Closing Bell: Nifty above 22,450, Sensex gains 400 pts; except auto, all sectors in the green

Market ended higher for the third consecutive session on April 1 with Nifty around 22,450. At close, the Sensex was up 363.20 points or 0.49 percent at 74,014.55, and the Nifty was up 135.10 points or 0.61 percent at 22,462.

We wrap up today's edition of the Moneycontrol live market blog, and will be back tomorrow morning with all the latest updates and alerts. Please visit https://www.moneycontrol.com/markets/global-indices for all the global market action.

Markets were in an upbeat mood after a prolonged holiday session last week as both Sensex & Nifty propelled to fresh highs on the back of bargain hunting, which shows that appetite for equity assets continue to remain strong for investors despite hiccups at regular intervals. Although there are challenges related to delayed rate cuts and uncertainty surrounding geo-political tensions, India's strong reform path and expectations that the ruling party could come back to power in the upcoming general elections has been prompting investors to take bullish bets. Following today's record high levels, Nifty faces resistance between 22601-22750 zone while the index has support at 22201-22000 levels.

The onset of the new financial year saw a robust start in the markets, with the Sensex surging and closing 363 points higher at 74,014.55, while the Nifty climbed above 22,462. This positive trajectory was fueled by strong global market performance. All sectoral indices saw gains, especially in the metals sector. Additionally, the BSE midcap index witnessed a rise of 1.6%, and the smallcap index boasted an impressive gain of nearly 3%.

The prevailing sentiment in the market remains bullish, with evident momentum aiming for the Nifty to reach 22,700. In light of this optimistic outlook, market participants are advised to maintain a strategy of "buy on dips".

The Nifty opened at gap up and traded with a narrow range thereafter. It registered a new all-time high of 22529.95. The Nifty has been witnessing a sharp upmove since past couple of trading sessions and we expect the momentum to continue. The hourly momentum indicator has triggered a negative crossover which can lead to a consolidation and a dip towards 22400 – 22350 is possible, however it should be used as a buying opportunity as the overall trend appears positive. If Nifty manages to sustain above 22500 then there shall be a further upside till 22670 – 22740.

Bank Nifty has broken out of the sideways consolidation on the way up and is witnessing follow through buying interest. It is likely to continue the momentum towards 47850 – 48000 from a short-term perspective. So the minor degree pullbacks should be used as a buying opportunity.

The Indian market boarded on a strong trajectory at the onset of the new financial year, with indications pointing towards a continuation of this favourable momentum, in the near term. This confidence is supported by a global rally in expectation of a Fed rate cut in June and a healthy domestic earnings growth forecast in Q4FY24. Notably, metal stocks excelled today, owing to the swift pace of Chinese PMI data, indicating traction in the economic recovery. Going ahead, RBI monetary policy, India PMI data, and US non-farm payroll data will set the direction of the market.

The Nifty index encountered a sideways trading session following a robust start, encountering resistance at 22500, coinciding with the highest open interest on the call side. To maintain the upward momentum, the index must decisively breach the 22500 mark, paving the way for further gains towards 22700/22800 levels. On the downside, support is situated at 22350, and as long as the index holds above this level, the overall outlook remains optimistic.

The Bank Nifty index displayed upward movement leading up to the crucial RBI policy session this week, surpassing the immediate hurdle at 47500. With lower-end support around the 47000-46800 zone, any retracement towards this level presents a favorable opportunity for long positions. The next obstacle for the BankNifty is at 48000. Post the RBI policy announcement, market direction and sentiment are expected to become clearer.

Market started the week with modest gains and hit new life highs, gaining over half a percent. After the gap-up opening, Nifty traded lackluster in the narrow range and finally closed around the opening range at 22462 levels. On the sectoral front, realty and metal performed well while FMCG and Auto traded subdued. The broader indices outperformed the benchmark, wherein smallcap gained over three percent while midcap closed higher by one and a half percent.

We are now eyeing 22,700 in Nifty thus participants should maintain a “buy on dips” approach. We feel the participation of the banking pack would continue to play a critical role in maintaining the prevailing momentum, while others may play a supportive role on a rotational basis. Traders should maintain a stock-specific approach and focus on the stocks which are showing higher relative strength.

The markets started the new financial year on a robust note and were seen compounding their gains before selected heavyweights dragged the Index marginally lower to settle the session at 22,462 with gains of 135.10 points.

Media and Realty were the top performers sector-wise followed by Metal while Auto and FMCG ended the day with minuscule losses. The interest of market participants was more towards the Broader markets as Mid and Smallcaps gained by 1.74% & 3.26% and outshined the Nifty50.

On the daily chart, the Index has made a DOJI candlestick pattern at record levels indicating indecisiveness between the bulls and bears. To extend the underlying bull run, the Index must breach the stiff hurdle of 22,500 while the downside is guarded at 22,270.

: Market ended higher for the third consecutive session on April 1 with Nifty around 22,450.

At close, the Sensex was up 363.20 points or 0.49 percent at 74,014.55, and the Nifty was up 135.10 points or 0.61 percent at 22,462.00. About 3015 shares advanced, 572 shares declined, and 112 shares unchanged.

Tata Steel, JSW Steel, Adani Ports, Shriram Finance and Divis Labs are among the top gainers on the Nifty, while losers are Eicher Motors, Titan Company, Bajaj Auto, LTIMindtree and Nestle.

Except Auto, all other sectoral indices ended in the green with metal, power, capital goods, healthcare, realty up 1-4 percent, while oil & gas, Information Technology, bank up 0.5 percent each.

The BSE midcap index rose 1.6 percent and the smallcap index gained nearly 3 percent.

-Underperform call, target Rs 150 per share
-PNGRB notified unified tariffs effective April & May where it left tariffs unchanged
-New tariff will be notified effective June that includes newly commissioned pipelines
-The PNGRB order makes no reference to higher gas cost of GAIL
-Risk reward is unfavorable with stock trading above +1 SD over LT average

Bharat Electronics has achieved a turnover of around Rs 19,700 crore (Provisional & Unaudited), during the Financial Year 2023-24, against the previous year’s turnover of Rs 17,333 crore registering a growth of 13.65%.

We expect crude oil to continue its upward momentum in Q2-CY24 as well following 16% gains in Q1CY24, amid the supply constraints arising due to geo-political concerns, OPEC+ planned output cuts and improving outlook from Asian nations. The factory activities in China showed expansion at private and government levels with official purchasing managers' index (PMI) rose to 50.8 in March from 49.1 in February and the Caixin/S&P Global manufacturing PMI rose to 51.1 in March from 50.9 the previous month.

OPEC+ in its upcoming meeting on April-3 is unlikely to make any oil output policy changes until a full ministerial gathering in June. Earlier in Feb OPEC+ members agreed to extend their output cuts of about 2.2 million barrels per day to the end of June. Since than oil market has been witnessing deficit of around 0.5-07 mbpd.

We remain bullish on crude oil in short to medium term with WTI prices expected to trade in the range of $85-$87/b. The short term could test the resistance of $85 and support remain around $80, as most of the market remain closed on Easter holiday, expect volumes to remain thin.

Sensex Today | Nifty Auto index down 0.3 percent dragged by Sona BLW, Eicher Motors, Bajaj Auto

Coal India Limited (CIL) produced 773.6 million tonnes (MTs) of coal in FY 2024 registering 10% growth over a high base of 703.2 MTs of FY 2023.

Muthoot Microfin has raised $75 million through external commercial borrowings. Participants of the deal included Standard Chartered Bank, Doha Bank, RakBank (National Bank of Ras Al Khaimah), Union Bank of India (UK)., and Canara Bank, GIFT City.

The National Faceless Assessment Centre, Income Tax Department, has issued orders for FY16 and FY17 levying penalty on Suzlon Energy in respect of disallowance of claim of depreciation on goodwill, disallowance.

There will be impact of Rs 260.35 crore on financial, operation or other activities of the company.

Tata Motors reported commercial vehicle sales of 42,262 units and passenger vehicle sales of 50,297 units for March. Total sales reached 2.66 lakh units, up from 2.52 lakh units last year.

Gold prices rose to a record high on Monday, as a softer U.S. inflation reading cemented bets that the Federal Reserve would deliver its first interest rate cut of the year in June.

Spot gold was up 1.2% at $2,258.53 per ounce, as of 0815 GMT, after hitting an all-time high of $2,262.19 earlier in the session. U.S. gold futures gained 1.8% to $2,279.50.

Alembic Pharmaceuticals Ltd on Monday said it received tentative approval for generic Ribociclib tablets used in the treatment of breast cancer in the March quarter.

The tentative approval by the US Food & Drug Administration (USFDA) was for Ribociclib tablets of strength 200 mg, Alembic Pharmaceuticals said in a regulatory filing.

The medicine is indicated for the treatment of adult patients with a certain type of advanced or metastatic breast cancer in a combination of drug therapy.

It is the generic equivalent of Novartis' Kisqali tablets, the filing added.

Yes Bank has received Rs 366 crore from a single trust in the Security Receipts Portfolio, pertaining to sale of NPA portfolio to J C Flower Asset Reconstruction on December 17, 2022. Meanwhile, the bank has received a reassessment order from the National Faceless Assessment Unit, Income-tax department, raising additional demand for tax liability (including interest) on various income-tax disallowances, amounting to Rs 112.81 crore.

Sensex Today | Market at 2 PM

The Sensex was up 364.12 points or 0.49 percent at 74,015.47, and the Nifty was up 134.90 points or 0.60 percent at 22,461.80. About 2949 shares advanced, 528 shares declined, and 93 shares unchanged.

Jindal Steel has informed that the company is not engaged in any discussions/ on ground actions regarding the news article “Jindal Steel & Power takes on ops at Venezuela’s largest iron-ore mill.”

The contents in the referenced article are factually incorrect and are denied by the company.

Karnataka Bank has signed agreement with ICICI Lombard General Insurance Company to distribute their general insurance products to the customers of the bank.

Meanwhile, the bank has approved allotment of Rs 600 crore worth equity shares under qualified institutional placement (QIP), at a price of Rs 227 per share, to domestic and foreign institutional investors including Morgan Stanley, HSBC Mutual Fund, SBI Life Insurance Company, Franklin India, and Max Life Insurance Company.

Syngene International has received an order for tax demand of Rs 16 crore from the Income Tax Department for the Assessment Year 2022-23. The company is in the process of analysing the order and will take the next course of action.

Sensex Today | BSE Bank index up 0.6 percent supported by AU Small Finance Bank, IDFC First Bank, HDFC Bank

Macrotech Developers has acquired 50% of the paid-up equity capital of Siddhivinayak Realties under a share purchase agreement, for Rs 250.72 crore.

-Overweight call, target Rs 970 per share
-CARE and ICRA upgrade long-term rating to AA+
-Rationales are based on company’s NBHF's improved asset quality
-Upgrade on strengthened capital position & diversified resource profile
-Q4 is seasonally a strong quarter for HFCs on loan growth & asset quality stand point
-Valuation is attractive at 1x FY25 P/B & 9x P/E

Metro Brands has extended its partnership with Crocs India. The partnership has granted Metro Brands exclusive rights to operate and own Crocs full price stores across the western and southern states in India. Further, Metro Brands will have rights to continue, renew & operate all existing stores that are currently operational in Northern & Eastern states of India.

JSW Vijayanagar Metallics, a wholly-owned subsidiary of JSW Steel, has commissioned its hot strip mill (HSM) at steel plant in Vijayanagar with a capacity of 5MTPA and has made its first dispatch.

Vidyuth Venkatesh Rajagopal has expressed his intention to step down from the position of Joint Managing Director of Indian Terrain Fashions with effect from March 31.

Sensex Today | Nifty PSU Bank index added 1 percent supported by IOB, Punjab & Sind Bank, UCO Bank

Astra Microwave Products has bagged orders worth Rs 56 crores (inclusive of taxes and duties) for supply, installation, testing and commissioning of Precision Approach Radar (PAR) system from Hindustan Aeronautics Limited, Bangalore.

Great Eastern Shipping has contracted to buy a medium range product tanker of about 51,486 dwt. The 2013 built vessel is expected to join the company’s fleet by Q1 FY25.

Sensex Today | Nifty Bank index gained 0.7 percent led by Bandhan Bank, AU Small Finance Bank, IDFC First Bank

-Underweight call, target Rs 2,085 per share
-Average daily traded value is a key driver of MCX'S profits & share price
-In March 2024, ADTV futures rose 10% MoM to Rs 64,100 crore
-MCX stock price fell MoM (down -11% vs 2% rise for Sensex)
-Valuations remain stretched despite underperformance at 46x FY25 EPS

Hindustan Aeronautics recorded the highest ever revenue from operations of over Rs 29,810 crores (provisional and unaudited) for the financial year ended on March 31, 2024 registering a double digit growth of around 11% as against 9% in the previous financial year. The corresponding figure for the previous year was at Rs 26,928 crores.

Century Enka has commissioned the SSP and polyester spinning capacity to be used in polyester tyre cord fabric (PTCF). The company will now start the process of approval of PTCF with tyre companies.

Vimta Labs has received approval from the board of directors for the merger of subsidiary Emtac Laboratories with itself. The scheme of amalgamation is subject to approval of the National Company Law Tribunal.

Triveni Turbine has received approval from the board members for re-appointment of Dhruv M Sawhney as Managing Director for five years with effect from May 10. Dhruv is designated as Chairman and Managing Director of the company.

Further, the board has appointed SN Prasad as Chief Executive Officer, and Sachin Parab as Chief Operating Officer of the company with effect from April 1.

Sensex Today | BSE Capital Goods Index rose 1.6 percent led by Schaeffler India, SKF India, Rail Vikas Nigam

Ashok Gupta, the Chief Financial Officer of the company has superannuated on March 31 after a long career stint with MAN Group. Sanjay Kumar Agrawal has been appointed as the Chief Financial Officer of the company with effect from April 1.

NTPC has discontinued operation of NTPC Barauni thermal power station Stage-I (2x110 MW), with effect from March 31. The said thermal power station comprised of two units (Unit 6 & 7) of 110 MW each.

Sensex Today | Nifty Media index up 2 percent supported by Dish TV, Zee Entertainment Enterprises, Network 18 Media & Investments

Shares of Globus Spirits jumped around 12 percent on April 1 after the company informed that it has commenced commercial production of additional capacity at two of its existing units at Singhbhum in Jharkhand, and at Burdwan in West Bengal.

With this expansion, the capacity of the units increased from 140KLPD (kilo litres per day) to 200KLPD at Jharkhand and from 240KLPD to 300KLPD at West Bengal. The additional capacity will be used for various products, including ENA and ethanol.

The expansion has been completed with a total investment of Rs 142 crore, the company informed. Read More

Thangamayil Jewellery has received a notice of tax demand of Rs 70.18 crore including interest, from the Income Tax Department. The said order is appealable before Appellate Authorities.

The company will file its appeal within the specified period. The company as per law to make upto 20% of demanded amount, amounting to Rs 14.04 crore, which has no material impact on the financials as well as on operations or other activities of the company.

Indian Hume Pipe Company has received a tax demand order of Rs 93.44 crore for the Assessment Year 2022-2023, from the Income Tax Department.

IFB Industries' board has appointed Soumitra Goswami as the interim CFO and key managerial personnel of the company, with effect from April 1, 2024, till the time a new CFO is appointed. Prabir Chatterjee has retired as Whole-time-Director and CFO of the company with effect from March 31.

Sensex Today | BSE Telecom index gained more than 2 percent led by Sterlite Technologies, OnMobile Global, Indus Towers

The board of directors of IP Rings at their meeting held today approved the resignation of Mr. R. Venkataraman as Chief Financial Officer of the company with effect from February 10, 2024.

ICICI Prudential Mutual Fund through its ICICI Prudential India Opportunities Fund bought 5,92,805 equity shares in Cartrade Tech at an average price of Rs 640 per share, via open market transactions.

However, foreign investor Springfield Venture International sold 6,31,107 equity shares (1.34% of paid-up equity) of the company at an average price of Rs 640.04 per share.

-Buy call, target Rs 3,800 per share
-Company commissioned phase-1 of copper smelter unit in Mundra on schedule & similar expansion planned for phase-2 in later years
-Mundra commissioning is a milestone project and with this unit, company enters into another new business
-Timed commissioning suggests group's continued ability to execute largescale projects
-Copper constitutes nearly 10% of company’s FY26 EBITDA and 3% of EV mix in SOTP

Sensex Today | BSE Power index rose 2 percent led by Adani Energy, Adani power, Tata Power

The Great Eastern Shipping Company has contracted to sell its 2004 Medium Range Product Tanker, Jag Pahel of about 46,319 dwt on April 01, 2024 to an unaffiliated third party. The vessel will be delivered to the new buyer by Q1 FY25.

Sensex Today | BSE Midcap index rose 1.4 percent led by Vodafone Idea, Rajesh Exports, IOB

Greenply Industries' joint venture unit has commenced manufacturing activities and commercial production at Vadodara, Gujarat. The production at the said facility will be ramped-up in three phases spread over next 3 years. Greenply incorporated a 50:50 joint venture company in India - Greenply Samet - for manufacturing and selling functional furniture hardware.

Sensex Today | Nifty Metal index up 2 percent supported by Welspun Corp, MOIL, JSW Steel

Shares of GM Breweries jumped 12 percent in trade on April 1 after the company's board said it will consider a proposal for issuing bonus shares in its April 4 meeting.

The company will consider the issuance of bonus shares after six years. Earlier, bonus shares were issued in the ratio of 1:4 in 2018, 2016, and 2014.

A bonus issue is an offer given to existing shareholders of the company to subscribe for additional shares. The number of shares increases, but the value of the investment remains the same. Read More

The board of directors of Datamatics Global Services at its meeting held today, has approved to enter into the share purchase agreement, shareholders agreement and other agreements to acquire 100% of the shareholding of Dextara Digital Private Limited, a private limited company incorporated in Hyderabad, Telangana, India (and also to indirectly acquire Dextara Digital (UK) Private Limited & Dextara Digital (USA) Inc., wholly owned subsidiaries of Dextara Digital Private Limited) through purchase of shares from its existing shareholders in one or more tranches over a period of two years.

KNS Shoetech (KNS), a wholly owned subsidiary of Hindustan Foods, has entered into a business transfer agreement (BTA) with SSIPL Retail Limited (SSIPL). This agreement entails the acquisition of manufacturing undertakings previously owned by SSIPL, located at Bangran and Bhagani in Himachal Pradesh as well as Kundli in Haryana.

Vinayak Jogdeo, Vice President- Liasioning and senior management personnel of Kolte-Patil Developers, has decided to take an early retirement from the services and accordingly resigned on January 9, 2024. The company relieved him from the services on March 30.

Garden Reach Shipbuilders & Engineers has achieved an annual turnover of Rs 3,400 crore (provisional & unaudited) for FY24, the highest ever in the history of the company, growing 33% over the previous year.

-Overweight call, target Rs 1,875 per share
-Transformation in tech architecture has resulted in better engagement & cost savings
-Q3FY24 GWP from ILTakeCare has risen 3.2x YoY
-9MFY24 GWP from digital partnerships has risen 4x from 9MFY22
-It continues to focus on customer engagement, fraud detection & driving efficiency

Sensex Today | Market at 12 PM

The Sensex was up 459.04 points or 0.62 percent at 74,110.39, and the Nifty was up 161.00 points or 0.72 percent at 22,487.90. About 2899 shares advanced, 518 shares declined, and 97 shares unchanged.

The Sensex and the Nifty 50 witnessed impressive gains of 29 per cent and 25 per cent, respectively, in the last financial year (FY24). Experts are optimistic that these indices could continue to record robust growth in the new financial year, despite ongoing challenges.

PM Modi congratulated the RBI for achieving its targets and objectives. "Indian banks are now profitable and credit growth is touching record levels. Today, India's banking system is recognized worldwide as strong and stable. Gross NPA for banks came down from 11.25% in 2018 to 3% now," the PM said at the RBI 90 years ceremony.

-Total sales up 4% YoY at 68,413 units Vs 66,091 units
-Total exports down 26% at 1,573 units Vs 2,115 units (YoY)
-Total Tractor Sales down 26% at 26,024 units Vs 35,014 units (YoY)