Closing Bell: Sensex down 210 pts, Nifty at 24,000; banks drag, metal, pharma shine

Indian benchmark indices ended lower in the volatile session on June 28. At close, the Sensex was down 210.45 points or 0.27 percent at 79,032.73, and the Nifty was down 33.90 points or 0.14 percent at 24,010.60.

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.

The markets traded within a narrow range throughout the day, closing nearly unchanged after a recent surge. Initially positive, the session saw profit-taking in key heavyweights that offset early gains, resulting in the Nifty settling around 24,009.30 levels, down by 0.15%. Despite this, sectors like energy, pharma, and metal ended in positive territory, contributing to gains of around 0.5%-0.9% in broader indices.

Looking ahead, there's a possibility of consolidation in the benchmark index following recent upward movement, with support expected around the 23,700-23,900 range on any declines. Banking stocks are currently consolidating, while sectors such as IT, energy, and FMCG are buoying the index higher. Similar market dynamics are anticipated in the upcoming session, so traders should strategize accordingly.

#1 Market gains for 4th straight week, Sensex & Nifty up over 2% each
#2 Nifty Banks posts gains of nearly 2% & Midcap Index 1% this week
#3 Energy & IT are best performing indices, up 3% each

India’s optimism about the upcoming budget and upgrade in GDP forecasts continues to provide momentum in the market. Large caps are in favour due to the come back of FIIs. However, profit booking ensued at the end of the week, at higher levels, in financials especially private banks, which dragged the market down after the recent rally.

The BankNifty index experienced its first meaningful correction after a nonstop rally in the past week. For the selling pressure to continue, there needs to be follow-up selling; otherwise, the index may get stuck in a consolidation range.

The immediate support is at 52000, where the highest open interest is built up on the put side, while the immediate resistance lies in the 52700-53000 zone.

The index formed a small-bodied red candle, breaking a four-day winning streak. The sentiment continues to remain strong as the index closed significantly above the critical moving average.

However, after a continuous rally, the index looks a bit heavy and might attract profit booking if Nifty sustains below 24,000.

On the lower end, the index might fall towards 23,850/23,700 in the short term upon a decisive fall below 24,000. On the higher end, resistance is visible at 24,20

Indian rupee ended higher at 83.39 per dollar on Friday against Thursday's close of 83.46.

Udupi Cochin Shipyard Limited (UCSL), a wholly owned subsidiary of Cochin Shipyard Limited (CSL), wins a prestigious international order from Wilson ASA, Norway, for Design and Construction of 4 nos. of 6300 TDW Dry Cargo Vessels.

Indian benchmark indices ended lower in the volatile session on June 28.

At close, the Sensex was down 210.45 points or 0.27 percent at 79,032.73, and the Nifty was down 33.90 points or 0.14 percent at 24,010.60. About 1929 shares advanced, 1449 shares declined, and 80 shares unchanged.

Biggest Nifty gainers included ONGC, Dr Reddy's Labs, Reliance Industries, SBI Life Insurance and Tata Motors, while losers were IndusInd Bank, Bharti Airtel, Axis Bank, ICICI Bank and Kotak Mahindra Bank.

On the sectoral front, healthcare, metal, PSU Bank, oil & gas, realty up 0.5-1 percent, while bank index down 1 percent and capital goods index shed 0.4 percent.

The BSE midcap and smallcap index added 0.5 percent each.

Bharat Electronics has signed a contract valued at Rs 3,172 crore with Armoured Vehicles Nigam Limited (AVNL) on June 28, 2024, at AVNL Headquarters in Chennai. The project entails the supply and installation of an advanced, indigenously designed and developed Sighting and Fire Control System (FCS) for the upgrade of BMP 2/2K Tanks of the Indian Army, along with a comprehensive Engineering Support Package.

Sensex Today | VAT reduces on petrol, diesel in Mumbai, Navi Mumbai, Thane: CNBC Awaaz

Brokerage Call | Nomura prefers Shree Cement, Ultratech, Ramco Cements

#1 Aggressive expansion targets, stronger balancesheet of large players provide impetus for consolidation
#2 Aggressive expansion targets & stronger balancesheet should result in better pricing discipline
#3 Current dynamics reminiscent of FY14-17; Ambuja & Ultratech to lead the pack
#4 Plant-based acquisition to increase due to de minimis exemption of CCI
#5 Minimis exemption of CCI enables larger companies to keep acquiring asset
#6 Succession issue provides another reason for promoters to exit a non-stressed business
#7 Prefer buys – Shree Cement, Ultratech, Ramco Cements & Nuvoco

#1 Competitive intensity in online grocery space remains sharp
#2 Amazon fresh to expand to 130 cities from 60 cities
#3 For the first time, JioMart leads DMart Ready on product discounting
#4 Big basket leads DMart ready on SKU availability
#5 JioMart and DMart Ready seem to be piloting faster delivery

#1 Company’s specialty chemicals segment faces headwinds from price erosion in key products
#2 Price erosion in key products due to Chinese competition, due to negative operating leverage on recently commissioned capacities
#3 Refgas outlook is muted on persistent high US inventories & Chinese competition in row
#5 Cut FY25/26 EPS 9 percent/4 percent on sustained headwinds and are 15 percent/14 percent below consensus

Sensex Today | BSE Midcap index rises 0.6%; Star Health, Persistent Systems, IGL up 4-5%

Indian Rupee gained slightly by 0.02% on positive domestic markets and a FII inflows. Rupee gained to 83.3750 earlier in the day on boost from inclusion of Indian bonds in the JP Morgan’s emerging markets bond index. However, a positive US Dollar and a rise in crude oil prices capped sharp gains.

We expect Rupee to trade with a slight negative bias on strong US Dollar and surge in crude oil prices. Dollar demand from OMCs and importers may also weigh on the Rupee. However, fresh foreign inflows and positive tone in the domestic equities may support the Rupee. Traders may take cues from India’s fiscal deficit data. Traders may also take cues from core PCE price index, personal income and Chicago PMI data from the US data from the US. USDINR spot price is expected to trade in a range of Rs 83.20 to Rs 83.80.

Sensex Today | BSE Realty index up 0.8%; Godrej Properties, Prestige Estate, DLF major contributors

Brokerage Call | Jefferies On Telecom

#1 Maintain buy on Bharti Airtel, target Rs 1,720
#2 Reliance Jio has raised tariffs by 13-25 percent.
#3 Leaving out feature phone users suggests that Jio continues to focus on subscriber additions
#4 Reliance Jio’s initiative to raise tariffs reflects rising focus on monetisation
#5 Cut Reliance Jio’s FY25-27 estimates by up to 3 percent
#6 Expect Jio to deliver 18 percent/26 percent revenue/PAT CAGRs over FY24-27
#7 Reliance Jio's willingness to raise tariffs bodes well for bharti/jio's revenue/margin outlooks

Sensex Today | Nifty Private Bank index down 1%; IndusInd Bank, ICICI Bank, Axis Bank top losers

Axis Securities initiates coverage on Inox Wind with a BUY rating and a target price of Rs 185 per share. They cite the elimination of interest-bearing debt, a strong order book, technological advancements, and enhanced execution capabilities as key factors. The target price, based on a 30x P/E multiple of FY26 EPS, implies a 33% upside from the current market price. Inox Wind is well-positioned for growth and profitability in India's wind energy sector with its integrated solutions and sound financials, it said.

The rupee is likely to appreciate in the coming days and trade in the range of 82.50 to 83.50 against the US dollar, currency experts told Moneycontrol on June 28.

This is because inflows from foreign portfolio investors (FPI) in Indian bonds through global bond index will lead to appreciation of the Indian currency from the current levels, the experts said. (Read more)

Markets@2 | Sensex, Nifty marginally higher

The Sensex was up 121.43 points or 0.15 percent at 79,364.61, and the Nifty was up 46.60 points or 0.19 percent at 24,091.10.

Sensex Today | BSE FMCG index gains 0.4%; Bombay Burmah, Patanjali Foods, Jyothy Labs up 3-8%

Bharti Airtel revised its mobile tariffs from July 3rd, 2024 with a very modest price increase (less than 70p per day) on the entry level plans, in order to eliminate any burden on budget challenged consumers.

Bansal Wire Industries Ltd has set a price band of Rs 243-256 a share for its Rs 745 crore initial public offering that will open for subscription on July 3.

The anchor bidding will start on 2 June and the issue will close on July 5. The allotment will be on July 8 and refunds will be made on July 9. The issue will close on July 10.

The IPO consists of a fresh issue of Rs 745 crore and the mcap after listing of the firm will be at Rs 3262 crore.

Brokerage Call | Morgan Stanley On Telecom

#1 Jio announces tariff hike, timing and quantum largely in-line
#2 Estimate blended ARPU would benefit in range of 16-18 percent for Bharti Airtel & Reliance Jio
#3 Estimate blended ARPU benefit for Bharti Airtel assuming it implements a similar hike like Jio
#4 For Bharti Airtel see a new floor of Rs 1,000-1,050 following tariff hike by Reliance Jio
#5 In terms of upside, assuming current multiple is sustained for next year on base case results
#6 Current multiple implies upside of 11-15 percent

Sensex Today | Nifty Healthcare index rises 1%; Ipca Labs, Dr Reddy's Lab, Lupin top gainers

#1 Target Rs 3,046
# RIL's announced telecom tariff increases in-line with our base case expectation
#3 Monetisation of investments remains in play
#4 Next catalyst to watch will be startup of new energy cashflow streams by end-2024
#5 Do not assume any further tariff hikes till FY27
#6 But another approximately 20 percent tariff hike next year can raise earnings by 10-15 percent

The company has received approval from the board for the re-appointment of S Anand Reddy as Managing Director, and S Sreekanth Reddy as Joint Managing Director, for three years, effective October 31.

Sensex Today | Nifty Pharma index gains 1%; Lupin, Dr Reddy's Labs, Biocon up 2% each

#1 Should get DCGI approval for WCK 4873 (Nafithromycin) by the end of the year
#2 Leadership team has not changed for the past 25 years which has aided R&D program
#3 Used WCK 5222 for compassionate use in 30 patients in India

Shares of Godrej Properties surged over 2 percent to hit an all-time high of Rs 3,170 apiece on June 28 after it reported highest-ever pre-sales of Rs 22,500 crore in FY24.

With this, it has now become the largest developer in terms of bookings. Godrej Properties pre-sales rose by 84 percent year-on-year (YoY) in FY24, 61 percent higher than its guidance.

Following this, analysts at Motilal Oswal shared a 'buy' call for Godrej Properties and upped target price to Rs 3,600 per share, indicating an upside of 13 percent from current levels. Read More

Ambuja Cements said its board has approved merging with Adani Cementation, a subsidiary of Adani Enterprises. Through this proposed scheme, Adani Enterprises will get 8.7 million shares of Ambuja Cements.

The scheme will consolidate cement capacity within the group to bring synergistic benefits for all stakeholders.

HealthCare Global Enterprises has entered into a share purchase agreement on 28 June 2024, with Vizag Hospital and its selling shareholders and shareholders’ agreement with Vizag Hospital and its continuing shareholders in relation to the proposed upfront acquisition of 51% equity share capital by the Company and balance acquisition of 49% of equity share capital in Vizag Hospital in tranches.

Sensex Today | BSE Capital Goods index down 0.4%; GMR Airports, Polycab India, Siemns among top losers

Stock Market LIVE Updates | Nifty Bank index down 0.4%; slips 430 points from day's high

Sensex Today | BSE Bank index down 500 pts from day's high

Sensex Today | Nifty50 index sheds 110 points from day's high

Shares of Nazara Technologies surged 4 percent on June 28 after the gaming firm’s subsidiary signed an agreement to acquire 86.49 percent stake of Freaks 4U Gaming for Rs 271.48 crore by share swap.

Nazara Tech already owns 13.51 percent stake of Freaks 4U and will hold 57 percent after the completion of the deal, the company said in a statement on June 28. It will have an exclusive right to acquire the balance 43 percent stake from the Germany-based firm’s founders at its discretion, the company statement added.

The acquisition will be carried out by Nodwin Gaming International, a wholly-owned subsidiary of Nodwin Gaming Private Limited, which is a material subsidiary of Nazara Technologies, the stock exchange filing said. Read More

Sensex Today | Government to introduce incentive program for obesity drug production in 2026: Bloomberg

Government will introduce in 2026 a production-linked incentive program for domestic manufacturing of GLP-1 drugs for treating obesity and diabetes

Sensex Today | Nifty Energy index rises 1%; ONGC, Reliance Industries, NTPC, among top gainers

Reliance Industries Ltd's market value has surpassed Rs 21 lakh crore following a more than 20 percent stock surge this year, becoming the first Indian company to reach this milestone.

The stock rose after Reliance Jio Infocomm Ltd announced new unlimited plans effective July 3. The new tariffs range from Rs189 for 2 GB/month to Rs3,599 for a 2.5 GB/day annual plan, with unlimited 5G data for plans of 2 GB/day and above.

On June 28, Jefferies raised Reliance's price target to Rs3,580 from Rs 3,380, indicating a 17 percent upside from Thursday's close, the highest target on the street. The brokerage maintained a 'Buy' rating, estimating Jio's revenue and profit to grow at an annual pace of 18 percent and 26 percent, respectively, from FY24 to FY27.

Morgan Stanley also maintained an 'Overweight' rating with a Rs 3,046 stock price target, noting the tariff hikes are in line with expectations, and it expects new energy cashflow streams by year-end. The investment bank expects no further tariff hikes until FY27 but said a 20 percent tariff increase next year could boost earnings by 10-15 percent. Read More

Markets@12 | Sensex, Nifty trade higher

The Sensex was up 194.97 points or 0.25 percent at 79,438.15, and the Nifty was up 70.30 points or 0.29 percent at 24,114.80. About 2019 shares advanced, 1271 shares declined, and 79 shares unchanged.

Company's consolidated net debt increased to Rs 217 bn after a slew of acquisitions in FY19-20. However, with successful integrations and a rapid scale-up in capacity utilization in acquired assets, company not only reduced its net debt (Rs 27.8 bn as of Mar’24), but also expanded its domestic grey cement capacity to 140.8mtpa in FY24 from 109mtpa in FY19 while maintaining its leadership position in the industry.

Motilal Oswal believe the low-cost expansion (all Phase - I, II and III expansions entail capex of ~USD70/t) and faster execution will improve return ratios.

Its estimate the company’s ROE to increase to 14% by FY26-27 vs 12% in FY24.

Sensex Today | Budget may announce a National Textile Fund; tax relief to boost exports likely: CNBC-Awaaz

The upcoming Union Budget may see several measures such as tax relief and capital support to boost textile exports as well as to make prices of Indian products more competitive, CNBC-Awaaz learns through sources.

Among the measures being considered is a removal or at least reduction in basic customs duty on imported cotton and long staple cotton, considered as the essential raw material for the apparel industry.

In order to deter the cheap import of man-made fibre spun yarn flooding domestic markets, the basic customs duty can be raised higher, it is learnt. Read More

Ashok Leyland has partnered with Bajaj Finance for financial of vehicles across India. The company has signed a Memorandum of Understanding (MoU) with Bajaj Finance, a part of Bajaj Finserv, for the purpose.

The partnership will enable both Ashok Leyland and Bajaj Finance to offer customised and seamless financial solutions to their customers.

#1 Jio has raised tariffs by 13-25 percent
#2 Cut Jio's FY25-27 estimate by up to 3 percent
#3 Expect Jio to deliver 18/26 percent revenue/PAT CAGR over FY24-27
#4 Tweak RIL's FY25/26 EBITDA by 0-1 percent to incorporate Jio's number

Stock Market LIVE Updates | RIL, Divi's Lab, Tech Mahindra among stocks that hit fresh 52-week highs

Stock Market LIVE Updates | Bharti Airtel, RIL, Adani Ports among top active stocks at this hour

Vraj Iron and Steel's public issue received a great response by the last day of bidding, June 28, backed by non-institutional and retail investors. The Rs 171-crore IPO received bids for 12.2 crore equity shares, which were 19.9 times higher than the offer size of 61.4 lakh equity shares, the subscription data on the exchanges showed. The IPO consists of only a fresh issue with no offer-for-sale component. Hence, the entire issue proceeds will be utilised for the company itself. READ MORE

Stock Market LIVE Updates | Nifty PSU Bank index top sectoral performer at this hour

Alembic Pharmaceuticals has received final approval from the US Food & Drug Administration (USFDA) for its Abbreviated New Drug Application (ANDA) for Doxycycline Capsules, 40 mg.

The approved ANDA is therapeutically equivalent to the reference listed drug product (RLD), Oracea Capsules, 40 mg, of Galderma Laboratories, L.P. (Galderma).

Doxycycline capsules are indicated for the treatment of only inflammatory lesions (papules and pustules) of rosacea in adult patients. Refer label for a detailed indication.

Nodwin Gaming International Pte. Ltd., a wholly owned subsidiary of Nodwin Gaming Private Limited, a material subsidiary of Nazara Technologies, on June, 27, 2024 has signed agreements for acquiring the balance 86.49% stake of Freaks 4U Gaming GmbH (Freaks 4U), for a value of EUR 30,360,000 (equivalent to approx. Rs 271.48 crores) by share swap.

Nodwin Singapore, which currently holds 13.51% stake of Freaks 4U, on completion of the transaction will hold 57% stake and will have an exclusive right to acquire the balance 43% stake from the Freaks 4U founders, at its discretion.

Stanley Lifestyles, the leading Indian luxury furniture brand, made a notable debut on the stock exchanges, listing at Rs. 494.95 per share. This translates to a significant 34.13% gain over its issue price of Rs. 369.

While this performance is undoubtedly positive, it falls short of pre-listing expectations that likely anticipated an even higher premium due to the overwhelming investor response.

The strong listing signifies investor confidence in Stanley Lifestyles' established brand, diverse product portfolio, and consistent financial performance. However, the high IPO valuation and identified risks, such as dependence on sofa and recliner sales and geographical concentration, warrant careful consideration.

Existing investors may hold their shares with a suggested stop loss of 450.

The bank has received approval from the Board of Directors for raising funds up to Rs 5,000 crore via the issue of equity shares through private placement or qualified institutions placement (QIP) or preferential allotment or other modes. The board also approved raising funds up to Rs 6,000 crore, in one or more tranches, via the issue of debt instruments.

The Krishna Institute of Medical Sciences board approved the proposal for the sub-division of 1 equity share of the company having a face value of Rs 10 each into 5 equity shares having a face value of Rs 2 each, subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the company at the ensuing 22nd Annual General Meeting.

Reliance Jio Infocomm announced a series of new unlimited plans set to take effect on July 3. The new tariff plans range from Rs 189 for 2 GB per month to Rs 3,599 for a 2.5 GB per day annual plan. These plans include unlimited 5G data for all plans with 2GB/day and above.

The Nifty closed June at its highest levels, reaching the significant 24,000 mark. Technically, it is likely to remain strong as long as it stays above 23,900. Notably, the 24,000 Call strike has significant open interest (OI) of approximately 88 lakh shares. On the Put side, the 24,000 strike holds substantial OI of around 40 lakh shares.

The Bank Nifty index experienced volatility, trading within a broad range, with support at 52,700 and resistance at 53,100. In Bank Nifty, the 53,000 Call strike holds the highest OI of about 30 lakh shares. On the Put side, the highest OI is at the 53,000 strike, with approximately 21 lakh shares.

The Court of Justice of the EU has upheld the fine of 13.96 million euros (approximately Rs 125.62 crore) imposed by the General Court of the EU on the company's subsidiary Unichem Laboratories with respect to a patent dispute settlement.

It had entered into a patent dispute agreement for the Perindopril drug matter with the innovator French company Servier group. The company and Unichem have already made a provision of Rs 125.62 crore in its book of accounts in respect of this litigation.

Sensex Today | Nifty PSU Bank index up 2%; PNB, Central Bank of India, Canara Bank top gainers

Sensex Today | BSE Midcap, smallcap outperform

Stanley Lifestyles debuted at a 34 percent premium on the NSE, listing at Rs 494.95 compared to the issue price of Rs 369.

Stanley Lifestyles IPO, a book-built issue, aims to raise Rs 537.02 crores. The offering includes a fresh issue of 0.54 crore shares, totalling Rs 200 crores, and an offer for sale of 0.91 crore shares, amounting to Rs 337.02 crores.

The bidding for Stanley Lifestyles IPO commenced on June 21 and concluded on June 25. The allotment was finalised on June 26.

Medicamen Organics had a stellar debut on June 28, listing at Rs 137.85 on the NSE SME, marking an impressive premium of over 305 percent above the issue price of Rs 34.

Medicamen Organics recently launched its initial public offering (IPO) with a book-built issue of Rs 10.54 crores, consisting entirely of a fresh issue of 31 lakh shares. The IPO bidding period commenced on June 21 and concluded on June 25. The allotment was finalised on June 26.

The price band for Medicamen Organics IPO was set between Rs 32 - Rs 34 per share. Investors were required to apply for a minimum lot size of 4000 shares, making the minimum investment for retail investors Rs 136,000. For high-net-worth individuals (HNIs), the minimum investment was set at 2 lots, totalling 8,000 shares and amounting to Rs 2.72 lakh.

Sensex Today | BSE Oil & Gas index gains 1%; Oil India, IGL, ONGC among top gainers

The bank has received approval from board members for raising funds up to Rs 3,500 crore via qualified institutions placement, in one or more tranches, and Rs 3,000 crore via the issue of debt securities, in one or more tranches, on a private placement basis.

Markets@10 | Sensex up 310 pts, Nifty above 24,100

The Sensex was up 311.04 points or 0.39 percent at 79,554.22, and the Nifty was up 88.70 points or 0.37 percent at 24,133.20. About 2122 shares advanced, 956 shares declined, and 91 shares unchanged.

Shareholders have approved the reappointment of Gautam Hari Singhania as Managing Director of the company, for five years with effect from July 1.

Sensex Today | Nifty, Nifty midcap up 0.5% each

Bansal Wire Industries Ltd has set a price band of Rs 243-256 a share for its Rs 745 crore initial public offering that will open for subscription on July 3.

The anchor bidding will start on 2 June and the issue will close on July 5. The allotment will be on July 8 and refunds will be made on July 9. The issue will close on July 10.

The IPO consists of a fresh issue of Rs 745 crore and the mcap after listing of the firm will be at Rs 3262 crore.

Subsidiary JSW Port Logistics has agreed to acquire a 70.37% shareholding held by promoters and the promoter group in Navkar Corporation.

Meanwhile, the company has received a Letter of Acceptance from Southern Railway, Chennai Division for the construction and operation of the Gati Shakti Multi-Modal Cargo Terminal (GCT) at Arakkonam, Tamil Nadu.

Sensex Today | Nifty Pharma index rises 1%; Dr Reddy's Lab, Torrent Pharma, Zydus Life, among major gainers

The company has received a sanction letter for credit facilities amounting to Rs 686 crore for the development of a 200 MWAC (240 MWDC) solar photovoltaic power project in Khavda, Gujarat.

Sensex Today | BSE Metal index up 1%; SAIL, NMDC, Coal India among major gainers