Bank shares firm up in a lacklustre market

Caution prevails ahead of the key macrodata including GDP, IIP and CPI data due to be unveiled later during the week

Markets continue to remain cautious as investors closely monitor the last batch of corporate earnings to be slated this week. Meanwhile, caution prevails ahead of the key macrodata including GDP, IIP and consumer inflation due to be unveiled later during the week.

At 10:30 am, the Sensex is flat at  24,617 and the Nifty has shed 1 point to trade at 7,488. 

Meanwhile, banks are gaining across the board on improving credit demand after the government set a minimum import price for steel products to check dumping from countries such as China and South Korea. ICICI Bank, Axis Bank and SBI have gained between 0.4%-3%

However, losses in the technology stocks mirroring a sharp plunge in the technology pack on the Nasdaq have capped the upside. TCS, Infosys and Wipro have shed between 0.2%-1%.
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(updated at 9:30 am)

Markets have started the session on a flat note as investors closely monitor the last batch of corporate earnings to be slated this week. Meanwhile, caution prevails ahead of the key macrodata including GDP, IIP and consumer inflation due to be unveiled later during the week.

At 9:30 am, the Sensex has gained 19 points to trade at 24,636 and the Nifty is up 19 points to trade at 7,492. In the broader market, BSE Midcap and Smallcap indices are outperforming the largecaps and have gained between 0.3%-0.5%.

Among major earnings this week are from Dr Reddy's Lab, Hindalco, Punjab National Bank, GAIL, Cipla, Coal India, State Bank of India, ONGC, Hero MotoCorp, Tata Motors, BHEL, Sun Pharma, and Adani Ports and Special Economic Zone.

GLOBAL MARKET

US markets plunged on Friday amid a sharp decline in technology shares and as mixed US employment data rekindling concerns that the Federal Reserve may hike interest rates this year. The Dow Jones Industrial Average fell 1.3% while the NASDAQ Composite index cracked 3.25%.

Meanwhile in Asia, Singapore, Hong Kong and mainland China benchmark indices are shut on account of Lunar New Year holiday. Japan’s Nikkei is trading 0.6% lower taking cues from the Wall Street. 

KEY STOCKS & RESULT IMPACT

The steel sector has gained after the government set a minimum import price for steel products to check dumping from countries such as China and South Korea. Shares of steel companies such as Tata Steel, JSW Steel, Steel Authority of India (SAIL) have gained between 2%-3.5%.

Jet Airways has soared over 7% on robust quarter earnings. The quarterly standalone net profit soared more than seven times helped by a fall in fuel expenses and higher lease income from planes.

Tata Power slipped over 1% after the consolidated net plunged a whopping 88% to Rs 24 crore in the three months to December due to an exceptional loss of Rs 187 crore arising from falling global coal prices. 

Tata Motors has shed 1% after it declared a lockout at its bus manufacturing plant in Karnataka's Dharwad, following a continued strike by workers. Meanwhile, the company is due to slte its numbers later this week.

The technology stocks are declining across the board amid a shap fall in the technology stocks on Nasdaq. TCS, Infosys and Wipro have slipped between 0.4%-1%.

Financials are gaining across the exchanged on improving credit demand after the government set a minimum import price for steel products to check dumping from countries such as China and South Korea. ICICI Bank, Axis Bank and SBI have gained between 0.4%-2%.

Dr Reddy’s Lab and Cipla are trading with marginal gains ahead of the Q3 numbers due to be released later this week.

PTC India has jumped 4% after it reported a nearly seven-fold jump in its net profit at Rs 45 crore for the quarter ended December 31, helped by rise in trading volumes. 

Cox & Kings is trading with marginal gains after its net profit reduced to Rs 26 crore in the December quarter from Rs 31 crore in the previous year.