Strong market breadth

Key benchmark indices extended intraday gains and hit fresh intraday high in morning trade. At 10:18 IST, the barometer index, the S&P BSE Sensex, was up 221.79 points or 0.71% at 31,435.38. The Nifty 50 index was up 71.55 points or 0.74% at 9,782.35. Positive cues from from Asian market boosted investors' sentiment.

The Sensex rose 250.99 points, or 0.80% at the day's high of 31,464.58, its highest level since 10 August 2017. The index rose 85.31 points, or 0.27% at the day's low of 31,298.90. The Nifty rose 82.75 points, or 0.85% at the day's high of 9,793.55, its highest level since 10 August 2017. The index rose 41.30 points, or 0.43% at the day's low of 9,752.10.

Among secondary barometers, the BSE Mid-Cap index was up 1.56%. The BSE Small-Cap index was up 1.88%. Both these indices outperformed the Sensex.

The broad market depicted strength. There were almost four gainers against every loser on BSE. 1,627 shares rose and 408 shares fell. A total of 67 shares were unchanged.

Metal shares were in demand. Hindustan Copper (up 4.10%), Jindal Steel & Power (up 3.96%), Bhushan Steel (up 3.53%), National Aluminium Company (up 2.80%), Hindalco Industries (up 2.65%), Vedanta (up 2.51%), Tata Steel (up 2.37%), Hindustan Zinc (up 2%), NMDC (up 1.70%) and JSW Steel (up 1.23%), edged higher. Steel Authority of India fell 0.27%.

Meanwhile, copper price edged lower in the global commodities markets. High Grade Copper for September 2017 delivery was currently down 0.15% at $2.9075 per pound on the COMEX.

FMCG shares rose. Tata Global Beverages (up 3.14%), Godrej Consumer Products (up 2.91%), Britannia Industries (up 1.8%), Dabur India (up 1.44%), Nestle India (up 1.32%), Marico (up 1.16%), Hindustan Unilever (up 0.95%), Colgate Palmolive (India) (up 0.86%), Procter & Gamble Hygiene & Health Care (up 0.79%), Bajaj Corp (up 0.75%) and GlaxoSmithKline Consumer Healthcare (up 0.34%), edged higher.

Adani Ports & Special Economic Zone (APSEZ) gained 3.69% to Rs 398.05 after consolidated net profit fell 13.7% to Rs 710.25 crore on 50.3% rise in net sales to Rs 2745.14 crore in Q1 June 2017 over Q1 June 2016. The announcement of results was made on Saturday, 12 August 2017. The stock had dropped 7.27% in three sessions to settle at Rs 383.90 on 11 August 2017, from a close of Rs 414 on 8 August 2017 ahead of the results.

The company said that the net profit in Q1 June 2017 was lower due to higher tax incidence at Mundra Port which is now out of tax holiday period. However, from a tax cash flow angle, there is no change (impact) as minimum alternate tax (MAT) credit of earlier years is available to the tune of Rs 2700 crore.

Karan Adani, Chief Executive Officer and Whole Time Director of APSEZ said that the operations in port and logistic business continues to be robust. With string of ports across India providing multi point access to India's hinterland, the company expects cargo volumes to grow as per earlier guidance in FY 2018. Mundra port is on the verge of becoming the largest container handling port in India.

The company would continue to pursue plans to expand logistic foot prints by adopting asset light model. Higher capacity utilization, focus on operational efficiencies by automation and technology upgrades and focus on cost reduction will ensure higher cash flows, he added.

Avanti Feeds surged 15.58% to Rs 1,901.40 after consolidated net profit jumped 203.6% to Rs 148.84 crore on 37.8% increase in net sales to Rs 998.17 crore in Q1 June 2017 over Q1 June 2016. The result was announced after market hours on Friday, 11 August 2017.

On the macro front, India's industrial production in June 2017 contracted 0.1%, the lowest reading since June 2013, driven primarily by a 6.8% contraction in capital goods. Data for growth in the Index of Industrial Production (IIP) for May 2017 was revised to 2.8%. The fall in capital goods production was the most drastic contraction since September 2016.

Overseas, Asian stocks were trading higher after three losing sessions, tracking a firm closing on the Wall Street.

Gains among technology companies helped snap a three-day losing streak for US stocks on Friday, 11 August 2017.

The Dow Jones Industrial Average rose 14.31 points to close at 21,858.32. The S&P 500 gained 3.11 points, or 0.1%, to end at 2,441.32. The Nasdaq Composite Index climbed 39.68 points, or 0.6%, to close at 6,256.56. Investors bet on slower US rate hikes following weaker-than-expected consumer price data. But gains were muted by increasingly aggressive exchanges between Washington and Pyongyang.

Geopolitical risks were expected to remain a key theme for the global markets in the near term, as North Korea celebrates Liberation Day on Tuesday, 15 August 2017, to mark the end of Japanese rule. Investors also braced for tensions ahead of 21 August 2017, when an annual joint US-South Korean military exercise is due to begin.

Powered by Capital Market - Live News