Closing Bell: Nifty above 25,900, Sensex gains 384 pts; PSU Bank, realty shine

Indian equity indices ended higher for the third straight session on September 23 with Nifty above 25,900. At close, the Sensex was up 384.30 points or 0.45 percent at 84,928.61, and the Nifty was up 148.05 points or 0.57 percent at 25,939.

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.

Nifty opened with gains and traded with a positive bias during the day to close with gains of ~148 points. On the daily charts we can observe that the Nifty is rising steadily towards the upper end of the rising channel 26000 – 26100 zone. The divergence on the daily and hourly time frame momentum indicator is hinting towards caution however until there is specific evidence of a weakness on the price front, we shall continue to ride the upmove with a trailing stoploss mechanism which should be kept at 25700.

Bank Nifty has witnessed follow-through buying interest after closing at an all-time high in the previous trading session. The Bank Nifty is heading towards 55000. Intermediate pullbacks or intraday dips should be used as a buying opportunity. The support zone is now placed at 53350 – 53500 as per the principle of role reversal.

The euphoria from the FED rate cut continued to lift the domestic market. The benign input costs and an expectation of a change in stance by the RBI amid cuts by global banks will provide tailwinds to valuation. Though there is moderation in India PMI data, investors are anticipating that the wave of liquidity from FII may provide stability in the sentiment.

Due to a strong gap-up opening, the Index oscillated in a well-maintained range and finally settled the trade at a record level of 25,939.05 with gains of 148.10 points. Barring IT, all the other sectors advanced with PSU Banks and Realty being the top performers.

The interest of market participants was back to the Broader markets as Midcap advanced by 0.84% while Smallcaps soared over 1% and outperformed the Frontline Index.

Considering the strong rally in the past 2 trading sessions; the Index seems to be overheated in the short run. Profit-taking correction can be expected where the zone of 25,800-25,850 will serve as a strong support area; and on the flip side, a level of 26,000 will work as a psychological barrier.

Indian rupee ended flat at 83.55 per dollar on Monday versus Friday's close of 83.57.

Indian equity indices ended higher for the third straight session on September 23 with Nifty above 25,900.

At close, the Sensex was up 384.30 points or 0.45 percent at 84,928.61, and the Nifty was up 148.05 points or 0.57 percent at 25,939. About 2274 shares advanced, 1661 shares declined, and 118 shares unchanged.

Top Nifty gainers were M&M, ONGC, Bajaj Auto, SBI Life Insurance, Hero MotoCorp, while losers were Eicher Motors, Divis Labs, ICICI Bank, Tech Mahindra and IndusInd Bank.

Among sectors, PSU Bank index rose more than 3 percent, Realty index was up over 2 percent, while auto, energy, FMCG, metal, pharma, media up 0.5-1 percent. However, Information Technology index shed 0.5 percent.

The BSE midcap index and smallcap indices were up 0.7 percent each.

#1 Management acknowledged stress is building up in industry on MFI & unsecured loans

#2 Management says company was able to see the risks early on, helped management adopt prudent measures in lending

#3 Company is now seeing better asset quality relative to industry

#4 Management maintained guidance for delivering 25 percent growth with ROAs/ROEs of 3 percent/15 percent over next 24 months

#5 Growth guidance driven by NIMs + fee in 10.75 percent-11.25 percent range, opex + credit costs <7 percent

#6 Management now has term plan around building a cycle-resilient retail loan book

#7 Cycle-resilient retail loan book to be built using technology as biggest lever

#8 Technology to be used as biggest lever supplemented by bureau data & alternate data-sets

#1 Domestic AC industry benefited from a strong Q1 summer

#2 Domestic AC industry likely to drive +30 percent YoY volumes in FY25

#3 Mobility order book healthy at Rs 20.7 bn

#4 In FY24-27, estimate margin-accretive components CAGR to outpace that of AC

#5 Peak capex likely behind us, and RoCE to rise to around 20 percent by FY26

The board has re-appointed Adi Patel as Managing Director for three years and appointed Vishal Kampani as Managing Director for five years, effective October 1.

Currently, Vishal Kampani serves as Non-Executive Vice Chairman and, with this appointment, will become Vice Chairman and Managing Director.

Gaurav Malik has resigned as Chief Financial Officer of the company, effective September 20, citing personal reasons and commitments.

The USFDA completed a routine Good Manufacturing Practice (GMP) inspection at the company’s R&D centre (Integrated Product Development Organisation or IPDO) in Bachupally, Hyderabad. The inspection, conducted from September 16-20, concluded with zero observations.

Indian Rupee appreciated on Monday amid positive domestic markets with domestic equities hitting fresh all time highs. However, Rupee lost initial gains on a strong American currency (US Dollar) and firm crude oil prices. US Dollar recovered on disappointming PMI data from France, Germany, Eurozone, and the UK. India's Servics PMI fell to 58.9 in August VS 60.9 in July.

We expect Indian Rupee to trade with a slight positive bias on positive global equities and fresh FII inflows. However, a recovery in the greenback and elevated crude oil prices may cap sharp upside. Investors may watch out for US GDP, consumer confidence and core PCE price index data from US this week. We expect USDINR to trade in the range of 83.35-83.75

Indian Rupee appreciated on Monday amid positive domestic markets with domestic equities hitting fresh all time highs. However, Rupee lost initial gains on a strong American currency (US Dollar) and firm crude oil prices. India's Servics PMI fell to 58.9 in August VS 60.9 in July.

We expect Indian Rupee to trade with a slight positive bias on positive global equities and fresh FII inflows. However, a recovery in the greenback and elevated crude oil prices may cap sharp upside. Investors may watch out for US GDP, consumer confidence and core PCE price index data from US this week. We expect USDINR to trade in the range of 83.35-83.75.

RM Subramanian has resigned as Chief Financial Officer of the company to pursue career opportunities outside the organization.

The committee has approved the offer and issuance of upto 1,25,000 debentures at a face value of Rs 1,00,000 at Rs 750 crores with a green shoe option upto Rs 500 crores on private placement basis.

The company has commissioned India’s largest blast furnace at Kalinganagar, Odisha. With an investment of Rs 27,000 crore, the Phase II expansion will increase the total crude steel capacity from 3 million tonnes per annum (MTPA) to 8 MTPA.

#1 Management discussed strong tailwinds for aviation growth in India

#2 Management reiterated focus on cost leadership & timely ordering of the fleet

#3 International segment is a key growth lever with new fleet, new routes

#4 Several digital initiatives in play with focus on increased direct ticket booking

#5 Several digital initiatives in play with focus on launch of hotel booking on website

The Sensex was up 243.22 points or 0.29 percent at 84,787.53, and the Nifty was up 114.25 points or 0.44 percent at 25,905.15.

#1 Growth momentum to sustain led by business banking, MSME, corporate

#2 Focus on RaROC continues

#3 Comfortable LCR/LDR at 123 percent/85 percent

#4 Range-bound NIM with similar intensity moderation in Q2

#5 Expect catch-up in deposit cost to be partially offset by lower drag on interest reversal

Western Carriers is set to debut on the stock exchanges tomorrow, with shares currently trading at a grey market premium (GMP) of Rs 10. Considering the upper price band of Rs 172, the stock is expected to list at a 6 percent premium.

HSCC (India), a wholly owned subsidiary of NBCC (India) has awarded the work of Rs 1261 crore for establishment work of AIIMS in Darbhanga, Bihar.

#1 XUV700 more affordable variants supporting profit growth

#2 BEV launches to be profitable from day 1

#3 Improving validation on Inglo EV platform

#4 Green shoots becoming more visible in rural markets

#5 Tractor market setup looks better heading into H2FY25

The company received order of Rs 15.4 crore for supply of full scale combustors for development of next generation Engine for defence programs  from Defence Research & Development Laboratory (DRDL).

#1 SC's dismissal of AGR petition has no immediate impact on VI’s cash flows

#2 Development could weigh on near-term stock sentiment

#3 Recommend using the share price weakness as an enhanced buying opportunity

#4 See an attractive dividend yield on offer of about6-7 percent

#5 Key to monitor: completion of Voda Idea’s pending debt raise, reiteration of VI’s capex plans, quantum of past dues that VI repays to indus in Q2FY25

The board has approved raising funds of up to Rs 10,000 crore via non-convertible debentures (NCDs) and commercial papers on a private placement basis.

The board of directors considered the matter of issuing bonus shares. The company needs to seek clarification from the Reserve Bank of India (RBI) regarding the issue of bonus shares to non-resident shareholders, including those covered under Foreign Direct Investment and Foreign Portfolio Investment.

Global lenders have provided financing to Adani Total Gas. The company has entered into a financing framework that enables future funding based on its business plan. The maiden financing of $375 million, executed with international lenders, includes an initial commitment of $315 million. Five international lenders participated in the initial financing: BNP Paribas, DBS Bank, Mizuho Bank, MUFG Bank, and Sumitomo Mitsui Banking Corporation.

Bajaj Healthcare has entered into a development and supply agreement for an Active Pharmaceutical Ingredient (API) with a European Entity. This

API after its development will be initially supplied in small quantities and will be used by the EU partner to carry out clinical trials for an alternative indication.

The board of directors of the company on September 23, 2024 recommended sub-division of 1 equity share of face value of Rs 10 each fully

paid-up to 10 equity shares of the face value of Re 1 each fully paid-up.

The telecom operator has concluded a $3.6 billion (Rs 30,000 crore) deal with Nokia, Ericsson, and Samsung for the supply of network equipment over a three-year period. The capital expenditure program aims to expand 4G population coverage from 1.03 billion to 1.2 billion, launch 5G in key markets, and expand capacity in line with data growth.

Surana Solar has been awarded a Letter of Award of Solar Power developer (SPD) for solar photovoltaic power generating stations of an aggregate capacity of 54 MW (AC) under Mukhyamanatri Saur Krushi Vahini Yojna 2.0 a scheme launched for implementation of feeder level Solarisation under Component C of PM-KUSUM Scheme from Maharashtra State Electricity Distribution Co. Ltd (A Govt. of Maharashtra Undertaking). This project will be located in the state of Maharashtra.

The company, through its wholly owned subsidiary Sri Sainatha Multispecialty Hospitals, has entered into a lease agreement with Aparna Constructions and Estates for the establishment of a new Aster Woman and Children Hospital in Hyderabad.

A meeting of board of directors of the company will be held on Monday, 30th September, 2024, to consider, integration and consolidation of the generics formulations business in the US market of M/s. Bayshore Pharmaceuticals LLC (wholly owned step-down subsidiary) into Unichem Pharmaceuticals (USA) Inc. (wholly owned subsidiary of Company’s subsidiary) so as to consolidate all the Ipca Group’s USA generics formulations business under one entity.

The Sensex was up 202.57 points or 0.24 percent at 84,746.88, and the Nifty was up 0.35 percent at 25,882.50.

The company has postponed its board meeting to September 24, from September 23, to consider the raising of funds due to unavoidable reasons.

Bahadur Dastoor has resigned as Chief Financial Officer (CFO) of the company, effective September 21.

The Memorandum of Understanding entered between KBC International Limited, Ghana and Liberia Special Economic Zone Authority, entity established by Government of Liberia under Special Economic Zone Act, 2017 having registered office at Layaette Harmon building , Lynch St , Monrovia, Liberia.

The Memorandum of Understanding is entered for construction and development of projects of residential building complexes, low cost housing and Commercial space in SEZ with estimated cost of 12.5 million USD.

The project will commence from Q-2,2025 and is expected to complete within three calendar years.

The company is currently addressing a temporary disruption in its services. Its dedicated team is working diligently with partners to identify the root cause and implement solutions as quickly as possible. All contractual agreements remain in full force. The top priority is to minimize any inconvenience to passengers and restore normal operations swiftly.

#1 Measures announced to boost EXIM trade, risks CCRI margins

#2 Railway board & CCRI: zerocost storage for empty containers for 90 days, 50 percent reduction in charges beyond 90 days, storage & handling rates will be reduced from Rs 9,000 to Rs 2,000

#3 Government expects these measures to significantly bring down shipping costs

Aarti Industries, Biocon, Chambal Fertilisers and Chemicals, GNFC, Granules India, LIC Housing Finance, NALCO, Oracle Financial Services Software, Punjab National Bank, RBL Bank, SAIL

The board of directors of the company have decided to designate Mr. Indrajit Banerjee, Independent Director as the chairman of the company with effect from October 1, 2024 till the vacancy is filled.

#1 Scalable model With Domain Expertise & Long-Standing Client Relationships

#2 Company is well positioned to ride digital adoption wave in life sciences companies

#3 Client roster impressive, sales engine geared towards large & emerging pharma

#4 Strong management & industry analyst rankings, as well as balanced M&A approach

#5 Expect company to deliver 12 percent USD rev/18 percent EPS CAGRs over FY25-27

#6 Key Risks: Exposure to only life sciences vertical, high top-5 client revenue concentration of 46 percent, use of USD 100 mn cash with no stated dividend policy, & in-sourcing

One Point One Solutions announced a contract win with a prominent publicly listed Swedish company. The client, with

a vast international footprint including Sweden, India and the United States, has recognized One Point One Solutions for its extensive technological capabilities.

JSW Infrastructure has taken delivery of a new, state‐of‐the‐art dredger from Netherlands based IHC Dredging.

This investment into the second dredger, aligns with the company’s FY2030 growth plan to boost capacity from 170 Million Tonnes Per Annum (MTPA) to 400 MTPA. The new dredger will support both greenfield and brownfield expansion projects at multiple ports of the company.

The company has entered into a strategic partnership with General Atomics Aeronautical Systems, Inc. (GA-ASI) to develop and supply critical sub-systems for GA-ASI's advanced unmanned aircraft systems (UAS).