Tag: Closing bell

Indian equity markets witnessed a smart bounce-back of around a percent and half on Tuesday after four straight sessions of fall, which lifted both Sensex and Nifty above the psychologically crucial 25,350 and 7,550 levels respectively. Bargain-buying activities by market-participants in fundamentally strong blue chip stocks available at attractive valuations after four straight sessions’ of plunge, mainly soothed the sentiment at Dalal Street amidst lower Brent crude prices which whetted the risk appetite of investors for emerging markets assets. In the extremely rock-solid session of trade, wherein benchmarks traded from strength to strength and ended near day’s high point by close of trade, volatility factor, which is peculiar feature in F&O expiry week, remained absent. In the extremely stable session of trade, broader indices too rallied over 1.5%.

Closer home, sentiments also got a lift after shares of ITC made a smart comeback on Tuesday post sharp selloff witnessed in previous session, triggered by media reports suggesting steep increase in tax on cigarettes. Nevertheless, amidst broad-based buying, all the sector indices on BSE ended in positive territory, with only exceptions being stocks from defensive Healthcare counter which were beaten blue in trade. On the flip side, massive buying was witnessed in stocks of Realty counter, followed by Consumer Durables and Oil & Gas counters. Oil marketing companies stocks, vis-à-vis, BPCL, HPCL and IOC, witnessed strong demand after Brent crude fell below $114 a barrel on Tuesday, with data showing near-record high oil exports from Iraq indicated supplies remained unaffected by the escalating violence at OPEC’s No. 2 producer. Additionally, banking stocks too were on buyer’s radar as concerns of fuel price led inflation eased along with decline in crude oil prices.  Besides, sugar stocks too extended gains as sentiment turned positive following the government’s decision to hike import duty on sugar. To tackle the rising crude oil prices, the Food Minister announced that ethanol blending with petrol will be increased to 10% from 5%. Moreover, shares of local tyre companies continued their dream run in trade on Tuesday with CEAT and JK Tyres hitting yet another 52-week high in intra-day trade.  The market breadth on the BSE ended positive; advances and declining stocks were in a ratio of 2038: 993, while 117 scrips remained unchanged. (Provisional)

The BSE Sensex surged 337.58 points or 1.35% to settle at 25368.90. The index touched a high and a low of 25414.69 and 25115.83 respectively. Among the 30-share Sensex, 26 stocks gained, while 4 stocks declined. (Provisional)

The BSE Mid cap and Small cap indices ended higher by 1.59% and 1.64% respectively. (Provisional)

On the BSE sectoral front, Realty up by 1.57%, Consumer Durables up by 2.44%, Oil & Gas up by 2.17%, Infrastructure up by 2.05% and PSU up by 2.04% were the gainers while, Healthcare down by 0.09% was the lone loser in the space. (Provisional)

The top gainers on the Sensex were GAIL up 4.56%, HDFC up by 2.81%, BHEL up by 2.48%, SBI up by 2.24% and Axis Bank up by 2.19%. On the flip side, the key losers were Sun Pharma down by 0.96%, Infosys down by 0.64%, Hindustan Unilever down by 0.02% and Wipro down by 0.01%. (Provisional)

Meanwhile, in order to curb the inflow of cheaper sweetener, the government has decided to hike the import duty on sugar to 40 percent from the current 15 percent. The move is likely to increase the sugar prices up to Rs 60 per quintal in the country. Besides, the government will provide additional interest-free loan of Rs 4,400 crore to cash-starved sugar mills to make payments to cane farmers. The decision was taken after a high-level meeting attended by various ministers including Food Minister Ram Vilas Paswan and Commerce & Industries Minister Nirmala Sitharaman among others.

Food Minister Ram Vilas Paswan also announced that the subsidy on raw sugar exports would be extended till September 2014. Furthermore, mandatory blending of ethanol (a by-product of sugar) with petrol was also enhanced to 10 percent as against 5 percent at present. However, Food Minister cleared that all these decisions were subject to the sugar industry’s guarantee that it would clear all arrears estimated at around Rs11,000 crore. The government’s latest decision is likely to provide impetus to Indian sugar industry through making imports costlier and improving the liquidity of sugar mills.

India, the second largest producer of sugarcane after Brazil, holds about 5 million hectares of land under sugarcane with an average yield of around 70 tonne per hectare. India produced 25.14 million tonnes of sugar in the crop season ended September 30, 2013, almost 4.5% less than the previous year’s because of low rainfall in Maharashtra, Karnataka and Tamil Nadu in 2012. The Indian Sugar Mills Association (ISMA) has estimated Indian sugar production at 24 million tonnes for 2013-14.

India VIX, a gauge for markets short term expectation rose 1.18% at 19.18 from its previous close of 18.96 on Monday. (Provisional)

The CNX Nifty gained 86.85 points or 1.16% to settle at 7,580.20. The index touched high and low of 7,593.35 and 7,515.20 respectively. Out of 50 stocks in Nifty, 39 stocks ended in the green and 11 in red. (Provisional)

The major gainers of the Nifty were GAIL up 4.75%, BPCL up by 4.70%, DLF up by 4.70%, Bank of Baroda up by 3.22% and NMDC up by 3.20%. On the flip side, the key losers were Kotak Bank down by 1.74%, Sun Pharma down by 1.14%, Infosys down by 0.82%, Ultratech Cement down by 0.67% and Tech Mahindra down by 0.51%. (Provisional)

On the global front, Asian shares ticked higher on Tuesday as improved manufacturing data from China, Japan and the United States augured well for global growth, despite a disappointing result from the euro zone. Additionally, European shares rose on Tuesday, buoyed by new signs of corporate takeover activity, with agrochemicals company, Syngenta surging on a media report that peer Monsanto had considered buying it.

European markets were mostly trading in red; UK’s FTSE 100 down by 0.31%, Germany’s DAX down by 0.07%, while France’s CAC 40 was up by 0.16%.

Asian Indices Last Trade Change in Points Change in %
Shanghai Composite 2033.93 9.57 0.47
Hang Seng 22880.64 75.83 0.33
Jakarta Composite 4862.24 20.11 0.42
KLSE Composite 1892.33 8.37 0.44
Nikkei 225 15376.24 6.96 0.05
Straits Times  3262.03 4.63 0.14
KOSPI Composite 1994.35 19.43 0.98
Taiwan Weighted 9246.20 17.85 0.19
 

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Wednesday’s trading session turned out to be a daunting one for stock markets in India and benchmarks ended below their crucial 7,600 (Nifty) and 25,300 (Sensex) levels. Sentiments were weighed down as investors remained concerned over Iraqi turmoil. Earlier, markets made a positive start supported by report that foreign portfolio investors (FPIs) bought shares worth a net Rs 48.02 crore on June 17, 2014, as per provisional data from the stock exchanges. But, sentiments turned cautious and frontline gauges entered into red terrain after Brent crude surged above $113 per barrel on Wednesday as heavy fighting in Iraq shut the country’s biggest refinery and led to the withdrawal of staff by foreign oil firms, stoking worries about exports from the key oil producer.

Investors were also focused on the Federal Reserve’s two-day monetary policy meeting that ends later in the day, with street expecting another $10 billion cut in the pace of monthly bond purchases to $35 billion. Sentiments also remained dampened amid reports that drought-like conditions have developed in large parts of the country as the monsoon deficit has widened to a worrying 49% since the start of the season on June 1. Though, some recovery witnessed in last leg of trade on the back of bargain hunting but this was not enough to bring markets into green.

On the global front, European markets traded in the green in early deals with investors awaiting a Federal Reserve monetary-policy decision. The Fed is widely expected to cut another $10 billion from its monthly bond purchases. Though, Asian counters ended mixed as investors remained concerned over rising crude oil prices. Sentiments also remained dampened in the region after China’s house prices fell in 35 cities in May.

Back home, depreciation in Indian rupee too dampened the sentiments. Rupee were trading at 60.44 per dollar at the time of equity markets closing compared with its previous close of 60.03/04, while the 10-year benchmark bond yield rose by 6 basis points on the day to 8.66 percent. Meanwhile, public sector oil marketing companies (OMCs) viz. BPCL, HPCL and IOC declined after international crude oil prices firmed up on concern over Iraq chaos.

On the other hand, stocks related to telecommunication sector, viz Bharti Airtel, Reliance Communication and Idea Cellular edged higher after Minister of Communications & Information Technology Ravi Shankar Prasad unveiled that his ministry had given in-principle approval for a nation-wide Mobile Network Portability (MNP) and its implementation would begin after the Telecom Regulatory Authority of India (TRAI) submits its recommendations. Additionally, rail stock like Titagarh Wagons, Kalindee Rail Nirman, Kernex Microsystems and Texmaco Rail and Engineering too remained on buyers’ radar on the buzz that railway fare and freight rate gathered steam.

The NSE’s 50-share broadly followed index Nifty declined by over seventy points to end below the psychological 7,600 support level, while Bombay Stock Exchange’s Sensitive Index — Sensex declined by over two hundred and seventy points to end below its crucial 25,300 mark. Broader markets too struggled to get any traction during the trade and ended the session with a cut of around half a percent. The market breadth remained in favor of decliners, as there were 1400 shares on the gaining side against 1,631 shares on the losing side while 101 shares remain unchanged.

Finally, the BSE Sensex plunged by 274.94 points or 1.08%, to 25246.25, while the CNX Nifty declined by 73.50 points or 0.96%, to 7,558.20.

The BSE Sensex touched a high and a low of 25609.28 and 25114.30, respectively. The BSE Mid cap index was down by 0.73%, while Small cap index lost 0.28%.

The top gainers on the Sensex were Cipla up by 2.98%, Hindalco Inds up by 2.74%, Gail India up by 1.55%, Maruti Suzuki up by 0.83% and Dr Reddys Lab up by 0.60%. On the flip side, the key losers were BHEL down by 3.21%, TCS down by 2.43%, NTPC down by 2.26%, RIL down by 2.12% and Tata Motors down by 2.08%.

On the BSE Sectoral front, Healthcare up by 0.06% was the only gainer in the space, while Realty down by 2.10%, Consumer Durables down by 1.59%, Power down by 1.51%, Oil & Gas down by 1.43% and PSU down by 1.13% were the top losers in the space.

Meanwhile, with an aim to enhance the infrastructure development in the country, the government is considering a special public-private partnership (PPP) platform to renegotiate already bid projects under PPP mode.

Allowing renegotiation after a project is bid out has emerged as a key challenge in most infrastructure sectors and the government is likely to set a resolution panel soon in line with global practices. Most countries have a provision for renegotiation of contracts under the PPP mode. On the other hand, the renegotiation of contracts under the PPP mode has been done very selectively in India. The move is likely to provide impetus to the big infrastructure products which are implemented under the PPP mode.

The development of the infrastructure sector is most critical prerequisite to boost the economic growth of any country. Infrastructure sector primarily comprises of power, ports, railways, roads, irrigation, water supply and airports. At present, Indian economy is struggling with slowdown and growth and prevailing economic downturn can be attributed partly to global factors and mainly to slow reforms and delays in implementation of projects in the country. Meanwhile, to boost the infrastructure sector, India’s government has proposed an investment of $1 trillion for the infrastructure sector during the 12th Five Year Plan, with 50 percent of the funds coming from the private sector.

The CNX Nifty touched a high and low of 7,663.00 and 7,515.50 respectively.

The major gainers of the Nifty were Cipla up by 2.69%, Lupin up by 2.68%, Kotak Mahindra Bank up by 2.37%, Hindalco Industries up by 2.37% and GAIL (India) up by 1.81%. On the flip side, the key losers were Jindal Steel & Power down by 3.43%, BPCL down by 3.30%, IDFC down by 3.08%, BHEL down by 3.05% and NMDC down by 2.96%.

The European markets were trading in green, France’s CAC 40 was up by 0.12%, Germany’s DAX was up by 0.27% and United Kingdom’s FTSE 100 was up by 0.43%.

Asian markets ended the Wednesday’s trade mixed as investors remained concerned over Iraq turmoil. Sentiments remained dampened after Brent crude surged above $113 per barrel on Wednesday as heavy fighting in Iraq shut the country’s biggest refinery and led to the withdrawal of staff by foreign oil firms, stoking worries about exports from the key oil producer. Investors were also focused on the Federal Reserve’s two-day monetary policy meeting that ends tonight, with economists expecting another $10 billion cut in the pace of monthly bond purchases to $35 billion.

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Depicting strength, Indian equity markets shaved all its early losses and ended flat with positive bias on Tuesday thanks to defensive buying strategy by market-participants, which lifted the benchmarks from doldrums, thereby proving that market’s new found strength was not temporary. In the first half of the session, profit-booking by market-participants after three consecutive sessions’ record rally on concerns of possible monsoon deficit combined with caution ahead of release of the consumer price index (CPI) inflation data for May and the Index of Industrial Production (IIP) data for April due on Thursday, weighed on the sentiment. However, late hour buying by traders led markets log yet other record high closing levels, with both Sensex and Nifty settling above the crucial 25,550 and 7,650 psychological mark respectively.

Sentiments took a hit in early deals after Indian Meteorological Department (IMD) forecasted rainfall in June-September to be below normal at 93% of the long period average, which in terms of quantity, could be the lowest in four years. While, benchmarks also fell off lifetime high levels in early deals amid concerns the rally that made it the best performer among emerging markets this year has exceeded the outlook for earnings. Nevertheless, besides bargain buying activities, positive regional counterparts also aided the recovery.

On the global front, Asian pacific shares settled higher on Tuesday on account of in-line with expectation China inflation data, which though was higher than the previous month’s figure. China CPI in May rose 2.5% year-on-year, while PPI fell 1.4%.for May. The previous month saw CPI rise at 1.8%, and a 2.0% fall for PPI. Meanwhile, European shares were trading mostly positive as reports showed that industrial production in the U.K and France matched street estimates. In the U.K., a report from the Office for National Statistics showed that industrial output in Europe’s third-largest economy climbed 0.4% in April, while in France, a release showed that industrial output rose 0.3 percent in April.

Closer home, while majority of the sectorial indices on BSE settled into negative territory, stocks from Realty, Public Sector Undertaking (PSU) and Oil & Gas counters were the prominent losers. On the flip side, stocks from Consumer Durables, Information Technology and Healthcare counters were the pillars of market’s strength. Losses of cyclical stocks turned out to be the gains for defensive stocks, like software and pharma, as investors looked to reduce volatility in their portfolios. While rupee’s depreciation aided the IT counter, FMCG stocks, which lost steam after India Meteorological Department (IMD) forecasted rains to be below normal this year as the chances of El Nino occurring during monsoon being very high, too recovered by the end of trade. The stocks tanked in intra-day trade given that most of FMCG firms derive substantial revenue from rural India. The overall market breadth on BSE settled in the favour of declines which outperformed advances in the ratio of 1108:797; while 14 shares remained unchanged.

The BSE Sensex settled at 25583.69, up by 3.48 points or 0.01% after trading in a range of 25347.3 and 25711.1. 14 stocks advanced against 16 stocks declining one’s on the index.   (Provisional)

The broader indices were trading mixed; while BSE Mid cap index was down by 0.27%, Small cap index ended up by 0.26%.   (Provisional)

The top gainers on BSE sectoral front, were Consumer Durables up by 3.55%, IT up by 2.32%, TECK up by 1.98%, Healthcare up by 1.97% and FMCG up by 0.12%. On the flip side, Realty down by 2.96%, PSU down by 1.28%, Oil & Gas down by 0.96%, Capital Goods and India Infrastructure Index were down by 0.90% each were top losers on BSE.   (Provisional)

The top gainers on the Sensex were Cipla up by 2.76%, Infosys up by 2.73%, Wipro up by 2.73%, TCS up by 1.98% and Coal India up by 1.78%. On the flip side, BHEL down by 2.87%, ONGC down by 2.74%, Tata Steel down by 2.60%, Hero MotoCorp down by 2.32% and SSLT down by 2.29% were the top losers.  (Provisional)

Meanwhile, finance Minister Arun Jailtley has stated that the government will soon take measures to break the vicious cycle of high inflation and high interest rates impacting Indian economic growth, which stayed below 5 percent for the second year in a row at 4.7 percent during FY14.

Jailtey further said that long inflationary trends have adversely impacted the food and nutritional security of the common man and also sought states’ support in tackling temporary fluctuation in prices. Further, Finance Minister added that prevailing high interest rates to check rising inflation has been impacting the domestic demand. Therefore, the government would like to evolve a mechanism which will address the structural issues and enhance supply. The RBI has raised lending rate three times since September’13 to tame price rise through cooling demand.

Finance Minister further stated that the government aims to create positive action through economic reforms in the forthcoming budget to revive investor sentiment and promote growth. Regarding the GST issue, Finance Minister said that implementation of Goods and Services Tax (GST) has the potential to significantly improve the country’s growth story and the government will soon take measures for early rollout of GST.

India VIX, a gauge for markets short term expectation lost 2.52% at from its previous close of 16.66 on Monday. (Provisional)

The CNX Nifty settled at 7656.4, up by 1.80 points or 0.02% after trading in a range of 7579.3 and 7683.2. 20 stocks advanced against 30 declining one’s on the index.    (Provisional)

The top gainers on Nifty were Infosys up by 3.17%, Tech Mahindra up by 2.72%, Wipro up by 2.69%, CIPLA up by 2.64% and Cairn India up by 2.28%. On the flip side, DLF down by 3.63%, Grasim Industries down by 3.37%, Ambuja Cements down by 3.14%, BHEL down by 3.08% and Tata Steel down by 2.91% were the top losers.

European shares were trading mixed; with Germany’s DAX rising by 0.14%, France’s CAC 40 gaining by 0.12% and United Kingdom’s FTSE 100 declining by 0.46%.

The Asian markets concluded Tuesday’s trade mostly in green,

Asian Indices Last Trade Change in Points Change in %
Shanghai Composite 2052.53 22.03 1.08
Hang Seng 23315.74 198.27 0.86
Jakarta Composite 4946.09 61.01 1.25
KLSE Composite 1876.61 12.92 0.69
Nikkei 225 14994.80 -129.20 -0.85
Straits Times  3293.82 -11.38 -0.34
KOSPI Composite 2011.80 21.76 1.09
Taiwan Weighted 9222.37 59.63 0.65

 

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Resuming their northward journey, boisterous benchmarks showcased an enthusiastic performance on Thursday, by rallying a percentage point. Though, domestic bourses made a choppy start and the indices even went on to test psychologically important  24,700 (Sensex) and 7,350 (Nifty) levels, but the key gauges got solid support around those intraday low levels as they convalesced from thereon as investors continued hunt for fundamentally strong stocks. Frontline indices not only ended near their intraday high levels but also recorded their all time closing high, settling comfortably above their crucial 7,450(Nifty) and 25,000 (Sensex) bastions as investors took to hefty across the board buying.

Sentiments got bolstered after the India Meteorological Department (IMD) has forecasted that conditions are favourable for the onset of the southwest monsoon over Kerala and its further advance into some more parts of south Arabian Sea, remaining parts of Maldives-Comorin area, some parts of Tamil Nadu and the Bay of Bengal during the next 48 hours. Meanwhile, Prime Minister, Narendra Modi met the Secretaries of all government departments to outline his agenda of governance and in a positive step he said that the Government’s priority is to revamp the economy and asked the officials to prepare presentations on the contributions their Ministries can make to the revival. In a separate development, industry body Confederation of Indian Industry (CII) has called for a comprehensive review of the new Companies Act 2013 and the rules issued there under.

On the global front, European markets were trading slightly in the red in early deals with investors awaiting the European Central Bank’s policy announcement. The central bank is widely expected to cut all its main interest rates at Thursday’s meeting, including pushing its deposit rate into negative territory for the first time. However, most of the Asian counters ended in the green terrain with Shanghai Composite gaining the most. Moreover, Japanese stocks ended at near three-month highs on Thursday because of a weaker yen,

Back home, there was broad based buying witnessed in the markets and apart from the blue chips, the broader markets too participated strongly in the rally. The markets sentiment was also boosted by data showing that foreign funds remained net buyers of Indian stocks on June 4, 2014. Foreign institutional investors (FIIs) bought shares worth a net Rs 192.56 crore on Wednesday, as per provisional data from the stock exchanges.

Meanwhile, cement stocks viz, Andhra Cement, India Cements, Heidelberg Cements and Dalmia Bharat remained on buyers’ radar on price hikes ranging from 3-30 percent across most regions. Additionally, shares in fertilizer companies, Chambal Fertilisers and Chemicals and National Fertilizers were surging on hopes that new government will soon clear its 2013/14 outstanding subsidy payments for the sector. On the flip side, Sugar stocks, which were up on hopes that the Modi-led government would help revive the industry by encouraging ethanol blending in petrol and also hike import duty on the commodity to support local prices, were down on profit-booking.

The NSE’s 50-share broadly followed index Nifty rose by over seventy points and ended comfortably above the psychological 7,450 support level, while Bombay Stock Exchange’s Sensitive Index — Sensex surged by over two hundred and ten points to finish above the psychological 25,000 mark. Broader markets too were trading with traction throughout the trade and ended the session with a gain of over a percentage point. The market breadth remained in favor of advances, as there were 2,153 shares on the gaining side against 869 shares on the losing side while 105 shares remain unchanged.

Finally, the BSE Sensex soared by 213.68 points or 0.86%, to 25019.51, while the CNX Nifty surged by 71.85 points or 0.97%, to 7,474.10.

The BSE Sensex touched a high and a low of 25044.06 and 24644.88, respectively. The BSE Mid cap index was up by 1.01%, while the Small cap index rose by 1.42%.

The top gainers on the Sensex were SSLT up by 6.50%, Hindalco Inds up by 5.54%, Hindustan Unilever up by 4.27%, Tata Power up by 3.64% and Tata Steel up by 3.45%. While Mahindra & Mahindra down by 1.46%, HDFC Bank down by 1.43%, Cipla down by 0.87%, Dr Reddys Lab down by 0.74% and ICICI Bank down by 0.56% were the top losers in the index.

On the BSE Sectoral front, Metal up by 3.33%, Power up by 1.96%, Oil & Gas up by 1.96%, PSU up by 1.55% and FMCG up by 1.49% were the top gainers, while Bankex down by 0.39% was the only loser in the space.

Meanwhile, with an intent of giving bureaucracy a greater role in decision-making, Prime Minister Narendra Modi in three hour long meeting with secretaries of all the government departments collectively, asked them to directly get in touch with him to resolve policy issues and expedite decision-making.

Just to ensure that implementation of decisions and programmes were not stuck in red-tape, PM asked secretaries to call him or e-mail him directly for suggestions or intervention required in resolving issues or expediting decisions making process.

In all, 77 top bureaucrats, including finance secretary Arvind Mayaram, home secretary Anil Goswami, defence secretary Radha Krishna Mathur and foreign secretary Sujatha Singh, were called for the meeting and for the meeting sixteen groups were formed by clubbing related ministries.

While, all finance ministry departments were grouped together, secretaries of energy-related departments, power, coal, oil, mines and atomic energy, were clubbed. Additionally, Agriculture and related departments were put together, with the infrastructure group comprising of railways, telecom, roads, civil aviation, shipping and posts.

Further, notes of finance ministry officials for the meeting with the prime minister included inflation, fiscal consolidation, controlling the current account deficit, clarity on tax administration and disinvestments in non-core sectors like steel and cement.

The CNX Nifty touched a high and low of 7,484.70 and 7,360.50 respectively.

The top gainers of the Nifty were BPCL up by 7.17%, SSLT up by 6.65%, Hindalco Industries up by 6.10%, Hindustan Unilever up by 5.21% and Cairn India up by 4.74%. On the other hand, Mahindra & Mahindra down by 1.42%, HDFC Bank down by 1.22%, IndusInd Bank down by 1.05%, Cipla down by 0.92% and Bank of Baroda down by 0.86% were the top losers.

Most of the European markets were trading in red, Germany’s DAX was down by 0.07% and United Kingdom’s FTSE 100 was down by 0.25%, while France’s CAC 40 was up by 0.08%.

The Asian markets concluded Thursday’s trade mostly in green, with investors keeping an eye on European Central Bank policy decision.

Asian Indices Last Trade Change in Points Change in %
Shanghai Composite 2040.88 16.04 0.79
Hang Seng 23109.66 -42.05 -0.18
Jakarta Composite 4935.56 3.00 0.06
KLSE Composite 1869.00 3.80 0.20
Nikkei 225 15079.37 11.41 0.08
Straits Times  3279.64 -0.53 -0.02
KOSPI Composite 1995.48 -13.08 -0.65
Taiwan Weighted 9140.72 20.76 0.23

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After scaling a fresh closing high levels in the previous session, Indian equity markets re-entered the consolidation mode as benchmarks gyrating in a thin band for the entire trading session, settled flat, albeit with a minor losses amid weak global cues. The key gauges displayed listless performance through the day as the aimless benchmarks appeared exhausted, lacking any significant upside triggers. Though, the psychological 7,400 (Nifty) and 24,800 (Sensex) levels proved as strong supports as the key gauges managed to settle above those levels by the end. Sentiments remained down-beat on report which showed that India has slipped to its lowest position in over a decade in the foreign direct investment confidence index. Traders also remained on sidelines ahead of Finance Minister’s pre-Budget talks with apex industry chambers and trade sector representatives on Friday.

However, losses remained capped on report that foreign institutional investors (FIIs) bought shares worth a net Rs 575.09 crore on June 3, 2014, as per provisional data from the stock exchanges. On macro-economic front, showing some signs of recovery and stabilization, the activity in Indian services sector, which represent around 60% of Indian GDP, increased in the month of May on the back of rise in new orders. The HSBC services Purchasing Managers’ Index (PMI), based on the survey of around 350 private service sector companies rose to 50.2 in May from 48.5 in the previous month, above 50 mark that separates growth from contraction.

Global cues remained somber with Asian markets ending mostly in the red after two days of healthy gains, while investors also took their lead from Wall Street’s retreat from record highs. Meanwhile, European counterparts made sluggish start on Wednesday with investors awaiting confirmation of new stimulus from the European Central Bank and a crucial U.S. jobs report.

Back home, selling in software and technology counters too dampened the sentiments. Stocks like TCS, Wipro, Infosys, HCL Technologies, Tech Mahindra etc. edged lower after rupee rebounded from its early lows and was trading higher at 59.33 at the time of equity markets closing versus its previous close of 59.38 on Tuesday. On the flip side, shares in insurance companies surged on hopes that the new government may raise foreign direct investment limit in the sector to 49 percent from 26 percent. Additionally, stocks related to tyre industry viz. Ceat India, Dunlop India, JK Tyre and Industries edged higher after the key Tokyo Commodity Exchange rubber contract touched a five-week low, weighed down partly by weak Chinese service sector data. The rubber prices fell approximately 30% in 2014 and hit five-year lows.

The NSE’s 50-share broadly followed index Nifty dropped by just over ten points but managed to hold its psychological 7,400 support level, while Bombay Stock Exchange’s Sensitive Index — Sensex declined by over fifty points to end below its crucial 24,850 mark. The broader markets, however, outperformed benchmarks and ended the session with a gain of around two percentage points. The market breadth remained in favour of advances, as there were 2,127 shares on the gaining side against 921 shares on the losing side while 97 shares remain unchanged.

Finally, the BSE Sensex declined by 52.76 points or 0.21%, to 24805.83, while the CNX Nifty was down by 13.60 points or 0.18%, to 7,402.25.

The BSE Sensex touched a high and a low of 24925.90 and 24773.93, respectively. The BSE Mid cap index was up by 1.85%, while the Small cap index rose by 1.96%.

The top gainers on the Sensex were Hero MotoCorp up by 3.57%, Hindalco Inds up by 3.48%, Hindustan Unilever up by 2.26%, Tata Steel up by 2.06% and Bajaj Auto up by 1.56%. While TCS down by 1.92%, ONGC down by 1.87%, Bharti Airtel down by 1.59%, RIL down by 1.54% and HDFC down by 1.14% were the top losers in the index.

On the BSE Sectoral front, Realty up by 1.55%, Capital Goods up by 1.25%, Metal up by 1.17%, Consumer Durables up by 0.81% and PSU up by 0.72% were the top gainers, while IT down by 1.27%, Oil & Gas down by 1.26%, Teck down by 1.01% and FMCG down by 0.23% were the only losers in the space.

Meanwhile, in order to meet the rising domestic coal requirements, Coal India has planned to form a panel of consultants which would help it in acquiring, developing and operating coal mines overseas.

Coal India is eyeing coal assets abroad to meet the domestic demand. Earlier, Coal Ministry had stated that acquisition of coal mines overseas should be done in an aggressive manner to meet India’s rising energy requirements. Taking forward its plans to acquire overseas mines, CIL had recently invited bids for the third phase of drilling in the African nation. It had earlier invited bids from bankers and interested parties for acquiring assets abroad.

India, despite being world’s third-largest producer of coal and fifth largest in terms of reserves, has failed to keep pace with increasing domestic demand. Indian domestic coal demand is around 35 percent higher than domestic supply, resulting into a high deficit of which a huge part is being met by costly imports from Indonesia, South Africa and Australia. The country had imported a record 171 MT coal last financial year to meet domestic requirements. Meanwhile, to boost the domestic coal production, the government has planned to invite bids from private players to start coal mining in a public-private partnership (PPP) mode in the country, which would also end the monopoly of public sector unit Coal India.

The CNX Nifty touched a high and low of 7,433.30 and 7,391.35 respectively.

The top gainers of the Nifty were NMDC up by 5.03%, IDFC up by 3.97%, Hindalco Industries up by 2.74%, PNB up by 2.68% and Hero MotoCorp up by 2.65%. On the other hand, HCL Technologies down by 2.56%, TCS down by 1.91%, ONGC down by 1.86%, Bharti Airtel down by 1.80% and Kotak Mahindra Bank down by 1.67% were the top losers.

The European markets were trading in red, France’s CAC 40 was down by 0.27%, Germany’s DAX was down by 0.19% and United Kingdom’s FTSE 100 was down by 0.23%.

The Asian markets concluded Wednesday’s trade mostly in red, retreating from a seven-month high.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2024.83

-13.47

-0.66

Hang Seng

23151.71

-139.33

-0.60

Jakarta Composite

4932.56

-9.59

-0.19

KLSE Composite

1865.20

-7.35

-0.39

Nikkei 225

15067.96

33.71

0.22

Straits Times

 3280.17

-16.50

-0.50

KOSPI Composite

Taiwan Weighted

9119.96

-3.50

-0.04

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Indian equity benchmarks, recovering entire early losses, staged a smart comeback in the last leg of trade on Thursday and ended the session at their fresh record closing high levels, on hopes of BJP-led NDA winning the general elections. Earlier, key benchmark indices alternately swung between positive and negative terrain as investors remained cautious ahead of final results of elections on May 16, while markets seem to have more or less priced in the exit poll prediction of a majority for the BJP-led National Democratic Alliance (NDA) in the Lok Sabha.

But, volatility ruled the roost in dying hours of trade with the frontline gauges witnessing a sharp jump as sentiments remained up-beat after the annual rate of inflation, based on monthly WPI, easing at 5.20% in month of April, 2014, as compared to 5.70% for the March and 4.77% during the corresponding month of the previous year, as all three major components of the index – food, fuel and manufactured goods – recorded moderation in prices. However, February inflation figures were revised upwards to 5.03% against 4.68% earlier. Some support also came in to the markets after India Meteorological Department (IMD) has predicted that the conditions for the advancement of South west monsoon are favourable and it will be hitting Andamans much earlier than expected.

On the global front, Asian markets reversed most of the early losses and ended mostly in the green. Though, Japanese Nikkei witnessed profit taking while a stronger yen weighed on market sentiment. European shares were trading marginally lower in early deals with investors shrugging off Germany’s robust economic growth during the first quarter.

Back home, buying which emerged in late trade mainly helped the domestic equity markets to re-conquer their crucial 7,100 (Nifty) and 23,900 (Sensex) bastions. Some support came in from currency front, where the rupee firmed up against the dollar and was quoting at Rs 59.30 at the time of equity markets closing as compared to Tuesday’s close of Rs 59.68 on the back of strong inflows in the domestic equity market.

Meanwhile, recovery in banking counter too supported the sentiments, stocks like HDFC Bank, Axis Bank, Kotak Mahindra Bank, Yes Bank etc. edged higher after the RBI panel had recommended a one-licence policy for all banks, irrespective of the ownership pattern. Power stocks too traded with traction as the Centre has announced a nine-member panel, which will identify more blocks, in addition to already selected 54 mines, for sale through competitive bidding to expedite coal auction process. Additionally, tyre stocks too remained on buyers’ radar after Apollo Tyres reported better-than-expected Q4 numbers. The company’s fourth quarter consolidated net profit doubled to Rs 281.6 crore from Rs 141.7 crore in same quarter last year on strong growth in Europe business and strong operational performance.

The NSE’s 50-share broadly followed index Nifty surged by over twenty points to end comfortably above its psychological 7,100 support level, while Bombay Stock Exchange’s Sensitive Index — Sensex surged over ninety points to surpass the psychological 23,900 mark. However, broader markets struggled to get any traction during the session and ended the trade with a cut of around a percent. The market breadth remained in favour of decliners, as there were 1,156 shares on the gaining side against 1,743 shares on the losing side while 136 shares remain unchanged.

Finally, the BSE Sensex gained 90.48 points or 0.38%, to 23905.60, while the CNX Nifty was up by 14.40 points or 0.20%, to 7,123.15.

The BSE Sensex touched a high and a low of 23971.78 and 23742.75, respectively. The BSE Mid cap index was down by 0.83%, while the Small cap index lost 0.86%.

The top gainers on the Sensex were Tata Power up by 3.07%, NTPC up by 2.95%, ONGC up by 2.56%, Gail India up by 2.16% and Hindustan Unilever up by 2.08%. While Bajaj Auto down by 4.28%, Hindalco Inds down by 1.98%, SSLT down by 1.88%, Wipro down by 1.50% and Dr Reddys Lab down by 1.46% were the top losers in the index.

On the BSE Sectoral front, Consumer Durables up by 1.52%, Power up by 0.97%, Oil & Gas up by 0.95%, PSU up by 0.42% and FMCG up by 0.29% were the top gainers, while Realty down by 1.11%, Capital Goods down by 0.90%, Metal down by 0.71%, Teck down by 0.49% and Auto down by 0.46% were the top losers in the space.

Meanwhile, in order to promote the growth and global competitiveness of the IT industry, the National Association of Software and Services Companies (NASSCOM) has prepared a five-point agenda for the new Government formed on May 16. The NASSCOM’ s report suggested five measures including enabling innovation and support entrepreneurship, making the domestic investment easier and simpler, building new markets to promote the growth and global competitiveness of the IT industry, expanding existing markets and focusing on skill development.

The NASSCOM President R Chandrashekhar said that new government can use the strength of the Indian IT industry to achieve the development agenda within the country. Indian IT sector has grown in size and now has a global footprint and there is an opportunity for new government to expand sector’s global footprint, which in turn will also contribute to the domestic transformation and developmental agenda. He added that the new Government needs to ensure that the rules for opening and operating the small business are far simpler than earlier and should take measures for funding the start-ups, and connecting them with academics and research and development.

Information Technology (IT) has emerged as an industry that has not only transformed India’s image on the global platform, but also fuelled economic growth. Present, market size of Indian IT industry stand at around $50 billion and its contribution to Indian GDP has increased from just 1.2 percent in 90’s to around 8 percent in 2013. India is the only country that covers a wide range of segments of this industry such as IT Services, BPM, Engineering & R&D, Internet & Mobility and Software Products. Currently, the US, UK and other European markets contribute to around 90% of the total business of Indian IT sector.

The CNX Nifty touched a high and low of 7,152.55 and 7,082.55 respectively.

The top gainers of the Nifty were ONGC up by 3.36%, Tata Power Company up by 2.65%, GAIL (India) up by 2.59%, Power Grid Corporation of India up by 2.54% and NTPC up by 2.39%. On the other hand, Asian Paints down by 5.73%, Bajaj Auto down by 4.30%, Bank of Baroda down by 3.88%, NMDC down by 3.33% and United Spirits down by 2.43% were the top losers.

Most of the European markets were trading in red, France’s CAC 40 was down by 0.24% and Germany’s DAX was down by 0.04% while, United Kingdom’s FTSE 100 was up by 0.05%.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2024.97

-22.94

-1.12

Hang Seng

22730.86

148.09

0.66

Jakarta Composite

KLSE Composite

1879.83

0.63

0.03

Nikkei 225

14298.21

-107.55

-0.75

Straits Times

 3272.49

13.40

0.41

KOSPI Composite

2010.20

-0.63

-0.03

Taiwan Weighted

8880.65

5.49

0.06

 

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Thursday’s session turned out to be of consolidation as local equity markets took a breather after last three trading sessions ferocious bull-run, which took markets scaling fresh life time high levels with each passing session. Market-participants’ hesitation in initiating fresh bets ahead of the elections’ final result on May 16 combined with record high levels which enticed traders to cash in their profit, mainly led to down session of trade at Dalal Street, which dragged Sensex lower over quarter of a percent and Nifty marginally below the neutral line. However, losses to some extent were capped by the recovery that took place in the late hours of trade. On the political front, most exit polls predicted that Narenda Modi and his alliance will secure a simple majority in India’s legislature, or 272 of parliament’s 543 seats. Notably, the session clearly belonged to broader indices, which for yet another session accumulated massive gains of over a percent.

On the global front, Asian stocks rose amid speculation that China will do more to support the property market, however gains were capped as investors continued to monitor the ongoing crisis in the Ukraine, where pro-Russian separatists ambushed Ukrainian troops on Tuesday, killing seven. On the flip side, European shares eased from multi-year highs on Wednesday and the euro licked its wounds after slumping to a five-week low as the focus shifted to an economic outlook from the Bank of England for clues on when UK interest rates will rise.

Closer home, despite being the lackluster session of trade, majority of the sectoral indices settled into positive terrain, with the prominent gainers being the stocks from Realty, Metal and Consumer Durable counters. On the flip side, much of profit-booking was witnessed in stocks from Oil & Gas counter, followed by Capital Goods and Information Technology counters that ended with cut of over 0.25%. On the gainers’ side, state-run banks gained after a committee appointed by Reserve Bank of India (RBI) proposed on Tuesday the Indian government should cut its stakes in state banks to below 50%. Besides, steel stocks witnessed massive demand, with all JSW Steel, Steel Authority of India (SAIL), and Jindal Steel & Power gaining in the range of 1.5%-6%. The market breadth on the BSE ended positive; advances and declining stocks were in a ratio of 1689: 1222, while 131 scrips remained unchanged. (Provisional)

The BSE Sensex soared 56.11 points or 0.24% to settle at 23815.12. The index touched a high and a low of 23964.67and 23753.36 respectively. Among the 30-share Sensex, 15 stocks gained, while 15 stocks declined. (Provisional)

The broader indices too shut shop with massive gains; while BSE Mid cap index ended higher by 1.12%, Small cap index settled with gains of 1.24%.(Provisional)

On the BSE Sectoral front, Realty up by 4.32%, Metal up by 3.22%, Consumer Durables up by 2.28% , PSU up by 1.84% and Power up by 0.83% were the gainers while, Oil & Gas down by 0.78%, Capital Goods down by 0.36%, IT down by 0.31% , Health Care down by 0.30% and Auto down by 0.03%  were the losers in the space. (Provisional)

The top gainers on the Sensex were Tata Steel up by 6.11%, Coal India up by 3.29%, Bajaj Auto up by 2.77%, SSLT up by 2.62% and NTPC up by 2.36% while, Mahindra & Mahindra down by 3.34%, Dr Reddys Lab down by 3.24%, HDFC down by 2.04%, RIL down by 1.59% and BHEL down by 1.51% were the top losers in the index (Provisional).

India currently is the fourth largest oil consumer in the world behind the US, China and Japan, and imports around 80 percent of its oil needs. In the previous year 2013, India had overtaken Japan as the world’s third-biggest crude oil importer. It imported 3.86 million bpd of crude oil in 2013, nearly 6 percent higher than Japan’s customs-cleared imports of 3,648,372 bpd. The US EIA report estimates that India will become the world’s largest oil importer by 2020. Meanwhile, the Government of India (GoI) has formulated a roadmap for cutting India’s dependence on imports to meet its oil needs. The Government wants country’s oil imports dependence to be cut to 50 percent by 2020 and by 25 percent in 2025 through intensive exploration and exploitation of untapped reserves. Presently, only 0.93 million sq km area in India is held under exploration and production in 19 basins as compared to total estimated sedimentary area of 3.14 million square kilometres, comprising 26 sedimentary basins.

India VIX, a gauge for markets short term expectation gained 1.16% at 32.42 from its previous close of 32.06 on Tuesday. (Provisional)

The CNX Nifty ended flat at 7,108.40. The index touched high and low of 7,142.25 and 7,080.90 respectively. Out of 50 stocks in Nifty, 30 stocks ended in the green and 20 in red.

The major gainers of the Nifty were Bank Baroda up 9.60%, Jindal Steel up by 5.95%, Tata Steel up by 5.95% , DLF up by 5.45% and NMDC up by 5.07%.  On the flip side, the key losers were M&M down by 3.67%, DR Reddy down by 3.48%, HDFC down by 1.91%, Reliance down by 1.74% and HDFC Bank down by 1.71%. (Provisional)

European markets were trading in red; France’s CAC 40 was down by 0.15%, UK’s FTSE 100 was down by 0.02% and Germany’s DAX was down by 0.06%.

The Asian markets concluded Wednesday’s trade mostly in green, following a record close for the Dow and S&P 500 on Wall Street. Southeast Asian currencies rallied as US economic data that trailed estimates weakened the greenback, and political developments in Indonesia spurred the rupiah to its biggest gain since March. A set of unexpectedly weak activity data for April pointed toward a stalling economic recovery in China, reviving expectations that the government will continue policies aimed at nurturing growth. New home sales in China declined at a faster rate in the first four months of this year, by both value and volume, as the lack of enthusiasm among homebuyers continued. The value of new homes sold across the country dropped 9.9% from the same period a year earlier to 1.53 trillion yuan ($246 billion) during the January-April period. In the first quarter, the value fell 7.7% year on year. Japan’s Corporate Goods Price Index rose to a seasonally adjusted annual rate of 4.1%, from 1.7% in the preceding month. South Korean Unemployment Rate rose to a seasonally adjusted annual rate of 3.7%, from 3.5% in the preceding month.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2047.91

-2.82

-0.14

Hang Seng

22582.77

230.39

1.03

Jakarta Composite

4991.64

70.24

1.43

KLSE Composite

1879.20

13.12

0.70

Nikkei 225

14405.76

-19.68

-0.14

Straits Times

 3259.09

36.66

1.14

KOSPI Composite

2010.83

27.90

1.41

Taiwan Weighted

8875.16

57.22

0.65

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