Closing Bell: Market ends flat amid volatility; auto, metal, realty drag

Amol Athawale, Technical Analyst (DVP), Kotak Securities

The lacklustre trend continued to prevail as investors stayed cautious due to concerns over further rate hikes in the US and European nations and ensuing global economic slowdown. Investors are also concerned that any further disappointment in corporate earnings from bluechip companies could worsen the sentiment going ahead.

Technically, on weekly charts the Nifty has formed a long bearish candle which is largely negative. After a short term correction the Nifty has been consistently taking support near the 200-day SMA (Simple Moving Average).

For the traders, 17,550 would be the immediate support level while 17,650 could act as an important resistance zone. Below the same, the market could slip till 17,450 -17,400. Above 17,650, the chances of hitting 17,750-17,800 would turn bright.

Meanwhile, Bank Nifty is witnessing a range bound activity, with 42,400 acting as a key resistance zone, and above the same it could rally till 42,700-42,800. On the other side, below 41,900, the index could slip till 41,500-41,200.

Rupak De, Senior Technical Analyst at LKP Securities

The Nifty continues to witness a time correction as the benchmark index remained mostly range-bound before closing flat. After correcting from the recent high of 17,863, Nifty has been consolidating around the 200-day moving average for the last three days. So far, the bulls have been able to hold the Nifty above the long-term average of 200 DMA, which is considered the line of polarity for long-term investment.

A fall below 200 DMA, currently pegged at 17,605, might trigger a panic button. Below 17,600, the Nifty may slip towards 17,400. On the higher end, a resistance is placed at 17,700, above which the index may move towards 18,000.

Kunal Shah, Senior Technical & Derivatives Analyst at LKP Securities

The Bank Nifty index witnessed a volatile trading session and it closed around the critical support zone of 42,000. The index is consolidating in a broad range between 42,000-42,500 and a break on either side will have trending moves.

The index if it fails to hold the support of 42,000 on a closing basis will witness further downside toward the 41,500 level.

Dilip Parmar, Research Analyst, HDFC Securities

The Indian rupee heads higher for the second day in a row and is one of the best-performing currencies so far this month. However, the local unit marked the first weekly decline in four amid risk-off sentiments and mixed economic data.

Spot USDINR is still lacking the directional move amid low volatility and thin volumes in the absence of fresh cues. The pair has resistance at 82.27, the 100 days simple moving average, and support at 81.77, a recent swing low.

Shrey Jain, Founder and CEO – SAS Online

The current focus of the market is on the ongoing Q4 sector, which has a negative bias due to initial results falling below expectations, particularly in the IT sector, although some IT midcaps may exceed market expectations. However, Banking is giving early signs of sustained strength.

With global sentiment being cautious, due to expectation of another rate hike and mixed earnings released in the US, the market trend has been impacted by the withdrawal of foreign institutional investors during the week.

Rupee Close:

Indian rupee ended higher at 82.09 per dollar against previous close of 82.15.

Market Close:

Benchmark indices ended flat in the volatile session on April 21.

At close, the Sensex was up 22.71 points or 0.04 percentat 59,655.06, and the Nifty was down 0.50 points or flatat 17,624. About 1,498 shares advanced, 1,866 shares declined, and 135 shares were unchanged.

TCS, ITC, Britannia Industries, Wipro and Asian Paints were among the major gainers on the Nifty, while losers were HDFC Life, Tech Mahindra, Adani Enterprises, SBI Life Insurance and Maruti Suzuki.

Among sectors, realty index down 2 percent, while auto and metal indices down 1 percent each.

The BSE midcap and smallcap indices ended marginally lower.

Hindustan Zinc Q4 results

The company posted an 11.8 percenyfall in its fourth quarter net profit at Rs 2,583 crore as against Rs 2,928 crore corresponding period year ago. Revenue was also down 3.3 down on yearat Rs 8,509 crore versus Rs Rs 8,797 crore in the previous year.

Hindustan Zinc was quoting at Rs 323.60, down Rs 3.70, or 1.13 percent.

Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas

Indian Rupee traded on a flat on Friday. weak domestic equities and some strength in US Dollar put downside pressure on Rupee. However, weak crude oil prices cushioned the downside. Dollar declined on Thursday as economic data from US led to renewed concerns over recession while most Fed officials are maintaining a hawkish rhetoric citing high inflation. There are rising odds of a 25-bps rate in the upcoming FOMC meeting.

We expect Indian Rupee to trade with a negative bias on risk aversion in global markets amid concerns over global economic slowdown and positive US Dollar. FII outflows may also put further downside pressure on the domestic currency. However, softening of crude oil prices may prevent sharp fall in Rupee. Market participants may remain cautious ahead of manufacturing and services PMI data from US. USDINR spot price is expected to trade in a range of Rs 81.70 to Rs 82.80 in the near term.

PNC Infratech gets letter of acceptance worth Rs 819 crore

PNC Infratech has received Letter of Acceptance (LOA) from the Ministry of Road Transport & Highways (MORT&H)

The project includes construction of 4-lane highway from Km 49.155 to Km 74.700 (Singraur Uphar to Baranpur Kadipur Ichauli) of NH-731A with paved shoulders (i/c Ganga Bridge) in the state of Uttar Pradesh on Hybrid Annuity Mode (Package-II I).

PNC Infratech was quoting at Rs 283.45, up Rs 6.45, or 2.33 percent.

ITC extends rally. Stock price inches closer to Rs 410

Market at 3 PM

The Sensex was up 41.79 points or 0.07 percentat 59,674.14, and the Nifty was up 0.30 points or flatat 17,624.80. About 1,336 shares advanced, 1,858 shares declined, and 113 shares were unchanged.

BSE Auto index shed 1 percent dragged by TVS Motor, Tube Investment, Ashok Leyland

JPMorgan View On ICICI Prudential Life Insurance Company

-Neutral rating, target at Rs 480 per share
-Delivered a large beat in Q4 on leveraging industry wide momentum in non-linked savings
-Key positive was beat came without contribution from ICICI Bank
-Management was upbeat on FY24 growth led by four years of investment in other channels
-Management didn’t show base-effect concerns due to windfall gain in March

ICICI Prudential Life Insurance Company was quoting at Rs 443.85, down Rs 12, or 2.63 percent on the BSE.

Dollar heads for first weekly gain since February

The dollar headed for its first weekly gain in nearly two months on Friday as investors raised their bets that the Federal Reserve will increase rates in May, while the euro drew some support from a surprising recovery in the euro zone economy in April.

The dollar index, which measures the performance of the U.S. currency against six others, rose 0.2% on the day and headed for a weekly gain of 0.4%, its first since late February.

UBS view on Jubilant Foodworks

Global research and broking firm UBS has upgraded its rating on Jubilant FoodWorks, the India franchise of Domino's Pizza in India to "buy". The stock is trading at a 30 percent discount to its five-year average valuation, making it an attractive entry point for investors, it said in a report.

"The company plans to continue its growth trajectory through aggressive store additions, regular capital expenditure to strengthen the supply chain, focus on new brands, superior operational efficiencies, use of technology, and a better value proposition," UBS said.

The firm has kept its target price on the stock unchanged at Rs 600 per share, modeling a revenue/EBITDA/EPS compounded growth of 19 percent/22 percent/33 percent over FY23-27. In this time period, Jubilant might add ~800 stores of Domino's.

Data Alert |Eurozone April Services PMI rises to 56.6 vs est of 54.5;Eurozone April Manufacturing PMI at 45.5 vs est of48

Data Alert | UK April Services PMI rises to 54.9 vs est of 52.8; UK April Manufacturing PMI at 46.6 vs est of 48.4

Nuvama view on Bata India

Brokerage firm Nuvama Institutional Equities has initiated coverage on Bata India with a 'hold' rating and given a target price of Rs 1,548 a share.

Despite taking several initiatives over the past two decades to revive growth, Bata India's overall growth has lagged behind its peers, despite pockets of improvement. Nuvama attributes this jagged growth trajectory to legacy brand perception, muted marketing spend, and limited wholesale/online mix.

While Bata India continues to take steps to improve growth, a definitive change in its perception as an aspirational brand is necessary for sustained growth. However, this is a difficult task to accomplish. Although increased online/wholesale contributions may provide some incremental growth, it is unlikely to significantly alter the company's trajectory, Nuvama said.

Markets at 2 PM

The Sensex was down 40.55 points or 0.07 percent at 59,591.80, and the Nifty was down 19.20 points or 0.11 percent at 17,605.30. About 1,313 shares advanced, 1,838 shares declined, and 115 shares were unchanged.

Gold prices dip with Fed rate trajectory in focus

Gold prices slipped on Friday as the dollar firmed, while soft U.S. economic data reinforced expectations that the U.S. Federal Reserve would pause its tightening cycle after delivering one more rate hike next month.

Spot gold was down 0.4 percentat $1,996.92 per ounce, as of 0612 GMT, after rising 1percenton Thursday. Bullion has lost about 0.3 percent so far this week.

U.S. gold futures shed 0.7percentto $2,005.70.

Mohammed Imran, Research Analyst at Sharekhan by BNP Paribas

The weaker set of economic numbers from US has once again renewed the recessionary fear and has started outweighing the OPEC+ related supply fear. WTI Oil prices have declined 7 percentfor the week so far and is headed for its first weekly decline after five weeks of consecutive gains.

The sentiments have turned bearish with expectation of further rate hike fuelling recession fear that could dent the oil demand. On brighter side the US refiners have increased their utilisation rate to 91percentlast week, in anticipation of summer driving demand starting from June-1st.

On the other hand, China may cut quotas for refined oil products exports in a second batch for 2023 as domestic demand improves while the need to boost its economy through oil product exports abates.

We expect oil prices to trade between $74-$80 range for the upcoming week. Medium to long term prospect remain bullish but short term could see uneven trading pattern amid uncertainty over US Fed rate hike decision.

CCI approves acquisition of up to 76.10% of voting share capital of Suven Pharmaceuticals by Berhyanda

The Competition Commission of India (CCI) has approved the acquisition of up to 76.10percentof the voting share capital of Suven Pharmaceuticals by Berhyanda.

Berhyanda is the wholly owned subsidiary of Berhyanda Midco, i.e., in turn the wholly owned subsidiary of Jusmiral Midco, which is collectively controlled by the Advent International GPE IX Funds and the Advent International GPE X Funds, which are ultimately managed by Advent International Corporation.

Suven Pharmaceuticals was quoting at Rs 470.80, down Rs 0.80, or 0.17 percent on the BSE.

Laxmi Organic Industries' board has approved the borrowing of funds up to Rs 2,000 crore.

Bank Of Baroda board approves fundraising

Board of Directors of Bank of Baroda have considered and approved raising of foreign currency fund through issuance of Bonds upto USD 1.00 Billion under Bank's MTN programme and through issuance of Certificate of Deposits upto USD 3.00 Billion under CD programme in single or multiple tranches at appropriate time.

Board of Directors have also considered and approved raising of funds through bilateral / other borrowings up to USD 3.00 Billion.

Bank Of Baroda was quoting at Rs 175.20, down Rs 2.40, or 1.35 percent.

Market at 1 PM

The Sensex was down 148.55 points or 0.25 percentat 59,483.80, and the Nifty was down 51.10 points or 0.29 percent at 17,573.40. About 1,291 shares advanced, 1,834 shares declined, and 108 were shares unchanged.

Nippon India Mutual Fund picks 0.3% stake in PNB Housing Finance

Nippon India Mutual Fund has bought 5 lakh equity shares or around 0.3 percent stake in PNB Housing Finance via open market transactions at an average price of Rs 133 per share. Goldman Sachs Investments Mauritius I Limited was the seller in this deal.

Solar Industries arm signs contract with Ministry of Defense

M/s Economic Explosives Ltd wholly owned subsidiary of Solar Industries India Ltd has signed a contract on 20th April 2023, for supply of Loitering Munition with Ministry of Defense, Government of India.

The contract is for value of Rs 212 crore to be delivered within a period of 1 Year

Solar Industries India was quoting at Rs 3,765.00, up Rs 0.60, or 0.02 percent.

Finolex Cables to set up a plant at Pune facility for Rs 290 crore

Finolex Cables would set up a plant at Urse facility in Pune to produce optical fibre preforms as well as expand on its fibre draw capacity. The plant with an initial capacity of 100 tons of preforms, is being set up at a cost of Rs 290 crore, and would be funded entirely out of internal accruals.

Finolex Cables was quoting at Rs 855.00, down Rs 2.70, or 0.31 percent on the BSE.

India Grid Trust raises long term NCDs from IFC aggregating to Rs 1,140 crore

International Finance Corporation (IFC) has subscribed to a listed NCD issuance of India Grid Trust aggregating to Rs 1,140 crore. With a total tenure of 18 years, the NCD were priced at a competitive rate that is fixed for a long tenure.

IndiGrid plans to utilize this debt for funding its upcoming refinancing opportunities in FY24.

India Grid Trust RE was quoting at Rs 15.35, up Rs 0.35, or 2.33 percent on the BSE.

Market at 12 PM

The Sensex was down 34.66 points or 0.06 percentat 59,597.69, and the Nifty was down 19.50 points or 0.11percentat 17,605.00. About 1,345 shares advanced, 1,736 shares declined, and 110 shares were unchanged.

Life Insurance Corporation premium in March drops 32%

The premium of Life Insurance Corporation of India in March FY23 dropped 32 percentcompared to year-ago month, but premium for FY23 grew by 17percentover previous year. The retail annual premium equivalent growth stood at 10percentYoY in March, reports CNBC-TV18.

Life Insurance Corporation of India was quoting at Rs 547.40, down Rs 4.60, or 0.83 percent.

Elara Capital View on HCL Technologies

Elara Capital factor in Q4 performance and roll forward to Mar-25E ending EPS. It cut FY24E/25E EPS 5 percent/5.4 percent.

Broking firm retain reduce, with Target Price unchanged at Rs 1,020 based on Mar-25E ending EPS and multiple of 15.4x (7percentdiscount to10-year average).
Expect a USD revenue CAGR of 7.6percent,an EBITDA CAGR of 10.8percentand a PAT CAGR of 10.3percentin FY23-25E.

HCL Technologies was quoting at Rs 1,043.30, up Rs 5.75, or 0.55 percent.

Vodafone Idea shares gain 10% on KM Birla's return to board

Shares of the cash-trapped telecom company, Vodafone Idea notched around 10 percent gains in early trade on April 21 after Kumar Mangalam Birla made a comeback to the company's board as an additional director.

Birla had resigned from his position as the company's chairman in 2021 when Vodafone Idea's financials were under a turmoil.

Dr. Reddy's Laboratories launches Treprostinil Injection in the US market

Dr. Reddy's Laboratories announced the launch of Treprostinil Injection in the U.S. market, a therapeutic equivalent generic version of Remodulin (treprostinil) Injection, approved by US Food and Drug Administration (USFDA).

Dr. Reddy’s Treprostinil Injection is supplied as 20 mg/20 mL, 50 mg/20 mL, 100 mg/20 mL or 200 mg/20 mL vials.

Dr Reddy’s Laboratories was quoting at Rs 4,854.00, down Rs 4.05, or 0.08 percent on the BSE.

Power Mech Projects has received orders worth Rs 720 crore.

Power Mech Projects was quoting at Rs 2,497.65, up Rs 29.85, or 1.21 percent.

Dollar snaps five-week losing streak; eyes on PMI data

The dollar looked set for its first weekly gain in more than a month on Friday as bets for another rate hike by the Federal Reserve in May firmed, while traders looked ahead to a slew of Purchasing Managers' Index data releases to cap the week.

The dollar rose against most major currencies in Asia trade save for the Japanese yen, where the greenback was last 0.26% lower at 133.89 yen.

Rail Vikas Nigam rises 2% after consortium with Siemens wins Gujarat Metro orders

Shares of Rail Vikas Nigam edged up 2 percent on April 21 after a consortium of Siemens and the public sector company bagged two orders from Gujarat Metro Rail Corporation.

Siemens Ltd, as part of a consortium along with Rail Vikas Nigam Ltd, received two separate orders from Gujarat Metro Rail Corporation Ltd (GMRCL)," a BSE filing by Siemens confirmed.

The orders are for Surat Metro Phase 1 (over 40 kilometres covering 38 stations and 2 depots) and Ahmedabad Metro Phase 2 (over 28 kilometres covering 23 stations and 1 depot).