Closing Bell: Nifty above 23,150, Sensex up 170 pts; auto, metals shine, IT, FMCG drag

Indian equity indices ended on a positive note with Nifty around 23,150 on January 14. At close, the Sensex was up 169.62 points or 0.22 percent at 76,499.63, and the Nifty was up 90.10 points or 0.39 percent at 23,176.05.

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.

Today, the benchmark indices witnessed range-bound activity; the Nifty ends 90 points higher while the Sensex was up by 157 points. Among sectors, the Metal and PSU Bank indices bounced back sharply, rallying over 3 percent, whereas the IT index lost the most, shedding nearly 2 percent.

Technically, after a gap-up open, the market hovered throughout the day between 23130/76300 and 23260/76800. It also formed a small inside candlestick formation on the daily charts, indicating indecisiveness between the bulls and the bears. We believe that the intraday market texture is non-directional, and traders are possibly waiting for a breakout on either side.

For day traders, 23260/76800 would act as a key level to watch. If the market moves above that, it could bounce back to 23400-23425/77500-77600. On the other hand, if it falls below 23130/76300, selling pressure is likely to accelerate. Below that level, the market could slip to 23000-22950/75900-75800.

A rebound in the global market and an ease in domestic CPI inflation provided respite to the broader indices. This may provide some leeway for RBI in its next policy meet; however, rising oil prices and higher 10-year yields will be watched carefully. The IT sector weighed down amid concerns over weak earnings guidance for Q4. The domestic sentiment will be more inclined towards the ongoing earnings season and upcoming union budget, which has a mixed view.

As markets were on a downward spiral for the past few sessions, a short term recovery was on cards. Selective buying in banking, telecom, auto, power and metal stocks aided positive sentiment, while broader equity markets too performed well with mid and small-cap stocks witnessing a sharp rebound.

However, caution will continue to prevail as rupee scaling fresh lows coupled with strong FII fund outflows will remain a major deterrent for markets.

After a relentless sell-off in the past couple of days; some relief was seen in today's trade as Indian equities started the session on a positive note. However, due to a lack of follow-through, the market remained rangebound and eventually settled at 23,176.05 with modest gains 90.10 points. Among sectors, PSU Banks and Metals were the top performers, while FMCG and IT were the only losers. The broader markets showed strong recovery, with Mid and Small Caps soaring by 2.45% and 1.98% respectively, outshining the benchmark index.

On the daily chart, the Index has formed a Gravestone Doji alongside a Bullish Harami candlestick, combined with a probable bullish divergence in the RSI. However, to validate the reversal, a firm close above 23,360 is required. Immediate resistance is at 23,300, while the psychological level of 23,000 will act as strong support.

Nifty opened gap up and consolidated during the day to close in the green up ~90 points. It is in a temporary relief rally after a sharp decline in the previous couple of trading sessions. During the fall the Nifty faced selling pressure from the 20-hour moving average which is placed at 23277.

The downtrend is still intact and hence minor degree pullbacks towards resistance zone (23270 – 23300) should be considered as a selling opportunity. On the downside we expect the Nifty to drift lower towards 23000 – 22670 from short term perspective. A move above 23340 shall lead to a further short covering otherwise the downtrend is intact.

Indian rupee ended at fresh record low at 86.64 per dollar on Tuesday versus Monday's close of 86.58.

Indian equity indices ended on a positive note with Nifty around 23,150 on January 14.

At close, the Sensex was up 169.62 points or 0.22 percent at 76,499.63, and the Nifty was up 90.10 points or 0.39 percent at 23,176.05. About 2752 shares advanced, 1049 shares declined, and 103 shares unchanged.

Adani Enterprises, Adani Ports, NTPC, Hindalco and Shriram Finance were among the major gainers on the Nifty, while losers included HCL Tech, HUL, Apollo Hospitals, Titan Company and TCS.

On the sectoral front, except IT and FMCG, all other sectoral indices ended in the green.

BSE Midcap index rose 2 percent and smallcap index was up 1.7 percent.

Indian Rupee recovered from all-time lows on a slight bounce back in the domestic markets and a weak US Dollar. India’s CPI inflation also cooled off to 5.22% in December vs 5.48% in November. US Dollar as well as crude oil prices eased on Thursday which brought some respite to the falling Rupee. US 10-year bond yields also retreated by around 0.4%.

We expect Rupee to remain weak as underlying strength in the US Dollar and overall weak tone in the domestic markets may again pressurise the Rupee. Crude oil prices continue to remain elevated raising inflationary pressures. Traders may take cues from PPI data from US today and CPI data from US tomorrow. USDINR spot price is expected to trade in a range of Rs 86.40 to Rs 86.85.

#1 Q3 services business in line

#2 Lower-than-expected revenue guidance offset by positive management commentary

#3 EBIT margin beat 19.2 percent estimate, services EBIT margin was at 17.5 percent vs 17.3 percent estimate

#4 EBIT margin guidance is unchanged at 18-19 percent

#1 Company is set for operational turnaround led by key biosimilars launches & recovery in generics sales

#2 See multiple triggers to support earnings growth ahead

#3 US FDA clearance of Malaysia plant removed GMP overhang

#4 Launch of Insulin Aspart from Malaysia is next catalyst

The company has received orders worth Rs 35 crore from Sambalpur University in Odisha for Wi-Fi and LAN, and Rs 29.14 crore for an integrated security system from Central Railways. It has forayed into security systems and education/ICT domains.

The Sensex was up 197.59 points or 0.26 percent at 76,527.60, and the Nifty was up 71.40 points or 0.31 percent at 23,157.35. About 2507 shares advanced, 964 shares declined, and 84 shares unchanged.

The company has secured additional orders worth Rs 561 crore since December 23, 2024. These include orders for communication equipment, electro-optics, upgrades for satcom networks, radar and fire control systems, spares, and services. With these, BEL's total orders for the current financial year now stand at Rs 10,362 crore.

Hina Nagarajan will take up a new role within the Diageo group and has accordingly resigned as Managing Director and Chief Executive Officer of the company, effective March 31, 2025. The Board has appointed Praveen Someshwar as MD & CEO, effective April 1, 2025.

#1 Mumbai is an ever expanding city with rising travel & energy needs

#2 Natural gas is Mumbai's fuel future & company is facilitating its adoption

#3 It Is both MGL & Mumbai's ‘Tesla-Like Moment’ for gas adoption

#4 Expect global gas market to remain balanced in 2025 & oversupplied by 2027

#5 MGL has fifth of its gas sourcing linked to LNG

#6 Margin will be lower but volume growth will be structurally higher, key to re-rating

Adani Commodities LLP, one of the promoter entities of the company, has sold equity shares of the company, representing 13.52% of the paid up share capital (i.e. 39,54,18,121 no. of shares) through Offer for Sale (OFS) mechanism on 10th and 13th January, 2025 via stock exchange portals.

As a result, the shareholding of the promoter and promoter group is changed and has been reduced to 74.36%.

#1 Company posted a mixed bag in Q3, revenue below consensus estimate

#2 Lifts bottom-end of FY25 revenue growth guidance due to HPE’s CTE acquisition

#3 Deal pipeline at record high, deal duration decreasing

#4 GenAI to drive demand in legacy tech modernisation, data and cloud

Greaves Electric Mobility Limited (GEML), the e- mobility division of Greaves Cotton, has introduced Ampere Magnus Neo, an enhanced variant of

its Magnus electric scooter that promises “The Power of More”.

#1 Profit zooms 33.2 percent to Rs 77.3 crore Vs Rs 58 crore, YoY

#2 Revenue increases 29.9 percent to Rs 237 crore Vs Rs 182.4 crore, YoY

#3 EBITDA jumps 34.1 percent to Rs 107 crore Vs Rs 79.8 crore, YoY

#4 Margin expands 150 bps to 45.2 percent Vs 43.7 percent, YoY

#1 SEBI’s new F&O measures impacted option volumes by 70 percent

#2 Premiums are down by <10 percent in Jan MTD versus estimate as traders move to larger average ticket size

#3 Exchanges gain with stable topline & large margin expansion on back of improved premium quality

#4 Discount broking volumes can see >40 percent hit & will need large price hikes

Alumina Futures price now down nearly 35% from highs

IT firm HCL Technologies (HCLTech) on January 13 reported 5.5 percent on-year rise in net profit at Rs 4,591 crore for the quarter ended December 31, 2024, in line with the Street expectations. The IT firm declared interim dividend of Rs 18 per equity share of Rs 2 face value, which includes special dividend of Rs 6 per share to celebrate 25 years of HCLTech’s public listing.

HCL Tech's revenue from operations rose 5 percent to Rs 29,890 crore in Q3 FY25 as against Rs 28,446 crore in Q3FY24.

For the full year FY25, HCLTech had increased its revenue growth guidance in constant currency (CC) terms in the lower end by 100 basis points. Revenue growth guidance is now 4.5-5 percent. The company has retained EBIT margin guidance at 18-19 percent for the full year.

HDFC Asset Management Company, Hathway Cable & Datacom, Network18 Media & Investments, Shoppers Stop, SRM Energy, Atishay, and Benares Hotels will announce their quarterly earnings on January 14.

#1 Hina Nagarajan resigns; Praveen Someshwar to be new CEO

#2 Praveen Someshwar has been CEO of HT Media for last five years & he led multiple outlets

#3 Prior to HT Media, Praveen Someshwar had a 24-year career with PepsiCo

#4 Smooth transition is key to watch out for

The Board of Directors at its meeting held today i.e. Tuesday, January 14, 2025, has considered and approved the appointment of Mr. Gaurav Seth as a Chief Executive Officer (CEO) of the Company with effect from January 14, 2025.

#1 Q3 beat estimates due to higher margin while revenue growth missed estimates slightly

#2 Management commentary was upbeat on TCV to revenue conversions & discretionary IT spends

#3 Revised growth guidance of 4.5-5 percent for FY25 points to a weak Q4 exit

#4 Cut revenue/EPS estimates by 1-2 percent

#5 Worsening YoY CC revenue growth trajectory & rich valuations keep us on sidelines

The Board has approved the infusion of equity capital of LKR 2,000 million (approximately Rs 58.50 crore) in its Sri Lanka subsidiary, Life Insurance Corporation (Lanka), subject to approval from the Insurance Regulatory and Development Authority of India (IRDAI) and the Central Bank of Sri Lanka.

The company has received an order from the Deputy Commissioner of Income-tax, intimating about the balance refundable amount of Rs 20.74 crore for the assessment year 2017-18.

The Company has received an Order from the Office of the Deputy Commissioner of State Tax, Udaipur confirming Penalty of Rs 41,10,88,258

and Rs 51,45,01,846 along with Tax demand and applicable Interest during FY 2018-19 and FY 2019-20 respectively.

Considering the merits of the case, the company intends to file appeal before the Appellate Authority within time-limit prescribed under the GST Law. The company is hopeful of a favourable outcome thereof and does not expect the said order to have any material financial impact on the company.

The Sensex was up 307.28 points or 0.40 percent at 76,637.29, and the Nifty was up 104.65 points or 0.45 percent at 23,190.60. About 2556 shares advanced, 839 shares declined, and 88 shares unchanged.

Narasimha Raju KA has resigned as Chief Financial Officer, effective March 31, 2025. The company has elevated Siva Rama Raju, CFA, to Vice President - Operations for the entire Vijaya Group. It has also appointed Praveen Velmury as Vice President – Sales and Marketing, and Gurram Vishal as GM – Strategy.

The Board has approved the appointment of Kishore Chandrasekharan as Head of Commercial Air Conditioning, effective January 13.

Following the sale of Life Molecular Imaging by Life Healthcare, the company (through its subsidiary) is eligible to receive an estimated $140 million, expected in FY26. It may also receive further amounts in subsequent years from eligible profits and future earnouts related to the Imaging Group, subject to a maximum of $200 million (including the $140 million). Life Healthcare Group Holdings has entered into binding agreements for the sale of Life Molecular Imaging, a member of the Imaging Group. Life Healthcare is part of the group that acquired Piramal Imaging SA from Piramal Enterprises in 2018.

The Board has approved raising up to Rs 400 crore via the issuance of equity shares, bonds, debentures, warrants, or other methods. Additionally, the Board has approved increasing the shareholding limits of FPIs and FIIs from 24 percent to 49 percent.

Hina Nagarajan will take up a new role within the Diageo group and has accordingly resigned as Managing Director and Chief Executive Officer of the company, effective March 31, 2025. The Board has appointed Praveen Someshwar as MD & CEO, effective April 1, 2025.

#1 Profit zooms 33.2 percent to Rs 77.3 crore Vs Rs 58 crore, YoY

#2 Revenue increases 29.9 percent to Rs 237 crore Vs Rs 182.4 crore, YoY

#3 EBITDA jumps 34.1 percent to Rs 107 crore Vs Rs 79.8 crore, YoY

#4 Margin expands 150 bps to 45.2 percent Vs 43.7 percent, YoY

Shares of JSW Energy zoomed 6 percent on January 14 after the company received a Letter of Intent (LoI) for the acquisition of KSK Mahanadi Power Company, currently under insolvency proceedings. The power company owns 3,600 MW thermal power plants.

Shares of REC and Power Finance Corporation climbed as much as 5 percent in morning trade on January 14 after JSW Energy emerged as the winning bidder for KSK Mahanadi Power under the Insolvency and Bankruptcy Code. This news also brings relief to the creditors of KSK Mahanadi Power, which includes state-owned REC and PFC.

The bid was valued at Rs 15,985 crore. Following the development, JSW Energy’s stock surged 6 percent. KSK Mahanadi had liabilities amounting to Rs 32,243 crore, with Rs 29,400 crore owed to financial creditors.

International broking house Morgan Stanley initiated coverage on city gas distribution player Mahanagar Gas Ltd (MGL) with an 'overweight' rating. The brokerage also issued a target price of Rs 1,606, which implies a 31 percent upside from the previous session's closing price.

The firm sees natural gas as the fuel of the future for Mumbai, a city with ever-growing energy and travel needs. MGL is at the forefront of this shift, which Morgan Stanley calls a 'Tesla-like moment' for gas adoption in the city.

The global gas market is expected to stay balanced in 2025 but may become oversupplied by 2027. Around 20 percent of MGL’s gas supply is linked to LNG, and while margins might tighten, Morgan Stanley believes the company’s strong volume growth will drive its market re-rating. Read More