MARKET WRAP: Sensex gains 71 pts, Nifty above 11,450; India VIX jumps 7%
All that happened in markets today.
 "Mumbai Police's Economic Offences Wing fresh notices to 300 NSEL brokers")
Equity benchmark indices ended in the positive territory for the sixth straight session on Monday, amid sustained FII inflows and firm global cues. The S&P BSE Sensex added 71 points or 0.19 per cent to settle at 38,095, before hitting a high and low of 38,370 and 37,952, repectively in the intra-day trade.
NSE's Nifty50 index ended above 11,400 level at 11,462 with 31 components in the green and 19 in the red.
The broader market slipped into red with the S&P BSE MidCap index ending down 30 points, or 0.20 per cent at 15,141, while the S&P BSE SmallCap index shed 20 points or 0.13 per cent to settle at 14,818.
Volatility barometer India VIX climbed over 7 per cent to 17 level.
In the forex market, the rupee extended its gain to hit a high of 68.44 during the day, its highest level in the past seven months against the greenback.
BUZZING STOCKS
Shares of Bajaj Finance ended nearly 3 per cent higher at Rs 2,941 apiece on BSE.
Maruti Suzuki India (MSIL) dipped 4 per cent to Rs 6,780 on the BSE in the intra-day trade on reports of production cut due to slower demand. The stock, eventually, closed at Rs 6,910 apiece on BSE, down nearly 2.6 per cent.
Shares of Lupin slipped 6 per cent to Rs 741 on the BSE during the day after the drug maker's Somerset facility was classified as Official Action Indicated (OAI) by the US health regulator. It ended at Rs 754.50 apiece on BSE, down nearly 4 per cent.
SECTOR WATCH
Shares of real estate companies rallied up to 18 per cent in the intra-day trade on Monday, after global investment firm Blackstone and Embassy Office Parks on Friday raised Rs 1,743 crore from anchor investors ahead of the India's first real estate investment trust (REIT) issue that opened today (March 18).
Nifty Bank ended at 29,596, up 0.73 per cent with 10 components advancing and 2 declining.
GLOBAL MARKETS
Global stocks rose to their highest in five months and the dollar dipped as traders began to price in an accommodative stance from the US Federal Reserve at its policy meeting this week. MSCI’s All-Country World index, which tracks shares in 47 countries, was up 0.3 per cent on the day.
E-mini futures for the S&P 500 were higher by 0.06 per cent, indicating a positive open on Wall Street later in the day.
Oil prices were just off their highest for the year so far. US crude was last down over half a per cent at $58.2 a barrel, while Brent crude futures lost 0.4 per cent to $66.88.
(with inputs from Reuters)
3:57 PM
Market comment by Vinod Nair, Geojit Financial Services
Market failed to hold the opening momentum as profit booking emerged after the recent sharp rally. Liquidity situation in the market is improving and Indian rupee continued to gain strength over dollar while domestic 10-yr yield slid. Auto index dragged the most due to mixed demand and higher inventory levels. On the other hand, investors are awaiting FED policy later in the week to get more cues about global market movement.
3:40 PM
Sectoral gainers and losers on NSE
3:39 PM
Top gainers and losers on S&P BSE Sensex
3:37 PM
MARKET AT CLOSE
The S&P BSE Sensex added 71 points or 0.19 per cent to settle at 38,095 while the NSE's Nifty50 index ended at 11,462, up 35 points or 0.31 per cent.
3:09 PM
NEWS ALERT
NCLAT grants conditional nod to ArcelorMittal's Rs 42,000 cr bid for Essar Steel, directs ArcelorMittal to deposit the amount with the Committee of Creditors (CoC)
3:00 PM
Rupee at over seven-month high of 68.65; further gains likely
Investors are bullish on the Indian rupee for the first time in nearly a year, a Reuters poll showed last week, as a recent surge in popularity of the country's ruling party is expected to bode well for its alliance in the upcoming national elections. READ MORE
2:47 PM
» More on Top Losers
Top losers on BSE500
| COMPANY | PRICE(rs) | CHG(rs) | CHG(%) | VOLUME |
|---|---|---|---|---|
| REL. COMM. | 4.02 | -0.39 | -8.84 | 8809691 |
| GAYATRI PROJECTS | 151.40 | -9.30 | -5.79 | 8928 |
| MANPASAND BEVER. | 111.90 | -6.65 | -5.61 | 68758 |
| STERLITE TECH. | 218.70 | -12.55 | -5.43 | 736679 |
| INDIABULLS INTEG | 306.45 | -16.10 | -4.99 | 9538 |
2:41 PM
Anand Rathi on Star Cement
Its strong, ~22%, market share in its key, high-realisation, north-east region, along withgood demand, would continue to drive Star Cement’s performance, though profitability has suffered due tohigher costs. However, cost-rationalisation measures, receiving subsidies, the de-bottlenecking exercise and coming expansions on the increase in infrastructure spending in the north-east would add to benefits for the company. We are upbeat about its prospects and retain our Buy rating on the stock, with a target of Rs 130.
2:37 PM
Godfrey Phillips India gains over 4%
2:26 PM
Hedgers line up to gain from crash in forwards after RBI's swap facility
Importers and foreign currency loan borrowers have increased their hedging, taking advantage of the crash in forward premium after the Reserve Bank of India (RBI) offered $5-billion swap facility with banks, according to currency dealers. The one-year forward premium for dollar-rupee was 4.11 per cent a month back, and 4.05 per cent a week back, but is now at 3.57 per cent. READ MORE
2:16 PM
Heatmap: S&P BSE Sensex
2:15 PM
NEWS ALERT | Bharat Dynamics declares interim dividend of Rs 5.25 per share
2:05 PM
Reliance Securities bets on Persistent Systems
We believe Persistent’s long-term business direction remains on track, with focus on three key verticals - Healthcare, BFSI and MFG through 4 major services including Data, Artificial Intelligence (AI) & Machine Learning (ML), Cloud, Security and Internet of Things (IoT). We are enthused with renewed focus on specific growth areas and verticals, and upcoming appointment of new MD, which could be a key stock driver. We have a BUY recommendation on the stock with a Target Price of Rs 745.
2:05 PM
Reliance Securities on Gail
The stock trades at 6.0x on FY20E EBITDA, which is discount to its long term average of 8.4x (over last 5 years).We arrived at an SOTP-based Target Price of Rs388. We valued GAIL’s segments using DCF, implied EV/EBITDA multiple to its gas transmission/LPG transmission/gas trading/Petrochemical/LPG & OLHC segments at 6.1x/5.9x/4.7x/7.5x/6.9x. We expect GAIL to witness a strong FCF generation of Rs80bn over FY19-FY21. Hence, the stock offers high earnings visibility and healthy RoE/RoCE of 13%/9% over the next 3 years.
2:04 PM
Nirmal bang on TCS
After meeting the management, we have revised upwards our revenue estimates for FY20/FY21, but would like to highlight the no-growth-year-for-industry-in-FY21 call. We retain our Sell rating on TCS with a March 2020 target price of Rs1,607 (at a target P/E of 16.5x March 2020E EPS, -1SD over the mean P/E multiple for the past five years).
This target P/E multiple (highest in our coverage universe) is reflective of the strong position that TCS holds in the Indian IT service landscape by way of: (1) Its breadth in terms of service lines, geographies and verticals. (2) Ability to stitch together integrated offerings. (3) Significant lead in automation skills which will stand it in good stead in a likely slowdown that we are expecting in 2020. While it is an ‘absolute’ Sell, on a relative basis we prefer TCS (along with HCL Technologies and Infosys) within our coverage universe over the next 24 months as we believe it will be a beneficiary of vendor consolidation.
This target P/E multiple (highest in our coverage universe) is reflective of the strong position that TCS holds in the Indian IT service landscape by way of: (1) Its breadth in terms of service lines, geographies and verticals. (2) Ability to stitch together integrated offerings. (3) Significant lead in automation skills which will stand it in good stead in a likely slowdown that we are expecting in 2020. While it is an ‘absolute’ Sell, on a relative basis we prefer TCS (along with HCL Technologies and Infosys) within our coverage universe over the next 24 months as we believe it will be a beneficiary of vendor consolidation.
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First Published: Mar 18 2019 | 8:05 AM IST