The Sensex and Nifty closed at record highs on Monday after public sector bank stocks extended gains on the back of Rs 2.11-lakh crore recapitalisation announcement by the Narendra Modi government.
While the Sensex closed at 33,266 level rising 108.94 points, Nifty rose 40.60 points to 10,363 level.
Energy firms gained on higher crude prices as sentiment was upbeat in domestic and global energy stocks with Brent crude hitting its highest level since July 2015 after Saudi Arabia agreed to support the extension of a global oil production cut agreement.
While Reliance Industries gained over 1 percent, the ONGC stock rose up to 4 per cent post its Q2 earnings.
The Maruti Suzuki India stock rose naerly 1 percent to 8193 level as brokerages raised their target price after the car market leader announced its Q2 earnings.
Sparc (15.11 percent), PI Industries (9.19 percent), Unitech (8.57 percent), Jet Airways (8.55 percent) and Syndicate Bank (8.15 percent) were the top gainers on the BSE. On the 30 stock Sensex, Lupin (2.67.81 percent), Bharti Airtel (1.59 percent), ONGC (1.69 percent), Dr Reddy's (1.57 percent) and Tata Motors (1.34 percent) gained the most. We look at key developments affecting the market today.
4:46 pm: While 116 stocks hit fresh 52-week highs on the NSE, 179 stocks hit their fresh 52-week highs on the BSE.
3:35 pm: Bharti Airtel's Q2 net profit falls 76.5 per cent to Rs 343 crore; consolidated revenue down 11.6 per cent at Rs 21,777 crore.
3:31 pm: Marico September-quarter consolidated net profit at Rs 181 crore against profit of Rs 177 crore last year. Stock closes over 1 percent higher.
3:38 pm: Mahindra Lifespace Developers September-quarter consolidated profit more than halves to Rs 14 crore from Rs 34.58 crore last year.Stock closes over 3 percent lower on the BSE.
3:24 pm: Jet Airways stock rises up to 9.57 percent or 50 points to 574 level on the BSE.
3:23 pm: Bharti Airtel closed 1.59 percent higher at 492.80 level on the BSE a day ahead of the Sunil Bharti Mittal-led telco will announce its Q2 earnings on Tuesday.
3:22 pm: New India Assurance IPO price band at Rs 770 to Rs 800 per share.
3:21 pm: The economy is likely to pick up to 6 per cent in the second quarter of the current fiscal, owing to an uptick in several macroeconomic indicators like trade, transport and communication, says a report. "In the first quarter GDP grew at 5.7 per cent,causing a lot of heartburn, but we strongly believe that the second quarter growth is likely to trend higher and might be in the lower end of 6-6.5 per cent band with an upward bias," SBI Research said.
3:06 pm: Drug firm Lupin reported a 31.3 per cent fall in consolidated net profit to Rs 455 crore for the September quarter as it continued to face pricing pressure in the US market. The Mumbai-based company had reported a net profit of Rs 662.2 crore for the July-September period of the last fiscal. Net sales of the company stood at Rs 3,874.2 crore for the second quarter of 2017-18, down 8 per cent from Rs 4,211.2 crore in the year-ago period.The fall in net profit was less compared with analyst estimates. The stock rose up to 8 percenton the BSE.
2:49 pm: On the rally by public sector bank stocks, Sumit Pokharna, deputy vice president, Kotak Securities told Reuters, "It's a hope rally (for state-run banks). Money is shifting from private banks to PSU banks."
2:44 pm: Drug firm Wockhardt has reported a consolidated net loss of Rs 3.33 crore for the quarter ended September 30, 2017. The company posted a net profit of Rs 17.02 crore for the corresponding period of previous fiscal. Total income of the company stood at Rs 1,076.83 crore for the quarter under review. It was Rs 1,083.33 crore for the same period a year ago.
2:40 pm: Mortgage lender HDFC reported a 17.3 per cent rise in its consolidated net profit at Rs 2,869.41 crore for the second quarter. The company had logged consolidated net profit of Rs 2,446.21 crore in July-September of 2016-17. Total income (consolidated) increased to Rs 16,583.10 crore during the reported quarter, from Rs 14,526.69 crore in the same period a year earlier, it said. On a standalone basis, HDFC Ltd reported a growth of 15 per cent in net profit at Rs 2,101.12 crore in the second quarter of 2017-18, from Rs 1,826.50 crore in the same period last year.
2:33 pm: India-focused offshore funds and exchange-traded funds (ETFs) have pumped in nearly $6 billion in the first nine months of the year. In contrast, these funds had pulled out $1.73 billion in January-September of 2016, according to a Morningstar report.
1:46 pm: The Reserve Bank is likely to cut rates at its December 6 policy review meet as retail inflation remains muted and the October number is expected to be about 3.3 per cent, Bank of America Merrill Lynch (BofAML) said in a research note.
12:21 pm: ICICI Bank was trading in the green after the bank reported a 30 per cent slide in September quarter net at Rs 2,071 crore on a higher base and exuded confidence on trimming NPAs in FY18, even as results of RBI's risk based supervision (RBS) are awaited. Managing director and chief executive Chanda Kochhar said the trend of non performing assets (NPA) accretion is slowing down and the bank's 'drilled down' list of assets which can slip has also narrowed down to Rs 19,590 crore now from the Rs 20,358 crore in the year-ago period.
12:06 pm: Market breadth was positive with 1,689 stocks rising against 801 falling on the BSE.
10: 29 am: ONGC became the top gainer on the 30-stock Sensex afteroil hovered around a two-year peak on supply fears.
10:26 AM: FMCG major Hindustan Unilever will loosen its purse strings by Rs 2,084 crore for paying dividend to shareholders as well as the dividend distribution tax in the current fiscal. The board of the consumer goods maker has declared an interim dividend of Rs 8 per share of face value Re 1 each for the year ending March 2018. The dividend amounting to Rs 1,732 crore will cover about 216 crore shares, HUL said in an investor presentation. Besides, there is a Rs 352 crore dividend distribution tax which will be borne by the company.
9:54 am: Tata Steel, HDFC, Lupin and Marico earnings in focus today.
9:53 am: CDSL's net profit grows at mere 9.4% yoy in Q2FY2018 to Rs.26.85 crore from Rs 24.54 crore in Q2FY2017. Its annualized EPS for FY2018 works out to be around Rs.10/ which discounts the stock by over 37 times for FY2018 estimated earnings.
9:44 am: Public sector banks are in focus again after Punjab National Bank (7.24 percent), Canara Bank (4.68 percent), Bank of Baroda (4.73%), Bank of India (4.02 percent) and Union Bank (6.98 percent) are trading higher in early trade due to renewed interest by money managers after last week's Rs 2.11 lakh crore recapitalisation announcement by the government.
9:32 am: Foreign investors have pumped in close to $3 billion in the Indian capital markets so far this month due to "high nominal and real yields" and stable macroeconomic conditions. Most of the funds have been infused in the debt markets. According to the latest depository data, FPIs (Foreign Portfolio Investors) invested a net sum of Rs 2,806 crore in the stock markets and another Rs 15,132 crore in debt, taking the total to Rs 17,938 crore ($2.75 billion) during October 3-27.
9: 23 am: State-owned Oil and Natural Gas Corp (ONGC) on Saturday reported a 3.1% rise in its second quarter net profit as impressive gain from rising oil prices were taken away by fall in government mandated natural gas rates.
Net profit of Rs 5,131 crore in July-September was 3.1% higher than Rs 4,975 crore in the same period last year, the company said in a press statement in New Delhi. Revenue was up 3.1% at Rs 18,966 crore.
9:22 am: The Tata Steel stock too is in focus with the firm slated to announce its Q2 earnings today.
9:07 am: "In the near term, stock-specific actions will be witnessed due to ongoing Q2 results. Going ahead, market will closely watch details of bank recapitalisation programme. Fed interest rate decision is the key event to be watchful (of)," said Vinod Nair, Head of Research at Geojit Financial Services. PMI data for manufacturing and services sectors are due this week. "Markets have moved up strongly in October aided by positive global cues, bank recapitalisation and liquidity support. Given the premium valuations, we expect the markets to consolidate these gains in November. Stocks that are reporting good earnings would continue to be lapped up by the investors," said Sanjeev Zarbade, Vice-President, PCG Research, Kotak Securities. Major companies reporting their earnings this week include Lupin, Tata Steel and Union Bank of India. Auto stocks will also be in focus this week in view of sales data announcement.
9:05 am: Meanwhile, brokerage Ambit Capital has said the government's recapitalisation plan for public sector banks is likely to propel credit growth by up to 700 basis points to 15 per cent and as consequence push up GDP numbers to 7 per cent in the next fiscal, says a report. Lending growth at across banking system was estimated to be at 8 per cent in 2018-19. However, with recent recapitalisation (recap) plans in play, the credit system is expected to grow to 12-15 per cent during the time period under review.
9:00 am: Some stocks which are in focus today are Maruti Suzuki, ICICI Bank, IFB Agro, Munjal Showa, ONGC, AU Small Finance and Jubilant Life among others due to the impact of their Q2 earnings.
India's largest carmaker Maruti Suzuki reported a net profit of Rs 2,402 crore in the corresponding quarter an year ago. Analysts on average had expected a net profit of Rs 2229 crore, according to Thomson Reuters data.
Total vehicle sales for the quarter increased about 18 percent to 492,118 units.
ICICI Bank Ltd, the country's biggest lender, reported a 34 per cent decline in profit during the July-September quarter as income fell and a higher provision had to be made for bad loans and bankruptcy cases. The bank, which is among the three domestic banks considered "too big to fail" by the RBI , said net profit was Rs 2,058 crore in the second quarter down from Rs 3,102 crore in the same quarter last year.
8:55 am: Asian markets are trading mixed this morning after opening positive as investors await earnings from HSBC, Bank of China and Nintendo.
In Europe, markets closed higher on the back of better earnings reported by Volkswagen with Germany's DAX hitting record high after dovish comments from Mario Draghi. Regional tension in Spain rose after Parliament of Catalonia declared independence from Spain on Friday but Spanish government swiftly moved to impose direct rule over it stripping the region on its autonomy. Markets will wait for the BoE meeting on Thursday.
Markets closed higher in US on the back of good set of numbers posted by technology companies like Amazon, Microsoft and Alphabet. Two-day FOMC meeting to start tomorrow.