Sensex, Nifty Highlights on August 3: Sensex and Nifty ended on a bearish note on Monday following weak Asian peers amid selling interest in index heavyweights. Sensex ended 667 points lower at 36,939 and Nifty fell 173 points to 10,899. Asian equities were trading mostly weak today as US lawmakers struggled to hammer out a new stimulus plan amid global surge in coronavirus cases. Traders said markets will continue taking cues from the worldwide trend. Investor sentiments remained fragile amid the start of a poor quarterly earnings season with weak results from key heavyweights, indicating significant financial damage from the impact of coronavirus outbreak.
Here's a look at the updates of the market action on BSE and NSE today
3. 45 PM: Cosing
Sensex and Nifty ended on a bearish note on Monday following weak Asian peers amid selling interest in index heavyweights. Sensex ended 667 points lower at 36,939 and Nifty fell 173 points to 10,899.
3. 32 PM: Market quote
Commenting on today's bearish rally, S Ranganathan, Head of Research at LKP Securities said,"Market opened weak today and ended weaker as heavyweights and financials bore the brunt of profit booking as supply of paper starting this month weighed in the minds of investors. Pharmaceuticals however stood out today also as several API players were sought after by investors and were seen buzzing around throughout the day".
3. 22PM: Nifty outlook
Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments said," The markets have broken 10975 which indicates a short term weakness for the Nifty. We could drop by 200 odd points to test the levels of 10750-10800. On the upside, the resistance would now be at 11200. Until then the market remains in weakness."
3. 13 PM: Reliance stock update
Commenting on Q1 results of RIL, Centrum Broking said,"RIL reported EBITDA at Rs168.8bn, down -22% yoy, below CenE Rs188.2bn impacted by weak performance from the petchem and the retail segments. However, better than expected subscriber additions and higher ARPU of Rs140 vs CenE Rs137 offset the weakness to some extent. Refining EBIT at Rs28.9bn surprised positively with better than expected GRMs of US$6.3/bbl and higher refining throughput of 16.6mt . Overall, adj PAT of Rs82.8bn is the lowest since Q2FY18; but we believe this is clearly the bottoming out of earnings for FY21E with material improvement in prospect across segments over rest of the year. Reiterate BUY."
2. 54 PM: Titan share price gains almost 5%
Rakesh Jhunjhunwala's favourite stock Titan was trading as the top gainer in an otherwise weak market of Monday, rising up to 5% after the jewellery company announced a dividend of Rs 4 per share today morning.
Titan stock touched an intraday high of Rs 1,094.7, rising 4.93% as against the last closing price of Rs 1,043.25 on BSE. Titan stock price has risen 4.98% in the last 3 days of consecutive gains.
Titan Company is trading higher than 5, 20, 50, 100 and 200-day moving averages. Jewellery sector meanwhile has gained by 4% in today's session. The stock price of Titan has risen 4.3% in one week, 8.2 % in one month and 2% in one year.
2. 36 PM: Market falls further
Sensex and Nifty fell to bearish territory on Monday following weak Asian peers amid selling interest in index heavyweights. Sensex was trading 600 points lower at 37,000 and Nifty fell 156 points to 10,917.
2. 12 PM: Dabur Q1 update
On Dabur's Q1FY21, Centrum Broking said," "Despite 40 days lockdown which impacted HPC portfolio (-14.9%), its healthcare and new product launches in hygiene segment received good response growing at 29.2%, while Foods segment declined 34.4%. Management cited its power brand strategy and focus on village coverage met the demand from migrant population yielding good results in Q1. Further, Project Samriddhi (cost reduction) coupled with cut in ad-spends helped in improving margins. Considering sharp focus on Health and hygiene segment we have increased revenue/PAT estimates for FY21E/FY22E by 4.5%/5.8% and 7.4%/8.9%. We retain our Buy rating with DCF-based revised TP of Rs542, implying 51x FY22E earnings."
1. 49 PM: Mastek Q1 update
On Mastek's 1QFY21 results, Centrum Broking said," Company delivered a steady beat on margin and PAT. 1QFY21 had full impact of Evosys acquisition. We see strong synergies and cross sell opportunities of Mastek and Evosys combined entity which can also help increase average deal sizes. We see potential in UK government as well as Oracle Enterprise Cloud migration opportunities as key revenue growth drivers. Led by Evosys acquisition, we expect Mastek full year USD revenue to grow by 40% YoY for FY21E (Organic revenue growth to remain flat and growth is on account of Evosys acquisition). Strong margin execution and revenue upgrade leads us to raise EPS estimates by 13/7% for FY21/FY22E. Raise TP by 36% to Rs700/sh (10.5x June22E EPS vs 9x earlier). Retain BUY."
1. 22 PM: Bajaj Auto share slips 3% on weak sales in July
Bajaj Auto share slipped in trade today after the firm reported weak sales in July 2020. Share price of Bajaj Auto lost 2.97% intra day to Rs 2915 against the previous close of Rs 3,004 on BSE.
Market cap of the firm fell to Rs 84,755 crore. Bajaj Auto share has last 6% in last four days. The large cap share has fallen 8% since the beginning of this year but gained 12.66% during last one year.
1.02 PM: Tata Motors share price rises post result
Tata Motors share price gained over 8% in early trade today after the auto maker reported earnings for June quarter. Share price of Tata Motors rose 8.31% to Rs 113.40 against previous close of Rs 104.70 on BSE. The large cap stock has risen after 6.89% in two days. The share trades higher than 5 day, 20 day, 50 day and 100 day moving averages but lower than 200 day moving averages.
12. 53 PM: Rupee slips 12 paise to 74.93 per dollar
The domestic unit opened on a weak note at 74.91 at the interbank forex market, and lost ground further to touch 74.93 per dollar, down 12 paise over its last close of 74.81 against the US dollar on Friday.
Forex traders said foreign fund outflow, strong dollar, muted domestic equities and rising COVID-19 cases dragged the local unit down.
12. 46 PM: Market falls further
Sensex and Nifty fell to bearish territory on Monday following weak Asian peers amid selling interest in index heavyweights. Sensex was trading 547points lower at 37,059 and Nifty fell 141 points to 10,932.
12. 35 PM: Rising US-China tensionsMarkets were also jittery on back of US-China tensions. This followed after reports that suggested Microsoft is in advanced talks to buy the U.S. operations of TikTok, which is owned by the Chinese company ByteDance. This was seen as a source of national security and censorship concerns by the Trump administration, that added to the escalated tensions between world's two largest economies.
12. 22 AM: Sovereign gold bonds V series opens for subscription today
The fifth tranche of government-run Sovereign Gold Bond (SGB) scheme 2020-21 will open for subscription today. Series V of the sovereign gold bond scheme will close for subscription on August 7.
Amid the coronavirus lockdown, the demand for the precious metals has surged about 37% this year as investors have taken a backseat from equities in such a volatile market. The yellow metal is expected to trade as a safe investment during volatile times and is supposed to hit Rs 60 K mark soon at the retail and commodity markets, as per bullion experts.
12.08 PM: Top losers and gainers
Kotak Bank, followed by IndusInd Bank, HDFC Bank, ONGC, PowerGrid, Axis Bank, Sun Pharma and Reliance Industries (RIL) were among the top losers today, while Bajaj Auto, Titan, Maruti, M&M and SBI were among the gainers.
11. 49 AM: Market cues
Asian share markets were mixed on Monday as US lawmakers struggled to hammer out a new stimulus plan amid global surge in coronavirus cases. Traders said markets will continue taking cues from the worldwide trend. Investor sentiments remained fragile amid the start of a poor quarterly earnings season with weak results from key heavyweights, indicating significant financial damage from the impact of coronavirus outbreak.
11. 35 AM: Stocks to watch today on August 3
Maruti, Hero MotoCorp, M&M, Bandhan Bank, Cadila among others are the top stocks to watch out for in Monday's trading session.
11. 24 AM: Gold price near record highs today
Supported by upbeat safe-haven demand, Gold August futures on Multi Commodity Exchange were trading higher by Rs 110 to Rs 53,555 per 10 gm against the previous close of Rs 53,445 per 10 gm, after touching an intraday high of Rs 53,565. In the previous session, Gold August Futures touched an intraday as well as an all-time high of Rs 53,700 per 10 gm.
11. 18 AM: Silver above Rs 65 K mark
Silver September futures gained Rs 607 to trade at Rs 65,670 per kg today, after hitting a lifetime high of Rs 67,672 in the last week.
10. 45 AM: Bandhan Bank share price declines
Share price of Bandhan Bank lost 8.43% or Rs 29 to Rs 316 compared to the previous close of Rs 345.25 on BSE. The large cap stock opened lower at Rs 321 on BSE.
Bandhan Bank share price fell in early trade today after its main promoter Bandhan Financial Holdings sold 337.4 million shares in the Indian lender. Shares were worth Rs 10,500 crore changed hands in a block deal in early trade today. The floor price is about 10 per cent lower than Bandhan Bank's Friday closing price of Rs 345.25.
10. 32 AM: Overseas gold today
Overseas, bullion price rose to an all-time high today. Spot gold gained 0.1% at $1,976.47 per ounce, after hitting a record high of $1,984 earlier today while silver eased 0.1% to $24.35 per ounce. Comex gold was trading 0.45% higher at $1,971 per ounce, after hitting all-time high of 1,84.30 an ounce earlier today.
10. 18 AM: Coronavirus toll
In India, domestic coronavirus cases neared 18.05 lakh with total deaths standing at 38,176. Worldwide, there are 182 lakh confirmed cases and 6.9 lakh deaths from the coronavirus COVID-19 outbreak.
10.08 AM: Market outlook
Reliance Smart Money in its note said NSE-NIFTY continued its monthly rising trend and reported rise of 7.5%. However on the weekly timeframe, the index has breached its rising trend and closed in red after six weeks. In the last week, the index gained once out of five trading sessions and reported fall of 1.1%. On Friday, the index slipped below its lower band of narrow range consolidation (i.e. between 11,055 and 11,340 levels), but later recovered partial intraday loss and closed within its prior range. As mentioned earlier, our bullish view will remain intact provided the index stays firm above its psychological support point-11,000 mark. In case of breakdown, the index will find next support around its 200-day SMA, which is now placed at around 10,860 level. On the higher side, the index will face hurdles around 11,400 and 11,500 levels.
As for the day, support is placed at around 11,017 and then at 10,960 levels, while resistance is observed at 11,140 and then at 11,207 levels.
9. 46 AM: Global cues
Traders will also keep a track on macroeconomic data by the US. The world's largest economy will release PMI data followed by factory orders, balance of trade, jobless claims during the week.
9. 32 AM: RBI policy announcement
The street will keep a close eye on the RBI Monetary Policy Committee (MPC) meet next week which will decide the policy stance amid the urgency to revive the coronavirus-hit economy and increased demand for one-time loan restructuring by industry chambers. Experts are, however, divided over the possibility of another rate cut by the RBI in its forthcoming policy arguing that one-time loan restructuring was more essential at this juncture to tide over the COVID-19 situation. The MPC is slated to meet for three days beginning August 4 and announce its decision on August 6.
9. 19 AM: Opening session
Sensex and Nifty opened n in the red on Monday following weak Asian peers. Sensex was trading 302 points lower at 37,302 and Nifty fell 47 points t o 11,026. Traders said markets will continue taking cues from the worldwide trend.
9. 15 AM: Week Ahead
Going ahead, the market may see some correction amid uncertain environment in wake of rising coronavirus cases. With earnings announcement by index heavyweights are already out, investors will keep an eye on RBI policy, macro data, US-China tensions and coronavirus cases which will set tone for the markets. Development in global markets will also be watched closely by the traders.
9. 10 AM: Nifty outlook
On Nifty's outlook, Jimeet Modi, Founder & CEO Samco Group said," Selling pressure in Nifty50 at higher levels and weakness in Bank Nifty is likely to drag the benchmark indices lower. We maintain a bearish outlook going ahead and believe a retest of 10600 is a possibility within a couple of weeks."
8. 50 AM: Rupee CLosing
Indian rupee, the currency benchmark ended 3 paise higher at 74.81 per dollar on Friday over its last close of 74.84 per dollar, tracking weakness in the greenback.
8. 40 AM: Marlket outlook
Commenting on today's trade, Vinod Nair, Head of Research at Geojit Financial said," Indian markets closed the session flat, with a negative bias. Following one of the worst quarterly US GDP data, Asian shares closed in the negative while European markets were also trading flat. In India, the uncertainty was visible as profit booking and post-earnings results performance of index heavyweights, impacted the benchmark indices."
8. 30 AM: Closing session on Friday
Sensex and Nifty closed lower for a third consecutive session on Friday tracking global equities as investors turned cautious over weak key economic data.Traders said weak US GDP numbers casted a shadow on market recovery. Sensex ended 129 points lower at 37,606 and Nifty fell 28 points to 11,073. Overall Sensex and Nifty have fallen 1.37% and 1.08% this week, respectively.