Rusmik Oza, Executive Vice President, Head of Fundamental Research at Kotak Securities:
Indian markets are relentlessly scaling new highs with Nifty-50 breaching the 14,000 level and BSE Sensex close to the 48,000 mark. Global cues have remained positive for most Asian markets with MSCI Emerging Markets reporting 2.9% gains this week. India’s benchmark indices Nifty-50 and BSE Sensex have gained ~1.7% each this week.
Big Nifty-50 gainers this week which were up more than 5% are JSW Steel, Tata Motors & IndusInd Bank. In spite of lesser participation from FIIs, the Nifty-50 gave a strong closing on the monthly expiry day. The robust FII flows of ~USD 7.3 bn in December and strong closing on expiry indicates bullish rollovers for January expiry. The macro numbers like GST collection and current account surplus are also supportive from an economy perspective. Expect the Nifty-50 to go somewhere mid way of the 14,000 to 15,000 range in January.
Vinod Nair, Head of Research at Geojit Financial Services:
With a hope that 2021 will be a year of economic recovery, market is touching all-time highs on a daily basis. Stocks across sectors cheered with mid & small caps at the forefront. The combined effect of foreign inflows and real earnings growth can keep the market rallying going forward.
Rupee Close
Indian rupee erased intraday gains and ended at day's low at 73.12 per dollar, amid buying seen in the domestic equity market.It opened flat at 73.09 per dollar against Thursday's close of 73.07 and traded in the range of 73.02-73.13.
S Ranganathan, Head of Research at LKP Securities:
Markets ended in the Green on the First Day of the New Year buoyed by record GST collections and we saw a host of stocks buzzing around in the broader market weeks ahead of the Earnings Season. TCS led the rally with the Auto numbers providing the momentum as a number of companies announced price hikes today.
Market Close:
Benchmark indices ended the first day of 2021 on the positive note with Nifty comfortably settle above 14,000 level.
At close, the Sensex was up 117.65 points or 0.25% at 47,868.98, and the Nifty was up 36.70 points or 0.26% at 14,018.50. About 1998 shares have advanced, 940 shares declined, and 163 shares are unchanged.
Adani Ports, ITC, TCS, M&M and SBI were among major gainers on the Nifty, while losers were ICICI Bank, SBI Life Insurance, Hindalco, HDFC Bank and Titan Company.
Except Nifty Bank, other sectoral indices ended in the green led by the PSU Bank and Auto. BSE Midcap and Smallcap indices rose 0.9 to 1.2 percent.
Jateen Trivedi, Senior Research Analyst (Commodity & Currency) at LKP Securities:
Rupee traded in a very tight range of 73.15-73.01 as the holiday season kept muted participation in Forex. With the new year kicking in the range will start to broaden towards 72.45-73.55 in coming sessions.
NTPC executes agreement with RGPPL
NTPC has executed agreement for a composite resolution plan with lenders of Ratnagiri Gas & Power (RGPPL), a Joint Venture Company of NTPC engaged in generation of Power, and RGPPL, wherein outstanding debt liabilities of RGPPL have been settled through one time settlement (OTS) by NTPC.
As a part of the resolution plan, 35.47% of equity held by lenders (IDBI, ICICI, SBI, IFCI and Canara Bank) in RGPPL have been transferred to NTPC. Consequent upon the resolution plan of RGPPL, NTPC equity shareholding in RGPPL has increased from 25.51% to 60.98% on 31.12.2020.
Atul Auto December auto sales
Company's total sales fell 57.85 percent at 1,728 units against 4,100 units, YoY.
SML Isuzu December auto sales
Company's total sales declined 7 percent at 509 units versus 549 units, YoY.
L&T wins order
The Metallurgical and Material Handling (MMH) business of L&T Construction has secured EPC orders of Coal Processing plants in the domestic market and a prestigious Engineering & Procurement Project for a Metallurgical plant overseas. The business has also secured new orders from its various customers for products and an add on order from its existing customer.
Infosys to announce Q3 results on Jan 13
Infosys will announce results for the third quarter ended December 31, 2020 on January 13, 2021 around 3:45 p.m. Indian Standard Time (IST).
BSE Healthcare Index added 1 percent supported by the Take Solutions, Aarti Drugs, Dr Lal PathLabs
Praj Industries bags order
The company has received an order for Rs 226.90 crore from Indian Oil Corporation for execution of Zero Liquid Discharge System - “Water Treatment Package and Waste Water Treatment Package of Acrylic/Oxo-Alcohol Project at IOCL Dumad, Gujarat.
Ashok Leyland December auto sales
Total domestic sales grew 14 percent at 11,857 units against 10,378 units (YoY). Total sales was up 14 percent at 12,762 units against 11,168 units (YoY).
Total M&HCV sales was down 2 percent at 6884 units against 7025 units (YoY).BSE Midcap added a percent led by Kansai Nerolac, BEL and NBCC
Most active stocks on NSE in terms of volumes
Gayatri Projects declared L-1 bidder
The company has been declared as L-1 bidder for Rs 1,323.52 crore project in Uttar Pradesh by the National Highways Authority of India for development of six lane access controlled highway in Uttar Pradesh portlon of Delhi Saharanpur Highway from Delhi/UP Border to EPE Junction in Uttar Pradesh on EPC mode under Economic Corridor in phasel of Bharatmala Pariyojana (P2).
Rupee Updates
Indian rupee is trading higher at 73.04 per dollar, amid buying seen in the domestic equity market.It opened flat at 73.09 per dollar against Thursday's close of 73.07.
Eicher Motors December auto sales
Company's total sales for December 2020 down 3 percent at 4,892 units versus 5,042 units and total domestic sales were down 7.7% at 4,069 units versus 4,410 units, YoY.
Buzzing
Tata Consumer Products share price was up over 2 percent on January 1, after rating agency ICRA upgraded the rating for the long term instruments of Tata Consumer Products to 'ICRA AAA' with a stable outlook. The rating was previously 'ICRA AA+' with a stable outlook. The size of the instruments is about Rs 350 crore. It has however reaffirmed the short term debt rating at 'ICRA A1+'.
BSE Auto Index up 1 percent led by the M&M, Bosch, Maruti Suzuki:
M&M December auto sales
Mahindra & Mahindra (M&M) auto sales (passenger vehicles+ commercial vehicles+ exports) for the month of December 2020 stood at 35,187 vehicles, compared to 39,230 in December 2019.
In the Utility Vehicles segment, company sold 16,050 vehicles in December 2020, compared to 15,225 vehicles in December 2019, registering a growth of 5%.
The Passenger Vehicles segment (which includes UVs, Cars and Vans) sold 16,182 vehicles in December 2020, a growth of 3% over same period last year.
NYSE starts process of delisting three Chinese telecom companies
The New York Stock Exchange is starting the process of delisting securities of three Chinese telecom companies, after President Donald Trump last month barred U.S. investments in Chinese firms Washington says are owned or controlled by the military.
The move by the NYSE, which will limit U.S. investor access, follows global index providers MSCI Inc, S&P Dow Jones Indices and FTSE Russell and Nasdaq deleting various Chinese companies from their indexes. Read More
SEBI extends the deadline for allotment of units against receipt of funds to February 1
Financial market regulator Securities and Exchange Board of India (SEBI) has decided to postpone the implementation of the rule of allotting mutual fund units only after the schemes have received the funds till February 1, 2021. SEBI had prescribed that this rule would be implemented from January 1, 2021.
Nifty Holds 14000
Benchmark indices are trading near the day's high level with Nifty holding above 14000.
At 11:31 IST, the Sensex was up 177.54 points or 0.37% at 47,928.87, and the Nifty was up 48.90 points or 0.35% at 14,030.70. About 1770 shares have advanced, 733 shares declined, and 99 shares are unchanged.
Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services:
As we enter 2021, the market is sitting at all-time high and is showing resilience on the back of abundant liquidity, positive developments on the vaccine front and signs of economic recovery. More importantly, COVID-19 cases have seen a meaningful decline. Improved corporate earnings have also buoyed the market sentiments. We expect Nifty earnings to remain flattish in FY21 while expecting a sharp rebound in FY22. Thus, the overall structure of the market remains positive.
With the economic activity continuing its recovery, it could lead to start of earnings upgrade cycle. Further liquidity flows across Emerging Markets could remain strong which bodes well for Indian markets. However, intermittent corrections cannot be ruled out as there is a risk of second wave of Covid-19 and thus sustenance of economic recovery holds the key. From next 12 months perspective, we are positive on IT, BFSI, Healthcare, Telecom, Auto and Consumer.
Anil Kumar Bhansali, Head - Treasury, Finrex Treasury Advisors:
Rupee to remain in range of 73.00/73.50. RBI present at 73.00 in currency futures. Year-end selling all done. But flows will continue. So all uptick to be sold as and when we get it. Importers to keep hedging all near term imports. Stock markets still up as no correction coming while investors keep waiting for a correction.
Rupee Updates
Indian rupee is trading higher at 73.03 per dollar, amid buying seen in the domestic equity market.It opened flat at 73.09 per dollar against Thursday's close of 73.07.
NCC bags new orders
NCC has received fifteen new orders totaling to Rs 8,980 crore (exclusive of GST) in the month of December,2020. These orders are received from Central/State Government agencies and do not include any internal orders.
63 Moons moves NCLT in DHFL case:
63 Moons Technologies, on December 31, moved the bankruptcy court to ensure fair distribution of recovery from Dewan Housing Finance (DHFL) among creditors, ahead of voting on bids for the lender. 63 Moons moved the National Company Law Tribunal (NCLT), demanding that the recovery is distributed among all creditors, including non-convertible debenture (NCD) holders. The NCLT will hold a final hearing of the case on January 13.
Maruti Suzuki December auto sales:
Total sales grew 20.2 percent at 1.6 lakh units against 1.3 lakh units (YoY). Domestic sales was up 19.5 percent at 1.5 lakh units against 1.3 lakh units (YoY).
Buzzing Stock
Jindal Steel and Power share price rose more than 2 percent after Ministry of Coal declared the company as the successful bidder for Gare Palma IV/1 Mine. Jindal Power (JPL) a subsidiary of Jindal Steel & Power Limited (JSPL) has been declared the successful bidder for Gare Palma IV/1 coal mine by the Ministry of Coal.
Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services:
As we enter 2021, the market is sitting at all-time high and is showing resilience on the back of abundant liquidity, positive developments on the vaccine front and signs of economic recovery. More importantly, COVID-19 cases have seen a meaningful decline. Improved corporate earnings have also buoyed the market sentiments. We expect Nifty earnings to remain flattish in FY21 while expecting a sharp rebound in FY22. Thus, the overall structure of the market remains positive.
With the economic activity continuing its recovery, it could lead to start of earnings upgrade cycle. Further liquidity flows across Emerging Markets could remain strong which bodes well for Indian markets. However, intermittent corrections cannot be ruled out as there is a risk of second wave of Covid-19 and thus sustenance of economic recovery holds the key. From next 12 months perspective, we are positive on IT, BFSI, Healthcare, Telecom, Auto and Consumer.
RBI to conduct simultaneous sale-purchase of govt securities next week
The RBI on Thursday announced it will conduct simultaneous purchase and sale of government securities under Open Market Operations (OMO) for Rs 10,000 crore each on January 7, 2021. The decision was taken after a review of current liquidity and financial conditions, the Reserve Bank said in a statement.
Nifty PSU Bank index added 1 percent led by the Maharashtra Bank, PNB, Bank of Baroda:
Rupee Opens
Indian rupee opened flat at 73.09 per dollar on Friday against Thursday's close of 73.07, amid buying seen in the domestic equity market.On December 31, the rupee ended higher at 73.07 per dollar versus previous close of 73.30.
Strong listing of Antony Waste Handling Cell
Antony Waste Handling Cell shares started off first day first trade at a 38.44 percent premium over issue price on the National Stock Exchange, January 1.
Shares opened at Rs 436.10 on the exchange, against final issue price of Rs 315 per share. On the BSE, the stock opened with a 36.51 percent premium at Rs 430. Read More
Subash Gangadharan, Technical and Derivative Analyst, HDFC Securities
The short term trend remains up, but is looking tired. Markets could therefore consolidate in a range for the next few sessions. Short term supports to watch for a trend reversal are at 13864.
Antony Waste Handling Cell lists on January 1:
Antony Waste Handling Cell, the municipal solid waste (MSW) management company, is all set to debut on bourses on January 1, 2021. The company has fixed the final issue price at Rs 315 per share, the upper end of the price band of Rs 313-315, after closing the Rs 300-crore public offer last week. The initial public offering (IPO) was subscribed 15 times.
Antony Waste shares are trading in the range of Rs 415-435, a 30 percent premium in the grey market compared to the issue price.
Bitcoin touches record above $29,000
The price of Bitcoin topped $29,000 on Thursday for the first time, with the digital currency almost quadrupling in value this year amid heightened interest from investors big and small alike.
The world's most popular cryptocurrency touched $29,300 before pulling back, most recently down 0.67% at $28,774.36. It has surged by nearly half since breaking $20,000 for the first time on December 16. Read More
ICICIdirect:
The USD-INR pair managed to close at a two-month low on the back of broader weakness in the dollar and continuous inflow from FIIs. We feel the pair is likely to move towards 73 levels in coming days. The dollar-rupee January contract on the NSE was at Rs 73.27 in the last session. The open interest in the January series increased almost 38%.
Gainers and Losers on the BSE Sensex:
Market Opens:
Indian indices opened on positive note on the first day of the year 2021 with Nifty above 14,000 level.
At 09:16 IST, the Sensex was up 120.70 points or 0.25% at 47,872.03, and the Nifty was up 35.30 points or 0.25% at 14,017.10. About 903 shares have advanced, 249 shares declined, and 30 shares are unchanged.
Escorts December auto sales
Escorts Agri Machinery Segment (EAM) in December 2020 sold 7,733 tractors, the highest ever December sales and registering a growth of 88 percent against 4,114 tractors sold in December 2019.
ICICIdirect:
Indian markets are likely to see a flat to positive opening on the back of positive global cues amid rollout of Coronavirus vaccines and optimism about a swift economic rebound. However, global news flows and sector specific development will be key monitorables. US markets ended higher post release of better than expected macroeconomic data and optimism on the Covid-19 vaccine front.
Market at pre-open
: Benchmark indices are trading firm in the pre-opening session.
At 09:02 IST, the Sensex was up 51.02 points or 0.11% at 47,802.35, and the Nifty was up 7.60 points or 0.05% at 13,989.40.
Claims for jobless benefits fall to 787,000, down 19,000
The number of Americans seeking unemployment benefits fell by 19,000 but remain elevated at 787,000 as a resurgent coronavirus grips the U.S. economy.
While at the lowest level in four weeks, the new figures released Thursday by the Labor Department are nearly four times higher than a year ago before the coronavirus struck. Employers continue to cut jobs as rising coronavirus infections keep many people at home while state and local governments re-impose restrictions.
