Sensex drops 274 pts, Nifty ends below 15,750; DRL sinks 10%, Axis Bank 3%

4:17 PM

MARKET STRATEGY :: Restrict leveraged positions and wait for clarity

Markets traded volatile for yet another session and lost nearly half a percent. The benchmark opened with an uptick but feeble global cues mainly from Asian counterparts combined with a decline in select index majors pushed the index lower as the day progressed. Consequently, the Nifty index ended lower by 0.5% to settle at 15,746 levels. Most sectors traded in tandem with the benchmark and traded southward wherein disappointing numbers led the pharma index to end with a sharp cut of over 4%. The broader markets too ended in the red where the midcap and smallcap index lost 0.7% and 0.1% respectively.

 

The tussle is still on over the next directional move in the index and there’s no clear indication yet. Excessive volatility due to prevailing earnings season and upcoming monthly expiry of derivatives contracts are further adding to the participants’ worries. We reiterate our view to restrict leveraged positions and wait for clarity.

Views by: Ajit Mishra, VP - Research, Religare Broking 

4:06 PM

MARKET VIEW :: Weak start to pharma earnings dragged stocks

Domestic market skewed in favour of the bears, failing to hold onto its early gains due to weak global cues and selling in pharma stocks. Bleeding pharma companies pulled down the market due to a weak start to sector earnings season. It created panic as the sector is priced with high expectations. Broadly, barring metals and consumer durables, all major sectors traded in negative territory. Following heavy selling in China and weakening Asian peers ahead of the crucial Fed Reserve policy meeting stated this week.

Views by: Vinod Nair, Head of Research at Geojit Financial Services.

4:01 PM

MARKET RECAP :: S Ranganathan, Head of Research at LKP Securities

Stocks gave up intra-day gains today as investors were nervous amid selling across Chinese markets by global funds coupled with the policies of the Chinese Authorities and the likely impact on Indian Markets.

While we did see profit booking across banks and the pharma pack on account of negative newsflow on few pharma names, certain pockets across the broader market like textile exporters &  coffee stocks posted smart gains on the back of rising coffee future.

3:57 PM

IPO Alert :: Glenmark Life Sciences' issue subscribed 2.5x so far on Day 1 backed by retail investors

3:53 PM

BSE Snapshot :: 488 scrips hit fresh 52-week high in a weak market

3:52 PM

Sector Watch :: UCO, Canara Bank end higher post Q1 results; index up 0.4%

3:51 PM

Sector Watch :: APL Apollo leads gains within the metal pack

>> The Board of APL Apolllo Tubes is due to meet on August 6 to conider bonus share issue

3:49 PM

Volatility Alert

India VIX, the index to measure volatility in the markets, settled over 6% higher at 13 levels

3:48 PM

IndiGo closes 2% lower ahead of Q1 results

3:47 PM

Inox Leisure pares gains partially after Co refutes reports of selling stake to Amazon IN

3:45 PM

Tata Motors ends mildly in the red post Q1 results

3:44 PM

Axis Bank falls over 3% as NIM hits 4-qtr low in Q1

3:43 PM

Dr Reddy's Labs plunges 10% on whistle blower complaint

3:41 PM

BSE SmallCap index fares better than peers, ends 0.1% down

3:40 PM

BSE MidCap index underperforms, slips 0.7%

3:39 PM

Sectoral trends on the NSE :: Metal, PSU Bank stocks hold gains amid broad-based selloff

3:38 PM

Sensex Heatmap at Close

Top gainers: Tata Steel, Bajaj Finserv, SBI

Top losers: Dr Reddy's Labs, Axis Bank, Sun Pharma

3:33 PM

CLOSING BELL

The BSE Sensex and the NSE's Nifty50 tanked 273.5 points and 78 points to end at 52,579 and 15,746 levels, respectively.

In the broader markets, mid-cap stocks faced a severe blow with the BSE MidCap index erasing 0.67 per cent. The BSE SmallCap index, on the other hand, was down 0.11 per cent.

 

3:29 PM

NEWS ALERT :: Dr Reddy's Labs commences investigation into a whistle blower complaint

The Company has commenced a detailed investigation into an anonymous complaint. The complaint alleges that healthcare professionals in Ukraine and potentially in other countries were provided with improper payments by or on behalf of the Company in violation of U.S. anti-corruption laws, specifically the U.S. Foreign Corrupt Practices Act.

A U.S. law firm is conducting the investigation at the instruction of a committee of the Company's Board of Directors. The investigation is ongoing. The Company has disclosed the matter to the U.S. Department of Justice, Securities and Exchange Commission and Securities Exchange Board of India, and on 6 July 2021 the Company received a subpoena ti-om the SEC for the production of documents pertaining to certain ClS geographies, and the Company is in the process of responding to the same.

While the matter may result in government enforcement actions against the Company in the United States and/or foreign jurisdictions, which could lead to civil and criminal sanctions under relevant laws, the probability of such action and the outcome are not reasonably ascertainable at this time.

Source: BSE filing

3:26 PM

Near term headwinds for JLR due to chip shortage to weigh on Tata Motors

What would weigh on the stock, which was down a per cent in trading on Tuesday, is the near term outlook for JLR. The company indicated a 50 per cent cut in production for the September quarter (Q2FY22) due to the shortage of semiconductors. The management has guided for a loss at the operating profit level (EBIT) and negative free cash flows or FCF (2 billion pounds) in the first half of FY22 due to production issues. READ MORE

3:14 PM

Nifty Pharma index slips 5%, records sharpest intra-day fall in 7 months

Alembic Pharma (Rs 805.50) and Dr Reddy’s Laboratories (Rs 4,790) have plunged 12 per cent and 11 per cent, respectively in intra-day deals. Sun Pharma Advanced Research (SPARC), Lupin, Glenmark Pharmaceuticals, Lincoln Pharmaceuticals, Wockhardt and Panacea Biotech were down between 5 per cent and 8 per cent. Aurobindo Pharma, Cipla and Divis Laboratories were down 4 per cent each. READ MORE

3:04 PM

Sebi's new skin-in-the-game framework for MFs likely to stretch AMCs

The Rs 33-trillion domestic mutual fund (MF) industry will be required to make thousands of crores of investments in its own schemes to meet the Securities and Exchange Board of India's (Sebi’s) new skin-in-the-game framework approved by its board last month. Sebi’s expert group had proposed an investment between 0.03 per cent and 0.25 per cent. READ MORE

2:46 PM

Corporate Action :: APL Apollo Tubes to consider issue of bonus shares

>> Co says: The meeting of the Board of Directors of the Company is scheduled on 06/08/2021, inter alia, to consider and approve Unaudited Financial Results (Standalone & Consolidated) of the Company for the quarter ended 30th June 2021; and a proposal for issue of bonus shares on the equity shares of the Company.

2:35 PM

Adani Ports raises $750 mn overseas via long-term bonds in two tranches

Adani Ports and Special Economic Zone Ltd (APSEZ) on Tuesday said it has raised $750 million overseas via unsecured bonds.

 

In an exchange filing, the Gautam Adani-led company informed that the coupon rates for the 20-year bonds and 10.5-year tranche were fixed at 5 per cent and 3.8 per cent respectively. READ MORE
 

2:23 PM

June Quarter Results :: Dixon Technologies

>> PAT: Rs 18 cro vs Rs 1.6 cr YoY

>> Revenue: Rs 1,867 cr vs Rd 517 cr YoY

>> Ebitda: Rs 47.9 cr vs Rs 16.9 cr YoY

>> Ebitda margin: 2.6% vs 3.3% YoY

2:15 PM

DLF's Q1 sales bookings jump nearly 7-fold to Rs 1,014 cr despite Covid-19

Realty major DLF Ltd's sales bookings jumped nearly 7-fold year-on-year to Rs 1,014 crore during the April-June quarter of this fiscal, on strong demand for its independent floors and luxury homes in Gurugram.

 

The company's sales booking stood at Rs 152 crore in the April-June quarter of the 2020-21 fiscal year because of the nationwide lockdown to control the COVID pandemic. READ MORE

2:02 PM

Asian stock markets decline to seven-month low amid China jitters

Asia's stocks fell to fresh seven-month troughs on Tuesday, led by a third straight session of heavy selling of Chinese internet giants, while bond and currency markets clung to tight ranges ahead of the Federal Reserve policy meeting. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.97% to its lowest level since December, having slid 2.45% the previous day. READ MORE

2:01 PM

IndiGo trades weaker ahead of Q1 result

1:47 PM

Sensex recovers from day's low

1:32 PM

Inox Leisure zooms 15% on Amazon India's stake buy buzz

Shares of Inox Leisure soared 15 per cent to Rs 347.50 on the BSE in the intra-day trade on Tuesday on reports that Amazon is potentially looking to buy stake in the Indian film and media business. The stock price of Inox Leisure hit its highest level since January 2021. At 12:56 pm, the stock was trading 6 per cent higher at Rs 320 on the back of an over 10-fold jump in trading volumes. READ MORE