Closing Bell: Nifty at 19,800, Sensex up 380 pts; all sectors in green except PSU bank

Benchmark indices ended higher for the second consecutive session on October 11 with Nifty above 19,800 supported by buying across the sectors barring PSU Bank. At close, the Sensex was up 393.69 points or 0.60 percent at 66,473.05, and the Nifty was up 121.50 points or 0.62 percent at 19,811.30.

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.

Deepak Jasani, Head of Retail Research, HDFC Securities:

Nifty held on to gains through October 11 to advance for the second day helped by positive global cues. At close, Nifty was up 0.62% or 121.5 points at 19811.4. Volumes on the NSE kept improving day over day. Smallcap index rose more than the Nifty even as the advance decline ratio remained high at 1.98:1.

Global stocks edged higher on Wednesday, with investors cheered by Chinese stimulus hopes (based on a Bloomberg report) and a drop in bond yields, before the release of the latest Federal Reserve meeting minutes and U.S. inflation figures. Rise in risk appetite followed by dovish comments from US Federal Reserve officials which spurred optimism that the central bank might pause interest rate hike this year helped sentiments. However, a rally in European stocks stalled due to disappointing corporate news.

Net investments into actively managed equity schemes in India declined 30.4% over the previous month to Rs 14,091.3 crore in September. Inflows eased on account of drop in small-cap fund investments and continued outflows from large-cap schemes. SIP contribution to mutual funds industry in September stood at Rs 16,420.06 crore, compared with Rs 15,813.5 crore in August. Assets under management for SIPs stood at Rs 8.70 lakh crore, against Rs 8.47 lakh crore in the previous month.

Nifty rose on October 11 with another up-gap but failed to close at its intraday high. The latest rise has validated the bullish inverted H&S pattern and the target on the upside comes to 19878-19901 band. On falls, Nifty can take support from 19718 in the near term.

Shrikant Chouhan, Head of Research (Retail), Kotak Securities:

Positive global cues helped domestic markets extend gains for a second straight session as moderating US bond yields improved the sentiment. With oil prices seeing little movement in the wake of the Israel-Palestine conflict, the focus has once again quickly shifted back to global macro-economy.

If the US treasury yields doesn't spike from here on, it would bring some stability to global equity markets and encourage investors to undertake risk-on strategy. Technically, after a long time the Nifty surpassed the 20-day SMA (Simple Moving Average) and it is also holding the bullish continuation formation on daily and intraday charts which is largely positive. For the bulls, 19750-19700 would act as crucial support zones while 19850-19900 could be key resistance areas for the traders. However, below 19700, the uptrend would be vulnerable.

Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas:

The Nifty opened gap up today and thereafter consolidated for most part of the day. It closed in positive for the second consecutive day up ~121 points. The daily momentum indicator has triggered a positive crossover and hence in case of a dip it should be used as a buying opportunity. Today’s intraday consolidation is a bullish sign as it sustained the gains, and we expect the positive momentum to continue over the next few trading sessions till 19883 which is the 61.82% Fibonacci retracement level of the entire fall from 20222 till 19333. On the downside the gap area formed today in the range 19718 – 19757 is likely to act as a short-term support.

Bank Nifty opened gap up and consolidated thereafter. The zone of 44655 – 44840 where the key daily moving averages are placed acted as a resistance zone and restricted further upside. Overall, we expect the positive momentum to resume on the upside till 45050 – 45350 which coincides with the 50% and 61.82% fibonacci retracement level of the fall.

Viraj Gandhi, CEO, SAMCO MF:

September 2023 surely was an exciting month with many of the broad market indices creating new all-time highs and Nifty 50 crossing the 20,000 mark for the first time ever. Markets remained in the bull state despite the rise in India VIX. Looking at the broader market indices performance for this month, Nifty Midcap 150 index has run up the most at just over 3% followed by Nifty Smallcap 250 index at about 2.5%.

Even in terms of the net inflow, the mid and small cap funds have trumped the large-cap funds. Small and mid-cap funds continue to receive huge net inflows at Rs. 2,678.47 crores and Rs. 2,000.88 crores while large cap funds still witnessing net outflows. Although the trend continues, the pace has become slower with the net outflow in large cap funds being lowest in the last 5 months. Hybrid funds have received a net inflow of Rs. 18,650.45, the highest ever in over 2 years mainly due to continuance of rising interest in arbitrage funds since last 3 months. Overall, Rs. 63,882.60 crores have left the open-ended schemes this month with debt funds witnessing one of the sharpest net outflow of just over 1 lakh crores, highest since March 2022.

Vinod Nair, Head of Research at Geojit Financial Services:

The total market breadth was strong, as investors believe that the Middle East skirmish will be contained within the region and should not impact the crude price. Amid dovish comments from the US federal reserve, the US 10-year bond yield traded lower. Sequentially, the September India CPI is expected to cool due to ease in food and fuel inflation. And Q2 earning season will kick-start with the IT sector, which has a moderate expectation, however the broad corporates are expected to provide a bumper result.

Dilip Parmar, Research Analyst, HDFC Securities:

After five days of consolidation in the narrow range, the Indian rupee appreciated against the US dollar as domestic equities recovered while domestic bonds gained. The Indian bonds gained for a second day following further declines in US yields as traders scaled back Fed rate hike bets.

FPI selling of Indian stocks slowed in the past week as the benchmark index corrected 4.4% from its September high.

The Indian rupee is expected to trade between 83 to 83.30 as RBI protects local units around a record low of 83.30.

Kunal Shah, Senior Technical & Derivative analyst at LKP Securities:

The index experienced a consolidation phase on the day of expiry, with support evident at 44,400 and resistance at 44,700 levels. The overall undertone of the index remains bullish, suggesting that a "buy on dip" approach is appropriate. If the index manages to break above the 44,700 level, it is likely to see further upside potential toward the 45,000 mark.

Rupee Close:

Indian rupee ended higher at 83.18 per dollar versus Tuesday's close of 83.25.

Market Close: Benchmark indices ended higher for the second consecutive session on October 11 with Nifty above 19,800 supported by buying across the sectors barring PSU Bank.

At close, the Sensex was up 393.69 points or 0.60 percent at 66,473.05, and the Nifty was up 121.50 points or 0.62 percent at 19,811.30. About 2275 shares advanced, 1283 shares declined, and 132 shares unchanged.

Biggest gainers on the Nifty were Hero MotoCorp, Wipro, Grasim Industries, UltraTech Cement and Dr Reddy's Laboratories, while losers were HCL Technologies, Adani Ports, SBI, Coal India and TCS.

Except PSU Bank, all other sectoral indices ended in the green with auto, FMCG, metal, pharma, power, oil & gas and realty up 0.5-1 percent.

BSE midcap index rose 0.5 percent and smallcap index added 0.7 percent.

Stock Market LIVE Updates | Morgan Stanley View On Phoenix Mills

-Overweight rating, target price Rs 2,200 per share
-Q2FY24 retail sales and rental growth accelerated
-H1FY24 consumption was 45 percent of FY24 target of Rs 11,500 crore
-H2FY24 is usually stronger
-Preferred stock in India's property sector as it can deliver more than 20 percent income growth
-Income growth helped by like to like rental growth
-Income growth helped by upcoming projects (both in retail and office)

Stock Market LIVE Updates | Jefferies On Sunteck Realty:

-Buy call, target price raised to Rs 555 per share
-Sunteck's tie-up with IFC to create an affordable & mid-income housing platform
-Affordable & mid-income housing platform for developing 20,000 homes
-The platform comes as a booster to the company’s capability in the segment
-Government is also set to renew its push to affordable housing
-Sales in affordable housing have lagged the ongoing housing boom
-With 75 percent of Sunteck's portfolio geared to the segment, growth should accelerate

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

Indian Rupee rose by 9 paise on Wednesday on positive domestic markets and a weakness in US Dollar. Softness in crude oil prices also supported Rupee. However, FII outflows capped sharp gains. US Dollar declined on more dovish Fedspeak which boosted risk sentiments and a decline in US treasury yields. Fed’s Raphael Bostic hinted that surge in US treasury yields may lead to a decline in the need by the Fed to hike interest rates. Mary Daly also said that high yields reduce the need for rate hikes. Neel Kashkari added that inflation is headed down and high yields leave less for the Federal Reserve to do. These comments led to a sharp rally in global equities.

We expect Rupee to trade with a slight positive bias on rise in risk appetite in global markets and softness in US Dollar amid dovish comments by US Federal Reserve officials. However, geopolitical uncertainty due to the ongoing conflict Hamas and Israel may cap sharp upside. Any upside reversal in crude oil prices and FII outflows may also weigh on Rupee at higher levels. Traders may remain cautious ahead of PPI data and FOMC minutes from US today and inflation data from India and US later this week. USDINR spot price is expected to trade in a range of Rs 82.80 to Rs 83.50.

Stock Market LIVE Updates | TCS shares trade marginally lower ahead of September quarter numbers:

India's largest tech services giant TCS is likely to report moderate growth in its fiscal second quarter earnings, mainly due to weak discretionary spending in the IT sector. Tata Consultancy Services is set to declare its Q2FY24 financial results on October 11.

Analysts expect that the softness observed in the past two quarters will continue, despite the company securing significant deal wins, as profit realisation will require time. Read More

JUST IN | NCLAT adjourned hearing in Zee Entertainment-IDBI case to November 8

Stock Market LIVE Updates | Citi View On Bank Of Baroda

-Buy call, target price Rs 245 per share
-Embargo on customer onboarding onto the ‘BoB World’ mobile application
-This will moderate pace of new customer acquisition to an extent
-Moderation as 43 percent of FDs/RDs and 44 percent PPF are being opened through BoB world
-89 percent of personal loans (PLs) were sanctioned digitally
-PLs were offered primarily to ETB customers with account balances/portfolio behavior history
-PL’s digital sourcing though impacted a tad
-PL’s digital sourcing will not be meaningful as it constitutes merely 2 percent of advances
-PL’s digital sourcing growing at 83 percent YoY

Sensex Today | Market at 3 PM

The Sensex was up 445.64 points or 0.67 percent at 66,525, and the Nifty was up 131.20 points or 0.67 percent at 19,821. About 2100 shares advanced, 1066 shares declined, and 97 shares unchanged.

G. Pradeepkumar, CEO, Union Asset Management Company:

The sustained robust inflows into equity funds demonstrate the underlying positive sentiments of investors. The SIP flows continue to be good and could act as a powerful counterforce against any serious FPI outflows. However, given the rich valuations in mid and small cap stocks, we would advise investors to take a staggered approach to investments.

Sensex Today| Lehar Footwears recognized as “One Star Export House” from Ministry of Commerce and Industry

Sensex Today| Vincent KA, Research analyst at Geojit Financial Services:

The FMCG sector has experienced marginal improvement in volume growth in the initial quarter of FY24 (mid-single digit from de-growth in FY23). The improvement is attributed to a decrease in product prices due to fall in broad inflation. However, rural demand remained lacklustre and was further hampered by rising vegetable prices and erratic monsoons in the September quarter. Nevertheless, a reduction in major input prices is expected to improve the sector's margins on a YoY basis.

In the short term, we maintain a neutral stance due to subpar monsoon, El Nino risk and low reservoir levels, which may negatively impact the subsequent production yield and hence cost of production to FMCG companies and rural demand. While we continue to have a positive long-term outlook since the government measures like lowering cooking gas prices and implementing export bans on essential crops should help mitigate these challenges. The upcoming festive season is anticipated to stimulate some demand in the sector. And FMCG valuations have recently corrected and are currently trading slightly above long-term averages.

Stock Market LIVE Updates | Ugro Capital surges 4% after Q2 AUM increases

Ugro Capital’s shares went up by 4 percent on October 11 after the company announced a 73 percent Year-on-Year (YoY) increase in its Assets Under Management (AUM).

In a post market hour exchange filing on October 10, the NBFC company updated its financial performance numbers in the second quarter of FY24.

Overall AUM of the company rose to Rs 7,590 crore, posting a 12 percent increase from the previous quarter. Gross loan origination for the quarter increased to Rs 2500 crore increasing by 52 percent YoY. Similarly Net Loan Origination increased to Rs 1470 crore rose by 34 percent YoY. Read More

Sensex Today | BSE Auto index rose 1 percent led by Hero MotoCorp, Cummins India, Samvardhana Motherson International

Sensex Today | V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services:

The diminishing trend in CPI inflation witnessed in August will continue in September with the CPI print declining to 5.8 percent. The prime driver of the declining retail inflation will be decline in vegetable inflation, particularly the sharp dip in tomato prices from above Rs 200 to around Rs 20 in September. However, the elevated prices of food grains, pulses and sugar will prevent a sharp dip in inflation.

Sensex Today | Market at 2 PM

The Sensex was up 335.18 points or 0.51 percent at 66,414.54, and the Nifty was up 105.20 points or 0.53 percent at 19,795. About 2098 shares advanced, 1058 shares declined, and 94 shares unchanged.

Stock Market LIVE Updates | Keystone Realtors extends rally, soars 4%; reports robust collections in Q2

Keystone Realtors shares extended its rally from October 10, surging 3.6 percent in trade on October 11. The Rustomjee operator’s collections for the first half of FY24 stood at Rs 1,080 crore. This compared to collections of Rs 747 crore in H1FY23, showing a growth of 45 percent year-on-year (YoY). Read More

Akhil Chaturvedi, Chief Business Officer, Motilal Oswal Asset Management Company:

In the month of September, the equity markets experienced a notable shift towards a risk-off sentiment, following the all-time high of 20,200 points. Despite this shift, equity mutual funds continued to exhibit resilience, recording a significant net inflow of Rs 14,091 crores, a slight dip from the Rs 20,245 crores observed in August.

While overall net flows experienced a dip in various categories, it's noteworthy that thematic/sectoral funds extended their positive trend into the current month, attracting the highest net inflows. Following closely were smallcap funds and multicap funds. However, small-cap flows did witness a decline month on month, which can be attributed to certain fund houses temporarily halting inflows, possibly due to concerns about rich valuations in the mid and small-cap space.

Hybrid funds experienced an uptick in net inflows on a month-on-month basis. This trend reflects the prevalent risk-off sentiment in the market, with investors seeking to diversify their investments while maintaining a focus on capital protection.

Sensex Today | Shalby zooms 10% ahead of meeting with Swiss investor: Stake deal on the cards?

Shares of Shalby Ltd rallied over 10 percent on October 11, ahead of the company's meeting with Swiss healthcare investor HBM Partners on October 17.

The chatter on dealer circles is that a stake buy could be on the cards. However, Shalby in an exchange filing on October 9 had said, "No unpublished price-sensitive information pertaining to the company will be shared at this meeting."

Promoter and promoter group hold 74.12 percent stake in Shalby.

HBM Partners, founded in 2001, has about $2 billion in assets under management with investments in companies like 1mg, Antiva Biosciences, and Werewolf Therapeutics. Read More

Stock Market LIVE Updates | Bank Of Baroda board approves fund raise of up to Rs 10,000 crore:

The Board of Directors of Bank of Baroda in its meeting held today has approved the proposal of raising Long Term Bonds for Financing of Infrastructure and Affordable Housing aggregating to a total size upto Rs 10000 crores, in single or multiple tranches during FY2023-24 and beyond, if found expedient.

Sensex Today | Moody's expects crude at $85, sees no major threat so long as margins are intact

Moody's Associate Managing Director Vikash Halan has ruled out any major threat to India even if the crude prices hit $100 a barrel so long as the refining margins are protected.

"We published a report last week where we said as long as the crude oil price in itself is about $100 and there is not a significant amount of increase in refining margin that should be okay. $100 is something that can be accommodated in the current price for the the refiners," Halan said in an interview with CNBC-TV18. Read More

Sensex Today | BSE FMCG index up 1 percent led by Parag Milk Foods, DCM Shriram Industries, Kokuyo Camlin

Stock Market LIVE Updates | Dynamic Cables receives Letter Of Acceptance worth Rs 95 crore from Northern Railway

Dynamic Cables has received Letter of Acceptance (LOA) worth of Rs 95.91 crores (including GST) from Northern Railway for supply of PVC Insulated Armoured Unscreened Underground, Railway Signalling Copper Conductor Cables.

Stock Market LIVE Updates | Swelect Energy board approves stake divestment in AMEX Alloys

Swelect Energy Systems approved the proposal for sale of equity investment in the share capital of AMEX Alloys Private Limited (Wholly Owned Subsidiary).

In order to focus and strengthen its core business activities of the Company i.e. Solar Photovoltaic Modules Manufacturing, Distribution of Solar Panels and Balance of Systems in India and Abroad, Engineering, Procurement and Construction (EPC) of Solar Projects and Solar Power Generation (IPP), the Board has decided to sell the Equity Investment in the above wholly owned subsidiary as follows.

Sensex Today | Oil ticks up on lingering worries about supply disruptions

Oil edged higher on Wednesday as investors grappled with the prospect of supply disruptions due to the Middle East turmoil.

Brent crude rose 25 cents, or 0.3%, to $87.90 a barrel by 0550 GMT. U.S. West Texas Intermediate (WTI) crude rose 24 cents, also 0.3%, to $86.21 a barrel.

Brent and WTI surged more than $3.50 on Monday as the military clashes raised fears that the conflict could spread beyond Gaza, but settled lower in Tuesday's session.

Stock Market LIVE Updates | Advent’s open offer to acquire 26% stake in Suven Pharma

Advent made an open offer for acquisition of up to 6,61,86,889 fully paid-up equity shares of face value of Re 1 each, representing 26% of the total voting share capital of Suven Pharmaceuticals from the public shareholders of the company by Berhyanda Limited along with Berhyanda Midco Limited and Jusmiral Midco Limited.

Stock Market LIVE Updates | Satia Industries bags order worth Rs 340 crore

Satia Industries bagged major contracts for supply of paper for printing textbooks from Text Book Production and Marketing (Bhuvneshwar), M.P. Text Book Corporation (Bhopal), Rajasthan State Textbook Corporation (Jaipur), Maharashtra State Bureau of Textbook Production & Curriculum Research (MSBT) Pune for 34000 MT valuing over Rs 340 crores for their immediate requirement of paper for printing of Books.

Stock Market LIVE Updates | Govt may offload 3.5% via initial OFS in Hindustan Zinc

The government may consider offloading only 3.5 percent of its 29.5 percent stake in Hindustan Zinc Limited (HZL) via the offer for sale (OFS) route in the initial tranche, as investor interest remains grim and retaining 26 percent will enable the continuation of some rights as a shareholder, a government official said. Read More

Stock Market LIVE Updates | Shib Sanker Mukherji resigns as Chairman & Director of EIH Associated Hotels

Shib Sanker Mukherji has resigned from the office of Chairman and Director of EIH Associated Hotels due to personal reasons, with effect from October 10.