Sensex, Nifty Highlights on December 14: Market indices closed on a bullish note on Monday, after hitting record highs at opening bell, amid positive global equities. Sensex was rising 154 points higher at 46,253 and Nifty gained by 44 points to 13,558. During today's early session, Sensex hit an all-time high of 46,373 and Nifty too logged a record high of 13,597. Global equities were mixed today as concerns over slow progress on fiscal stimulus overshadowed positive reaction on the approval of Pfizer's Covid-19 vaccine in the US. Last Friday, Sensex ended 139 points higher at 46,009 and Nifty closed 35 points to 13,513. During the week, Sensex and Nifty have gained by 2.26% and 1.93%, respectively.
Here's a look at the updates of the market action on BSE and NSE today
3. 55PM: Market closing
Market indices closed on a bullish note on Monday, after hitting record highs at opening bell, amid positive global equities. Sensex was rising 154 points higher at 46,253 and Nifty gained by 44 points to 13,558. During today's early session, Sensex hit an all-time high of 46,373 and Nifty too logged a record high of 13,597.
3. 49 PM: Nifty Tech view
Rohit Singre, Senior Technical Analyst at LKP Securities said,"Index closed a day at 13558 with gains of 44 points and formed a doji candle for third consecutive session hinting indecision in the markets. Nifty has formed a good base near 13500-13440 zone holding above said levels we may see bullish momentum to continue towards immediate hurdle zone of 13600-13650 zone, below 13400 zone we may see some immediate trend reversal. Nifty bank closed a day at 30746 with gains of half a percent, support for nifty bank is coming near 30500-30200 zone and resistance is coming near 31000-31200 zone."
3. 30 PM:Mrs Bectors Food Specialities IPO
Mrs Bectors Food Specialities' Rs 541 crore IPO is all set to hit the market on Tuesday.
The fifteenth IPO of 2020- Mrs Bectors Food Specialities of Rs 541 crore- is all set to hit the market on Tuesday, December 15. The anchor book will open for subscription today, on December 14.
1-The IPO of FMCG firm comprises an offer for sale of Rs 500 crore by existing shareholders - Rs 245 crore by Linus, up to Rs 38.50 crore by Mabel, up to Rs 186 crore by GW Crown PTE and a fresh issue worth Rs 40.5 crore.
3. 22PM: Nifty trchnical outlook
Keshav Lahoti-Associate Equity Analyst, Angel Broking said," Indian market made a fresh record high by closing up by 0.3% due to positive global cues based on optimism of the faster economic recovery due to positive development on the vaccines front. Buying interest was higher in midcap and smallcap stocks, Nifty Midcap 100 and Nifty smallcap 100 closed up by 0.7% and 0.8% respectively. Market is making new highs as all the sectors are participating in the rally due to ample liquidity in the Indian market, due to higher participation by FII. Global cues were positive: Dow Futures, Nasdaq Futures and FTSE were up by 0.7%, 0.4% and 0.3% respectively. We believe the sharp rally which the market has experienced in the last few months is behind us. Going forward, the market will move based on new news flow around economic recovery and development on the vaccine front.
3. 14 PM: Market outlook
Vinod Nair, Head of Research at Geojit Financial services said,"Market is continuing its bull run with a sustained interest in PSU banks and small & mid-cap stocks. Industrial output data, shows a growth in consumer durables production surpassing the pre-covid level and strong pickup in electricity and manufacturing sectors. The domestic market is expected to gain its momentum from the global market, due to an eventful week ahead with Britain & EU moving for a no-deal Brexit and the US markets awaiting the outcome of the Fed meeting"
3. 06 PM: Nifty outlook
On markets closing --Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments said,"We have closed within the resistance range of 13400-13700. Until we do not get past 13700 or break 13400 we will not witness any meaningful trading move. Since the bias is on the upside, falls or corrections can be utilised to accumulate long positions. 13350-13400 is a good support for the Nifty."
2. 49 PM: Market update
Market indices traded on a bullish note on Monday, after hitting record highs at opening bell, amid positive global equities. Sensex was rising 163 points higher at 46,262 and Nifty gained by 38 points to 13,552.
2. 34 PM: Bectors Food Specialties IPO
LKP Securities in its note said,"At the higher price band of Rs 288, the stock is valued at 28x TTM earnings of Rs 10.32, which looks quite attractive considering the brand equity, distribution network, strong fundamentals and robust growth prospects. We recommend investors to SUBSCRIBE for this initial public offering of Bectors Food Specialties Ltd."
2.26PM: Cipla outlook
Yash Gupta Equity Research Associate, Angel Broking said,"For each consecutive twelve month period (or part thereof) following the volume-limited entry date until January 31, 2026, the volume of generic lenalidomide sold by Cipla cannot exceed certain agreed upon percentages. The specific volume-limited license date and percentages agreed upon with Cipla are confidential. This is a very positive development for the company, as Cipla can sell limited quantities of drugs till January 2026and after that company can sell unlimited quantities of generic lenalidomide in the USA. We expect this product will help Cipla to gain market share in the USA market.
2.00 PM: Burger King listing
Keshav Lahoti-Associate Equity Analyst, Angel Broking said," Burger King made a stellar listing on the exchange by listing at 87.5% above issue price. Such listing was in line with our expectation as the company issue was priced at a significant discount compared to listed peers such as Jubilant FoodWorks (Domino's Pizza) and Westlife Development (McDonald). Short term investors can book profit. We advise long term investors to stay invested in the company as there is ample scope available for the company to increase its business in India. Even after such bumper listing, there is no issue with the valuation of the company. In the future, we expect the company to gain market share by opening more stores compared to the competitors. As the store count will increase, operating leverage will kick in and the company will be able to report profit and it will lead re-rating of the multiple for the stock.
1. 38 PM: IRCTC share rises 6%
Share of IRCTC rebounded from Friday's low in early trade today after the end of two day offer for sale (OFS). IRCTC share gained up to 6.12% to Rs 1,508 against previous close of Rs 1,421 on NSE. On BSE, IRCTC stock rose up to 5.82% to Rs 1,508 against previous close of Rs 1,425. The railways stock has gained after 4 days of consecutive fall. The share trades higher than 20 day, 50 day, 100 day and 200 day moving averages but lower than 5 day moving averages. The share has risen 65.84% in one year and gained 58.11% since the beginning of this year.
1. 24 PM: Gold outlook
Anuj Gupta- DVP- Commodities and Currencies Research, Angel Broking said," Last week, Spot Gold prices ended marginally higher by 0.08 percent as a drag on the stimulus talks by U.S., a stronger Dollar and the vaccine euphoria moved the investors away from Gold, the safe haven asset. Investors charged towards riskier asset class on hopes of improvement in the global economic outlook as distribution of the covid19 vaccine commenced in a few nations. However, the yellow metal prices found some support as alarming increase in the covid19 cases around the globe and many countries in partial lockdowns kept a lid on markets risk appetite. Another supporting element for the yellow metal was the mounting tension between U.S. & China. Reports stated that U.S. was planning to impose sanctions on a few Chinese officials over the political issues in Hong Kong. Pfizer and Biotech's vaccine getting approved by U.S. regulator is expected to dent the appeal for the safe haven, Gold."
1. 14PM:Wholesale price inflation
Sanjay Kumar, CEO & MD, Elior India said," The increasing trend in the wholesale price inflation is essentially a mixed bag. At one end hopefully the price rise is on the back of increased demand and not because of increase in input cost for manufacturing, because that would be a cause of concern as it would mean that the logistics and supply chain cost are driving inflation. If it is not that and is driven purely by demand, then it is a welcome sign as it signals an improvement in the economy, however one would have to watch with caution whether the RBI decides to tighten the monetary policy in view of the rising inflation."
1.06 PM: Yes Bank share price drops 5%
YES Bank share price fell for the second consecutive session on Monday, after the private lender sold 15,00,000 equity shares of Sical logistics in various tranches.
"We would like to inform you that YES BANK Limited ("the Bank")has sold 15,00,000 equity shares having nominal value of Rs 10/- each, constituting 2.56%of the paid-up share capital of SICAL logistics limited ('SICAL') in various tranches, last being on December 10, 2020 resulting into a change in holding of the Bank by more than 2% of the total shareholding of SICAL," YES Bank said in a BSE filing.
YES Bank share price opened higher at Rs 19.45 and later touched an intraday high of Rs 19.55. YES Bank shares later erased early gains and fell 4.99% to hit the day's low of Rs 18.45 during the session. It closed at Rs 19.42 in the last session.
12. 50 PM: India's industrial output data
India's industrial output grew at the fastest pace in eight months in October 2020 at 3.6%, with consumer durables production surpassing levels last seen prior to the COVID-19 pandemic, as per quick estimates from the National Statistical Office (NSO) released on Friday.
12. 44PM: Nifty technical outlook
Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking) said,"Since we are trading in an uncharted territory, sky's the limit for our market; but in our sense, we have now reached the extreme zone, at least for the current vertical move. With a broader view, 14000 and beyond levels are very much possible, but for a time being; 13500 - 13600 are the extreme levels as per few key Fibonacci ratios. Let's see why these levels are considered important. The 'Golden Ratio' (161%) on the 'Price Extension' of the recent previous up move is placed at current levels. This level coincides with the 200% 'Price Extension' of the first up leg from March lows. More importantly, if we connect all important highs from March 2015 on the monthly chart, we can see a 'Multi-year Upward Sloping Trend Line' precisely converging around the same levels. Hence, some cooling off around this crucial junction cannot be ruled out. "
12. 34PM: Mrs. Bectors Food Specialities IPO
Geojit Financial Services said in its IPO report," Mrs. Bectors Food Specialities Limited (MBFSL), incorporated in 1995, is one of the leading player in the premium &mid-premium biscuit and premium bakery segment in North India. The company sells biscuits under the brand name "Mrs. Bector's Cremica" whereas bakery products are manufactured under the brand name of "English Oven". All of its products are manufactured in-house across 6 strategically located manufacturing units in 5 different cities. It is also one of the largest supplier of buns in India to reputed QSR chains such as Burger King India Limited. As of June 30th, 2020, its bakery segment had a total of 96 products and the Biscuits segment had a total of 384 items.
At the upper price band of Rs.288, MBFSL is available at a P/E of 22x on FY21E EPS (annualized), which looks attractive, given its higher profitability compared to similar sized peers. Considering its future growth prospects in packaged biscuits and QSR segment, we recommend a "Subscribe" rating with a long-term perspective."
12. 12PM: Rupee rises 5 paise to 73.59
Indian rupee, the domestic currency strengthened by 5 paise to 73.59 per US dollar on Monday's opening session, supported by foreign portfolio inflows and strong opening in domestic equities.
The domestic unit was trading in a narrow range and opened at 73.62 per at the interbank forex market. It later gained ground by 5 paise to 73.59 per American currency over its previous close.
12.03 PM: Market outlook
Binod Modi Head-Strategy at Reliance Securities said," Domestic equities look to be good at the moment. Positive data flows along with persistent FPI flows have been quite supportive for the markets. Further, better than expected IIP data for October 2020 along with a sharp jump in electricity suggests that industrial activities are back on growth track, which bodes well for equities.
"This week is likely to be quite crucial for US equities as Fed policy meeting outcomes along with the stance of Congress about fiscal stimulus are likely to determine the Santa rally for the markets. Additionally, clarity over Brexit is expected to emerge by weekend also," he added.
11. 48 AM: Top gainers and losers
ONGC followed by Tata Steel, L&T, Sun Pharma, M&M, ICICI Bank and NTPC were among the top gainers in the Sensex pack.
On the other hand, Tech Mahindra, HDFC Bank and Reliance Industries were among the laggards.
11. 42 AM: Market indices erase early gains, trade tad higher
Market indices traded marginally higher on Monday, after hitting record highs at opening bell, amid positive global equities. Sensex was rising 13 points higher at 46,112 and Nifty gained by 4 points to 13,518.
11. 38 AM: Global stocks
Stocks started a busy week with guarded gains as investors gauged the chance of added US fiscal and monetary stimulus, while the British pound rose in relief as a last-gasp extension to Brexit talks dodged a hard divorce. Progress on coronavirus vaccines cheered risk sentiment, with the first shipments speeding across the United States as part of an historic mission to inoculate more than 100 million people by the end of March. MSCI's broadest index of Asia-Pacific shares outside Japan edged up 0.1%, having hit a string of record highs last week. Japan's Nikkei added 0.6% as a survey showed the mood among hard-hit Japanese businesses had improved in the December quarter.
11. 20 AM: Oil outlook
Anuj Gupta- DVP- Commodities and Currencies Research, Angel Broking said," Last week, WTI Crude prices ended higher by 0.7 percent as optimism over the potential vaccine against the covid19 virus raised hopes of a paced economic recovery in turn improving the demand outlook for Crude.
Prices were further supported as the Organization of the Petroleum Exporting Countries (OPEC) and Russia agreed to a marginal increase in 500,000 barrels per day from January 2021 onwards. However, a sudden spike in the U.S. Crude inventory levels in the week ending on 4th December 2020 and tension between U.S. & China limited the uptrend for Crude. As per reports from the Energy Information Administration, U.S. Crude inventory levels increased by 15.2 million barrels against the analysts' projection of a 1.4 million-barrel drop. A potential vaccine against the pandemic might improve the outlook for the Oil market and push the prices higher."
11.07 AM: Burger King India share nearly doubles over issue price on listing day
Burger King India made a strong share market debut on Monday with its stock listing at 92.25% gain over issue price on BSE. Share of Burger King India opened at Rs 115.35 against issue price of Rs 60.
The stock further rose to Rs 119.50, clocking 99.16% gains intra day over issue price on BSE.
On NSE, the share opened 87.5% higher at Rs 112.50 against the issue price. On NSE, the share rose up to 99% at Rs 119.40 in early trade. About 7.78 crore shares changed hands in early trade on NSE.
10. 51 AM: Stocks to watch today on December 14
Power Grid, Burger King, YES Bank, Muthoot Finance, Jindal Steel, Cipla, L&T Tec among others are the top stocks to watch out for in Monday's trading session
10. 43 AM: Global markets
Asian markets are trading positive as investors reacted to the approval of vaccine made by Pfizer. Japan's business sentiment improved to -10 Vs.-27 in Sep. US markets closed lower on Friday as prospects of financial aid getting passed by Congress faded along with surge in coronavirus. IT and banking stocks led the decline. European markets closed lower on Friday as investors monitored talks over financial aid in US and approaching deadline for Brexit negotiations.
10. 32 AM: Nifty outlook
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said,"FPI buying continues unabated pushing the benchmark indices to record levels. FIIs have invested Rs 12300 crores so far in December on top of the record Rs 60300 crores invested in November. When money flows like this, market has only one way to go - up. But investors should remember that valuations are high and risky. Sharp surge in Covid infections in US, recent spike in infections in Germany, S Korea etc, the farmer agitation lingering without a settlement and the possibility of a Brexit without a deal are areas of concern. Investors have to be cautious"
10.22 AM: Market outlook
On markets opening --Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments said," While the markets have opened on a positive note this morning, we must not lose sight of the fact that we are in a patch of resistance. This range is between 13400-13700. The Nifty is currently trading around the upper end of this range. Unless we do not get past 13700 or break 13400, we will not see a convincing rally up or down. There is a strong support around the 13350-13400 range and as long as that holds, traders can utilise dips to accumulate long positions."
10.05 AM:Global markets
Asian stocks advanced on Monday as investors react to the approval of Pfizer's Covid-19 vaccine in the US.
The Centers for Disease Control and Prevention (CDC) Director Robert Redfield has signed off on Pfizer's Covid-19 vaccine, allowing inoculations to officially move forward for people ages 16 or older in the US. That came following the USFDA emergency authorization of Pfizer's vaccine.
9.56 AM:Market technical outlook
Reliance Research in its note said,"NSE-NIFTY ended on positive note for straight sixth week in a row. In the last week, the index lost once out of five trading sessions and reported gain of 1.9%. Realty, FMCG and PSU Banking space remained in focus with positive momentum, while Metal, Pharma and Auto sectors were subdued during the week. On Friday, the index resumed its up-move and recorded new life-time-high of 13,579 level. Overall market breadth was positive. Its major technical indicators are in buy mode. Reiterating our bullish stance, we believe undergoing positive momentum will continue. The index has potential to explore uncharted territory and will test 13,700 and 14,000 levels. In case of near-term decline, the index will find strong support at 13,350 mark and will rebound.
As for the day, support is placed at around 13,418 and then at 13,322 levels, while resistance is observed at 13,595 and then at 13,675 levels."
9. 40 AM:Bectors Food Specialties IPO
Nirali Shah, Senior Research Analyst, Samco Securities said," Bectors Food Specialties Ltd is coming up with a Rs. 540.5 Cr IPO. Being a flagship brand 'Mrs.Bector's Cremica' is one of the leading biscuit brands in the premium and mid-premium segments across North India with a market share of 4.5% and its Bakery products brand 'English Oven' is also one of the largest selling brands in Tier-I & II cities with a market share of 5% in the branded breads segments in India. The Company caters to well renowned brands such as PVR, Burger King, McDonalds in India and has a budding exports business contributing to 22% of its revenues. Financially too, this company has shown strong revenue CAGR of 12% compared to a 10% CAGR by Britannia in FY17-19. Its free cashflows have improved from the previous year and its debt to equity ratio has also been on a decline despite the pandemic. Mrs. Bectors trades at a lower valuation multiple of 53.9x-54.2x P/E compared to its peer Britannia which is trading at a 62.3x P/E which makes it a good bet from a subscription standpoint. However, a number of risks such as stiff competition, higher dependency on the north Indian market for growth and a premium category target market which might not appeal to the rural and semi-urban areas makes Mrs. Bectors a prime candidate solely for listing gains."
9.33 AM: 8 of 10 most valued firms add Rs 1.53 lakh crore in m-cap
Eight of the top-10 most valuable firms together added Rs 1,53,041.36 crore in market valuation last week in line with a bullish broader market trend, with Hindustan Unilever Ltd and Reliance Industries Ltd becoming the biggest gainers During the last week, the 30-share BSE benchmark index jumped 1,019.46 points or 2.26 per cent.
9. 22 AM: Opening session
Market indices opened at new record highs on Monday, backed by heavy buying in PSU banks and metal stocks, amid positive global equities. SGX Nifty on the Singapore Exchange was rising by 90 points, indicating positive trend in domestic grounds today. Sensex was rising 232 points higher at 46,332 and Nifty gained by 67 points to 13,581. During today's early session, Sensex hit an all-time high of 46,346 and Nifty too logged a record high of 13,579.
9. 10 AM: Market outlook
Vinod nair, head of Research at Geojit Financial Services said,"Indian markets tested new highs during the week following developments in vaccine rollout in India and other global events. PSU Banks and small & mid cap stocks outperformed the market. A weakness was seen in the domestic market towards the end of the week, due slowdown in global trend. Global markets were engaged with news of delay in the US stimulus package, European Central Bank's support measures and developments in Brexit deal talks . In the coming week, domestic markets will be waiting for major data points like inflation and import-export updates. Although, an improvement in November inflation levels compared to previous month is expected, it will still be at elevated levels. The trend in global markets will be guided by developments in Brexit deal talks over the weekend and updates on the expected US stimulus package. Redemption pressure from domestic institutions and possible hike in global volatility are the watch list today"
8. 50 AM: FII action
Foreign portfolio investors (FPIs) bought shares worth Rs 4,195.43 crore, while domestic institutional investors (DIIs) were net sellers to the tune of Rs 2,359 crore in the Indian equity market on 11 December 2020, provisional data showed.
8. 40 AM: Rupee closing
On the currency front, the Indian rupee settled 2 paise higher at 73.64 per US dollar.
8. 30 AM: Closing on Friday
Last Friday, Sensex ended 139 points higher at 46,009 and Nifty closed 35 points to 13,513. During the week, Sensex and Nifty have gained by 2.26% and 1.93%, respectively.