You are here: Home » Markets » News
Business Standard

MARKET WRAP, Dec 4: Sensex up 175 pts; ICICI Bank, SBI top contributors

The benchmarks settled near day's high with metals and financial stocks being the top contributors towards gains

Topics
MARKET WRAP | Markets

BS Web Team  |  New Delhi 

Broad-based buying across sectors in the fag end of the trading session pulled indices back in the positive territory on Wednesday after agency Bloomberg reported that the US and China were closer to signing trade deal despite heated rhetoric.

According to the agency, the US and China are moving closer to agreeing on the amount of tariffs that would be rolled back in a phase-one trade deal despite tensions over Hong Kong.

Consequently, the benchmarks settled near day's high with metals and financial stocks being the top contributors towards gains. The S&P BSE Sensex surged 374 points from day's low to settle at 40,850 level, up 175 points or 0.43 per cent, while the Nifty50 was back above the psychological mark of 12,000, and settled 49 points, or 0.41 per cent higher, at 12,043-mark.

ICICI Bank, Tata Motors, SBI, and Infosys, that surged in the range of 1.5 to 7 per cent, lifted the benchmarks. Gains were, however, capped by losses in Reliance Industries and HDFC Bank that slipped up to 2 per cent.

Shares of Tata Motors jumped 7 per cent in the intra-day deals today after reports said its flagship arm and UK-based luxury carmaker Jaguar Land Rover sold over 12,000 units in the US, an increase of 6.2 per cent year-on-year. On a month-on-month basis, its sales rose 19.4 per cent. The stock settled 7.11 per cent higher at Rs 169.4 on the BSE.

Besides, ICICI Bank hit a new high of Rs 531.35 on the BSE in the intra-day trade after brokerages retained their ‘buy’ rating on the stock, and raised the 12-month target price in anticipation of strong earnings going forward. The private sector lender's stock surpassed its previous high of Rs 520, hit on November 28, 2019. The stock settled 4 per cent higher at the BSE at Rs 529.35.

In the broader market, the S&P BSE Mid-cap index rose 0.58 per cent to settle at 14,911, while the S&P BSE small-cap index closed at 13,454, up 0.33 per cent.

Meanwhile, CSB Bank logged a strong debut by listing at Rs 275, a 41 per cent premium against its issue price of Rs 195 per share on the NSE today. The stock extended its gains and rallied 57 per cent to hit a high of Rs 306.80 at the bourses. At close, the stock was at Rs 300-mark, up 9.13 per cent.

Moving on to an update in the Karvy case. The Securities Appellate Tribunal on Wednesday refused any immediate relief to top lenders who had petitioned against the transfer of securities held with Karvy Stock Broking Ltd back to the clients.

ICICI Bank, HDFC Bank and IndusInd Bank had contended that many of these securities have been used to borrow money from them and had asked the tribunal to either get back the securities to them or freeze them in an escrow account. SAT also asked the lenders to approach Sebi by December 6 with a fresh plea.

On the policy front, the Union Cabinet today approved the launch of India's first exchange-traded fund for bonds. While announcing the decision, Finance Minister Nirmala Sitharaman said that the ETF will be a basket of bonds, issued by CPSE, CPSU, CPFI, or any other government organisation. The bonds will be tradable on the exchanges, with the small unit size of Rs 1,000. The maturity period could be either 3 or 10 years.

Meanwhile, in a positive development for the economy, India’s dominant services sector bounced back to growth in November, expanding at its fastest pace in four months, on the back of a strong pick-up in new business. The Services Purchasing Managers’ Index rose to 52.7 last month, as against a contraction of 49.2 in October. The 50 point-mark separates contraction from growth on a monthly basis.

A sub-index tracking demand jumped to 53.2 from October’s 50.1, encouraging firms to accelerate hiring at the fastest pace in three months.

Here is a quick look at the global markets:

Asia closed lower on Wednesday with MSCI’s broadest index of Asia-Pacific shares outside Japan settling 0.9 per cent lower. Japan's Nikkei dropped 1 per cent, matched by falls in Hong Kong and Korea, where stock touched their lowest since October.

European shares, however, bounced back on Wednesday from a four-day slump on renewed trade deal optimism. The STOXX 600 index was trading 1 per cent higher in early trade.

MONTHLY STAR

Business Standard Digital

Business Standard Digital Monthly Subscription
149.00  
subscribe
Complete access to the premium product
Convenient - Pay as you go
Pay using Master/Visa Credit Card & ICICI VISA Debit Card
Auto renewed (subject to your card issuer's permission)
Cancel any time in the future
Requires personal information

What you get?

ON BUSINESS STANDARD DIGITAL

  • Unlimited access to all the content on any device through browser or app.
  • Exclusive content, features, opinions and comment – hand-picked by our editors, just for you.
  • Pick 5 of your favourite companies. Get a daily email with all the news updates on them.
  • Track the industry of your choice with a daily newsletter specific to that industry.
  • Stay on top of your investments. Track stock prices in your portfolio.
  • 18 years of archival data.

NOTE :

  • The product is a monthly auto renewal product.
  • Cancellation Policy: You can cancel any time in the future without assigning any reasons, but 48 hours prior to your card being charged for renewal. We do not offer any refunds.
  • To cancel, communicate from your registered email id and send the email with the cancellation request to assist@bsmail.in. Include your contact number for speedy action. Requests mailed to any other ID will not be acknowledged or actioned upon.

SMART ANNUAL

Business Standard Digital

Business Standard Digital - 12 Months
1499.00
subscribe
Get 12 months of Business Standard digital access
Single Seamless Sign-up to Business Standard Digital
Convenient - Once a year payment
Pay using an instrument of your choice - Credit/Debit Cards, Net Banking, Payment Wallets accepted
Exclusive Invite to select Business Standard events

What you get

ON BUSINESS STANDARD DIGITAL

  • Unlimited access to all content on any device through browser or app.
  • Exclusive content, features, opinions and comment - hand-picked by our editors, just for you.
  • Pick 5 of your favourite companies. Get a daily email with all the news updates on them.
  • Track the industry of your choice with a daily newsletter specific to that industry.
  • Stay on top of your investments. Track stock prices in your portfolio.

NOTE :

  • This product is a monthly auto renewal product.
  • Cancellation Policy: You can cancel any time in the future without assigning any reasons, but 48 hours prior to your card being charged for renewal. We do not offer any refunds.
  • To cancel, communicate from your registered email id and send the mail with the request to assist@bsmail.in. Include your contact number for easy reference. Requests mailed to any other ID will not be acknowledged or actioned upon.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, December 04 2019. 18:07 IST
RECOMMENDED FOR YOU
.