Sensex, Nifty Highlights on December 11: After a volatile trading session, market indices closed near record highs on Friday. Market earlier reversed trend backed by mixed Asian markets and weak opening in European equities. Sensex ended 139 points higher at 46,009 and Nifty closed 35 points to 13,513. During today's early session, Sensex hit an all-time high of 46,277 and Nifty too logged a record high of 13,566. Yesterday, Sensex ended 143 points lower at 45,959 and Nifty fell 50 points to close at 13,478.
Here's a look at the updates of the market action on BSE and NSE today
3. 46 PM: Closing
After a volatile trading session, market indices closed near record highs on Friday. Market earlier reversed trend backed by mixed Asian markets and weak opening in European equities. Sensex ended 139 points higher at 46,009 and Nifty closed 35 points to 13,513.
3. 35 PM: Market outlook
S Ranganathan, Head of Research at LKP Securities said,"A volatile trading session to end the week well over 46k as we witnessed a renewed interest in PSU names across sectors on hopes of divestment and dividend expectations from cash-rich PSU companies. Bouts of profit booking was seen in afternoon trade across sectors and stocks which seems healthy for the markets".
3. 27 PM: Market outlook
On markets closing --Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments said," The index tested the lower end of the range again; 13400-13700 is the range for this market and this is also a stiff resistance zone. We will breakdown only if 13300-13350 is broken and we will see a renewed rally up only post a closing above 13700. Until then traders should trade cautiously with strict stop loss levels."
3. 12PM: Persistent System outlook
Angel Broking rated Accumulate with CMP of Rs 1,236 and TP of Rs 1,531 to Persistent Systems and said," Company has won a large deal during the quarter which will ramp up over the next few quarters. We expect the company to post revenue/EBITDA/PAT growth of 11.6%/21.4%/19.7% between FY20-FY22 given negligible impact of Covid-19 on FY21 numbers strong deal wins, ramp up of existing projects along with margins expansion. "
3.08 PM: Swaraj Engines outlook
Angel Broking rated Accumulate with CMP of Rs 1,437 and TP of Rs 1,891 to Swaraj Engines and said," Swaraj Engines is engaged in the business of manufacturing diesel engines and hi-tech engine components. Diesel Engines are specifically designed for tractor application. Going forward, we expect recovery in the tractor industry (due to robust Rabi crop production, hike in MSP & the forecast of a normal monsoon) will benefit players like Swaraj Engines. "
2. 37 PM: Market reverses trend
Market indices retreated from morning record highs and traded flat with negative bias on Friday's afternoon session, backed by weak opening in European equities. Sensex was trading 42 points lower at 45,912 and Nifty fell by 23 points to 13,454. During today's early session, Sensex hit an all-time high of 46,277 and Nifty too logged a record high of 13,566.
2. 21PM: JK Lakshmi outlook
Angel Broking rated Accumulate with CMP of Rs 344 and TP of Rs 422 to JK Lakshmi and said," JK Lakshmi is a predominantly north India cement company with capacity of 13.3 Mn Mt. Currently, north India is favorable location for the cement industry as it is consolidated to a large extent as well as demand and supply outlook is better compared to other locations. Q1FY21 numbers of the Company were better compared to its peers due to favorable regional presence. It is also trading at a significant discount compared to other north based cement company such as JK Cement as well as historical valuation."
2. 12PM: Gujarat Gas outlook
Angel Broking rated Accumulate with CMP of Rs 348 and TP of Rs 397 to Gujrat Gas and said," Strong Volume Growth - In Q2FY21 Volume stood at 9.85 MMSCMD, which is the highest volume by company in any quarter, Volumes are even better than pre Covid levels. In last 2 years strong volume CAGR of 20%. Industrial Growth in Gujarat - 80% of overall volumes comes from the Industrial sector. Industrial demand is very strong in Morbi. Morbi ceramic to get further boost as strong demand from USA as they have imposed 200%-300% of import duty on Chinese ceramic. Company also ramping up its capacity at Morbi to enable it to handle 8 MMSCMD against current capacity of 5.9 MMSCMD. Margin to sustain - Gujarat gas margins are highest in Q2FY21 at 29%. Margin has increased due to low imported LNG prices and decrease in other expenses."
2. 01 PM: Inox Leisure outlook
Angel Broking rated Accumulate with CMP of Rs 292 and TP of Rs 350 and said,"Share prices have corrected more than 40% as all theatres are closed down due to covid-19 issue. Although, long term fundamentals are intact. Covid-19 can lead to further consolidation in the industry."
1. 41 PM: UPL stocks up 4%
UPL shares gained over 4% on Friday's early session after as reported in the newsarticle reported yeaterday.
The agrochemicals firm's management also clarified that these allegations were discussed and investigated by the Audit Committee and the Board in 2017 and 2018. "An identicalwhistle blower complaint was received by the audit committee of UPL on June 2, 2017," company said in a BSE filing.
Stock of UPL opened 3.3% higher today at Rs 452.90 and also hit intraday high of Rs 456.40, rising 4.09%. The stock also touched an intraday low of Rs 441.25, against previous close of Rs 438.45 on BSE.
1. 22PM: Top gainers and losers
ONGC was the top gainer in the Sensex pack, rallying around 6 per cent, followed by SBI, NTPC, Bajaj Finance, Tata Steel, Bajaj Finserv, HDFC and Reliance Industries.
On the other hand, Asian Paints, Tech Mahindra, Infosys and Nestle India were among the laggards.
1. 12PM: Bandhan Bank outlook
Angel Broking in its top picks gave Accumulate rating at a CMP of Rs 415 and TP of Rs 450 and said," Bandhan bank is one of India's leading east based micro finance lending led bank. This places the bank at a significant advantage over other MFIs in the form of very low cost of funds. While Bandhan Bank started off as a MFI it is diversifying its loan book. With the takeover of Gruh Finance mortgages account for ~ 26% of the banks lending books while commercial banking accounts for ~6.5% of the company's loan book. The company is looking to diversify its loan book and geographical spread over the next 5 years. The company has posted better than expected set of numbers for Q2FY21 with and has posted NII growth of 25.8% YoY while operating profit has registered a growth of 24.5% YoY. Collection efficiency has also improved to 91%/98%/98% for MFI/Housing and CIB segments in Oct'20. Management has highlighted that disbursements are going to be back to pre Covid levels in Q3FY21."
1. 01 PM: Sensex, Nifty hit record highs
During the session, Sensex hit an all-time high of 46,309 and Nifty too logged a record high of 13,579
12. 46PM: IRCTC share falls over 3%
IRCTC share fell over 3 percent on the second day of offer for sale (OFS) today. Share of IRCTC slipped 3.58% intra day to Rs 1,400 against previous close of Rs 1,451 on BSE. The large cap stock has lost 15.5% in the last 4 days. The stock opened with a loss of 3.3% at Rs 1,404 today. The share trades higher than 20 day, 50 day, 100 day and 200 day moving averages but lower than 5 day moving averages. The large cap share has gained 65.74% in one year and risen 53.435 since the beginning of this year.
12. 31 PM: Senesx, Nifty hits new high
During the session, Sensex hit an all-time high of 46,309 and Nifty too logged a record high of 13,579
12. 26PM: Rupee opens on flat note at 73.65
Indian rupee, the local currency opened on a flat note at 73.65 per US dollar and traded in a narrow range on Friday's opening session, despite positive opening in domestic equity market and a weak dollar.
The domestic unit opened at 73.65 against the US dollar at the interbank forex market and later touched 73.63 per American currency. In volatile trade, the local unit also fell to 73.69 per dollar.
On Thursday, the rupee snapped its two-day winning streak to settle 9 paise lower at 73.66 per dollar.
12. 09 PM: Airbnb's valuation crosses $100 billion
Shares of Airbnb Inc more than doubled in their stock market debut on Thursday, valuing the home rental firm at just over $100 billion in the biggest U.S. initial public offering (IPO) of 2020 and capping a bumper year in which investors flocked to tech stocks. Airbnb opened at $146 on the Nasdaq, far above the IPO price of $68 per share that raised $3.5 billion for the company. The stock hit a high of $165 and closed at $144.71. The IPO is the culmination of a stunning recovery in Airbnb's fortunes after the firm's business was heavily damaged by the COVID-19 pandemic earlier this year.
11. 56 AM: YES Bank shares fall after 4 days of consecutive gains
After 4 days of straight gains, YES Bank share price fell over 4% on Friday's session over profit booking. YES Bank shares opened at Rs 20.74 and later rose to Rs 20.83. Later, the stock erased early gains and fell 3.2% to hit a day's low of Rs 19.46 during the session against the last close of Rs 20.44 on BSE.
YES Bank stock has risen 27% in the last week.
YES Bank shares were rising for the past 4 days after Brickwork Ratings upgraded the rating of Tier I subordinated perpetual bonds (Basel II) of the lender. The rating was changed to BWR BB+/ Stable from BWR D of YES Bank Limited.
11. 31 AM: Market outlook
Ashis Biswas, Head of Technical Research, CapitalVia Global Research Limited said," The sector opened with a void that followed the global market signals. At 13350-13400, Nifty witnessed small support, while 13000 would be the main support. An inquiry has been initiated by the Competition Commission of India (CCI) against cement firms concerning allegations of anti-competitive behavior. Top Gainers for the day are: NESTLEIND (+4.46%), ITC (+3.55%), BRITANNIA (+3.11%), HINDUNILVR (+2.54%) and ADANIPORTS (+1.53%)."
We recommend going long on the following stocks:
1. MARICO above 406 with a TGT of 415 and SL of 398. It has given a breakout at an all-time high.
2. BHARTI INFRATEL above 250 with a TGT of 260 and SL of 240. It has formed a good consolidation in the small-time period.
3. DEEPAK NITRITE above 895 with a TGT of 910 and SL of 880. It has formed support of 21 and 55 DMA.
4. UBL above 1146 with a TGT of 1160 and SL of 1135. It has a support of 21 and 55 DMA.
5. RELIANCE above 2035 with a TGT of 2080 and SL of 1999. It has the support of 21 DMA
11. 11AM: Global markets
Overseas, Asian stocks were mixed on Friday as investors kept an eye on negotiations over additional fiscal stimulus in the U.S. In US, stocks closed little changed on Thursday as lawmakers struggled to push through new fiscal stimulus before year-end. Sentiment was also dampened by the release of weaker-than-expected jobless claims data.
11.03 AM: IRCTC OFS outlook
Yash Gupta Equity Research Associate, Angel Broking said," Company's business has been adversely impacted in 1HFY21 with revenues declining by 77.4% YoY to 220 crore while the company reported an EBIDTA loss of 50 crore as railway operations remained mostly suspended due to the Covid 19 crisis. Post unlocking of the economy business has been recovering gradually for the company and business is expected to recover to pre Covid levels only in FY2022. While we remain positive on the long term prospects of the company given the monopolistic nature of the business and strong growth expected post FY2021, we remain cautious on the near term business prospects of the company. Given the recent run up in the stock price we have a Neutral recommendation on the issue, as listing gains may be limited."
10. 50 AM: Burger King supplier Mrs Bectors Food's IPO to open on December 16
Bectors Food IPO: The firm which supplies buns to quick-service restaurant (QSR) chains such as McDonald's, KFC, Burger King and Carl's Jr among others plans to raise Rs 450-500 crore through the share sale
Bread and biscuits maker Mrs Bectors Food Specialities will launch its initial public offering on December 16. The company intends to fund its brownfield expansion of Rajpura manufacturing unit in Punjab through the proceeds of IPO. The IPO will close on December 17. Price band for the share sale has been fixed at Rs 286-288 per equity share of a face value of Rs 10 each.
10. 40 AM: Stocks to watch today on December 11
Kotak Mahindra Bank, TCS, Bank of Baroda, Muthoot Finance, Coal India, United Spirits among others are the top stocks to watch out for in Friday's trading session
10. 37 AM: Healthcare Global Enterprises outlook
Geojit Financial Services maintained buy at CMP: Rs.158 and Target Price: Rs.189 and said,"While the Covid-19 pandemic has impacted HCG's recent performance, we expect to see a recovery in footfalls as lockdown restrictions ease in different parts of the country. The main focus for HCG will now be towards reducing losses at its new centers while improving margins and profitability at its mature centers. The recent capital infusion will enable the company to deleverage its balance sheet. Considering these factors, we initiate coverage on HCG with a BUY rating based on 12x FY23E EV/EBITDA with a target price of Rs.189."
10. 20 AM: Market at new highs
Market indices hit new lifetime highs on Friday, backed by buying in PSU Banking, media and metal stocks, amid positive global equities. Sensex was trading 302 points higher at 46,266 and Nifty gained by 87 points to 13,565. During the session, Sensex hit an all-time high of 46,277 and Nifty too logged a record high of 13,566
10. 12 AM: Global market update
Asian markets are trading mixed as investors continued to keep a close watch on discussions over fiscal stimulus in US. Korean exports jumped 26.9% till now Dec. US markets closed without much activity as stimulus negotiations continued without agreement. The sentiment was dampened by weaker than expected jobless claims data. European markets closed lower as Brexit deal talks dragged on and as ECB held key rates unchanged at its meeting while expanding its monetary stimulus program by another 500bln euros.
10. 03 AM: Market outlook
On markets opening --Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments said,"The Nifty is in a rangebound phase between 13400 and 13700. This is also a profit booking resistance zone. Traders should maintain caution at these levels and book profits at regular intervals. Timely upgrading of stop losses should also happen as the markets can get volatile. We have a good support at the 13300-1350 levels."
9. 57 AM: Nifty outlook
Geojit Financial said in its note,"13400, the intraday turnaround point suggested yesterday performed its duty to perfection, turning a bearish day to a positive one, with a 100 point bounce off the same. This keeps the 13700-13800 view in play. However, standard deviation studies suggest that the stage is set for a dramatic increase in trading range, for which reason, a reassessment may be required on approach to 13600. Downside marker remains at 13270/50."
9. 44 AM: Market technical outlook
Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking) said," Although we are a bit cautious at current levels, the undertone is strongly bullish and the mighty Bulls are not willing to give up. Going ahead, 13400 will now be seen as key as well as crucial support. A decisive close below this would confirm the first sign of extended profit booking. Till then 13400 - 13550 becomes the range for the coming session.
Sectorally, FMCG space came for a rescue today as we saw an extraordinary rally in heavyweights from this space. This is a perfect characteristic of a strong Bull Run as every now and then you would find someone stepping up for a rescue. However, the midcap index saw some profit booking during the session. We reiterate that one should avoid aggressive bets and strictly follow a stock centric approach."
9. 34 AM: Market rises to new highs
Market indices opened and hit new lifetime highs on Friday, backed by buying in PSU Banking, media and metal stocks, amid positive global equities. During the session, Sensex hit an all-time high of 46,247 and Nifty too logged a record high of 13,562. SGX Nifty on the Singapore Exchange was rising by 90 points, indicating positive trend in domestic grounds today.
9.20AM: Opening session
Market indices opened on a bullish note on Friday, amid positive global equities. SGX Nifty on the Singapore Exchange was rising by 90 points, indicating positive trend in domestic grounds today. Sensex was trading 190 points higher at 46,150 and Nifty gained by 65 points to 13,541.
9. 10 AM: FII action
Foreign portfolio investors (FPIs) bought shares worth Rs 2,259.98 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 2,275.22 crore in the Indian equity market on 10 December, provisional data showed.
8. 50 AM: Market outlook
NSE-NIFTY failed to continue its prior up-move amidst negative global cues and profit booking across frontline majors. Yesterday, defensive sector-FMCG remained in focus with positive momentum and overall market breadth changed to negative. FII continued their buying spree. Its major technical indicators are positively poised. As mentioned earlier, undergoing positive momentum will continue. In case of near-term decline, the index will find strong support at 13,250 mark and bounce back. The index has potential to explore uncharted territory and will test 13,700 and 14,000 levels.
As for the day, support is placed at around 13,417 and then at 13,356 levels, while resistance is observed at 13,521 and then at 13,565 level
8. 40 AM: Rupee closing
On the currency front, rupee, the local currency settled 9 paise lower at 73.66 against US dollar, tracking muted domestic equities and a rebound in the American currency.
8. 30 AM: Closing
Market indices retreated from record highs and closed lower on Thursday, in line with global equities. Sensex ended 143 points lower at 45,959 and Nifty fell 50 points to close at 13,478. Yesterday, Sensex ended 494 points higher at 46,103 and Nifty closed 136 points higher at 13,529. During the last session, Sensex hit an all-time high of 46,164 and Nifty too logged a record high of 13,548.