after the company said it has raised Rs 1,170 crore via qualified institutional placement (QIP) issue. The stock surpassed its previous high of Rs 2,683 touched on January 21. In the past three months, the stock has outperformed the market by surging 30 per cent as compared to a 20 per cent rise in the S&P BSE Sensex. READ MORE

1:56 PM

Sector Watch :: BSE Healthcare biggest sectoral gainer, rises over 1.5%

1:48 PM

PSBs' Q3 nos to be a mixed bag; loan growth, NPAs to be tracked: Analysts

Those at Emkay Global, on the other hand, say that the Supreme Court's stay on NPA tagging remains an irritant in Q3, and may lead to optically elevated proforma slippages due to the spill-over from Q2FY21. That said, overall NPA formation, as well as restructuring proposals, are meaningfully lower than expected though one needs to be watchful of the tail-end risk, it added. READ MORE