Sensex adds 134 pts; Mindtree jumps 8%, Wipro adds 7%, realty stocks slip

In the primary market, the Rs 9,300-crore initial public offer (IPO) of Zomato was subscribed 57 per cent till 3:30 PM on the first day of the issue

4:19 PM

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

The Indian markets opened on a flat note following subdued global cues. The IT index led the charge for the benchmark indices as it ended with gains of more than 2%. Further, recovery in the banking stocks in the second half led the Nifty to end higher by 0.3% at 15,854 levels. The broader markets too ended with decent gains of 0.2% each.

 

The markets would first react to Infosys numbers in early trade on Thursday. Apart from that, weekly derivatives expiry tomorrow would add to the volatility. Market participants would also keep a close watch on results from other IT majors like Wipro, L&T Tech and Tata Elxsi.

4:09 PM

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

The market witnessed some strong trends after breaching the level of 15800. While sustaining above 15800 is the key factor from a short-term perspective, maintaining above this level is important for the market to gain momentum and extend the rally to till15900-15950. the market observed the momentum indicators like RSI and MACD to stay positive and market breadth to improve, further strengthening the short-term bullish outlook.

3:48 PM

Vinod Nair, Head of Research at Geojit Financial Services on market action

Despite negative global signals, domestic indices trimmed its early losses and soared high supported by robust Q1FY22 result expectations on IT sector and favourable economic outcomes. WPI inflation eased to 12.07% for June against 12.94% in May owing to softening crude oil and food prices. Key economic data reported across major western markets shown spiked inflation, forcing global markets to stay sidelined. US inflation levels for June witnessed its highest jump since August 2008 to 5.4% while British inflation rose to 2.5%, both above the central bank inflation target.

3:47 PM

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

Dalal Street Bulls looked spirited today on the back of positive global cues as US markets shrugged off early losses and 13-year high inflation data ahead of second-quarter earnings. Technology-led the rally today as some of the big IT companies prepare to roll out earnings starting today. Even as we saw profit booking in Afternoon Trade, the broader markets remained fairly vibrant as savvy investors were seen shopping across a host of B2C businesses.

3:45 PM

Steel Strips Wheel gains for 2nd day, surges 13%

3:44 PM

Tata Metaliks climbs 3% post June quarter results

3:42 PM

Infosys ends higher ahead of Q1 results

3:41 PM

Wipro rallies 7%; firm to post Q1 numbers on Thursday

>> Information technology (IT) major Wipro's net profit could jump 14-19 per cent year-on-year (YoY) during the quarter ended June 2021 (Q1FY22) on 17-19 per cent growth in topline. The revenue growth would be led by organic growth in the IT services business and the acquisition of Capco, analysts said. 

3:40 PM

Advance-decline ratio marginally in favour of gainers

3:38 PM

BSE Smallcap index rises 0.26%

> The index had hit an all-time high of 26328.24 in early trade today

3:37 PM

BSE Midcap index gains 0.21%

> Here are the top gainers & losers from the index

3:35 PM

Sector Watch :: Nifty IT vaults 3%; Realty drops most

3:34 PM

Sensex heatmap at close

Top gainers: TechM, Infosys, L&T

Top losers: Maruti, HUL, Nestle

3:33 PM

CLOSING BELL

Sensex extends gains for second day in a row, gains 134.32 points or 0.25% to settle at 52,904.05. Nifty50, meanwhile, ended the day at 15,853.95, up 41.60 points or 0.26% 

 

3:25 PM

Ujjivan, Equitas promoter holdings to fall to zero post mergers with SFBs

Predictably, the share prices of Ujjivan Financial Services, and Equitas Holdings jumped 20 per cent each after the two entities received the nod to reverse merge with their small finance bank entities. When the central bank issued guidelines on SFBs, it had said the holding company structure could be allowed to merge back with the bank after five years, subject to regulatory approvals. READ MORE

3:12 PM

NEWS ALERT

- Cabinet extends rebate on exports of apparel, garments & made-ups applicable till March 2024

 

- Rebate will be the same as notified by the govt in March 2019

3:07 PM

BSE IPO index hits new high; Gland Pharma, MTAR zoom over 40% in a month

In the past one month, the BSE IPO index has outperformed the market by surging 14 per cent. In comparison, the benchmark S&P BSE Sensex and S&P BSE MidCap indices were up 0.7 per cent each while the S&P BSE SmallCap index gained 4.8 per cent during the period. READ MORE

2:56 PM

Maruti Suzuki plans Rs 18,000 cr investment for new Haryana plant: Report

The proposed unit may be spread over 700-1,000 acres and would replace the company’s first factory in Gurugram. The coronavirus pandemic had delayed plans for the new factory.

 

“We have a plan to invest Rs 17,000-18,000 crore. The total capacity that we are planning is between 7.5 lakh and 10 lakh cars per annum. This is the scale that we are looking at,” Bhargava said, adding the company “would like to shift quickly” to the new location. READ MORE
 

2:44 PM

Wipro Q1 preview: PAT may jump 14-19% YoY; eyes on EBIT margin, guidance

"Deal announcements have been soft and outlook from here in terms of pipeline and investments in setting up large deal team will be key. We expect Wipro to guide for revenue growth of 1-3 per cent QoQ on an organic basis and 4.5-6.5 per cent QoQ including incremental contribution from Capco and contribution from the Ampion acquisition," said Rishit Parikh, an analyst at Nomura. READ MORE

2:31 PM

Tweet Buzz :: India has outperformed other EMs over the past 12 yrs, says Nilesh Shah

2:21 PM

IPO UPDATE :: Zomato IPO nears halfway mark, subscribed 45%

2:15 PM

BUZZING :: IT stocks rally; index rallies nearly 3%

2:04 PM

Analysts prefer auto ancillary stocks over OEMs as states push EV policies

Going forward, as more and more states warm up to the idea of promoting EVs and related infra, coupled with a preference for personal mobility, the transition from incumbent ICE (internal combustion engine) vehicles to EVs will hasten, believe analysts. This, they say, will keep investor interest alive in the related stocks at the bourses. However, investors will have to be patient as EVs is a relatively new concept in India and the benefits will take time to flow in to company’s top and bottomlines. READ MORE

1:41 PM

Larsen & Toubro up for third straight day; stock nears record high

L&T has remained largely range bound in the last couple of weeks. In the past one month, the stock has gained 1.6 per cent, as against a 0.60 per cent rise in the S&P BSE Sensex. From October 2020 to February 2021, the stock witnessed an impressive up move towards Rs 1600. Since then, it has remained largely range bound with time and price based correction. READ MORE

1:26 PM

Maha govt's new EV policy can spark up to 25% upside in these stocks

This development may foster price action in related stocks which have seen a mixed-bag performance in the current year.

 

Shares of Amara Raja Batteries have dropped 20 per cent on a year-to-date (YTD) basis while those of Exide Industries have also put up a muted show. On the flip side, shares of Motherson Sumi, Jay Bharat Maruti and Bharat Gears have surged over 50 per cent and continue to witness positive demand from market players. READ MORE

1:04 PM

Infosys Q1 preview: PAT likely to grow 27-30% YoY; may up FY22 guidance

Analysts expect strong deal momentum, seasonality factor and traction in cloud to drive Infosys' performance in the June 2021 quarter of financial year 2021-22 (Q1FY22). They peg bottomline growth at 27-30 per cent and topline (in rupee terms) at 16-17 per cent, yearly. Unlike for other information technology (IT) firms, analysts see margin expansion for Infosys during the quarter under review due to absence of wage hikes and healthy improvement in revenues. Furthermore, large deal TCV is likely to be robust. READ MORE

12:46 PM

Zomato Ltd - Day 1 IPO Subscription Nos

Zomato Ltd IPO Retail portion has been subscribed 1.46 times

 

QIB 0x, NII 0.04x, and Employee 0.04.

Overall subscription as per data on BSE and NSE at 12:30pm is 0.27 times.

12:28 PM

MARKET VIEW

After a sluggish start, the market was able to breach the major resistance zone of 15800-15820. 15800 will be an important level for the market to remain in the positive zone. Technical factors are aligned to support the positive movement in the market.

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

12:22 PM

Sector Watch :: Nifty bank turns positive as WPI inflation eases in June

12:21 PM

Midcap IT shares in demand; Happiest Minds, MphasiS rally over 5%

Shares of midcap information technology (IT) companies were in demand on Wednesday and rallied upto 9 per cent on the BSE in intra-day trade, after Mindtree reported a healthy set of numbers for the quarter ended June 2021 (Q1FY22). Meanwhile, Infosys is scheduled to announce its Q1 results later in the day, while the board of Wipro will meet on Thursday to consider June quarter earnings, as per stock exchange information. READ MORE