Closing Bell: Another day, another high, Nifty at 20,850, Sensex up 431 points

Benchmark indices ended higher for the sixth consecutive session on December 5 with Nifty around 20,850. At close, the Sensex was up 431.02 points or 0.63 percent at 69,296.14, and the Nifty was up 168.30 points or 0.81 percent at 20,855.10.

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.

Ajit Mishra, SVP - Technical Research, Religare Broking:

Markets edged higher for yet another session and gained nearly a percent, in continuation of the prevailing up move. After the initial surge, Nifty remained in a range for most of the session and settled around the day’s high at 20,855.10 levels. Meanwhile, a mixed trend on the sectoral front kept the traders occupied wherein energy, metal and banking were among the top performers. The broader indices too traded in sync and ended with modest gains.

The rotational buying across heavyweights is pushing the Nifty to a newer high despite the overbought reading and it is now heading towards a new milestone of the “21,000”+ mark. We recommend focusing on the stocks that were on the sidelines for some time and are likely to join the move now. At the same time, traders should keep on trailing stop losses in the existing trades to capitalize on the prevailing trend.

Shrey Jain, Founder and CEO SAS Online:

Benchmark indices extended their winning streak for the sixth consecutive session, driven by the positive sentiment in domestic markets following state election victories for the ruling party. Nifty concluded the day with a gain of 168.30 points or 0.81 percent, reaching 20,855.10. Banking stocks, particularly public sector banks, experienced a significant surge, propelling Bank Nifty to a notable increase of 1.25% or 580.85 points, closing at 47,012.25.

Despite the bullish trend, caution is warranted as Nifty enters the overbought zone, with the Relative Strength Index (RSI) exceeding 80. This could lead to some profit booking; considering these developments, it is advisable to adjust and trail your stop loss to mitigate any potential risk.

Ghazal Jain, Fund Manager- Alternative Investments, QAMC

There's growing consensus that the rate hiking cycle in the US is over given softer labour market data and slowing inflation numbers coming out of the US economy. The Fed is widely expected to leave rates unchanged at 5.25% to 5.50% at its December meeting. Markets are also expecting roughly 125bps of cumulative interest rate cuts by December 2024, with the first cut expected as soon as March 2024. These renewed expectations of softer Fed policy in 2024 are driving down US yields and US dollar and driving up gold.

While we too are cautiously optimistic that the rates have peaked, which should keep gold well supported, rate cut expectations and the upmove in gold is vulnerable to a reversal in the short term in case of a higher for longer Fed stance or hawkish Fed commentary to push back against market expectations and loosening of financial conditions.

Vinod Nair, Head of Research at Geojit Financial Services:

The domestic market extended the gains and hit fresh highs despite cautiousness among global peers ahead of key US job data this week. The aura of the state election results and other positive factors like above-expected earnings and GDP growth data are supporting the return of FII flows to the Indian market.

The RBI’s monetary policy meeting is expected to be status quo however, the commentary on economy growth, foodgrain prices and inflation trajectory will be closely watched.

Aditya Gaggar Director of Progressive Shares

Extending its positive momentum, Indian equities started the day at another record level of 20,800. Due to the overbought condition, a knee-jerk reaction was observed in the mid-session followed by a swift recovery, and for the rest of the day, the Index remained rangebound. Nifty50 advanced by 168.30 points and settled at 20,855.10. A mixed activity was seen among the sectors with Energy and Metal being the outperformers while Media and IT ended in red. Mid and Smallcaps continued to underperform as major buying influx was seen in the Index stocks only.

With an overbought condition, it appears that the Index has formed a Hanging Man candlestick pattern. We may see a price or time-wise correction and in the case of a price-wise correction, a reversal of the trend will only be confirmed when it closes below 20,700.

Rupee Close:

Indian rupee ended flat at 83.38 per dollar versus previous close of 83.37.

Market Close: Benchmark indices ended higher for the sixth consecutive session on December 5 with Nifty around 20,850.

At close, the Sensex was up 431.02 points or 0.63 percent at 69,296.14, and the Nifty was up 168.30 points or 0.81 percent at 20,855.10. About 1611 shares advanced, 1833 shares declined, and 99 shares unchanged.

Top gainers on the Nifty were Adani Enterprises, Adani Ports, Power Grid Corporation, NTPC and SBI, while losers were LTIMindtree, HCL Technologies, Divis Labs, HUL and Bajaj Auto.

Mixed trend was seen on the sectoral front with Power index up 6 percent, oil & gas index up nearly 2 and Bank index up 1 percent, while Information Technology and Realty indices down 0.5 percent each.

BSE midcap and Smallcap indices ended with marginal gains.

Stock Market LIVE Updates | Morgan Stanley View On Mahindra & Mahindra Financial Services:

-Equal-weight call, target Rs 285 per share
-Disbursements were +1 percent MoM, +16 percent YoY
-Gross assets grew 26.6 percent YoY, +0.9 percent MoM
-Have assumed higher growth in H2FY24
-If disbursement growth does not pick up, there could be risks to our AUM forecast
-Collection efficiency was down YoY at 94 percent
-GS3 and GS2 were range-bound versus October

Sensex Today | Anuj Choudhary Research Analyst , Sharekhan by BNP Paribas:

Indian Rupee depreciated marginally by 3 paise on Tuesday on positive US Dollar and disappointing macroeconomic data. India’s services PMI declined to 56.9 in November 2023 vs. the forecast of 58. However, positive domestic markets and a decline in crude oil prices cushioned the downside. US Dollar gained on a decline in US bonds after markets turned cautious on its rate cut expectations.

We expect Rupee to trade with a slight negative bias on positive US dollars and weak global markets. However, expectations of fresh foreign and a weak tone in crude oil prices may support Rupee at lower levels. Traders may take cues from US ISM services PMI and JOLTS job openings data. Investors may remain cautious ahead of RBI’s monetary policy decision later this week. USDINR spot price is expected to trade in a range of Rs. 83.10 to Rs. 83.70.

Sensex Today | Dollar finds footing ahead of job data deluge

The U.S. dollar regained some ground on Tuesday and hovered near a one-week high against a basket of currencies, ahead of a flurry of employment data that could upend investor expectations for the outlook for interest rates.

The euro took an early knock from comments by European Central Bank member Isabel Schnabel, who said in an interview with Reuters that interest rate hikes were off the table, given the "remarkable" fall in inflation.

Bitcoin held close to its highest since April last year, near $42,000, as a decline in the dollar in recent weeks has diverted cash into riskier assets.

The dollar index was up 0.1%, around one-week highs.

Stock Market LIVE Updates | Jefferies On Mahindra & Mahindra Financial Services:

-Hold rating, target at Rs 295 per share
-Disbursements steady MoM but rose 16 percent YoY
-Rise in monthly AUM rundown likely reflect conversion of trade advances to loans
-Stage 2 & 3 assets were similar to September 2023 levels
-Valuations reasonable at current levels
-Visibility on trajectory for higher RoA to drive rerating seems limited

Sensex Today | Sunil Nyati, Managing Director of Swastika Investmart:

China's economic growth is steadily decelerating, prompting a recent downgrade from stable to negative by Moody's. However, this action reflects a lagging indicator of an already entrenched trend. Despite various stimulus efforts, the overall outlook for the Chinese economy remains negative.

In stark contrast, India's economy is surging, and its rapid expansion is likely to attract foreign investors, even amidst premium valuations.

Sensex Today | Market at 3 PM

The Sensex was up 421.26 points or 0.61 percent at 69,286.38, and the Nifty was up 156.50 points or 0.76 percent at 20,843.30. About 1500 shares advanced, 1745 shares declined, and 81 shares unchanged.

Stock Market LIVE Updates | Nomura View On HCL Technologies

-Neutral call, target Rs 1,200 per share
-State street insources BPO operations from co
-Arrangement is effective in the end of Q1FY25
-After divesture, co would lose USD 97 m of revenues or 80 bps of its current revenues
-As a part of this divesture, co would receive USD 170 m + net book value on date of closing

Stock Market LIVE Update | Easy Trip Planners gain as it unveils 'Winter Carnival Sale' offering discounts for flights, hotels, buses

Stock Market LIVE Update | Moody's downgrades outlook on China credit rating over debt fears

Ratings agency Moody's on Tuesday downgraded the outlook on China's credit rating to "negative" from "stable" on the back of rising debt in the world's second-largest economy, with Beijing saying it was "disappointed" by the move. READ MORE

Stock Market LIVE Update | Credit rating agency ICRA revised outlook for Maharashtra Seamless long-term credit rating to 'positive'

Stock Market LIVE Update | How to trade Fin Nifty in today's expiry?

Fin Nifty is trading positively, crossing the 21,000 mark in expiry day trading on December 5. On a weekly basis, Fin Nifty futures have observed a price increment of 5.35 percent, accompanied by a long build-up in open interest. READ MORE

USFDA inspects Sun Pharma's Dadra Facility, Torrent Pharma’s Oncology Facility, & Laurus Labs’ Vizag Facility

USFDA begins inspection at Dr Reddy’s Laboratories R&D centre at Hyderabad, quoting Sources, reported CNBC-TV18.

Stock Market LIVE Updates | HSBC View On Zomato

-Buy call, target Rs 140 per share
-Expect a 15 percent food delivery (FD) CAGR & 25-30 percent for quick commerce (QC) over next 4-5 years
-The expectations are for sustained margin expansion
-Demand weakness is a key downside risk for both FD & QC business

Stock Market LIVE Updates | Morgan Stanley On HCL Technologies

-Overweight call, target Rs 1,400 per share
-State street is exercising the call option to acquire company’s UK's 49 percent equity stake in JV
-Consideration amount for acquisition at USD 170 m + net book value (on closing)
-Transaction is expected to be completed in Q2FY24 or Q1FY25
-Entity has a revenue base of USD 97 million (0.8 percent of company’s revenue)
-Entity has a net worth of USD 94 million (1.2 percent of company’s net worth)
-Company owned 49 percent of the voting rights and 100 percent of dividend rights of the JV

Sensex Today | CITI View On Mahindra & Mahindra Financial Services:

-Buy rating, target at Rs 350 per share
-Moderation in MoM growth is likely due to unwind of trade advances
-Collection efficiency slipped YoY on festive season spilling over to November this year

Stock Market LIVE Updates | Analjit Singh resigns as Chairman of Max Life Insurance Company

Analjit Singh, Chairman of Max Life Insurance Company, the material subsidiary of the company, has stepped down from the chairmanship and membership of the board of directors of Max Life effective from December 4. Rajiv Anand, Non-executive director of Max Life, nominated by Axis Bank, has been appointed as the Chairman of Max Life effective December 5.

Stock Market LIVE Updates | HCC subsidiary to divest entire equity interest in Steiner Construction SA, Switzerland for Rs 928 crore

HCC Infrastructure Company, a subsidiary of Hindustan Construction Company, has received Rs 110 crore as an earn out money from Cube Highways and Infrastructure V Pte Ltd, for stake sale in Baharampore-Farakka Highways (BFHL).

Further, Steiner AG, Switzerland, the material subsidiary of HCC has entered into a Share Purchase Agreement with Demathieu Bard, a company headquartered in France, for divestment of its entire equity interest in Steiner Construction SA, Switzerland, a step-down material subsidiary of the company for CHF 98 million (Rs 928 crore). Accordingly, Steiner Construction SA will cease to be a subsidiary of Steiner AG, Switzerland and the company, on completion of sale/disposal.

Sensex Today | Dollar finds footing; Aussie slides after RBA holds rates

The U.S. dollar regained some ground on Tuesday and hovered near a one-week high against a basket of currencies, while the Australian dollar fell after its central bank left interest rates unchanged.

The Aussie was last down 0.63% at $0.6578 after the Reserve Bank of Australia (RBA) kept rates at a 12-year high of 4.35% on Tuesday, as widely expected, and noted that economic data received since November had been broadly in line with forecasts.

Sensex Today | Nifty PSU Bank index up 1.2 percent led by State Bank of India, Indian Overseas Bank, Canara Bank:

Sensex Today | Oil prices little changed amid OPEC+ cut doubts, Mideast tension

Oil prices held steady on Tuesday amid uncertainty over voluntary output cuts by the OPEC+ group of producers, tensions in the Middle East and weak economic data from the U.S..

Brent crude futures inched up 14 cents to $78.17 a barrel by 0735 GMT, while U.S. West Texas Intermediate crude futures rose 15 cents to $73.19.

Sensex Today | Citi View On Mahindra & Mahindra Financial Services

-Buy call, target Rs 350 per share
-Reported disbursements/business assets growth of 16 percent YoY/26 percent YoY
-Reported disbursements/business assets growth 1 percent MoM each to Rs 5,300 crore/Rs 96,600 crore
-Moderation in MoM growth of business assets is likely due to unwind of trade advances
-On YTD basis, disbursements/business assets growth has been 16 percent/17 percent
-Collection efficiency was stable MoM at 94 percent
-Collection efficiency was lower than Nov’22 level of 96 percent
-Collection efficiency lower likely due to festive season spilling over to November this year

Stock Market LIVE Updates | Brigade Enterprises signs joint development agreement to develop a luxury residential project

Brigade Enterprises has entered into a Joint Development Agreement with land owners to develop a luxury residential project, spread over 4 acres at Kurubarahalli, Mysore. The developable area of the project will be about 0.40 million square feet. with a gross development value of Rs 300 crore.

Sensex Today | BSE Power index up 4 percent supported by Adani Green Energy, Adani Energy , Adani Power:

ALERT | Moody’s changes outlook on China to Negative from Stable.

Sapphire Food India Large Trade | 27.8 lakh shares (4.4 percent equity) worth Rs 383 croee change hands.

Stock Market LIVE Updates | Gulshan Polyols bags orders worth Rs 571.5 crore from oil marketing companies

Gulshan Polyols had participated in a tender floated by oil marketing companies (OMCs - BPCL, HPCL and IOC) inviting various molasses and grain based distilleries for supplying Ethanol under EBPP during Ethanol Supply Year (ESY) till October 31, 2024 at their various locations across the country. Gulshan Polyols has received an order for supplying 89,404 kilolitres of ethanol from its 500 KLPD ethanol plant at Boregaon with an estimated order value of Rs 571.5 crore.

Sensex Today | Market at 1 PM

The Sensex was up 354.97 points or 0.52 percent at 69,220.09, and the Nifty was up 122.30 points or 0.59 percent at 20,809.10. About 1454 shares advanced, 1735 shares declined, and 99 shares unchanged.

Stock Market LIVE Updates | Unichem Laboratories sells strategic investment in Optimus Drugs

Unichem Laboratories has sold the balance equity shares held in Optimus Drugs to Sekhmet Pharmaventures for Rs 67.47 crore.

Stock Market LIVE Updates | SpiceJet stock surges 3% after NCLT dismisses insolvency plea by Willis Lease

Shares of SpiceJet surged 3 percent to day's high of Rs 47.7 per share on December 5 after the National Company Law Tribunal (NCLT) dismissed a plea to initiate solvency proceedings against the airline filed by aircraft lessor Willis Lease Finance over unpaid dues.

In the past one month, the stock of this low-cost carrier airline soared 22 percent as against 7 percent rise in the benchmark Sensex.

Around 3 aircraft lessors have filed four insolvency pleas against SpiceJet in 2023 for the non-payment of dues. Other than the aircraft lessors, a tech services provider has also moved an insolvency plea against SpiceJet. Read More