Ajit Mishra, VP - Research, Religare Broking:
Markets remained range bound for yet another session and ended almost unchanged. After the flat start, the benchmark hovered in a narrow band till the end however movement due to the scheduled monthly derivatives expiry kept the participants busy. Among the key indices, the Nifty index ended on a flat note at 16,637 levels. The broader markets outperformed wherein both Midcap and Smallcap ended marginally higher. On the sectoral front, a mixed trend was witnessed wherein metal and auto ended with losses whereas capital goods, consumer goods and realty ended with gains.
The rotational buying in select index majors across sectors is helping the index to maintain the positive bias and inch higher. However, the momentum is still missing due to the continuous underperformance of the banking index. Considering the scenario, we reiterate our view to restrict naked leveraged positions and prefer index majors over others.
Rohit Singre, Senior Technical Analyst at LKP Securities:
Index closed flat for the second consecutive day at 16,637 and formed a Doji sort of candle pattern for the second consecutive session.
The index has formed a strong hurdle zone around 16,700 and until index wont cross above said level we may see capping to northward move and we may also see a profit booking towards the 16,500 zone, which is strong base on the downside where traders can initiate fresh long keeping stop out level below 16,400 zone on a closing basis. If manage to break above 16700, we may see a quick move towards 17k mark.
Vinod Nair, Head of Research at Geojit Financial Services:
Amid weak global cues, the domestic market traded cautiously with a positive bias. Renewed tension between China and US along with the fear of rise in the Delta variant capped the gains in the Asian market. Investors globally are awaiting the Fed Reserve’s Jackson Hole Economic Symposium on Friday to gain insights on asset tapering plans and economic outlook.
Market Close:
Benchmark indices erased early gains and ended on flat note amid expiry day volatility.
At close, the Sensex was up 4.89 points or 0.01% at 55,949.10, and the Nifty was up 2.20 points or 0.01% at 16,636.90. About 1578 shares have advanced, 1372 shares declined, and 105 shares are unchanged.
Britannia Industries, Tata Consumer Products, HDFC Life, BPCL and Reliance Industries were the top Nifty gainers. Bharti Airtel, JSW Steel, Maruti Suzuki, Hindalco Industries and Power Grid were among the top losers.
Among sectors, metal index shed over 1 percent, while selling was also seen in the auto, pharma and PSU banking stocks. However, FMCG, oil & gas, realty and power indices ended in the green. BSE midcap and smallcap indices added 0.3 percent each.
Amarjeet Maurya - AVP - Mid Caps, Angel Broking:
Today Bharti Airtel stock is down ~ 4% which provides buying opportunity to long term investors. In 1QFY22, company has shown healthy revenue growth of ~ 12% and adjusted profit growth of ~ 102%.
Going forward, we expect company to report healthy top-line & bottom-line growth on the back of a strong brand, growth in customer additions, and improvement in ARPU due to increase in tariffs rate. Hence, we are positive on stock.
Ashis Biswas, Head of Technical Research at CapitalVia Global Research:
The market witnessed another day of consolidated movement and an attempt to hold the level around the Nifty 50 Index level of 16600. The market is going to be crucial for the short-term market scenario to sustain above the 16500 level. If the market is unable to sustain the level of 16500, it witness lower levels of 16350. The technical indicator suggests, a volatile movement in the market in a small range between 16350-16700.
Nippon Life India Trustee sells over 1% stake in Sadbhav Infra:
Nippon Life India Trustee sold 58,06,120 shares (1.6484 percent) of Sadbhav Infrastructure Project on behalf of Nippon India Mutual Fund in the Open Market on August 24, 2021.
Sadbhav Infrastructure Projects was quoting at Rs 16.35, down Rs 0.50, or 2.97 percent on the BSE.
Milind Muchhala, Executive Director, Julius Baer:
We think there is a case of sector rotation to play out, which may invite some profit booking in the sectors that have been big outperformers recently, while we could see interest coming back in some of the recent underperformers such as Financials, Auto and Healthcare.
In the very near term, the commentary by the US Fed and news flow related to the third wave of the pandemic will remain a source of volatility and opportunity for the markets. The primary market frenzy also seems to have waned a bit, with tepid listings of some recent IPOs, which should result in better liquidity support for the secondary markets. Also, over the period, India could emerge as a possible beneficiary in case of some re-allocations by FIIs on account of the recent uncertainty around the Chinese markets.
With a positive recent experience and lack of alternate attractive asset class, the intermittent corrections could continue to keep investors interested in equities, as the overall economic and earnings recovery set-up remains in a good place.
Nifty PSU Bank index fell 0.7 percent dragged by the J&K Bank, IOB, PNB, SBI:
Market at 3 PM
Benchmark indices continued to trade flat ahead of August F&O expiry.
The Sensex was down 0.08 points or 0.00% at 55944.13, and the Nifty was down 6.40 points or 0.04% at 16628.30. About 1517 shares have advanced, 1411 shares declined, and 111 shares are unchanged.
Brahmaputra Infrastructure declares lowest bidder:
Brahmaputra Infrastructure declared a lowest bidder for a quoted Price of Rs 102.22 crore for the work Protection of cutting and embankment by Construction of RCC retaining wall, catch water drain, sub surface drain, shot creting/ Providing Concrete canvas, geo jute textile turfing on slopes, finishing of blanketing materials etc, in between station kawnpuri & sairang in connection with the construction of New BG Railway line from Bairabi to Sairang (Mizoram Project).
Brahmaputra Infrastructure was quoting at Rs 16.90, up Rs 1.15, or 7.30 percent on the BSE.
Tapan Patel- Senior Analyst (Commodities), HDFC Securities
: Crude oil prices traded lower with benchmark NYMEX WTI crude oil prices were trading 1.21% down near $67.53 per barrel for the day. MCX Crude oil September futures were trading 0.69% down at Rs 5022 per barrel by noon.
Crude oil prices are expected to trade sideways to up for the day with resistance at $69 and support at $65 per barrel. MCX Crude oil September has support at Rs 4950 and resistance at Rs 5090.
Oil rally ends amid COVID-19 concerns, returning supply
Oil fell on Thursday for the first session this week as renewed concerns about demand amid rising COVID-19 infections cut short a three-day rally, and as production returned in Mexico. Brent crude was down 29 cents, or 0.4%, at $71.96 a barrel by 0649 GMT, having risen 1.7% on Wednesday.
CARE Ratings upgrades rating and outlook of Poonawalla Fincorp
European markets are trading in the red with FTSE down half a percent
Asian shares spooked by Delta spread as Jackson Hole looms
: Asian shares retreated on Thursday, brushing off an upbeat Wall Street lead as the Delta coronavirus variant’s spread darkened the regional mood while a South Korean interest rate hike put the focus on the global central bank outlook.
Chinese bluechips fell 1.47% and Hong Kong was down 1.32%, as a rally in tech names ran out of steam. The embattled Hang Seng Tech Index fell 2.41%.
Market update at 2 PM:
Sensex is up 35.06 points or 0.06% at 55979.27, and the Nifty added 7.10 points or 0.04% at 16641.80. ICICI Bank, HDFC Life and Britannia Industries are the top gainers while Bharti Airtel dragged the most.
Among the sectors, bank and power sectors edged higher while metals are under pressure.
Reserve Bank of India (RBI) has appointed Ajay Kumar as a new executive director.
Thermax Group wins Rs 293 crore order:
Thermax Babcock and Wilcox Energy Solutions (TBWES), a wholly owned subsidiary of Thermax, has concluded a Rs 293 crore order for a boiler package comprising 3 x Oil & Gas fired boilers on EPC basis for a refinery and petrochemical complex in western India, as per the compay release.
Thermax was quoting at Rs 1,388.05, up Rs 27.15, or 2.00 percent on the BSE.
J Kumar Infraprojects JV gets LoA from MCGM for project worth Rs 455 crore:
The company has received Letter of Acceptance from M/s. Municipal Corporation of Greater Mumbai in the name of M/s. J. Kumar Infraprojects - M/s. Michigan Engineers Pvt. Ltd. (JV), where M/s. J Kumar Infraprojects share is 51% (Fifty-One) which comes to around Rs 232,22,79,203.99.
J Kumar Infraprojects was quoting at Rs 194.95, up Rs 1.15, or 0.59 percent on the BSE.
Market at 1 PM
Indian benchmark indices erased intraday gains and trading flat amid volatility ahead of August F&O expiry.
The Sensex was up 12.11 points or 0.02% at 55956.32, and the Nifty was down 2.40 points or 0.01% at 16632.30. About 1504 shares have advanced, 1358 shares declined, and 113 shares are unchanged.
Carborundum Universal to make strategic investment in PLUSS Advanced Tech:
Carborundum Universal has agreed to make a strategic investment in PLUSS Advanced Technologies Private Limited. The investment is proposed to be made by acquiring the equity shares of PLUSS from the existing shareholders including Promoters as well as subscribing to additional equity capital in PLUSS.
Carborundum Universal touched a 52-week high of Rs 774.80 and was quoting at Rs 764.70, up Rs 26.90, or 3.65 percent on the BSE.
Procter & Gamble stock edges higher as Q4 revenue rises 24%:
Procter and Gamble Hygiene and Health Care share price gained over 2 percent on August 26 after the company declared its Q4 results.
The FMCG firm on August 25 reported a 29.2 percent decline in its net profit at Rs 48.98 crore for the quarter ended June 2021. The company, which follows the July-June financial year, had posted a net profit of Rs 69.21 crore in the corresponding period of the previous fiscal, it said in a regulatory filing.
Marksans Pharma gets USFDA nod
Marksans Pharma has received USFDA approval for an Abbreviated New Drug Application (ANDA) for Acetaminophen Extended-Release Tablets USP, 650 mg (OTC).
Marksans Pharma was quoting at Rs 72.05, up Rs 2.20, or 3.15 percent on the BSE.
Kaveri Seed Company board approves buyback:
Kaveri Seed Company board approved a proposal to buyback equity shares worth up to Rs 120 crore. It proposes to buyback shares at maximum price of Rs 850 each, as per the press release.
The indicative maximum number of equity shares proposed to be bought back at the maximum buyback size and maximum buyback would be 14,11,780 equity shares, which represent approximately 2.34 percent of the paid up shares of the company.
Kaveri Seed Company was quoting at Rs 588.50, up Rs 9.70, or 1.68 percent on the BSE.
SpiceJet finalises settlement with major lessor of MAX aircraft:
SpiceJet has entered into a settlement with Avolon, a major lessor of MAX aircraft, paving the way for the airline’s 737 MAX aircraft to start to return to service, company said in its release.
The airline expects to start operations of MAX aircraft around the end of September 2021 subject to regulatory approvals, it added.
SpiceJet was quoting at Rs 71.50, down Rs 0.10, or 0.14 percent on the BSE.
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services:
The central government's decision to hike the minimum price that mills pay to farmers by Rs 5 a quintal is marginally positive for farmers and farmworkers. But since the government has refused a rise in the price at which mills can sell is a dampener. From the market perspective, sugar stocks undergo cyclical ups and downs. But they were never consistent compounders or long-term wealth creators.
Market at 12 PM
Benchmark indices were trading flat with positive bias supported by the power and oil & gas stocks.
The Sensex was up 92.63 points or 0.17% at 56036.84, and the Nifty was up 21 points or 0.13% at 16655.70. About 1664 shares have advanced, 1166 shares declined, and 105 shares are unchanged.
Nifty metal index slipped 1 percent dragged by SAIL, NMDC, Welspun Corp:
Motilal Oswal on Bajaj Finance
The COVID-related disruptions are known unknowns, and the quantum of impact on disbursements/asset quality is difficult to ascertain. In the context of the strong recovery seen in July-August 2021, we expect Bajaj Finance to be able to deliver a pre-COVID quarterly run-rate in AUM growth for the remainder of FY22.
We expect Bajaj Finance to deliver ~4.8% RoA/23% RoE over the medium term. Given the positive outlook, we maintain our buy rating, with a target of Rs 7,700 per share (8x 1HFY24E BVPS).
Intellect Design Arena bags multi-million dollar deal from a leading Islamic Bank in APAC
Intellect Global Transaction Banking (iGTB), the transaction banking specialist from Intellect Design Arena Limited announced a deal win with a leading Islamic bank in APAC to completely digitize and streamline its cash and trade transaction banking technology offerings. The stock was trading at Rs 663.85, up Rs 25.55, or 4.00 percent. It has touched an intraday high of Rs 669.05 and an intraday low of Rs 633.25.
Affle India board approves stock split in the ratio of 1:5
The Board of Directors of the company approved stock split (sub-division of equity shares) of 1 equity share of face value of Rs 10 each into 5 equity shares of face value of Rs 2 each, subject to the approval of shareholders and other approvals as may be required and post approval of the shareholders for the stock split, record date for the same shall be October 8, 2021, the company said in an exchange filing. The stock was trading at Rs 4,157, up Rs 175.60, or 4.41 percent.
V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
: The central government's decision to hike the minimum price that mills pay to farmers by Rs 5 a quintal is marginally positive for farmers and farmworkers. But since the government has refused a rise in the price at which mills can sell is a dampener. From the market perspective, sugar stocks undergo cyclical ups and downs. But they were never consistent compounders or long-term wealth creators.
Market at 11 AM
Benchmark indices were trading higher with Nifty above 16650.
At 11:00 IST, the Sensex was up 135.13 points or 0.24% at 56079.34, and the Nifty was up 34.60 points or 0.21% at 16669.30. About 1730 shares have advanced, 1011 shares declined, and 117 shares are unchanged.
Gold subdued as investor focus turns to Jackson Hole
Gold prices inched lower on Thursday as investors turned cautious ahead of US Federal Reserve Chair Jerome Powell’s speech this week, which could provide cues to the central bank’s plans over tapering of economic stimulus.
BSE Capital Goods index gained 1 percent led by the Adani Green, Carborundum Universal, Thermax
Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments
We are successfully trading above 16600 which is an indication of strength. 16800-16850 is a potential target and a resistance zone too! Traders should look at this level to take profits from their positions and update stops. Intra-day falls can be used to accumulate long positions.
Gainers and Losers on the BSE Sensex and Nifty50 indices:
India's GDP growth likely touched a record in April-June: Poll
Indian financial growth likely touched a record excessive in the quarter by way of June, reflecting a very weak base final yr and a rebound in client spending, a Reuters poll discovered.
The August 20-25 Reuters poll of 41 economists confirmed gross home product rose 20.0% in the three-month interval, in contrast with a record contraction of 24.4% in the identical quarter a year earlier. Read More
Market at 10 AM
Benchmark indices were trading with marginal gains amid volatility.
The Sensex was up 99.98 points or 0.18% at 56044.19, and the Nifty was up 34.70 points or 0.21% at 16669.40. About 1759 shares have advanced, 836 shares declined, and 101 shares are unchanged.
Moody's says COVID second wave could hurt lenders, but severe shock unlikely:
Global rating agency, Moody's Investors Service on August 26 said the second wave of Covid will lead to new problem loans in the retail and SME segments, but a severe asset quality decline is unlikely
The improved profitability, capital and loss buffers of banks will help them absorb anticipated loan losses and maintain credit strength, Moody's said in a release. Click to Read More
Anindya Banerjee, DVP, Currency Derivatives & Interest Rate Derivatives at Kotak Securities:
USDINR spot closed marginally higher around 74.24, in a lackluster day of trading. Volatility has become extinct in the pair as RBI continues to absorb dollar flows. Going into Jackson Hole meeting starting tomorrow evening, we expect USDINR to remain within a range of 74.10-74.40 on spot.
BSE Power index added 1 percent led by the Adani Transmission, Adani Power, Thermax
Wockhardt, Jemincare partner for novel respiratory antibiotic Nafithromycin
Wockhardt Bio AG – a subsidiary of Wockhardt and Jiangxi Jemincare Group Company Limited, China (Jemincare), have partnered for Wockhardt’s novel patented antibiotic WCK 4873 in People’s Republic of China, Hong Kong, Macau and Taiwan for the treatment of community-acquired bacterial pneumonia and other respiratory tract infections.
Wockhardt was quoting at Rs 458.70, up Rs 22.10, or 5.06 percent on the BSE.
