Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities:
After two days of sharp correction, benchmark indices witnessed a sharp pull back rally while Nifty found support at 17326 to reverse the falling trend. Technically, the texture of the sharp reversal formation near the 10 day SMA suggests further uptrend from the current level.
We are of the view that while the short-term trend still looks up, uncertain global market conditions could see the Nifty within the range of 17650-17450 levels. For day traders, as long as the index is trading above 17450, pullback rally is likely to continue up to 17600-17650-17680 levels. On the flip side, index below 17430, the uptrend would be vulnerable.
Sachin Gupta, AVP, Research at Choice Broking:
Technically, the Nifty50 has recovered from the immediate support around 17,270 levels and sustained above 9 days SMA & Middle Bollinger Band formation, which indicates further strength for the next trading session.
On an hourly chart, the Nifty index has given a breakout of falling channel formation and showed positive crossover in stochastic & RSI, which supports the upward trend. At present, Nifty has its crucial support at 17,250 levels, while resistance lies at 17,650 levels.
Santosh Meena, Head of Research, Swastika Investmart:
Indian market witnessed smart recovery after yesterday's fall on the back of a recovery in US future and Europe markets, however we were showing strong resilience for the last many days and outperforming our global peers. Indian economy is showing strong recovery and worry of covid cases is dwindling therefore India looks a safer bet for foreign investors amid concern in other emerging markets.
Other than global markets recovery some other factors were playing out for today's strong performance by Indian markets. First, there was no FIIs' seeling in yesterday's trading session despite a sharp fall that led to positive sentiment. Second, the Nifty Put call ratio dipped to 0.98 level which was an oversold territory and that led to a short-covering rally in our market.
Volatility may continue ahead of the FOMC meeting as there is fear that the US fed may talk about the timeline of tapering which could be as earlier as November. The dollar index and US bond yields are showing some signs of upside momentum ahead of the FOMC meeting and if they continue their upward movement then there could be a risk of FIIs selling in the near term in Indian equity markets as well therefore next few days are going to be critical for global markets.
Norbert Rücker, Head Economics and Next Generation Research, Julius Baer:
Oil prices climbed back towards USD 75 per barrel, digesting the latest pandemic hiccups very well. The bigger picture might be changing. With demand growth slowing, the incremental return of shale and petro-nation supplies suggests that the cycle is mature and the pressure on prices should grow with time. We see oil prices swinging around the low 70s price levels.
The oil market could continue to tighten in the near term, but eventually the gap between demand and supply narrows and storage bottoms out. We see the oil market’s cycle at, or close to, its peak and expect growing headwinds to prices in the longer term.
The reward of the now more limited further upside seems less attractive against the risk of geopolitics, fragile petro-nation cohesion, and the inherent uncertainties currently posed by the property-related news flow out of China.
Kotak Mahindra Bank forays into Healthcare Financing
To bring a sharper focus to the healthcare sector with a targeted set of product offerings, Kotak Mahindra Bank (KMBL) today announced that it has launched a tailored and holistic suite of healthcare financing solutions ranging from healthcare infrastructure loans, medical equipment finance and unsecured healthcare loans, catering to key stakeholders in the healthcare ecosystem including hospitals, laboratories, diagnostic centres, nursing homes, clinics, doctors and medical equipment manufacturers & dealers.
KMBL has introduced a comprehensive bouquet of offerings at attractive interest rates to meet the financing requirements of all the key players. This includes innovative lending facilities such as the Insta Programme for quick approval of loans up to Rs 50 lakh.
Vinod Nair, Head of Research at Geojit Financial Services:
Domestic indices staggered during the early trading session however positive trends in the global markets comforted Indian equities to rebound during the second half. Global stocks recovered from the fears sparked by troubles in the Chinese economy, ahead of the FOMC meeting that will start later in the day. All major sectors traded in the green zone while the auto sector remained under pressure due to rising input costs and the semiconductor shortage faced by the global auto industry.
Rohit Singre, Senior Technical Analyst at LKP Securities:
Sharp recovery has been witnessed from good support zone as mentioned and closed a day at 17,562 with gains of one percent and formed a bullish candle on daily chart after two bearish candles. Now going forwards 17,600-17,660 will act as resistance zone also one can lock their long gains around said levels and supports are placed at 17,500-17,430 zone and any dip near said levels will be again buying opportunity with keeping immediate stop out level below 17,500 zone and overall range is coming in between 17,300-17,800 zone.
Market Close:
Benchmark indices ended higher with Nifty closing above 17,500 amid mixed global cues.
At close, the Sensex was up 514.34 points or 0.88% at 59,005.27, and the Nifty was up 165.10 points or 0.95% at 17,562. About 1551 shares have advanced, 1602 shares declined, and 165 shares are unchanged.
JSW Steel, Bajaj Finance, ONGC, IndusInd Bank and Bajaj Finserv were the top Nifty gainers. Maruti Suzuki, BPCL, Hero MotoCorp, Bajaj Auto and Nestle were among the top losers.
Except power and auto, all other sectoral indices ended in the green, with realty, it and metal indices up 2-3 percent. BSE midcap index rose nearly 1 percent, while smallcap index was up 0.2 percent.
Ashis Biswas, Head of Technical Research at CapitalVia Global Research:
The market witnessed some volatile movements and an attempt to hold the level around the Nifty 50 Index level of 17,450-17,500. It suggests that 17,450-17,500 will be an important support zone for the market to stay positive in the short term. If the market is able to sustain the level of 17,450-17,500, market can witness higher levels of 17,850. The momentum indicators like RSI and MACD indicating positive momentum is likely to continue.
Shantanu Mazumder, Executive Director – Karnataka, Knight Frank India:
Karnataka Government’s decision to slash stamp duty by 2% will provide marginal boost to the real estate sector. Although the move is definitely progressive, it will only make marginal difference to the volume of sales because 2% is capped for properties worth 45L only. While it will save cost to homebuyers, the volume of sales below 45L is restricted. Had the stamp duty cut been across the price categories as was done by the Maharashtra government, the impact would have been desirable. Limiting it to properties worth up to Rs 45 lakh may not lead to volumes.
HDFC announces festive home loan rates at 6.70%
HDFC unveiled its special limited period offer for the upcoming festival season. Under this special offer, customers can avail HDFC Home Loan starting at 6.70% pa effective 20th September 2021. This Offer will be applicable to all new loan applications irrespective of the loan amount or employment category.
Housing Development Finance Corporation was quoting at Rs 2,761.10, up Rs 17.75, or 0.65 percent on the BSE.
Market at 3 PM
Benchmark indices extended the gains and trading at day's high level with Nifty above 17,500.
The Sensex was up 482.30 points or 0.82% at 58973.23, and the Nifty was up 149.10 points or 0.86% at 17546. About 1406 shares have advanced, 1565 shares declined, and 148 shares are unchanged.
HCL Technologies, Lendico join forces in building solutions for SMEs
HCL Technologies has entered a multi-year application services transformation partnership with Lendico, a brand of ING Germany, to deliver application and engineering services to help it create a state-of-theart digital platform that makes business banking faster and more convenient for small- and mediumsized enterprises (SMEs), as per the company press release.
HCL Technologies touched a 52-week high of Rs 1,315.10 and was quoting at Rs 1,301.85, up Rs 26.50, or 2.08 percent on the BSE.
Nifty Pharma index rose 1 percent supported by the Biocon, Cipla, Aurobindo Pharma
Sensex is up 374.03 points or 0.64% at 58864.96, and the Nifty jumped 117.70 points or 0.68% at 17514.60.
Tapan Patel- Senior Analyst (Commodities), HDFC Securities:
Crude oil prices traded higher with benchmark NYMEX WTI crude oil prices rose by 1.90% to $71.44 per barrel for the day. MCX Crude oil September futures were trading 1.15% up near Rs. 5272 per barrel by noon.
Crude oil prices rebounded on Tuesday gaining above $70 per barrel on US supply concerns. The traders and investors responded to the supply tightness in US due to higher demand for oil compare to gas and coal. However, market players are also assessing potential impact on China's economy of a crisis at heavily indebted property group China Evergrande.
Crude oil prices are expected to trade up for the day with resistance at $73 and support at $70 per barrel. MCX Crude oil October has support at Rs. 5180 and resistance at Rs. 5340.
European markets are trading in the green with FTSE, CAC and DAX up over a percent each
Market update at 2 PM
: Sensex is up 172.50 points or 0.29% at 58663.43, and the Nifty added 61.90 points or 0.36% at 17458.80. ONGC, IndusInd Bank and JSW Steel are the top gainers while SBI Card, Tata Steel and IRCTC are the most active stocks.
Hindustan Aeronautics defers proposal of stock split at today's board meet
Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, this is to inform that the Board of Directors
of the company in its meeting held on September 21, 2021, has deferred the proposal of sub-division of shares, it said in an exchnage filing. The stock was trading at Rs 1,356.80, down Rs 19.15, or 1.39 percent. It has touched an intraday high of Rs 1,425.65 and an intraday low of Rs 1,340.45.
Gaurav Garg, Head of Research, CapitalVia Global Research:
Indian equity benchmarks made optimistic start on Tuesday despite weakness in global peers. Markets are trading higher with marginal gains in early deals on account of buying in Realty, Oil & Gas and Energy stocks. Most Asian markets are lower in weak holiday trading, following Wall Street's solidly bearish indications overnight, as traders sought bargains despite falling crude oil prices and concerns about the likely bankruptcy of Chinese real estate major Evergrande.
Lincoln Pharma plans to launch Cephalosporin products
Lincoln Pharmaceuticals is planning to launch Cephalosporin products soon. Company has acquired a facility in Mehsana, Gujarat.
Lincoln Pharmaceuticals was quoting at Rs 386.70, up Rs 4.10, or 1.07 percent on the BSE.
Nifty metal index added 1 percent led by the JSW Steel, SAIL, Jindal Steel
Oil rises 1% as U.S. storm aftermath tightens supply
Oil prices rose on Tuesday as analysts pointed to signs of U.S. supply tightness, ending days of losses as global markets remain haunted by the potential impact on China's economy of a crisis at heavily indebted property group China Evergrande.
Yash Sawant, Research Associate, Angel Broking:
Mounting fears over prospects of debt default by Chinese property developer Evergrande Group sent a panic wave across financial markets. Investors rushed towards the safe haven Dollar following worries over probable impact on the global economy amid the wide spread of the Delta Variant.
Appreciating US Dollar made the dollar priced industrial metals more expensive for other currency holders.
Debt fears come inline with the slow expansion in China’s economy following the recent outbreaks of the virus and disrupted supply which triggered the fall in industrial metal prices.
Markets are expected to remain cautious ahead of the outcome of the two-day Federal Open Market Committee meet which begins today's i.e 21st September’21. Any Hawkish comments by the US FED chair Jerome Powell might further strengthen the Dollar.
Market at 1 PM
Indian benchmark indices were trading flat in the afternoon session.
The Sensex was up 78.58 points or 0.13% at 58569.51, and the Nifty was up 31.10 points or 0.18% at 17428.
L&T Hydrocarbon Engineering wins orders
L&T Hydrocarbon Engineering Limited (LTHE), a wholly owned subsidiary of Larsen and Toubro, has bagged two orders in the Construction Services segment - one each from GAIL India and Air Products Middle East Industrial Gases LLC.
Larsen & Toubro was quoting at Rs 1,703.05, down Rs 0.70, or 0.04 percent on the BSE.
Nifty PSU Bank index fell 1 percent dragged by the Indian Bank, UCO Bank, Bank of Maharashtra
Ashishkumar Chauhan, MD&CEO, BSE, on BSE crossing 8 crore Registered Investor Accounts (UCC):
Equity investments whether directly or through Mutual funds is gaining ground over last 1.5 years due to variety of reasons across the world. India is also following the world trend. It is important for every investor to be careful and understand in detail the companies, processes and instruments in which they plan to invest or trade.
Asia markets, yuan fight to stabilise as Evergrande looms large
Global stock markets grappled with contagion fears on Tuesday, sparked by troubles at China Evergrande as growing risks the property giant could default on its massive debt pile prompted investors to flee riskier assets.
Tata Motors to increase prices of its commercial vehicles:
Tata Motors will increase the price of its commercial vehicle range in effect from 1st October 2021. The effective price hike, in the range of 2 percent, will be implemented basis the model and the variant of the vehicle.
Tata Motors was quoting at Rs 296.70, down Rs 2.35, or 0.79 percent on the BSE.
Evergrande seems like China’s Lehman moment, reminds of IL&FS, says Uday Kotak
The crisis surrounding debt-ridden Chinese property giant Evergrande seems like China’s Lehman moment and reminds of IL&FS collapse in India, Kotak Mahindra Bank Managing Director and CEO Uday Kotak said on September 21.
"The Indian government acted swiftly. Provided calm to financial markets. The Government appointed board estimates 61% recovery at IL&FS. Evergrande bonds in China trading ~ 25 cents to a $," Kotak tweeted.
There is panic in global markets over contagion from the expected collapse of the debt-ridden Chinese property giant.
Market at 12 PM
Benchmark indices were trading flat amid volatality.
At 12:00 IST, the Sensex was up 32.20 points or 0.06% at 58523.13, and the Nifty was up 17.90 points or 0.10% at 17414.80. About 898 shares have advanced, 2007 shares declined, and 112 shares are unchanged.
Government on AGR:
The government is actively considering allowing AGR moratorium through legislation with modifying SC-prescribed payment schedule.
Also, government considering allowing 4-year moratorium through an ordinance, quoting government Source, reported CNNC-TV18.
No indication of COVID-19 third wave yet: Maharashtra health minister
Maharashtra Health Minister Rajesh Tope, on September 20, said there was no indication of the onset of COVID-19 third wave in the state. He, however, said that the state might witness a spike in daily cases due to crowding during the festive season.
"As of now, there is no indication of a potential third wave in Maharashtra. However, the daily tally is likely to increase due to crowding to celebrate festivals," Tope told reporters in Jalna, as quoted by Hindustan Times. Click to read more
BSE Smallcap indices fell over 1 percent dragged by the BLS International Services, Zee Learn, RPSG Ventures
Motilal Oswal recommends subscribe to Paras Defence & Space Technology IPO
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Nifty Bank index shed 1 percent dragged by the Axis Bank, Au Small Finance Bank, Bandhan Bank
Ravindra Rao,CMT, EPAT, VP- Head Commodity Research at Kotak Securities:
COMEX gold trades little changed near $1765/oz after a 0.7% gain yesterday. Gold has bounced back after taking support near $1740/oz. Safe haven buying amid contagion fear in China, rising inflation concerns and persisting virus concerns lent support to gold prices. However, weighing on price is firmness in the US dollar amid Fed’s monetary tightening expectations.
ETF investors moved to sidelines awaiting fresh cues. Gold has stabilized after recent losses however any sharp rise is unlikely ahead of the Fed decision tomorrow.
Buzzing stock
Hindustan Unilever share price was trading at a new 52-week high of Rs 2,848. According to Vikas Jain, Senior Research Analyst at Reliance Securities, HUL has started to outperform after a long time with a positive momentum in the sector.
Domestic research and broking firm Motilal Oswal has a “buy” call on the stock, with target at Rs 3,280 a share, an upside of 15 percent from current level.
Market update at 11 AM
Sensex is down 116.09 points or 0.20% at 58374.84, and the Nifty shed 29.30 points or 0.17% at 17367.60. ONGC, HUL and JSW Steel are the top gainers while Axis Bank, Maruti Suzuki and ICICI Bank dragged the most.
Among the sectors, auto and banking index are down a percent each while the realty sector gained over a percent.
Sterling and Wilson Solar commissions 66 MWp solar energy project in Jordan
Sterling and Wilson Solar has commissioned the 66 MWp Al Husainiyah solar power plant in Jordan. The project, located on an area of 1.3 sq. kms in Ma’an Governorate, 200 km south of Amman.
Sterling & Wilson Solar was quoting at Rs 355.75, down Rs 0.90, or 0.25 percent on the BSE
Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors:
Yesterday despite the equity sell off dollar rupee could not breach 73.80 and was sold off from there. This shows the amount of flows into the system. Rupee to remain in range of 73.50 to 73.80. FOMC starting today should give some direction to the range bound market by tomorrow morning. Exporters to keep selling the uptick while importers may get a chance to buy below 73.50 level.
India Covid-19 Update:
India added less than 30,000 cases after 5 days, which was up by 26,115. The active cases were at a 6-month low with a fall of 8,606 cases in last 24 hours.
However, the recoveries increased by 34,469 & deaths by 252, meanwhile positivity rate stood at 1.85%, recovery at 97.75% & mortality at 1.33%.
BSE Auto index slipped 1 percent dragged by the Tube Investments of India, TVS Motor, Maruti Suzuki
HCL Technologies shares hit new 52-week high:
HCL Technologies' share price added close to 2 percent in the morning session on September 21, hitting a new 52-week high of Rs 1,315.10. The stock was trading at Rs 1,294.40, up Rs 19.05, or 1.49 percent.
The IT major has signed a five-year digital transformation deal with MKS Instruments Inc, a global provider of instruments, systems, subsystems and solutions for advanced manufacturing processes, to improve performance, productivity and speed to market, the company said in an exchange filing.
ICICI Direct:
US dollar increased by 0.05% yesterday amid risk aversion in the global markets. Market sentiments were hurt on worries over consequences from China’s Evergrande’s solvency issues. Further, market participants remained vigilant ahead of Fed monetary policy meeting.
Rupee future maturing on September 28 depreciated by 0.21% in yesterday’s trading session on strong dollar and weak stock indices. However, a sharp fall was prevented on FII inflows.
The rupee is expected to depreciate on strong dollar and risk aversion in the global markets. Market sentiments were hurt on worries about impact of potential default of China’s Evergrande on economy. Additionally, market participants will remain vigilant ahead of Fed policy meeting to look for indications when bank will start tapering its stimulus. However, sharp fall may be prevented on softening crude oil prices and persistent FII inflows.
Rupee Opens:
Indian rupee opened lower at 73.81 per dollar on Tuesday against previous close of 73.74 amid volatile trade seen in the domestic equity market.
Market at 10 AM
Benchmark indices erased early gains and trading flat in the volatile session.
The Sensex was up 10.28 points or 0.02% at 58501.21, and the Nifty was up 0.60 points or 0.00% at 17397.50. About 931 shares have advanced, 1720 shares declined, and 101 shares are unchanged.
