Arijit Malakar, Head of Research Ashika Stock Broking:
Domestic markets remained weak in line with Asian markets as investors were concerned with the more infectious delta variant of the coronavirus and the re-imposition of restrictions in parts of Asia, Europe, South Africa, and South America. Besides, geopolitical risks also weighed as India deployed additional 50,000 troops along the China border.
The Centre announced eight new schemes to give a boost to the sectors reeling under the Covid-19 induced restrictions, however barring pharma and FMCG, all other sectors remained in the red.
Rupee Close:
Indian rupeeended marginallylower at 74.23per dollar, amid sellingsawin the domestic equity market.It opened lower by 9 paise at 74.28 per dollar against previous close of 74.19 and traded in the range of 74.19-74.29.
Ashis Biswas, Head of Technical Research at CapitalVia Global Research:
The market witnessed a correction after a failed attempt to hold the support level around the Nifty 50 Index level of 15800. The market suggests, 15650 will be an important support level from a short-term perspective. Sustaining above 15620-15650 levels, the market expects to bounce back, and trade in the range of 15650-15900. The technical indicator suggests, a volatile movement in the market in the range of 15650-15900.
Market Close:
Benchmark indices ended lower in the second consecutive session on June 29 with Nifty below 15,750.
The Sensex was down 185.93 points or 0.35% at 52,549.66, and the Nifty was down 66.20 points or 0.42% at 15,748.50. About 1440 shares have advanced, 1536 shares declined, and 87 shares are unchanged.
Among sectors, except FMCG and Pharma, all other indices ended in the red with Nifty Bank, metal, auto and PSU Bank shed 1 percent each. BSE Midcap ended 0.4 percent lower, while Smallcap index ended flat.
IOC, ONGC, Hindalco, Kotak Mahindra Bank and Coal India were among major losers on the Nifty. Top gainers included Power Grid Corp, Cipla, HUL, NTPC and Divis Labs.
Cipla hits 52-week high, seeks DCGI nod to import Moderna's COVID-19 vaccine
Cipla share price touched a 52-week high of Rs 988.80, gaining 2.5 percentafter pharma major filed an application with the Drugs Controller General of India seeking permission to import Moderna's COVID-19 vaccine in India.
The firm submitted its application to the drugs regulator on June 28, sources told CNBC TV-18.
People aware of the development also said that DCGI is likely to take up the application soon and may even grant permission to import the COVID-19 vaccine today.
IRFC Q4FY21 earnings:
Indian Railway Finance Corporation (IRFC) has posted net profit of Rs 1,482.5 crore in the Q4FY1 against Rs 654.6 crore and revenue was up 39% at Rs 4,455 crore against Rs 3,205 crore, YoY.
Indian Railway Finance Corporation was quoting at Rs 25.30, up Rs 0.55, or 2.22 percent on the BSE.
Nifty Bank index shed 1 percent dragged by the Bandhan Bank, IDFC First Bank, ICICI Bank
Rupee Updates:
Indian rupee is trading lower at 74.27 per dollar, amid selling seen in the domestic equity market.It opened lower by 9 paise at 74.28 per dollar against previous close of 74.19
Market at 3 PM
Benchmark indices were trading lower in the volatile session with Nifty around 15750
The Sensex was down 138.72 points or 0.26% at 52596.87, and the Nifty was down 53.40 points or 0.34% at 15761.30. About 1442 shares have advanced, 1512 shares declined, and 100 shares are unchanged.
Subros Q4:
Subros has posted 57 percent jump in its March quarter consolidated net profit at Rs 26.2 crore versus Rs 16.6 crore and revenue was up 43.9% at Rs 659.93 crore versus Rs 458.47 crore, YoY.
Subros board has recommended a dividend of Rs 0.70 (35%) per equity share of Rs 2 each for the year ended March 31, 2021. The dividend is subject to approval of shareholders at the ensuing annual general meeting of the company.
Subros was quoting at Rs 313.40, up Rs 1.95, or 0.63 percent on the BSE.
Nifty auto index slipped 1 percent dragged by the M&M, Maruti Suzuki, TVS Motor, Bajaj Auto:
National Peroxide Q4:
Consolidated net loss at Rs 8.4 crore against profit at Rs 3 crore (YoY). Consolidated revenue was up 35.1 percent at Rs 64.2 crore against Rs 47.5 crore (YoY). Consolidated EBITDA was down 39 percent at Rs 5.7 crore against Rs 9.3 crore (YoY). Consolidated EBITDA margin at 8.9 percent against 19.6 percent (YoY).
European markets are trading in the green with CAC and DAX up half a percent each
Tapan Patel- Senior Analyst (Commodities), HDFC Securities
: Crude oil prices traded steady with benchmark NYMEX WTI crude oil prices were trading flat at $72.95 per barrel for the day. MCX Crude oil July futures were trading marginal up at Rs. 5423 by noon.
Crude oil prices are expected to trade sideways to up for the day with resistance at $74 and support at $72 per barrel. MCX Crude oil July has support at Rs 5350 and resistance at Rs 5490.
Market update at 2 PM
: Sensex is down 189.05 points or 0.36% at 52546.54, and the Nifty shed 69.20 points or 0.44% at 15745.50. Hindalco Industries, ONGC and ICICI Bank are the top losers while HDFC Life Insurance, Kotak Mahindra Bank and Reliance Industries are the most active stocks.
Among the sectors, the metal and banking indices shed a percent each while FMCG and pharma are trading in the green.
SEBI Board to take up norms for Independent Directors, Ownership and Governance at MIIs
SEBI Board to take up norms for Independent Directors, Ownership and Governance at MIIs today. MIIs are market infrastructure institutions like exchanges, sepositories. It may finalise ownership and governance norms for MIIs and may raise shareholding cap for stock exchanges, clearing corp and depositories. Individuals or institutions currently can hold up to 5 percent in MIIs. SEBI may discuss remuneration structure for Independent Directors, according to sources to CNBC-TV18.
Metal stocks top gainers in first half of 2021; can outperformance continue?
Most metal and mining stocks have seen sharp gains in the first half of the calendar year 2021 so far (H1 CY21), supported by augmented demand globally amid constrained supply in the wake of the COVID-19 pandemic.
When the COVID-19 pandemic hit the world and economies went into the lockdown phase, economic activities were severely impacted globally but after the lockdowns were lifted and central banks of the world announced stimulus packages, the demand for steel started to recover. Click to Read More
Anand Rathi on Ashok Leyland:
We continue to expect strong replacement demand to come in high-tonnage and multi-axle vehicles, which will drive growth; and subsequent capital formation will further fuel growth beyond FY22. We believe that the company needs to take 10-12% price increase to cover the cost and expect the company to achieve the same. We maintain a buy at a higher target price of Rs 153 (29x FY23e).
Yash Gupta Equity Research Associate, Angel Broking:
Apollo Hospital has announced the reorganization of its back-end pharmacy and 24/7 business through slum sale. Apollo Hospital created a new company with name “Apollo HealthCo Limited in which business of back-end pharmacy, Apollo 24/7, Pharmacy retail and other private labels will be transferred on a slump sale basis.
Apollo Hospital has created “India’s Largest Omnichannel Digital Healthcare Platform” which combines the strengths of Apollo Group’s offline healthcare leadership with Apollo Group’s new age digital offerings to address all healthcare consumer needs with an asset light approach. We maintain our buy rating on Apollo Hospital, increasing target from Rs 3700 to Rs 3900.
Market at 1 PM
Benchmark indices are trading lower with Nifty below 15800 in the afternoon trade.
The Sensex was down 134.00 points or 0.25% at 52,601.59, and the Nifty was down 49.50 points or 0.31% at 15,765.20. About 1570 shares have advanced, 1336 shares declined, and 89 shares are unchanged.
Credit Suisse raises target price of Marico:
Marico share price touched a 52-week high of Rs 532.60, adding nearly 5 percent on June 29 after foreign broking house Credit Suisse raised the target price on the stock to Rs 600 from Rs 490 per share earlier.
According to Credit Suisse, the company is amongst the most successful TAM expansions if the FY24 revenue target for Saffola is achieved.
In our base case, we see Saffola Foods reaching Rs 740 crore of revenue in FY24 and Rs 850 crore target in foods will be achieved via one more category entry, it added.
The company needs a faster ramp-up in honey & soya chunks to achieve the revenue target.
Gaurav Garg, Head of Research, CapitalVia Global Research:
In morning trade, Indian equity benchmarks remained in negative territory, following broadly negative cues from their Asian peers. Sentiments remain negative domestic rating agency ICRA stated that the impact of the second COVID-19 wave is expected to raise the non-performing assets ratio for such lenders by up to 1% in FY22. Nearly a third of NBFC loans are in risky segments, according to ICRA, and the already elevated non-performing assets ratio for such lenders is expected to rise by up to 1% in FY22 due to the impact of the second COVID-19 wave.
The Market opened with slight negativity and an attempt to hold the support level around 15800. If the market does not sustain 15800, we might see a small correction in the following trading days. Healthcare, FMCG, and Energy has shown slight positivity among the sector all other major sectors have shown weakness in the market. Bajaj Finance and Reliance are the top gainers while Hindalco and ONGC are the top losers on Nifty.
Dollar hovers below two-month highs ahead of US payrolls report
The dollar edged up on Tuesday toward a two-month high versus major counterparts, with traders largely sidelined ahead of a key US jobs report that could alter the timing of an exit from Federal Reserve stimulus.
The dollar index, which tracks the greenback against a basket of six major currencies, added 0.1% to 91.966 in Asia, slowly closing the gap to the high of 92.408 reached on June 18 after the Federal Open Market Committee shocked markets by predicting two interest rate hikes by end-2023.
Asia shares slip as fears over Delta virus variant grow, U.S. data eyed
Asian shares dropped on Tuesday on concerns new coronavirus outbreaks in the region could undercut an economic recovery, even as robust momentum in the United States prompts the Federal Reserve to contemplate a quicker exit from accommodative policy.
Market at 12 PM
Benchmark indices extended the losses and trading near the day's level dragged by the metal, bank and auto names.
The Sensex was down 165.58 points or 0.31% at 52570.01, and the Nifty was down 55.80 points or 0.35% at 15758.90. About 1564 shares have advanced, 1280 shares declined, and 102 shares are unchanged.
L&T Technology, Mavenir in partnership to deliver end-to-end 5G automation services
L&T Technology Services announced a strategic partnership to deliver end-to-end 5G automation services with Mavenir, the Network Software Provider building the future of networks with cloud-native software that runs on any cloud, company said in the press release.
L&T Technology Services was quoting at Rs 2,876.20, down Rs 9.80, or 0.34 percent on the BSE.
Here are the stocks that have touched their 52 week highs during the day; Click for More
Indo Count Industries in partnership with Jasper Conran
Indo Count Industries announced its new partnership with Jasper Conran O.B.E. for an exclusive bed and bath collection, launching in Spring 2022, as per the BSE release.
Indo Count Industries was quoting at Rs 176.70, up Rs 1.50, or 0.86 percent on the BSE.
Rupee Updates:
Indian rupee is tradingmarginally lower at 74.22 per dollar, amid selling seen in the domestic equity market.It opened lower by 9 paise at 74.28 per dollar against previous close of 74.19.
Kshitij Purohit, Lead International & Commodities at CapitalVia Global Research:
Technically USD-INR July opened on a positive note with a significant gap-up and faced resistance in a major resistance zone of 74.65-74.70, this zone has been tested multiple times as major resistance and if any strong closing above this zone could push prices higher to 75.0-75.5 levels, if supported by ample volumes.
The major trend looks bullish on daily charts as prices took support on a major level of 73.13-73.10 from where we have seen a considerable upside. In today’s session prices have just closed above 110-SMA and we have seen sharp selling. If this trend continues tomorrow, we may see support being tested in 74.25-74.22 zone.
Market update
Sensex is down 150.22 points or 0.28% at 52585.37, and the Nifty shed 47.50 points or 0.30% at 15767.20. Cipla, Titan Company and Divis Labs are the top gainers while HDFC Life Insurance, Kotak Mahindra Bank and Reliance Industries are the most active stocks.
Among the sectors, the metal index is down a percent while the smallcap index is trading in the green.
Nifty Metal is down a percent dragged by SAIL, Jindal Steel & Power and JSW Steel
ICICI Direct:
Weakness in the rupee should continue as crude oil prices moved to 2018 highs. Huge writing positions were formed even in OTM Puts for the July series, which should provide support to the USDINR pair.
The dollar-rupee June contract on the NSE was at Rs 74.43 in the last session. The open interest rose 26.3% for the July series.
Sebi grounds GoAir IPO for 90 days pending enquiry against promoter Bombay Dyeing
The Securities and Exchange Board of India (SEBI) has temporarily halted the initial public offering (IPO) of Go Airlines (India) Ltd due to a pending enquiry against Bombay Dyeing Manufacturing Company Ltd and its promoters, the Wadias. The IPO by GoAir, now christened GoFirst, has been kept in abeyance, the Sebi website showed on Monday.
Dollar Updates:
The dollar hovered below a two-month high versus major counterparts on Tuesday, with traders largely sidelined ahead of a closely watched U.S. jobs report, which could sway the timing of an exit from Federal Reserve stimulus.
Ahead Of IPO, Softbank Backed Delhivery In Talks To Acquire Rival Logistics Firm Spoton
IPO-bound Delhivery, a new-age domestic logistics giant and supply chain firm, is in advanced discussions to acquire a controlling stake in Bengaluru-based rival express logistics player Spoton Logistics, people familiar with the matter told Moneycontrol. Read More
Rupee Opens:
Indian rupee opened lower by 9 paise at 74.28 per dollar on Tuesday against previous close of 74.19, amid selling seen in the domestic equity market.
On June 28, rupee ended flat at 74.19 per dollar against Friday's close of 74.18.
SpiceJet to consider fund raising on June 30
SpiceJet share price rose nearly 4 percent on June 29 as company to consider fund raising.
The meeting of board of directors of the company scheduled on June 30, 2021 to discuss and consider, options for raising fresh capital through issue of equity shares/debt instrument on preferential/qualified institutions placement basis.
The board will also consider and approve, the audited standalone and consolidated financial results of the company for the financial year ended March 31, 2021.
Market at 10 AM
Benchmark indices were trading lower with Nifty below 15800 dragged by the metal and financial stocks.
The Sensex was down 125.14 points or 0.24% at 52610.45, and the Nifty was down 40.40 points or 0.26% at 15774.30. About 1598 shares have advanced, 1018 shares declined, and 107 shares are unchanged.
Top gainers were SBI Life Insurance, Power Grid Corp, Wipro, L&T and ITC, while losers were Britannia, ICICI Bank, JSW Steel, Maruti Suzuki and Hindalco.
V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services:
The strongest headwind for the market now is the continuous FII selling (Rs 1659 crore in the cash market yesterday) which is logical in the context of the high valuations. With strong DII buying ( Rs 1277 crore in the cash market yesterday) and over-confident retail activity, FIIs are now in a position to sell aggressively without pulling the markets down significantly.
For Nifty 15900 level has become a strong resistance zone for the market now. Therefore, more action can be expected in the mid-small-cap space where there is not much FII activity. The package announced by the FM yesterday is more relief than stimulus. It relies more on guarantees to the banks rather than the government directly stimulating the economy through higher public expenditure. Raising the ECLGS limit from Rs 3 lakh crores to Rs 4.5 lakh crores is a nudge to banks to lend more on government guarantees. This can stimulate the economy without impacting the fisc in the short-term.
Ramco Systems gets digital transformation contract from Aden Ports
Ramco Systems share price added over 5 percent on June 29 after company received digital transformation contract from Aden Ports.
" ..... announced that it will provide its next-gen Enterprise Resource Planning (ERP) software to Aden Ports Development Company (APDC) at their Aden Container Terminal (ACT), deepening its 12-year partnership with Yemen’s largest container terminal," company said in the release.
Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services:
We expect the long term trend of the equity market to remain positive as the earnings momentum is likely to accelerate in FY22 given the pick up in the pace of vaccination and the further opening of the economy. Good monsoon so far has also supported bullish sentiments. However, the near term direction of the market would be determined by risk around Covid third wave and the commodity price led inflation.
Gainers and Losers on the BSE Sensex:
Market Opens:
Indian indices opened flat on June 29 amid mixed global cues.
The Sensex was up 7.06 points or 0.01% at 52742.65, and the Nifty was down 6.40 points or 0.04% at 15808.30. About 1234 shares have advanced, 542 shares declined, and 69 shares are unchanged.
