Market drifts lower in volatile early trade

Key benchmark indices are trading lower in early trade amid initial volatility as trading resumed after a local holiday. At 9:25 IST, the barometer index, the S&P BSE Sensex, was down 148.82 points or 0.31% at 48,541.98. The Nifty 50 index was down 29.25 points or 0.2% at 14,667.25.

The S&P BSE Mid-Cap index was down 0.31%. The S&P BSE Small-Cap index was down 0.26%.

The market breadth, indicating the overall health of the market, is positive. On the BSE, 1284 shares rose and 934 shares fell. A total of 126 shares were unchanged.

On the macro front, India's retail inflation as measured by the Consumer Price Index (CPI) slowed to 4.29 percent in the month of April from 5.52 percent in March, mainly due to easing food prices, government data showed on Wednesday.

While industrial output as measured by the Index of Industrial Production (IIP) grew 22.4 percent in the month of March 2021 as compared to 16.7 percent in the year-ago period.

Stocks in news:

Infosys fell 0.79%. Infosys has collaborated with RXR Realty to build and deploy a comprehensive, award-winning smart building health and wellness solution running on Microsoft Azure.

Tata Consultancy Services (TCS) lost 1.33%. TCS has launched a cloud-based Intelligent Subscription solution leveraging SAP Business Technology Platform, to help the media and publishing industry transform customer experience and shift to subscription-based order-to-cash processes for physical and digital content.

Vedanta declined 1.38%. On a consolidated basis, Vedanta reported a net profit to Rs 7,013 crore in Q4 FY21 compared with a net loss of Rs 1,914 crore in Q4 FY20. Net sales increased by 43% year-on-year (YoY) to Rs 27,874 crore during the quarter, primarily due to higher volume at Aluminium business, Zinc India, Iron ore business, higher power sales at TSPL and improved commodity prices.

EBITDA in Q4 FY21 was at Rs 9,107 crore, up by 88% from Rs 4,844 crore in Q4 FY20. EBITDA margin was at 38% as on 31 March 2021 as against 28% as on 31 March 2020.

Lupin fell 1.06%. The company's consolidated net profit jumped 18.7% to Rs 464.37 crore on 0.8% fall in net sales to Rs 3,759.27 crore in Q4 March 2021 over Q4 March 2020.

Profit before tax rose 4.4% to Rs 518.38 crore in Q4 March 2021 from Rs 496.36 crore in Q4 March 2020. EBITDA (before forex & other income) soared 35.1% to Rs 707.50 crore in Q4 March 2021 as against Rs 523.70 crore in Q4 March 2020. EBITDA margin improved to 18.8% in Q4 FY21 compared with 13.8% in Q4 FY20.

Tata Power Company lost 2.3%. On a consolidated basis, Tata Power Company reported 1% rise in net profit to Rs 481 crore in Q4 FY21 from Rs 475 crore, due to saving in finance cost offset by exceptional gain in previous year. Revenue in Q4 FY21 stood at Rs 10,255 crore, up by 49% from Rs 6,881 crore in the corresponding quarter last year mainly due to Odisha DISCOMs acquisition and higher execution of solar EPC Projects.

Pidilite Industries dropped 2.54%. The company posted a 96.4% jump in consolidated net profit to Rs 307.44 crore on 44.7% jump in net sales to Rs 2235.52 crore in Q4 FY21 over Q4 FY20.

Jindal Steel & Power (JSPL) lost 4.35%. On a consolidated basis, Jindal Steel & Power (JSPL)'s net profit surged 600% to Rs 2,139.28 crore on 74.8% jump in net sales to Rs 11,887.88 crore in Q4 March 2021 over Q4 March 2020.

KEC International rose 1.23%. KEC International has secured new orders of Rs 1,514 crore across its various businesses.

Global Markets:

Asian stocks are trading higher on Friday, following overnight gains in US stocks.

Wall Street ended sharply higher at the close of a broad rally on Thursday, bouncing back from three straight days of selling on upbeat labor market data.

Back home, equity indices ended with steep losses on Wednesday, sliding for the second trading session. The barometer index, the S&P BSE Sensex, dropped 471.01 points or 0.96% at 48,690.80. Indian stock markets were closed yesterday, 13 May 2021 on account of Id-Ul-Fitr (Ramzan Id).

Foreign portfolio investors (FPIs) sold shares worth Rs 1,260.59 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 704.36 crore in the Indian equity market on 12 May, provisional data showed.

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