Moneycontrol Bureau
9:55 am Market check: The market somersaulted into green with some smart gains. The Sensex is up 159.14 points or 0.6 percent at 28104.94 and the Nifty is up 45.10 points or 0.5 percent at 8490.00. About 1289 shares have advanced, 472 shares declined, and 100 shares are unchanged.
Lupin, BHEL, Cipla, HDFC and Bajaj Auto are top gainers while Wipro, Tata Motors, coal India and Hindalco are major losers in the Sensex.
9:40 am Market outlook: The market currently is offering lot of opportunity to enter for the long-term believes Deven Choksey of KR Choksey Shares & Securities. It is the right time to build a portfolio for two years and above, he says.According to him one should look at buying frontline stocks that are available at good valuations. If the market corrects going forward due to global or local newsflow then it should be utilised to accumulate them in once portfolio, says Choksey.With the government rolling out its digital and agri plans, Choksey sees lot of opportunities in good quality midcap spaces like media and agriculture.He is still bullish on the two top IT companies. According to him these companies are showing a good amount of courage in building new business models which could last for two decades and one should buy them into the portfolio even though they may miss one-two quarters.
9:30 am Big buzzing: Shares of Jubilant Foodworks jumped 2 percent, hitting record high at Rs 1917 per share. Bank of America Merrill Lynch has increased target on Jubilant Foodworks to Rs 2100 per share while reiterating buy rating on the stock. The brokerage expects samestore sales growth (SSSG) and margins healthy growth in April-June quarter stating that Quick Service Restaurants (QSR) industry is close to a cyclical resurgence and the Domino’s franchise owner will be a key beneficiary.
BoA ML expects 6-7 percent SSSG in Q1FY16 while revenue and profit-after tax to grow at 25 percent and 30 percent (year-on-year) respectively. While gross margins are likely to be stable, EBITDA margins can improve YoY led by operating leverage, it adds.
Don't miss: 5 reasons why Barclays rates Lupin OW post Russian foray
The market has opened flat as the Sensex is up 37.59 points at 27983.39 and the Nifty is down 4.80 points at 8440.10. About 372 shares have advanced, 141 shares declined, and 75 shares are unchanged.
ONGC, Lupin, HDFC, Tata Steel and BHEL are top gainers in the Sensex while Dr Reddy's, NTPC, TCS, Axis Bank and HUL are among major losers.
The rupee extended its upmove in early trade Friday. The currency has opened at 63.43 a dollar, up 8 paise compared to 63.51 per dollar in previous session. It gained 10 paise yesterday.
Pramit Brahmbhatt, Veracity said any upper movement in dollar will keep rupee under pressure. The concern raised over Greece debt issue will continue to hover the markets which may force local equities to open weak, he adds. He expects the rupee to be ranged between 63.20-63.80/USD.
Dollar slipped marginally against a basket of major currencies after US jobs data came in below expectations, pushing out bets for a Federal Reserve rate hike to 2016, while caution ahead of this weekend's Greek referendum limited losses. The dollar index is above the 96 mark.
In Asia, equities trade lower following their US peers. US stocks closed flat as investors eyed a soft jobs report and were on edge ahead of Greece’s Sunday referendum. Trade volume was light ahead of the Independence Day holiday today.
On the economic data front US non-farm payrolls showed a creation of 223,000 jobs and an unemployment rate of 5.3 percent, both slightly lower than expectations. Weekly jobless claims came in at 281,000, while factory orders for May showed a 1 percent decline.
European equities closed mostly lower on Thursday, as investors awaited a high-profile referendum in Greece over the weekend.
Meanwhile, the International Monetary Fund (IMF) warned in the preliminary draft of its latest debt sustainability report. It said that Greece would need an extension of its European Union loans and a large debt write-off if it grows more slowly than expected and economic reforms are not implemented.
Crude prices remain steady after US oil drilling this week increased for the first time after 29 weeks of decline.
Gold rebounds slightly from a three and a half month low after soft jobs data in US indicated that the Federal Reserve may hold off from raising interest rates in September.
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