Closing Bell: Sensex falls 151 pts, Nifty below 25,150; IT gains, realty falls

Indian equity indices ended lower with Nifty at 25,150 on September 5.  At close, the Sensex was down 151.48 points or 0.18 percent at 82,201.16, and the Nifty was down 53.60 points or 0.21 percent at 25,145.10.

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 ended weak in a volatile trading session led by profit-taking in Reliance Industries. Globally, most of the equity indices were sluggish to mixed and are awaiting key US data on Friday, which would provide some hint on the Federal Reserve chief's likely stance on the interest rate in this month's policy announcement.

Nifty opened gap up today however witnessed profit booking during the course of the day to close in the red down ~50 points. On the daily charts we can observe that after the gap down in the previous trading session the price structure has weakened.

The uptrend is still intact however there is high probability of a consolidation within the range of 25000 – 25350 over the next few trading sessions. Dips towards the support zone 25100- 25050 should be used as a buying opportunity. On the upside immediate hurdle is placed at 25300 – 25350.

The Bank Nifty outperformed today and closed in the green today. The Banking sector stood out after underperforming in the recent days. We expect the Bank Nifty to take the lead going ahead and expect levels of 51900 – 52000 from short term perspective. The crucial support zone is placed in the range 51100 – 51000.

The benchmark indices continued to trade with minor losses due to concern of slowdown in the US & Chinese economy. The market is now seeking new catalysts, particularly in how the Fed evaluates the challenge of achieving a soft landing.

Meanwhile, the broader market outperformed, benefiting from positive service PMI data that suggests supportive domestic economic conditions.

Indian rupee ended at record low at 83.98 per dollar on Thursday versus Wednesday's close of 83.97.

Indian equity indices ended lower with Nifty below 25,150 on September 5.

At close, the Sensex was down 151.48 points or 0.18 percent at 82,201.16, and the Nifty was down 53.60 points or 0.21 percent at 25,145.10. About 2185 shares advanced, 1585 shares declined, and 99 shares unchanged.

Top Nifty gainers included Titan Company, LTIMindtree, Wipro, BPCL and ITC, while losers were Coal India, Britannia Industries, Cipla, Dr Reddy's Labs and Reliance Industries.

On the sectoral front, selling was seen in the capital goods, power, oil & gas, realty, while buying was seen in the metal, IT, telecom and media.

The BSE midcap index was up 0.3 percent and smallcap index added 0.5 percent.

Bazaar Style, a rapidly growing value retailer, is set for a positive stock market listing. The IPO received strong investor interest, with a subscription rate of 40.63 times and a GMP of 45 (11.57%). The company's impressive growth trajectory, margin improvement, and robust financial performance bode well for its future.

However, the IPO's valuation is on the higher side, which could temper investor enthusiasm. While strong market demand is likely to support a positive listing, investors may prioritize short-term gains due to valuation concerns. A cautious approach is recommended, balancing the company's growth potential with the valuation risks.

Indian Rupee declined today on weak domestic markets and a slight recovery in crude oil prices. However, a weak tone in the US Dollar prevented a sharp fall in the Rupee. US Dollar declined on disappointing jobs data. JOLTS job opening fell to 7.67 million jobs in July vs forecast of 8.1 million. This raised odds of a rate cut by the Fed in September. However, factory orders increased by 5% in July vs forecast of 4.7%.

We expect Rupee to trade with a slight negative bias on weak global equities and concerns over global economic growth. However, overall weakness in the US Dollar and weak crude oil prices may support the Rupee. Any intervention by the RBI to prevent the Rupee to fall to fresh lows may also support the domestic unit. Traders may take cues from ADP non-farm payrolls, weekly unemployment claims and ISM services PMI data from US the today. USDINR spot price is expected to trade in a range of Rs 83.80 to Rs 84.20.

#1 Company is spearheading a rapid retail consumer transformation via quick commerce business

#2 There are ambitious rollout plans

#3 The plans are going deeper across all metros having proven the model in NCR

#4 Scale should help it drive monetisation from channel margin and ad spending

#5 Incremental store economics should turn more positive on EBITDA

#6 Blinkit will have a way to scale faster than peers & current targets

Gautam Mukherjee has resigned as CFO of the company, effective August 29. The board has appointed Man Mohan Pal Singh Chadha as Whole-Time Director for five years, effective September 4, who will also be the Interim Chief Financial Officer (CFO) of the company. Additionally, Sanjeev Kumar Elwadhi has been appointed as Managing Director for five years, effective September 4.

The board of directors of the company recommended to the shareholders for their approval, through postal ballot issue of bonus shares in the ratio of 1:1 i.e. 1 (one) new fully paid-up equity share of Rs 10 each for every 1 existing fully paid-up equity share of Rs 10 each, to the eligible equity shareholders of the company as on the record date.

The company has executed a Conveyance Deed with OE Business Park (OEBPPL) for the sale of the One Earth Property, its corporate office, for Rs 440 crore. OEBPPL is a special purpose vehicle, shares of which are held by funds managed by 360 ONE Alternates Asset Management. Upon completion of the sale, the One Earth Property will be leased back to Suzlon for five years with sub-leasing and licensing rights.

Aerolloy Technologies, a wholly owned subsidiary of PTC Industries has received an order from Israel Aerospace Industries (IAI), for supply of Titanium cast components for Aerospace applications.

#1 Contracting operations of select peers & superior cost curve for company (key tailwind)

#2 Slipping crude if sustains may spring positive surprise on profit estimates

#3 Key pushback includes any ruboff of slowdown in global travel, ex-fuel cost headwinds

#4 Increasing value of stake sale by promoter is also a key pushback

The company has received order from Uttar Pradesh Department of Agriculture for the supply, installation, and commissioning with 5 years comprehensive warranty of 8,085 solar water pumping systems across various districts in the state. This project, valued at Rs 215 crores, is scheduled for completion by March 2025.

The board has approved the conversion of the outstanding loan granted to the company's subsidiary Kalpataru Power Do Brasil Participações S A (KPBPSA), Brazil, into equity shares of KPBPSA. The equity shares will be subscribed at a price of BRL 2.10 per share.

Arun Mittal has resigned as the Managing Director & CEO of the company's subsidiary Exide Energy Solutions due to personal reasons, effective October 31.

Mandar V Deo has been elevated and appointed as MD & CEO of Exide Energy Solutions, effective November 1.

Mandar V Deo was the Joint Managing Director of Exide Energy Solutions at the time of his elevation.

Shares of Raymond Lifestyle (RLL), the demerged lifestyle business of Raymond Ltd got listed at Rs 3,000 per share on the BSE, in an IPO-less debut for the stock. On the NSE, the shares were listed at Rs 3,020 apiece. The lifestyle business of Raymond will house all apparel-related businesses of the group. Read More

Welspun Enterprises board approved resolution to raise funds through issuance of securities, including equity shares, or any other eligible securities, through permissible modes, including by way of a private placement, preferential allotment, qualified institutions placement, in one or more tranches for an aggregate amount upto Rs 1,000 crore.

#1 Company could use Rs 3,000 crore QIP money to fund losses & working capital given absence of aircraft

#2 There is no visibility on capacity growth and profitability

#3 With huge debt & 3 percent market share, valuation is too expensive

#4 Key question is whether company can revive its business from such low levels

Shares of Interarch Building Products surged over 7 percent in trade on September 5 after the company inaugurated a new manufacturing plant in Andhra Pradesh. The said plant is the fifth manufacturing unit set up by the company, worth a total investment of Rs 95 crore. Read More

The company has declared as L-1 bidder for the tender floated by the Konkan Railway Corporation of Rs 1341 crore.

Sona BLW Precision Forgings has clarified that it evaluates various strategic opportunities in the ordinary course, for growth and expansion of its business. At this stage, there is no material event/ information that requires disclosure under Regulation 30 of the Securities and Exchange Board of India.

With respect to the statements in relation to the negotiations with Escorts Kubota, company confirm that these are speculative in nature and the company does not endorse the contents of the referenced media article.

The company has issued a corporate guarantee in favour of Hindalco Industries (HIL) for the acquisition of a land parcel in Thane from HIL by Ekamaya Properties. Ekamaya Properties is a wholly-owned subsidiary of Birla Estates (BEPL), which is a wholly-owned subsidiary of Century Textiles.

The Board of Directors of the company will meet on September 5 to consider the issue of bonus shares in the ratio of 1:1 to the equity shareholders of the company.

Additionally, Reliance won the award to build a 10 GWh battery storage project under the government's Production-Linked Incentive Scheme.

The Board of the housing finance company will meet on September 9 to consider the issuance of non-convertible debentures (NCDs) up to Rs 2,500 crore on a private placement basis, in tranches over the next six months.

China's manufacturing sector is showing signs of strain, as the world’s second-largest economy is currently combatting a slowing growth rate. The country’s focus on manufacturing has increased, especially amid its ongoing trade war with the US and lagging real estate market. China's manufacturing activity dropped to a six-month low in August, with factory gate prices falling and factory owners struggling to secure orders, according to an official survey released on Saturday. READ MORE

Passenger vehicle retail sales in India witnessed a 5 per cent on-year decline in August on account of delayed customer purchases, poor consumer sentiment and persistent heavy rains, industry body FADA said on Thursday. The overall passenger vehicle (PV) registrations last month stood at 3,09,053 units, as compared to 3,23,720 units in August 2023. READ MORE

Shares of Linde India surged over 6 percent to Rs 7,641 on September 5 after the company entered into an agreement with Tata Steel to acquire industrial gas supply assets at their Kalinganagar Phase 2 expansion project. The deal includes two 1800 tpd Air Separation Units (ASUs). READ MORE

The Sensex was down 119.60 points or 0.15 percent at 82,233.04, and the Nifty was down 28.70 points or 0.11 percent at 25,170.

PN Gadgil Jewellers Ltd has set a price band of Rs 456-480 a share for its Rs 1,100-crore initial public offering that will open for subscription on September 10.

The anchor bidding will start on September 9 and the issue will close on September 12. Allotment will be on September 13, refunds will be on September 17 and the stock will list on exchanges on September 18.

Reliance Industries Ltd won the award to build a 10 GWh battery storage project under the government's production-linked incentive scheme, bolstering India’s push for self-reliance in battery manufacturing.

The Ministry of Heavy Industries on September 4 said the 10 GWh Advanced Chemistry Cell (ACC) manufacturing scheme had an allocated budget of Rs 3,620 crore and received bids from seven companies, including ACME Cleantech Solutions Pvt Ltd, Amara Raja Advanced Cell Technologies Pvt Ltd, Anvi Power Industries Pvt Ltd, JSW Neo Energy Ltd, Lucas TVS Ltd, Reliance Industries, and Waaree Energies Ltd.

The Assistant Commissioner of State Tax, Investigation, Mumbai has levied penalties totalling to Rs 75,98,687.

Caplin Point Laboratories shares jumped almost 10 percent in trade on September 5 to a fresh lifetime high, extending its gains. Over the past one month, Caplin Point Labs shares have jumped almost 40 percent. Read More

GIC Re's offer for sale (OFS) was subscribed 1.08 times by non-retail investors on September 4, after which the Union Finance Ministry said it will exercise the green shoe option.

“Offer for Sale in GIC Re got a positive response today from Non Retail investors. Issue subscribed 1.08 times of base size. Government has decided to exercise the green shoe option,” Department of Investment and Public Asset Management (DIPAM) Secretary Tuhin Kanta Pandey said in a post on X.

Kotak Institutional Equities has downgraded Uno Minda to 'Sell' from 'Add', while also cutting the target price to Rs 970 from Rs 1,000. The brokerage highlighted concerns over a slowdown in the passenger vehicle segment, which is expected to impact growth.

Additionally, new product launches and capacity expansions are likely to put pressure on margins. Kotak also believes that the risk-reward has turned unfavourable for Uno Minda. Read More

The Board of the housing finance company will meet on September 9 to consider the issuance of non-convertible debentures (NCDs) up to Rs 2,500 crore on a private placement basis, in tranches over the next six months.

#1 Ready for the next innings; sector-leading EPS growth beckons

#2 Forecast EPS growth of 27 percent CAGR over FY24-27 on an improving RoA profile

#3 Forecast robust loan growth driven by commercial retail portfolios

#4 Company is relatively better placed this cycle on improving deposit market share

#5 Improving deposit market share should sustain on its multi-pronged strategy

#1 In Q1FY25, Star Health delivered sound performance with increasing contribution from distribution networks in GWP

#2 The renewal and combined ratios are expected to improve on the back of continuous management attention

Shares of low-cost carrier SpiceJet Limited rallied over 3 percent to Rs 64 in early trade on September 5 even as HSBC maintained its reduce call on the counter and assigned a price target of Rs 26, way lower than the current market price of Rs 62. Read More

Suzlon Energy shares rose in early trade on September 5 after the wind energy player signed a conveyance deed with OE Business Park for the sale of "One Earth Property," its corporate office.

The total consideration for the sale is Rs 440 crore. The sale was approved by the shareholders at the extra ordinary general meeting of the Company held on March 25, 2022. Read More