Share Market Update: Sensex ends 334 points lower, Nifty at 11,589; IT index slips 7%
businesstoday.in | Updated Oct 22, 2019, 04:27 PM IST
Share Market Update: Snapping six-day gaining sessions, benchmark indices
Sensex and Nifty on Tuesday turned bearish to close near day's low, amid heavy sell off in IT stocks.
While S&P Sensex closed 334 points lower at 38,963 level and Nifty50
ended 71 points lower at 11,589. Sectorally, IT sector was most bearish
with BSE IT index closing 7% lower and Nifty IT ending 4.8% lower,
following a nearly 17% drop in Infosys, 2% drop in Tech Mahindra,
Hexaware and HCL Tech and1% decline in Mindtree, Just Dial scrips. Besides, metal, media and auto indices too closed marginally lower. Although over 1% gain in Pharma, realty, banking and financial scrips helped cap gains.
On Friday, benchmark equity indices ended on a bullish note, on back of buying pressure in PSU banking, pharma, realty and metal scrips, amid healthy Q2 earning season. Sensex closed at 39,298 level and Nifty rose 75 points higher to 11,661 level. Sectorally, all sectors traded in the green except media, with over 1% rise in PSU banking, pharma, realty and metal scrips by the closing bell.
Infosys share price opened 10% lower on BSE and NSE today as the IT firm faces allegations of indulging in 'unethical' practices to generate more profit and revenue from an anonymous employee group, named as 'Ethical Employees'. Infosys share price was stuck in the lower circuit of 10%, losing 76 points to Rs 691 level compared to the previous close of Rs 767.75 on BSE.
Tata Motors, HCL Tech, Tech Mahindra and Asian Paints, were among the top loser in Sensex pack, shedding up to 4% each. Yes Bank, TCS, Bharti Airtel, HUL, ICICI Bank, Hero MotoCorp, HDFC twins, RIL and ITC, on the contrary rallied upto 7%.
The rupee, the domestic unit appreciated by 22 paise against the US dollar to trade at 70.92 in early session. The local currency has closed at 71.14 against the dollar on Friday.
HDFC Bank registered an increase of 26.8% in net profit on an annual basis for the quarter ended September 30, 2019. HDFC Bank's net interest income for the second quarter of current fiscal grew 14.89%, while its other income for the quarter increased 39.2%. Total advances as of September 30 increased 19.5% q-o-q, while total deposits saw an 22.6%increase. CASA deposits grew by 14.7 per cent.Pre-provision Operating Profit (PPOP) stood 23.4% higher q-o-q.
Oil prices were little moved as the market fretted about the health of the global economy and the future for energy demand.
Dewan Housing Finance Limited stock price opened with a loss of 4.9% today and fell 4.9% intraday to the day's low of Rs 20.4, as the housing lender came under the scanner of Enforcement Directorate (ED) for giving loans to Sunblink Real Estate Private Limited which facilitated routing of Rs 2,186 crore to 1993 terror attack mastermind Dawood Ibrahim's close associate Iqbal Mirchi in Dubai.
Investors awaited cues from yet another vote on Brexit that would still avert a hard exit for Britain.
US President Donald Trump on Monday said progress in developing the text of a partial trade pact with China means he will likely be able to sign it next month.
Reliance Industries Ltd (RIL) share price rose to a new 52-week high of Rs 1,437.65 after the Mukesh Ambani-led firm reported Q2 earnings which came in line with expectations.
Bharti Airtel stock rose nearly 2% to Rs 390.70 after the telecom reported a 61% year-on-year (y-o-y) growth. Company's consolidated revenue, however, dipped by 1% during Q2FY20,
Companies that are due to release their quarterly earnings today are namely ICICI Prudential Life Insurance, IndiaMART InterMESH, ICICI Securities Ltd, Axis Bank, RBL Bank, Asian Paints, Bajaj Finserv, Bajaj Finance, Ceat, Kotak Mahindra Bank, Bank of Maharashtra, Oriental Bank of Commerce, CCL Products, Granules, Elecon Engineering, Hatsun Agro, Jubilant Foodworks, Jyothy Labs, M&M Financial, OBC, Rallies India, Welspun Corp, Glaxo, Ultracab (India), Syngene International,Sharda Cropchem Ltd, Reliance Home Finance, Rane Brake Lining, PSP Projects Ltd, PPAP Automotive, IIFL Securities Ltd, Newgen Software Technologies, DIC India, Coromandel International, Indiabulls Ventures, Hatsun Agro Product and Muthoot Capital Services.
Share price of Axis Bank traded 2% higher on the BSE ahead of the September quarterly results, due to release today. The stock has outperformed banking sector by 0.34% today.
Share Market Live: After a bearish start, benchamrk indices Sensex and Nifty tuned bullilsh by Tuesday's afternoon session, on back of buying pressure in PSU bank, other banking and financial stocks. While Sensex has gained 32 points to 39,330 level, Nifty50 has risen 32 points to 11,690 mark. Sectorally, except IT stocks, all the other sectors trade in the green, with over 2% rise in PSU Banks, followed by over 1.5 % hike in financial and other banking indices. Media, pharma, realty scrips are gaining over 1%. Domestic financial markets remained closed on Monday due to assembly elections in Maharashtra.
Shares of private lender YES Bank gained nearly 10% intraday to Rs 56.5 on the BSE, after media reports suggested that the bank is set to take over an estimated Rs 6,000 crore residential project from the developer Sumer Radius Realty, over non-payment of dues worth more than Rs 479 crore.
Infosys plunges 16% with 10 times increase in volumes, due to whistleblower's complaints about instances of unethical practices by the CEO and CFO.
Share Market Live: Benchmark indices Sensex and Nifty traded lower by the Tuesday's afternoon session amid high volatility, despite all the indices trading in green, except for IT sector. While Sensex has lost 80 points to 39,200 level, Nifty50 has fallen 14 points to 11,647 mark.
Bajaj Finance stock has hit new 52 week and all time high of Rs 4,219.5 today, after the company posted robust September quaterly result, with a 63.11% year-on-year (y-o-y) growth in consolidated net profit at Rs 1,506.29.