Closing Bell: Nifty around 19,250, Sensex falls 256 pts; FMCG, oil & gas, PSU bank drag

Deepak Jasani, Head of Retail Research, HDFC Securities:

Nifty opened higher and swung between gains and losses to finally end lower in trade on Aug 31. Concerns over shortfall in rains seem to be weighing on minds of traders. At close, Nifty was down 0.48% or 93.7 points at 19253.8. Smallcap index ended 0.79% higher even as the advance decline ratio closed at 1:1.

Global stock markets were mostly mixed Thursday, limping towards their worst month since February, ahead of updates on United States inflation and hiring that traders hope will persuade the Federal Reserve no more interest rate hikes are needed.

The Indian government has convened a special session of Parliament for five days between September 18 and 22. Speculation will run wild about the agenda for this session.

Nifty snapped a three-day winning streak and in the process ended the month with a 2.53% fall. It now has crucial support in the 19201-19229 band for the near term while 19336 could act as a resistance.

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

During the last day of August expiry, the BankNifty index faced persistent selling pressure from the bears, ultimately leading to a negative close of 0.35% for the day. The upcoming sessions are crucial for the bulls as they aim to defend the critical support zone of 44000-43800. Failure to hold this support level could trigger additional declines, potentially pushing the index towards the 43000 mark.

On the upside, the immediate obstacle for the index lies at 44200. If the index manages to breach this level, it could set the stage for further upward movement towards the 44500 level.

Dilip Parmar, Research Analyst, HDFC Securities:

Indian rupee underperforms among Asian currencies amid month-end dollar demand from importers and weaker domestic equities. Spot USDINR is expected to remain the median performer among Asian currencies amid better macro positioning and flows. In the near term, spot USDINR is expected to trade between 83 to 82.50.

Market participants are eyeing today’s economic data for a directional move.

Rupak De, Senior Technical analyst at LKP Securities:

The Nifty faced persistent resistance at the 21-day Exponential Moving Average (21EMA), which resulted in a market correction. Two consecutive unsuccessful attempts to surpass the critical 21EMA level led to an increase in selling pressure. The overall sentiment remains pessimistic, with the likelihood of any upward rallies being met with selling activity.

On the downside, the initial support level is placed at 19,200. If the index falls below the 19,200 level, it could potentially move towards the 19,000 mark. The sell on rise strategy is expected to favour the traders until the Nifty convincingly surpasses the 19,500 level.

Vinod Nair, Head of Research at Geojit Financial Services:

A slew of weak economic indicators from the US, including a softened GDP figure, have heightened the likelihood of a pause in the Fed’s rate tightening, resulting in a downward trajectory of bond yields. However, this development had a limited impact on domestic sentiment on the day of expiry, with the market experiencing declines ahead of the release of India's GDP data, scheduled for today. Global markets joined the trend as Eurozone inflation persisted at 5.3% as per preliminary estimates, surpassing the market's anticipation of 5.1% along with negative cues from Asian economies.

S Ranganathan, Head of Research at LKP Securities:

Benchmark Indices ended in the red today on the back of concerns regarding the 9% deficit in the Monsoon as several states have witnessed scarce rainfall this month across many districts. However we did witness a lot of stock specific activity across sectors on a day characterised by volatility. A notable feature of today's trade was the activity seen in the Small-Cap Index which managed to end the day in Green.

Rupee Close:

Indian rupee closed marginally lower at 82.78 per dollar versus previous close of 82.73.

Market Close:

Benchmark indices broke three-day winning streak and ended lower with Nifty around 19,250 on August F&O expiry day.

At close, the Sensex was down 255.84 points or 0.39 percent at 64,831.41, and the Nifty was down 93.70 points or 0.48 percent at 19,253.80. About 1805 shares advanced, 1703 shares declined, and 142 shares unchanged.

Biggest losers on the Nifty included Adani Enterprises, BPCL, Adani Ports, Eicher Motors and Britannia Industries, while gainers were Maruti Suzuki, Cipla, HDFC Life, Titan Company and Hindalco Industries.

Mixed trend seen on the sectoral front, with oil & gas, power, FMCG and bank down 0.5-1.3 percent, while realty, metal, capital goods, information technology gained 0.2-0.7 percent.

The BSE midcap index ended flat, while smallcap index rose 0.8 percent.

Stock Market LIVE Updates | JPMorgan View On HCL Technologies

-Underweight rating, target at Rs 900 per share
-CVK believes worst is behind as pipeline is converting into deals & deals to revenue
-Prior stress points, ER&D & TMT, have bottomed out
-Other verticals should see improving growth driving strong H2 over H1
-Client conversations point to zero cost transformation deals
-Pure cost optimisation deals driving vendor consultation & mega deals
-Mega deals includes people takeover but not asset takeovers, margin will see dilution
-GenAI provides another leg of growth opportunity

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

Indian Rupee appreciated on Thursday on soft US Dollar. However, weak domestic equities and surge in crude oil prices capped sharp gains. US Dollar declined on Wednesday as disappointing economic data from US trimmed rate hike bets in September. ADP non-farm employment and Q2 2023 GDP numbers missed forecasts. Goods trade balance was also weaker than previous reading while pending home sales topped estimates.

We expect Rupee to trade with a slight negative bias on expectations that US Dollar may bounce back amid disappointing European data. Rising crude oil prices and FII outflows may also weigh on Rupee. Month end Dollar demand from importers may also put downside pressure on the domestic unit. However, improved global risk appetite amid expectations of a Chinese stimulus may support riskier assets. Traders may remain cautious ahead of India’s fiscal deficit and GDP data today and manufacturing PMI data tomorrow. Investors may remain cautious ahead of US core PCE deflator, weekly unemployment claims and personal income data today and non-farm payrolls report tomorrow. USDINR spot price is expected to trade in a range of Rs 82.30 to Rs 83.

Sensex Today | Rishabh Instruments IPO issue booked 1.48 times, retail portion subscribed 1.93 times on Day 2

Rishabh Instruments IPO continued to get decent response from investors, garnering bids for 1.15 crore equity shares against offer size of 77.90 lakh shares resulting into a 1.48 times subscription on August 31, the first day of bidding.

So far, strong demand could be seen in the retail and HNIs category, with retail investors buying 1.93 times the allotted quota and high networth individuals bidding 2.38 times the portion set aside for them.

Qualified institutional buyers also showed interest in the IPO, buying 1 percent shares of the reserved portion which is 50 percent of total offer size.

Sensex Today | HSBC View On Power 

-Demand spikes 6 percent in July, accelerates to 16 percent growth in August on lower rains
-Coal stocks fell & PLF rose, power deficit remains reasonable
-Renewable capacity addition run rates stable
-Renewable auctions in 5MFY24 surpass FY23
-Module supply chain prices seemed to have bottomed

Sensex Today | Saroja Pharma Industries IPO hits 40% subscription on first day of bidding

The initial public offering of Saroja Pharma Industries India was subscribed to 40 percent on August 31, the first day of bidding, receiving bids for 4.28 lakh equity shares against offer size of 10.84 lakh shares.

Retail investors have bought 81 percent shares of their reserved portion, and high networth individuals have bid 2 percent shares of the portion set aside for them.

The Mumbai-based pharmaceutical products trader is planning to raise Rs 9.11 crore from the public issue of 10,84,800 equity shares. The offer comprises only a fresh issue by the company.

Stock Market LIVE Updates | JPMorgan View On Maruti Suzuki

-Neutral rating, target at Rs 8,800 per share
-Believe consensus is baking in optimistic scenarios around
-Sustenance of market share improvement
-Margin improvement against backdrop of rising discounts/inventory
-See potential for stock to outperform in the near term
-Channel checks suggest wholesale volume prints should be strong
-Strong SUV mix which should lead to margin surprise in the Q3 results

Jio Financial Services to be excluded from Sensex from September 1

Sensex Today | Jefferies View On Cement 

-Cement demand is likely to clock double-digit growth in FY24 for 2nd straight year
-Growth appears to be driven from all segments
-Strong capex & housing upcycle in current decade gives us confidence
-Taking precedence from history, a sustained price war appears unlikely
-Preference for the large cap names stays

Sensex Today | Jefferies View On IT sector

-Consensus for CY24 real GDP growth in US have been revised upward in August
-Do not change current cautious view due to just one uptick
-Current underweight investor positioning could lead to outperformance in near term
-Continue to watch this development closely

Sensex Today | Market at 3 PM

The Sensex was down 157.92 points or 0.24 percent at 64,929.33, and the Nifty was down 64.50 points or 0.33 percent at 19,283. About 1521 shares advanced, 1588 shares declined, and 93 shares unchanged.

Stock Market LIVE Updates | Kamat Hotels gains 2.7% after buying 100% stake in Envotel Hotels Himachal

Shares of Kamat Hotels India Ltd surged over 2.7 percent after the company said in a notice to exchanges that it bought 100% stake in Envotel Hotels Himachal.

Stock Market LIVE Updates | Maruti surges to record high; back above Rs 10,000 a share

Stock Market LIVE Updates | Mumbai records decadal best August, registers over 10,550 properties and stamp duty collections in August increased 23% YoY to Rs790 crore, says Knight Frank

Stock Market LIVE Updates | Nestle India to create a differentiated food portfolio of millet products

Nestle India is creating a differentiated food portfolio across brands that promotes millet as a more sustainable food option, through partnerships and product innovations.

Stock Market LIVE Updates | Ashok Leyland partners with CSB Bank for providing Vehicle Finance facilities

Ashok Leyland signed a Memorandum of Understanding (MoU), with CSB Bank Ltd. to enter into a strategic vehicle financing partnership for its customers. This MoU will enable both Ashok Leyland and CSB Bank to offer customized financial solutions to them.

Sensex Today | Market at 2 PM

The Sensex was down 129.03 points or 0.20 percent at 64,958.22, and the Nifty was down 55.20 points or 0.29 percent at 19,292.30. About 1615 shares advanced, 1459 shares declined, and 102 shares unchanged.

Sensex Today | Dhaval Ajmera, Director, Ajmera Realty & Infra India

The housing sales registrations in the month of August 2023 for the Mumbai Metropolitan Region crossing the 10K mark showcases the confidence amongst the homebuyers of the city towards the residential asset class. The interest of homebuyers in residential real estate is propelled by the dual effect of the need to upgrade to a bigger & better living space and focused impetus on infrastructural developments across the city.

Compared to August 2022, these housing registrations have exhibited remarkable growth of over 23%. This surge can be attributed to the growing emphasis on a superior post-COVID lifestyle, with need of enhanced livability—a key criterion for homebuyers.

Anticipated demand during the upcoming festive season is poised to further amplify this trend, setting the stage for an upward trajectory in residential sales in the ensuing months.

Stock Market LIVE Updates | Athora Netherlands Expands Strategic Partnership with TCS 

Tata Consultancy Services (TCS) has expanded its long-standing partnership with Athora Netherlands, a Dutch life insurance and pension provider, to help the latter adopt a business and IT operating model that will enhance customer experience, operational resilience and business agility.

Stock Market LIVE Updates | Bosch whole time director Karsten Mueller resigns

Karsten Mueller a Whole Time Director of Bosch has submitted his resignation as a director of the company, with effect from close of business hours on August 31, 2023 i.e. effective from September 01, 2023, due to change in his responsibilities at global level.

Stock Market LIVE Updates | Greaves Cotton in partnership with Enigma Automobiles

Enigma Automobiles Private Limited, the electric vehicle (EV) manufacturer from Central India, has announced its strategic partnership with AutoEVmart, a multi-brand EV retail store by Greaves Retail, the retail and distribution unit of Greaves Cotton.

The partnership aims to accelerate the sales and distribution of Enigma's impressive electric two-wheeler range nationwide through AutoEVmart's retail network.

Stock Market LIVE Updates | Zydus Lifesciences receives final USFDA approval for Isotretinoin Capsules

Zydus Lifesciences has received final approval from the United States Food and Drug Administration (USFDA) for Isotretinoin Capsules USP, 10 mg, 20 mg 30 mg and 40 mg.

Sensex Today | Nifty PSU Bank index down 1 percent dragged by Bank of Baroda, Canara Bank, Central Bank of India

Sensex Today | Jupiter Life Line IPO to open on September 6; closes on September 8

Private hospital chain Jupiter Life Line Hospitals Ltd will open on September 6 for subscription and close on September 8. The anchor book will open on September 5.

The refunds will be done by 14 September and credit of equity shares to demat accounts of allottees will be on September 15. The stock will be listed on exchanges on September 18.

The firm has cut fresh issue size to Rs 542 crore from Rs 615 crore earlier planned. The OFS comprises of upto 4.45 million shares by its existing shareholders and promoters.

The OFS consists of upto 1.25 million shares by Devang Vasantlal Gandhi (HUF), upto 9 lakh shares by Devang Gandhi jointly with Neeta Gandhi, upto 1 million shares by Nitin Thakker jointly with Asha Thakker, and upto 4 lakh shares each by Anuradha Ramesh Modi with Megha Ramesh Modi and Bhaskar P Shah (HUF). Read More

Stock Market LIVE Updates | Yes Securities View on Indiamart Intermesh

Dominant market shares in B2B online classified business with around 70% market share in paid listings. It expects to add around 8k paid suppliers per quarter going ahead.

The addition of paid customer was modest in Q1FY24 on account of increase in price of Silver monthly subscription packages.

ARPU growth to be in the range of 6% CAGR led by migration of customers to higher priced subscription plans and some contribution from price increase.
Traffic to portal at ~250mn/quarter is sufficient to cater to 3-4 lakh paid customers.

Maintain buy Rating on the stock with revised target price of Rs 3,950/share based on DCF method.

Sensex Today | Market at 1 PM:

The Sensex was down 67.84 points or 0.10 percent at 65,019.41, and the Nifty was down 36.30 points or 0.19 percent at 19,311.20. About 1672 shares advanced, 1387 shares declined, and 97 shares unchanged.

Stock Market LIVE Updates | Fitch affirms State Bank of India at 'BBB-'; outlook stable

Fitch Ratings has affirmed State Bank of India's (SBI) Long-Term Issuer Default Rating (IDR) at 'BBB-'. The Outlook is Stable.

Fitch has also affirmed the bank's Viability Rating (VR) at 'bb' and its Government Support Rating (GSR) of 'bbb-'. A full list of rating actions is below.

Stock Market LIVE Updates | Zee Entertainment share drops 1% as Quant Mutual Fund offloads stake

Shares of Zee Entertainment dropped nearly 1 percent in trade on August 31, after Quant Mutual Fund offloaded 0.5 percent stake in the media company.

Quant Mutual Fund sold 48.15 lakh equity shares of Zee Entertainment Enterprises through open market transactions at an average price of Rs 266.61 per share. The stake sale amounted to Rs 128.38 crore. Read More

Stock Market LIVE Updates | Gallantt Ispat tracks gains after receiving first of the 2 rail rakes

Gallantt Ispat shares were trading 3 percent higher on August 31 after the company announced having received one out of the two railway rakes purchased from the East Coast Railway.

The steel-maker on July 9 said it ordered two rakes worth Rs 55 crore to tide over the shortfall of rail wagons at its disposal. “The purchase is expected to ease the logistics of transferring iron ores from the point of origin to the company’s steel manufacturing facility. Further, this purchase is expected to save 25% of the freight costs incurred by the company,” it had said. Read More

Stock Market LIVE Updates | Vodafone plans to slash 5G network costs

Shares of Vodafone Idea Limited rose over 3 percent intrday on August 31 as the cash-strapped telecom company is exploring different technologies to reduce the cost of deployment of its upcoming 5G network, The Economic Times reported.

The company has initiated proof of concepts or PoC with Samsung for openRAN and VRAN technologies with Mavenir, a US-based telecommunications software company. Read More