Vinod Nair, Head of Research at Geojit Financial Services
The Indian benchmark indices showcased a strong opening, and although it gave up some gains, still managed to close with a positive bias.
Global cues were mostly negative ahead of expected policy statements by the US Fed Reserve Chairman and also due to the ongoing US-China trade tensions.
Domestically, autos and financials contributed most to the gains after favourable earnings commentary and some earning upgrades prompted investor action.
Global markets will react to the Fed Reserve statements, later in the day, and are expected to affect market movements tomorrow.
August 27, 2020 / 03:38 PM IST
Market closing: Market benchmarks ended in the green for the fifth consecutive session on August 27, supported by gains in select heavyweights such as HDFC, Axis Bank, Mahindra & Mahindra, SBI, ICICI Bank and IndusInd Bank.
However, losses in shares of Reliance Industries, HDFC Bank, Kotak Mahindra Bank and Infosys offset most gains of the benchmark.
Sensex closed 40 points, or 0.10 percent, up at 39,113.47 and Nifty settled 10 points, or 0.084 percent, up at 11,559.25.
BSE Midcap index closed flat while the Smallcap index ended 0.35 percent higher.
Among the sectoral indices, BSE Energy fell over a percent. Oil & Gas, Utilities, Telecom, FMCG also ended in the red. On the other hand, BSE Realty surged 6.63 percent.
Buzzing stocks: Shares of IndusInd Bank surged over 9 percent while those of State Bank of India (SBI) climbed over 3 percent in intraday trade on BSE on August 27 after the global financial firm UBS upgraded the stocks to 'buy' from 'sell'.
"Bank stocks are down 12-62 percent year-to-date and have underperformed the broader markets. We think the sector’s downside risks are limited and upgrade IndusInd Bank and SBI from sell to buy," UBS said in a note.
UBS has a target price for IndusInd bank at Rs 675 and for SBI at Rs 260.
"We reduce FY21E GNPL formation and credit costs but raise our NIM estimates, resulting in a 17-115 percent lift in FY21E earnings for the banks we cover. Our estimates are 4-30 percent higher than consensus for select coverage banks," UBS said.
August 27, 2020 / 02:55 PM IST
Max India to relist on Indian bourses on Friday
Max India Limited will list and start trading on the National Stock Exchange (NSE) as well as the Bombay Stock Exchange (BSE) on August 28, 2020, the company said in a media release today.
The listing, as per the company, will unlock value for shareholders of erstwhile Max India, allowing them with pure play access to the sunrise and high-potential senior-care sector.
Max India, earlier known as Advaita Allied Health Services Limited, is a part of the $3 billio Max Group.
Advaita was formed as a result of the merger of the healthcare assets of the erstwhile Max India into Max Healthcare and demerger of the senior-care and other businesses of Max India into Advaita on June 1, 2020.
Each shareholder has received one share of new Max India with a face value of Rs 10 for every 5 shares of erstwhile Max India, which had a face value of Rs 2 each.
August 27, 2020 / 02:39 PM IST
Most active stocks on NSE in terms of value
August 27, 2020 / 02:25 PM IST
Tapan Patel- Senior Analyst (Commodities), HDFC Securities: Crude oil prices traded flat with NYMEX WTI Crude oil prices kept the firm trading range above USD 43 on Thursday. MCX Crude oil September futures were trading down by nearly 1 percent on sharp rupee appreciation to Rs 3202 by noon. Crude oil prices are holding firm range as US Gulf coast refineries and offshore operating facilities are bracing for impact from Hurricane Laura. Hurricane Laura poses the region’s biggest storm threat since Hurricane Katrina in 2005, which caused a 90 percent shutdown. The lower demand on slower economic growth has kept upside limited in crude oil prices.
We expect oil prices to trade sideways to up for the day with support at USD 42 and resistance at USD 45 MCX Crude oil September futures has support at Rs 3150 with resistance at Rs 3270.
August 27, 2020 / 02:12 PM IST
Rupee ends: Rupee ends at 73.81 per US dollar against August 26 close of 74.30 per US dollar
August 27, 2020 / 02:03 PM IST
GMR Infra may launch Rs 2,000- Rs 3,000 crore QIP in October: Diversified conglomerate GMR Infra, which recently completed the sale of a 49 percent stake in its airport business to France’s Groupe ADP, is back on the hunt for funds. The Delhi-headquartered firm that is present in the airport, energy and highway segments is now evaluating the launch of a qualified institutional placement (QIP) to reduce the debt on its balance sheet, people with knowledge of the matter told Moneycontrol.