Market Wrap Podcast, Oct 25: Here's all that happened in the markets today
Benchmark indices snapped their 4-day losing run as gains in banking stocks outweighed losses in almost every other sector. Besides, supportive global cues also bolstered sentiment on Street
Benchmark indices snapped their 4-day losing run as gains in banking stocks outweighed losses in almost every other sector. Besides, supportive global cues also bolstered sentiment on Street.
After gyrating 955 points in the intra-day trade, the BSE barometer of 30 shares ended 145 points, or 0.24 per cent, higher at 60,967 levels led by gains in ICICI Bank, Axis Bank, SBI, Tech Mahindra, Dr Reddy's Labs, and M&M. The index had hit an intra-day high and low of 61,405 and 60,450, respectively.
On the downside, Bajaj Finserv, Bajaj Auto, Maruti Suzuki, HCL Tech, Asian Paints, IndusInd Bank, and Nestle India were the top laggards on the index.
It's NSE counterpart, Nifty50, on the other hand shut shop at 18,125 levels, up just 11 points or 0.06 per cent.
The weakness, however, continued in the broader markets where the Nifty MidCap 100 and the Nifty SmallCap 100 dropped 1.7 per cent and 2.3 per cent, respectively.
Overall, market breadth favoured sellers as over 2,300 stocks fell on the BSE relative to around 1,050 that rose. The volatility index, India VIx, ended 0.4 per cent up.
Coming to today's stock-specific action, shares of Reliance Industries ended 1 per cent lower on the back of profit booking after the company clocked a strong September quarter result. The stock had hit an intra-day high of Rs 2,699 but ended at Rs 2,601 apiece after the Mukesh Ambani-led firm reported a 43 per cent YoY surge in Q2 net at Rs 13,680 crore, backed by a 51 per cent jump in revenue.
In a separate development, RIL said it is reaping the benefits of an increase in production from its oil and gas assets. The higher production from RIL-bp controlled D6 block in the Krishna Godavari Basin will coincide with the government significantly hiking the price allowed for selling domestically produced natural gas.
Meanwhile, ICICI Bank hit a fresh record high of Rs 860 after the shares surged 13.3 per cent on the BSE in the intra-day trade post a better-than-expected Q2 show. The private sector lender on Saturday reported a 30 per cent year-on-year (YoY) jump in net profit at Rs 5,511 crore, which was also its highest-ever net profit, aided by robust net interest income (NII) and other income as well as lower provisions. The shares ended nearly 11 per cent higher.
On the downside, share of Asian Paints dipped 4 per cent to Rs 2,855.60 on the BSE in Monday's intra-day trade, thus falling 10 per cent in past three trading sessions post Q2 results. The company had reported 28.2 per cent year on year (YoY) decline in consolidated net profit at Rs 595.96 crore in July-September quarter (Q2FY22), due to higher operational cost.
Among key sectoral gainers, bank stocks led from the front with the Nifty Bank, Private Bank, and PSU Bank indices gaining up to 2 per cent each. Within the segment, shares of public sector banks extended their gains with State Bank of India (SBI) hitting a new high, while Canara Bank and Indian Bank hitting their respective 52-week highs in the intra-day trade on expectation of strong earnings for the quarter ended September 2021 (Q2FY22). The Nifty PSU Bank index, too, hit a record high of 2,914.05.
The Nifty Bank index, too, hit a fresh record high of 41,830 in the intra-day trade before closing 2 per cent up at 41,192.
On the downside, the Nifty Realty index was the worst hit. While the index cracked over 4 per cent in the intra-day trade, it closed around 3 per cent lower dragged by Lodha (down over 7 per cent), Sunteck Realty, Indiabulls Real Estate, Prestige Estate Projects, and Sobha.
Meanwhile, in other news, a recent note by Nomura suggests that if global prices of crude oil, natural gas, coal & electricity were to stay at current levels till December 2021 and rise by a modest 5 per cent till March 2022, the total potential impact on the consumer price inflation (CPI) back home will be around 1 percentage point (pp).
Now, coming to tomorrow's trading session, corporate results will be the focal point of Tuesday's trading day as over 80 companies will report their September quarter results including Axis Bank, Bajaj Finance, Kotak Bank, Cipla, and Dr Lal Path Labs.
Topics :MARKET WRAP
First Published: Oct 25 2021 | 6:10 PM IST