MARKET WRAP: Indices end near day's low, Sensex down 181 pts; BPCL dips 3%

Topics MARKET WRAP | Markets

Domestic markets, which remained subdued for better part of the day on the back of weak investment sentiment in a holiday-truncated week, witnessed sharp fall in the last trading hour on Tuesday. The steep fall followed reports that the government might miss its divestment target for fiscal year 2019-20. 

The benchmark S&P BSE Sensex declined 181.4 points, or 0.44 per cent, to close at 41,461.26 level, dragged by heavyweights like Reliance Industries, HDFC Bank, TCS, and Larsen and Toubro. At close, Indusnd Bank, ONGC, and PowerGrid closed as top gainers, while HCL Tech, RIL, and HDFC Bank were the top losers. The Sensex slipped 219 points in the intra-day trade today to hit a low of 41,423.07.

On the NSE, the Nifty50 ended at 12,213.40-mark, down 49.35 points or 0.40 per cent

Shares of state-owned Bharat Petroleum Corporation Ltd (BPCL) tanked up to 4.2 per cent to Rs 471.75 on the BSE in the intra-day deals after media reports said that the government was wary of fixing a timeline for the proposed divestment as it belived the "investors needed at least six to eight weeks to do the due diligence of Expression of Interest (EoI)". The BSE PSU index was 0.12 per cent lower at close, with Shipping Corporation of India (SCI), BPCL, HPCL, Concor, and GAIL settling in the red.

The broader market, however, settled near the flatline. The S&P BSE mid-cap index closed 0.07 per cent lower at 14,812.70, while the S&P BSE small-cap index ended at 13,382.97-mark up 0.01 per cent.

GLOBAL CUES

Asian shares edged lower and US stock futures darted in and out of losses on Tuesday, as the holiday lull offset optimism that a U.S.-China trade deal will boost exports and corporate earnings.

While MSCI’s broadest index of Asia-Pacific shares outside Japan, and South Korean shares fell 0.14 per cent and 0.54 per cent, respectively, Japan’s Nikkei and Australian shares nudged 0.04 per cent and 0.13 per cent higher.

MARKET HOLIDAY

Domestic markets will remain shut on Wednesday on account of Christmas.

(With inputs from Reuters)

3:55 PM IST Lack of fresh triggers seems to have held markets to trade flat. We may see lacklustre trading sessions due to holiday mood and December month F&O expiry due this week. Investors to stay focused on budget as hopes are alive that government will consider options to push consumption and investments

3:55 PM IST Index closed a day at 12,212-mark, down 51 points, after a choppy day on Tuesday and formed a bearish candle on daily chart. Overall, index has formed a narrow range of 100 points (12,200-12,300)and it is trading in the same since 4-5 sessions hinting we may not see a clear trend unless index will give either side breakout. We expect December series can see expiry in between the same range of 12,200-12,300 zone.

3:44 PM IST

3:43 PM IST

3:43 PM IST >> The benchmark S&P BSE Sensex declined 181.4 points, or 0.44 per cent, to close at 41,461.26 level, dragged by heavyweights like Reliance Industries, HDFC Bank, TCS, and Larsen and Toubro. >> On the NSE, the Nifty50 ended at 12,213.40-mark, down 49.35 points or 0.40 per cent

3:09 PM IST >> FY20 divestment target 'ambitious' 

3:06 PM IST >> Investors need minimum 6-8 weeks for due diligence  >> Selected bidder will have to make a open offer

3:06 PM IST >> Investors need minimum 6-8 weeks for due diligence  >> Selected bidder will have to make a open offer

2:47 PM IST

2:38 PM IST >> Heineken could launch open offer for 10-15% stake >> Cos seeks to strengthen control by holding over 51% >> Heineken already largest shareholder with 46.7% stake >> Heineken may look at higher Board position post offer  >> Vijay Mallya, other promoters hold 11% stake

2:37 PM IST

LIVE UPDATES

Market Closing Comment :: Vinod Nair, Head of Research at Geojit Financial Services

Lack of fresh triggers seems to have held markets to trade flat. We may see lacklustre trading sessions due to holiday mood and December month F&O expiry due this week. Investors to stay focused on budget as hopes are alive that government will consider options to push consumption and investments

Market Closing Comment :: Gaurav Bissa, AVP Derivatives & Technicals at LKP Securities.

Index closed a day at 12,212-mark, down 51 points, after a choppy day on Tuesday and formed a bearish candle on daily chart. Overall, index has formed a narrow range of 100 points (12,200-12,300)and it is trading in the same since 4-5 sessions hinting we may not see a clear trend unless index will give either side breakout. We expect December series can see expiry in between the same range of 12,200-12,300 zone.

Sectoral trends at NSE at close


Sensex heatmap at close


Closing Bell

>> The benchmark S&P BSE Sensex declined 181.4 points, or 0.44 per cent, to close at 41,461.26 level, dragged by heavyweights like Reliance Industries, HDFC Bank, TCS, and Larsen and Toubro.

>> On the NSE, the Nifty50 ended at 12,213.40-mark, down 49.35 points or 0.40 per cent

NEWS ALERT | THDC, NEEPCO acquisition to be complete this fiscal: sources to CNBC TV18

>> FY20 divestment target 'ambitious' 

NEWS ALERT | Govt stake sale in BPCL can't be tied to a date: sources to CNBC TV18

>> Investors need minimum 6-8 weeks for due diligence 

>> Selected bidder will have to make a open offer

NEWS ALERT | Govt stake sale in BPCL can't be tied to a date: sources to CNBC TV18

>> Investors need minimum 6-8 weeks for due diligence 

>> Selected bidder will have to make a open offer

Contribution to S&P BSE Sensex's loss today


NEWS ALERT | Heineken mulls an open offer to raise stake in United Breweries: sources to CNBC TV18

>> Heineken could launch open offer for 10-15% stake

>> Cos seeks to strengthen control by holding over 51%

>> Heineken already largest shareholder with 46.7% stake

>> Heineken may look at higher Board position post offer 

>> Vijay Mallya, other promoters hold 11% stake

Heatmap: S&P BSE Sensex


MARKET UPDATE:: Sensex falls 100 pts


Asian Markets check

Asian shares and U.S. stock futures darted in and out of losses on Tuesday, as the holiday lull offset optimism that a U.S.-China trade deal will boost exports and corporate earnings. MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.01 per cent. Australian shares were unchanged, while Japan’s Nikkei stock index edged 0.02 per cent lower.

Rise in defaults could make things even worse for India, China in 2020

Companies in the region have been on a buying spree fueled by debt. Those factors could make things even worse in 2020 after China onshore defaults rose to a record in 2019.
 
As some economies in Asia slow, companies are left vulnerable to any tightening in liquidity. A rise in defaults would likely further weigh on investor sentiment, and raise the cost of borrowing for the riskiest firms. READ MORE

Sterling Tools zooms 20% on inking JV with Chinese co for Indian EV sector

Shares of Sterling Tools were locked in the upper circuit band of 20 per cent at Rs 215 on the BSE on Tuesday after the company said it has entered into a Joint Venture (JV) agreement with Jiangsu Gtake Electric Company, a China based company.
 
The JV Company, which will commence production by Q1FY21, will be a subsidiary of Sterling Tools with an equity ratio of 51:44. The company said the two companies have agreed to join hands to provide the Indian electric original equipment manufacturers (OEM's) with best in class motor control units (MCUs). READ HERE

BUZZING STOCK | Aarti Ind surges nearly 3%


Stocks that hit 52-week high on BSE


RBI conducts first simultaneous OMO, buys more bonds than it sells

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Buzzing | Nalco gains over 4%


World's top rated power stock seen recovering from 10-month low

NTPC Ltd. is the world’s most-loved power producer by equity analysts, and yet the shares of India’s largest utility are trading near a 10-month low. What gives? The New Delhi-based company is the top rated stock among the world’s largest utilities, with a recommendation consensus of 4.9 on a Bloomberg scale where 5 is a unanimous buy. Analysts expect the company to wring more profit from soon-to-be acquired hydro-power assets, helping it lift its earnings and share price. READ MORE

Top BSE500 losers today

COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME
DISHMAN CARBOGEN 72.10 -18.00 -19.98 1512143
ARVIND FASHIONS. 383.80 -16.40 -4.10 1217
CRISIL 1911.25 -77.50 -3.90 11517
CAPLIN POINT LAB 299.20 -11.05 -3.56 1177
KPIT TECHNOLOGI. 87.80 -2.75 -3.04 1724
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Market check


STOCK ALERT | IFCI surges 11% post realisation of Rs 805.6 cr from the divestment of 2.44% stake in NSE

>> The Rs 805.6 cr represents about 82% of the total committed amount.

>> Process for receipt of approval for remaining quantity is underway

Navin Fluorine gains for 9th straight day on board's nod for capex plan

Shares of Navin Fluorine International were quoting higher for the ninth-straight trading day, up 3 per cent at Rs 1,019, also its new high on the BSE on Tuesday.
The stock of the commodity chemicals manufacturer rallied 15 per cent after the company announced a capex plan of Rs 450 crore at Dahej through a wholly-owned subsidiary, which is to be incorporated. In comparison, the S&P BSE Sensex was up 3 per cent during the same period. READ MORE

NEWS ALERT | BHEL commissions India’s first lignite 500 MW thermal unit in Tamil Nadu: BSE Filing


Quality mid-caps can outperform next year: Mirae Asset's Swarup Mohanty

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Swarup Mohanty, CEO, Mirae Asset Global Investments (India)


Nifty sectoral indices at this hour


NEWS ALERT | Transformers and Rectifiers bags order of transformers worth Rs 166 cr: BSE Filing

 >> Order from Transmission Company of Nigeria PIc, Maitama, Abuja

Bharat Forge dips 2%


BROKERAGE RADAR | Share Khan on Marico

View: Retained Buy with revised price target of Rs. 395

We have reduced our earnings estimates for FY20 and FY21, by 4% and 9%, respectively to factor in little lower than earlier expected revenue growth and lower OPM (due to recent price cuts). We have introduced FY2022 earnings estimates in this note. Marico will continue to gain market share in categories such as coconut oil and edible oil due to shift from non-branded to branded products happening in the domestic market. The revival in the sales of premium portfolio (including the youth portfolio and foods) would help in realisation improvement in the near to medium term. Thus, the company is well-poised to achieve double digit growth in a stable demand environment.

The stock has corrected by ~14% in last three months and is trading at 35.6x its FY2021E EPS, which factors-in the near term headwinds.

Dishman Carbogen plunges 20%, tanks 38% in three days on I-T dept's search

Shares of Dishman Carbogen Amcis were locked in 20 per cent lower circuit at Rs 72 on Tuesday, falling 38 per cent in the past three trading days on the BSE after the Income Tax Department conducted day-long 'search and survey operation' at the properties of the pharma major on December 19. The stock is trading at its all-time low level since listing on September 21, 2017. READ MORE

BROKERAGE RADAR | Reliance Securities on Ashok Leyland

Reco: Buy | Target Price: Rs 111
 
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MARKET CHECK | Top 5 gainers on the BSE at this hour


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Sebi received a reference alleging that certain entities possessed multiple permanent account number cards and had opened multiple demat accounts, trading accounts, and bank accounts using forged documents

IRCTC shares climb 4% as Railways revises prices of standard meals

Shares of state-owned Indian Railway Catering and Tourism Corporation (IRCTC) gained 4 per cent at Rs 899 on the BSE on Tuesday after the Ministry of Railways revised tariff of standard meals on static units in railway stations. In an exchange filing yesterday, IRCTC said the Ministry of Railways had revised the tariffs. READ MORE

NEWS ALERT | Ravi Kanth's tenure as CMD of HUDCO not extended beyond December 20: BSE Filing


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Growing Chinese demand, rising global prices to help domestic steel players

Domestic steelmakers such as Tata Steel, JSW Steel, Steel Authority of India (SAIL), and Jindal Steel & Power (JSPL) have been gaining on the bourses in the recent past, following brokerage upgrades on account of improving fundamentals. READ MORE  

Momentum picks by ICICI Securities


NIIT Tech gains 3%, trades near record high as board approves share buyback

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Chalet Hotels jumps 5% on signing franchise agreement with Hyatt Group

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MARKET CHECK:: Sensex continues to trade flat


Crisil slips over 4.5% after hitting 52-week high yesterday


Kanpur tanneries' lockout pulls down finished leather exports by 29%

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Nifty PSU Bank index trades higher


Sterling Tools gains over 3%

>> Co has entered into JV agreement with a Chinese Co Jiangsu Gtake Electric


Hindalco Industries gains over half a per cent

>> Co announced that the Muri refinery in Jharkhand has re-started production of Alumina.


HCL Tech, Wipro drag Nifty IT index lower


Jet Airways locked in 5% upper circuit

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Pidilite Industries trades in the red



Adani Green Energy jumps 4%


IRCTC up 2%

>> The company has revised the Tariff of Standard Meals on Static Units over Indian Railways.

YES Bank gains 3%


Sectoral trends at NSE during Opening trade


Sensex heatmap during First Trade


Market at Open


Market at Open


Growing Chinese demand, rising global prices to help domestic steel players

Domestic steelmakers such as Tata Steel, JSW Steel, Steel Authority of India (SAIL), and Jindal Steel & Power (JSPL) have been gaining on the bourses in the recent past, following brokerage upgrades on account of improving fundamentals. The stocks are up 24-63 per cent since their October lows, and there could be more legs to the rally. READ MORE

Top gainers and losers on S&P BSE Sensex during Pre-open


Market at Pre-open


Market at Pre-open


Rupee opening

Rupee opens lower at 71.21/$ vs Monday's close of 71.17 against the US dollar

Asian Paints to Coal India: Hot stocks to watch today

Asian Paints
 
Current: Rs 1,808
 
Target: Rs 1,840
 
Keep a stop at Rs 802 and go short. Add to the position between Rs 785 and Rs 788. Book profits at Rs 782.
 
Coal India
 
Current: Rs 197
 
Target: Rs 193
 
Keep a stop at Rs 199 and go short. Add to the position between Rs 194 and Rs 195. Book profits at Rs 193. READ MORE

Fresh overhang for Reliance Industries as govt tries to block Aramco deal

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Mukesh Ambani | Photo: Bloomberg

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Here's a look at the top stocks that may trade actively in today's trading session -
 
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Nifty outlook and top trading ideas by Jay Anand Thakkar of Anand Rathi

NIFTY: BUY | TGT: 12,340 | SL: 12,225
 
The Nifty closed almost flat in the last trading session. However, on the lower side, there is a good support at 12,150 levels and till those levels are held, the probability of the Nifty inching towards 12,355-12,400 is still high as that is the upper end of the rising wedge pattern. The daily as well as weekly MACD is still in buy mode; hence, the bulls still have an upper hand on that front. READ MORE

Bulk deals on BSE as on Monday

Bulk deals on NSE as on Monday

Date Symbol Security Name Client Name Buy / Sell Quantity Traded Trade Price /
Wght. Avg. 
Price
23-Dec-2019 CKFSL Cox & Kings Fin Serv Ltd ENTATHUR VEERARAGHAVA REDDIAR PERUMALSWAMI BUY 13,25,464 0.45
23-Dec-2019 CKFSL Cox & Kings Fin Serv Ltd MEHUL SURESH PARIKH SELL 16,20,000 0.45
23-Dec-2019 CKPLEISURE CKP Leisure Limited AMBE SECURITIES PRIVATE LIMITED BUY 1,00,000 6.35
23-Dec-2019 CKPLEISURE CKP Leisure Limited PATTAMAL KRISHNA SELL 1,00,000 6.35
23-Dec-2019 CKPLEISURE CKP Leisure Limited PRAFULLA SUBHASHCHANDRA BHAT SELL 1,00,000 6.35
23-Dec-2019 EVEREADY Eveready Industries India DOVETAIL INDIA FUND CLASS 11 SHARES BUY 5,50,000 53.50
23-Dec-2019 EVEREADY Eveready Industries India ICM FINANCE PRIVATE LIMITED SELL 5,50,000 53.50
23-Dec-2019 NATIONALUM National Alum Co Ltd ICICI PRUDENTIAL MUTUAL FUND A/C BHARAT 22 ETF SELL 103,36,000 41.43
Click here for full list

FII/FPI & DII trading activity on NSE, BSE and MSEI


Rupee check

Source: Bloomberg


Oil check

-- Oil prices were little changed on Monday as Russia said an OPEC-led producer group may consider easing output cuts next year, offsetting support from some investor optimism that an initial U.S.-China trade deal would be signed soon.

-- Brent crude settled up 25 cents, or 0.4 per cent, at $66.39 after a day of thin trading ahead of the Christmas holiday. West Texas Intermediate ended the session up 8 cents, or 0.1 per cent, at $60.52 a barrel.

SGX Nifty

At 8:15 AM, the SGX Nifty was trading 16 points lower at 12,263, indicating a flat to negative start for Nifty.

Asian Markets check


US Markets check


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