Closing Bell: Nifty ends above 16,600, Sensex gains 209 pts led by IT stocks; metals drag

Ashis Biswas, Head of Technical Research at CapitalVia Global Research

The market witnessed some lackluster movement and an attempt to hold the support level around the Nifty 50 Index level of 16500. It is going to be crucial for the short-term market scenario to sustain above the 16500.

If the market is unable to sustain the level of 16500, the market witness lower levels of 16350. The momentum indicators like RSI and MACD showing signs of reversal in the market.

Market Close:

The last hour buying pushed the benchmark indices to the record high led by the IT stocks.

At close, the Sensex was up 209.69 points or 0.38% at 55792.27, and the Nifty was up 51.60 points or 0.31% at 16614.60. About 1090 shares have advanced, 2009 shares declined, and 111 shares are unchanged.

TATA Consumer Products, Wipro, Tech Mahindra, Nestle and HUL were the top Nifty gainers. JSW Steel, Tata Motors, Adani Ports, IndusInd Bank and Coal India were among the top losers.

On the sectoral front, Nifty IT and FMCG indices were up 1-2.5 percent, while metal and PSU Bank indices fall 2 percent each.

AnandRathi on Suven Pharmaceuticals:

We expect strong, 18.5%/ 21.4%, CAGRs in revenue/profit over FY21-23, driven by commercial supplies for two specialty-chemical products (one in the pharma division), and the launch of 3-5 formulation products a year.

We raise our FY22e/FY23e PAT 1.6%/4.9%. We retain our buy rating, with a higher target of Rs 630 (earlier Rs 560).

Nifty FMCG index up over 1 percent led by the Tata Consumer, Jubilant FoodWorks, HUL

BSE Realty index fell nearly 1 percent dragged by the Indiabulls Real Estate, Godrej Properties, Sunteck Realty

Market at 3 PM

Benchmark indices were trading flat in the volatile session with selling seen in the metal and banking names, while IT stocks gained.

The Sensex was up 148.28 points or 0.27% at 55730.86, and the Nifty was up 34.60 points or 0.21% at 16597.60. About 942 shares have advanced, 1984 shares declined, and 84 shares are unchanged.

Vedanta share price falls 12%:

Vedanta share price fell 12 percent on August 17 after Madras High Court issues notice on remediation of contaminated sites at Tuticorin unit.

Madras HC issued a notice on remediation of contaminated sites at Tuticorin unit after a PIL against the company. The PIL demands that Vedanta remove all contaminated material within Sterlite copper plant, reported CNBC-TV18.

Motilal Oswal on Kaveri Seed

Despite market share gains in cotton seed in Gujarat and Haryana, company lost sales in AP, Telangana, and Karnataka due to (a) lower acreage, (b) loss of volume market share due to lockdown related restrictions, and (c) higher HTBt seed sales. This resulted in overall revenue decline of 12% in 1QFY22; thereby, the company lost the season for FY22.

However, company is well on track to diversify from cotton seed sales by increasing the share of rice and vegetables - which are not only growing at a faster pace but also yielding higher margins (v/s the Cotton segment).

We value the company at 13x FY23E EPS (in line with five-year average P/E) to arrive at target price of Rs 710. Maintain buy.

Kaveri Seed Company was quoting at Rs 576.30, down Rs 30.30, or 5.00 percent.

Hindustan Zinc defers Board meet scheduled for today:

The Board meet of Hindustan Zinc which was scheduled for August 17, 2021 to consider interim dividend for financial year 2021-2022has been deferred. Accordingly the record date of August 26, 2021 stands called off, the company said in a BSE filing. The stock was trading at Rs 316.50, down Rs 14.60, or 4.41 percent. It has touched an intraday high of Rs 332.60 and an intraday low of Rs 314.20.

Tapan Patel- Senior Analyst (Commodities), HDFC Securities

: Crude oil prices traded lower with benchmark NYMEX WTI crude oil prices were trading over half a percent down near $66.67 per barrel for the day. MCX Crude oil August futures were down by 0.68% at Rs 4972 per barrel by noon.

Crude oil prices are expected to trade down for the day with resistance at $68 and support at $65 per barrel. MCX Crude oil August has support at Rs 4910 and resistance at Rs 5060.

European markets are trading in the red with CAC and DAX down half a percent

Market update at 2 PM:

Sensex is up 33.80 points or 0.06% at 55616.38, and the Nifty shed 2.30 points or 0.01% at 16560.70. Tech Mahindra, Tata Consumer and Wipro are the top gainers while INdusInd Bank, M&M and L&T dragged the most.

Crude Updates:

Oil prices fell on Tuesday, paring earlier gains, as expectations that major producers will not boost supply any time soon were outweighed by worries over slowing demand amid a spike in the Delta variant of coronavirus infections.

Steel Strips Wheels to consider stock split:

Steel Strips Wheels share price locked at 5 percent upper circuit on August 17 as company board to consider stock split on September 3.

"A meeting of the board of directors of the company is scheduled to be held on September 3, 2021, to consider and approve the sub-division/split of the equity shares of face value of Rs 10 each of the company," as per the release.

Sterlite Power Transmission files draft papers for IPO:

Sterlite Power Transmission, led by billionaire Anil Agarwal, has filed draft papers to raise up to Rs 1,250 crore through an initial public offering (IPO).

Sterlite has filed its draft red herring prospectus (DRHP) with market regulator Securities and Exchange Board of India (SEBI).

The company has appointed Axis Capital, ICICI Securities, and JM Financial as the book running lead managers for the issue. The shares of the company will be listed on BSE and the NSE.

Nifty Bank index fell 1 percent dragged by the IDFC First Bank, RBL Bank, Federal Bank:

TCS share price hits fresh record high:

Technology major Tata Consultancy Services (TCS) share price added over a percent in a trade on August 17. The stock hit a fresh record high of Rs 3,520 on the BSE and was trading at Rs 3,517.55, up Rs 45.80, or 1.32 percent.

The rise in share price pushed the market capitalisation of the IT firm beyond the Rs 13 lakh crore mark at Rs 13,00,604.96 crore.

According to an exchange filing by the company, the IT major was ranked among the top four supply chain service providers, as per HFS Research.

RBI introduces the financial inclusion index

Reserve Bank of India (RBI) has introduced the financial inclusion index to capture extent of financial inclusion across the country.

The index is to incorporate details of banking, investments, insurance, postal & pension sector, RBI said.

Nifty Auto index slipped 1 percent dragged by the Tube Investments, M&M, Bosch, Ashok Leyland:

Market at 1 PM

Benchmark indices erased the intraday gains and trading lower dragged by the metal, auto and banking names.

The Sensex was down 118.96 points or 0.21% at 55463.62, and the Nifty was down 49.20 points or 0.30% at 16513.80. About 901 shares have advanced, 1950 shares declined, and 99 shares are unchanged.

Gaurav Garg, Head of Research, CapitalVia Global Research:

The Indian benchmark had a slightly negative start but soon the losses got wiped up and market tried to sustain above the level of 16500. Finance Minister Nirmala Sitharaman said she expected inflation to stay within the prescribed range during the current fiscal year, which boosted sentiments in the market among the traders.

RBI has also mandated to keep the inflation at 4 percent which will also keep the sentiments positive in the market. It will also decrease the worry among the investors regarding the ongoing inflation problems in the market.

Our research suggests that 16500 will be an important support level in the short term, if the market sustains above this level, we can expect the market to remain positive and gain momentum, leading to an upside projection till 16700-16750 level.

Asia shares ease on worries over China crackdown, COVID-19 spike

Asian shares stumbled on Tuesday, rattled by concerns over China's regulations for its once-freewheeling internet sector and the worldwide spike in COVID-19 infections driven by the Delta variant.

Nomura on ICICI Bank:

Research house Nomura has maintained buy rating on ICICI Bank with a target at Rs 825 per share.

The company has stronger balance sheet and better earnings growth.There was a substantial provision buffer to tide over COVID-related stress, & deliver 15% RoE by FY23.

ICICI Bank was quoting at Rs 693.55, down Rs 8.95, or 1.27 percent on the BSE.

Over 150 stocks hits their 52-week high including Wipro, Tech Mahindra, Titan, Ipca Lab, Hikal

Market at 12 PM

Benchmark indices were trading flat in the volatile session with Nifty around 16550.

The Sensex was down 40.85 points or 0.07% at 55,541.73, and the Nifty was down 22.90 points or 0.14% at 16,540.10. About 1093 shares have advanced, 1722 shares declined, and 97 shares are unchanged.

Lupin receives tentative USFDA approval for Brivaracetam tablets

Lupin has received tentative approval from the United States Food and Drug Administration (FDA) for its Abbreviated New Drug Application (ANDA) Brivaracetam Tablets, 10 mg, 25 mg, 50 mg, 75 mg, and 100 mg, to market a generic equivalent of Briviact Tablets, 10 mg, 25 mg, 50 mg, 75 mg, and 100 mg, of UCB Inc.

This product will be manufactured at Lupin’s Nagpur facility in India.

At 11:45 hrs Lupin was quoting at Rs 975.30, up Rs 8.00, or 0.83 percent on the BSE.

Edelweiss Financial Services NCD offer opens today:

Edelweiss Financial Services (EFS) is issuing Secured Redeemable Non-convertible Debentures (NCDs) for investors. The issue opens today for subscription.

There are eight series of NCDs, carrying fixed rates of interest in the range of 8.75-9.7 percent, payable on tenures of 36 months, 60 months and 120 months.

Edelweiss Financial Services was quoting at Rs 85.10, up Rs 3.50, or 4.29 percent on the BSE.

SBI keeps lending rate unchanged across tenors

SpiceJet seeks shareholder nod to hive off SpiceXpress, fund raising

Airline company SpiceJet seeks shareholder nod for transfer of cargo business to SpiceXpress. The stock was trading at Rs 70.80, up Rs 2.10, or 3.06 percent. It has touched an intraday high of Rs 71.80 and an intraday low of Rs 68.20.

Market update at 11 AM:

Sensex is up 29.60 points or 0.05% at 55612.18, and the Nifty added 9.80 points or 0.06% at 16572.80. Tech Mahindra and Tata Consumer Products are the top gainers while Apollo Hospital and Tata Steel are the most active stocks.

Among the sectors, the IT and pharma indices are trading in the green while the midcap and smallcap indices added half a percent each.

Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors:

All markets moving in a small range and so is dollar rupee. The range will be 74.10 to 74.40. Break of 74.10 will bring about 73.80.
Have to watch RBI allowing break of the range. Inflows are good enough but oil is also there to absorb the same.

In equities select large cap are performing, while small and midcaps are bleeding. All market participants are waiting for Jackson Hole Symposium for a clue on tapering. Range bound markets and therefore a range play.

BSE Healthcare index added 1 percent led by the Suven Life, Apollo Hospitals, Hikal

BSE Healthcare index added 1 percent led by the Suven Life, Apollo Hospitals, Hikal

Adani Enterprises to acquire 49% stake in Sadbhav Infra arm:

Adani Road Transport Limited (ARTL), a wholly-owned subsidiary of Adani Enterprises, has signed a definitive agreement with Sadbhav Infrastructure Project (SIPL) for acquisition of Maharashtra Border Check Post Network Limited (MBCPNL).

ARTL will initially acquire 49% stake in MBCPNL with an option to acquire additional stake in MBCPNL subject to receipt of regulatory approvals, as per the company release.

Adani Enterprises was quoting at Rs 1,441.75, up Rs 11.05, or 0.77 percent on the BSE.

Nifty PSU bank index shed 1 percent dragged by the Canara Bank, J&K Bank, UCO Bank:

Fortis Healthcare share price touches 52-week high:

Fortis Healthcare share price touched a 52-week high of Rs 265.75, rising 3 percent on August 17.

Research house Goldman Sachs has maintained a buy call on the stock with a target at Rs 295 a share. It has raised FY23-24 EPS estimates by up to 13 percent while retaining a constructive view.

ICICI Direct:

US dollar increased 0.12% yesterday on risk aversion in the global markets. Market sentiments were hurt on concerns over the spreading Delta variant, disappointing economic data from China that sparked worries over a slowdown in the economy and escalating geopolitical tensions.

Rupee future maturing on August 27 depreciated marginally by 0.01% on Friday’s trading session on strong dollar. However, a sharp fall was prevented on a rise in risk appetite in the domestic markets and softening of crude oil prices.

The rupee may depreciate today on strong dollar and as market sentiments are hurt on concern over spread of highly infectious delta variant and rising geopolitical tensions. Additionally, market participants will remain cautious ahead of US Federal Reserve monetary policy meeting minutes to get hint on tapering and major economic data’s like retail sales and industrial production.

Rupee opens:

Indian rupee opened flat at 74.23 per dollar on Tuesday against previous close of 74.25 per dollar.

Market at 10 AM

Indian benchmark indices were trading flat in the volatile session.

The Sensex was down 78.23 points or 0.14% at 55504.35, and the Nifty was down 24.00 points or 0.14% at 16539. About 1179 shares have advanced, 1439 shares declined, and 81 shares are unchanged.

Nifty IT index added 1 percent led by the Tech Mahindra, Coforge, Mindtree:

CarTrade Tech IPO share allotment finalised:

After an overwhelming response to its public issue, CarTrade Tech, a multi-channel auto platform, has finalised the IPO share allotment. Here's how you can check the status:

Nuvoco Vistas Corporation IPO share allotment expected today:

After successfully closing its public issue last week, Nuvoco Vistas Corporation will finalise the IPO share allotment today, August 17. Here's how you can check the status:

Buzzing

Vodafone Idea share price continued the fall on the second day on August 17 after weak June quarter numbers.

The share was quoting at Rs 5.89, down Rs 0.08, or 1.34 percent on the BSE after more than 5 percent fall in the previous session.

Vodafone Idea on August 14 reported a loss of Rs 7,319.1 crore for first quarter of FY 2021-22. It also reported its total debt standing at Rs 1.91 lakh crore.

Gainers and Losers on the BSE Sensex in the early trade:

Market Opens:

Indian indices opened on negative note on August 17 with Nifty below 16550.

At 09:16 IST, the Sensex was down 119.91 points or 0.22% at 55462.67, and the Nifty was down 37.80 points or 0.23% at 16525.20. About 897 shares have advanced, 782 shares declined, and 97 shares are unchanged.

ICICI Direct: