Sensex climbs 639 pts, Nifty tops 15,800; IT, metal stocks outperform

Signs of a strong corporate earnings season lifted demand for risky equities

4:02 PM

MARKET VIEW :: Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services

Taking cues from firm global markets, domestic market witnessed robust momentum shrugging off concerns over the spread of Covid-19 and FII selling. Global markets continued to hold onto its gains owing to solid earnings reports and turned its focus on the ongoing European Central Bank’s policy announcement. A confirmation by Fed to continue its supportive policy in the upcoming meet despite rising inflationary pressure will be a key factor in maintaining the direction of the rally.

3:49 PM

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

The market witnessed some positive movements and an attempt to hold the support level around the Nifty 50 Index level of 15800. It is going to be crucial for the short-term market scenario to sustain above the 15800 Nifty50 Index level. Sustaining above 15800, the market expects to gain momentum, leading to an upside projection till 15900-15950 level. Technical indicators suggest, a volatile movement in the market in a small range. The traders to refrain from building a fresh buying position, until the market sees any further decisive movement.

 

3:49 PM

CLOSING MARKET COMMENTS :: Narendra Solanki, Head- Equity Research, Anand Rathi

Indian markets started on a positive note following upbeat Asian markets as investors await the latest monetary policy announcement from the European Central Bank. During the afternoon session markets traded at day’s high on the back broad based buying in frontline blue chip counters by fund and retail investors. The rally in domestic equities was also triggered by positive reaction to the latest batch of earnings reports from several big companies in US, which indicated that the world's biggest economy is on the path of recovery. Today's rally was led by Banks, financials, IT, Metals while FMCG and Auto remained flat to negative.

3:48 PM

Arvind Fashion surges 20% as firm to sell Unlimited retail biz to V-Mart

3:46 PM

IDFC jumps 11% as RBI allows firm to exit as promoter of IDFC First Bank

3:45 PM

Bharti Airtel rises over 4% on rolling out new postpaid plans

> For retail customers, the prices of Airtel postpaid plans start at Rs 399 per month and for corporate customers at Rs 299 per month.

 

3:43 PM

Earnings Impact :: HUL slips over 2%

> Hindustan Unilever (HUL) on Thursday posted a standalone net profit of Rs 2,061 crore for the quarter ended June 2021, implying growth of 9.56 per cent on a year-on-year (YoY) basis

3:40 PM

India VIX eases 9.99% to 11.88

>> VIX is an indicator of volatility

3:39 PM

Sector Watch | All sectors on NSE close in the green

3:37 PM

Sensex Heatmap | Top gainers & losers in today's trade

> Top gainers: Tech Mahindra, Bajaj Finance, Airtel

 

> Top losers: HUL, Asian Paints, Bajaj Auto

3:34 PM

CLOSING BELL: Sensex snaps 3-day losing run, jump 639 points

Benchmark indices Sensex and Nifty returned to green after a three-day gap, mainly helped by gains in Infosys, RIL, ICICI Bank and Bajaj Finance. The BSE Sensex closed at 52,837, up 639 points or 1.22 per cent. Its NSE counterpart Nifty50 settled at 15,824, up 192 points or 1.23 per cent.

2:38 PM

Telecom firms staring at possibility of excess backhaul spectrum fee

With the department of telecommunications (DoT) allocating telcos the crucial “backhaul” spectrum — for last mile connectivity between towers through microwave linkage — by an administered price mechanism, telecom operators could be staring at the possibility of once again paying retrospectively to the government. READ MORE

2:28 PM

Arvind Fashions to sell Unlimited retail biz to V-Mart Retail; stock up 16%

"Arvind Lifestyle Brands Limited (ALBL), a wholly-owned subsidiary of Arvind Fashions Limited (AFL), has signed definitive agreements for strategic sale of assets of its Unlimited retail business to V-Mart Retail Ltd. in an all cash transaction,” Arvind Fashions said in a media release. READ MORE

2:14 PM

NEWS ALERT :: Bharti Airtel announces new postpaid plans for corporate and retail users

>> The company has discontinued its Rs 749 Family Postpaid Plan for new customers and will now offer Rs 999 as the only Family Postpaid Plan with enhanced data benefits 

1:54 PM

HUL Q1 net profit rises 10% YoY to Rs 2,061 crore, revenue jumps 13%

The standalone revenue from sales of products during Q1 of financial year 2021-22 (FY22) rose 12.72 per cent YoY but declined 1.8 per cent quarter-on-quarter (QoQ) to Rs11,730 crore. The figure stood at Rs 10,406 crore in the same quarter last year and at Rs 11,947 crore in the preceding quarter.

 

Earnings before interest, tax, depreciation and amortisation (Ebitda) grew 8 per cent YoY to Rs 2,847 crore as against Rs 2,644 crore. Ebitda margin for the period declined by 110 bps YoY. READ MORE

1:40 PM

HUL Q1 result

>> PAT: Rs 2,061 crore, up 10% YoY

>> Revenue: Rs 11,915 cr, up 12.8% YoY

>> Ebitda: Rs 2,847 crore, up 7.7% YoY

>> Ebitda margin: 23.9%, down 110bps

1:16 PM

Airline losses to widen in Q1 over falling traffic, fuel price hike

Domestic airlines will report a muted performance in Q1FY22 on the back of rising fuel costs and fall in traffic due to the second wave of the Coronavirus (Covid-19) pandemic, industry analysts said. While losses are expected to widen on a sequential basis, these would be lower on a year-on-year basis as air travel was suspended for two months till May 24, 2020. InterGlobe Aviation, which operates IndiGo, will declare its result on July 27. SpiceJet is yet to announce its result date. READ MORE

12:57 PM

ICICI Pru soars 9%, hits new high on strong performance in June quarter

Shares of ICICI Prudential Life Insurance (ICICI Pru) hit a new high of Rs 660.95 as they rallied 9 per cent on the BSE in intra-day trade on Thursday after reporting strong earnings for the quarter ended June 2021 (Q1FY22). The APE (annualised premium equivalent) grew ahead of estimates at 7 per cent and the company delivered a significant beat on VNB (value of the new business) margins (+637 bps), driven by a higher share of protection and annuity. READ MORE

12:45 PM

Bajaj Auto's net profit doubles in Q1 to Rs 1,061 cr; forays into EV space

Separately, the company announced formation of a wholly-owned subsidiary to venture into electric mobility segment.

 

"We would like to inform that the Board of Directors at its meeting held today, has approved the incorporation of a wholly owned subsidiary of the company. The wholly owned subsidiary will leverage the growth opportunities in the evolving mobility space and will help the Company venture into the manufacturing of Electric and Hybrid vehicles in the 2 wheeler, 3 wheeler and light 4 wheeler categories,' it said in a statement. READ MORE

12:35 PM

Mid-market view

We witnessed a swift recovery in the market from the lower levels and an attempt to sustain above the Nifty 50 Index level of 15800. While sustaining above 15800 is the key factor from a short-term perspective, we expect the market to extend the rally till 15920-15950.

-- Gaurav Garg, Head of  Research, CapitalVia Global Research

12:30 PM

Tech View: How to trade paint stocks amid drop in crude oil prices?

Off late, Brent Crude prices are on a downhill. They have crashed 15 per cent from the peak of $77.80 a barrel level and are currently trading around $72 a barrel after recovering from the low of $67.42 hit earlier in the week. This drop in crude prices has a positive impact on paint stocks. No wonder, the stocks of Asian Paints, Berger Paints and Pidilite Industries have scaled news highs in trade today. READ MORE

 

12:02 PM

Jindal Stainless signs MoU with Tata Steel Mining; stock advances 10%

JSL is the largest manufacturer of stainless steel in India with a capacity of 1.1 MTPA. The plant comprises ferro-alloy facilities with world-class technology and equipment. The manufacturing complex, equipped with a captive power generation facility, is eventually scalable up to 3.2 MTPA of stainless steel production. READ MORE

11:39 AM

Gland Pharma rallies 8% on strong revenue growth in June quarter

Gland Pharma said the growth in revenue was contributed from a mix of launch of new products and volume growth in existing products. The key markets -- US, Canada, Europe and Australia -- registered a growth of 16 per cent and accounted for 61 per cent of its revenue during Q1FY22. This performance is driven by the growth of key products like Micafungin, Enoxaparin, Heparin, Dexmedetomidine and new product launches. READ MORE

11:33 AM

NEWS ALERT

11:25 AM

HUL Q1 preview: Brokerages eye 7-15% YoY PAT growth; margin impact in focus

Axis Securities

 

The reported revenues will rise 12 per cent on a lower base and 8 per cent/4 per cent volume/price-led growth aided by improved traction in OOH and personal care segments led by lockdown easing, the brokerage said adding that GSK-Consumer Healthcare (CH) too would see healthy contribution in Q1.

 

It pegs June quarter revenue at Rs 11,850 crore as against Rs 10,560 crore posted in the same quarter last fiscal. Quarter-on-quarter (QoQ), the brokerage sees revenue declining by 2.3 per cent from Rs 12,132 crore posted in the March quarter. READ MORE

 

11:15 AM

Q&A | Discount broking industry is getting overcrowded: Prakarsh Gagdani, 5paisa

Retail investors have been a dominant force in the market, as evidenced by the growing number of demat accounts over the past few months. Prakarsh Gagdani, chief executive officer, 5paisa.com – one of the first and the largest discount broking firms in the country – tells in an interview that this is the first time that the retail participation has been pushed to 65-70 per cent of the exchange turnover, helped by a sustained 15-month rally in stocks and flurry of good quality IPOs. READ MORE

11:00 AM

WATCH :: Missed out IPO allotment? Here's what happens when issue is oversubscribed

A number of big-ticket issues such as Zomato, Sona BLW and Clean Science have already hit the primary market so far in 2021. If you applied for these IPO, there are chances that you may have missed out on the allotment. Here's why

10:46 AM

IDFC soars 19% as RBI allows company to exit as promoter of IDFC First Bank

Shares of IDFC soared 19 per cent to its 52-week high of Rs 62.60 on the BSE in intra-day trade on Thursday after the company said the Reserve Bank of India (RBI) has allowed it to exit as the promoter of IDFC First Bank as the five-year lock-in period expires. The stock of the non-banking finance company surpassed its previous high of Rs 60.25 touched on May 25, 2021.

 

IDFC currently owns a 100 per cent stake in IDFC Financial Holding Company, which, in turn, holds 100 per cent in IDFC Asset Management and 36.6 per cent in IDFC First Bank. READ MORE

10:29 AM

IOC, GAIL may buy shares if open offer for Petronet, IGL gets triggered

State-owned IOC, GAIL and ONGC may buy shares of Petronet LNG and Indraprastha Gas in the eventuality of an open offer getting triggered post privatisation of Bharat Petroleum Corporation Ltd (BPCL), sources said.

 

BPCL holds 12.5 per cent of the shareholding in India's largest liquefied natural gas importer, Petronet, and a 22.5 per cent stake in city gas retailer, IGL. It is a promoter of both the listed companies and holds board positions. READ MORE

10:23 AM

Jubilant FoodWorks surges 9%, hits record high on strong growth outlook

Its revenue from operations in the first quarter stood at Rs 893.19 crore as compared to Rs 388.41 crore in the corresponding period last year when operations were also disrupted by the outbreak of the pandemic. “This was driven by Domino’s Like-for-like (LFL) sales growth of 120.4 per cent and Same-Store Growth (SSG) of 114.2 per cent. The growth in Delivery channel, which grew by 123.7 per cent, mitigated the impact on account of Dine-in channel being shut for a long time and mobility restrictions impacting the takeaway channel,” the management said. With vaccinations well underway, we believe that the worst is behind us and we are confident of delivering strong, sustained growth in the periods ahead, the management said. READ MORE