Bulls return to D-St after 6 days; Sensex up 642 pts, Nifty tad below 14750

Topics MARKET WRAP | Sensex | Nifty50

Stock market updates: Images on investors' trading screens turned around 180 degrees by the end of the session on Friday as bulls fought back to lift indices over a per cent higher. A drop in the US Treasury yield and a GDP growth upgrade by Moody's for India helped the markets snap 5-day losing streak.

Tracking sluggishness in the global markets, the domestic equity markets opened in a sea of red with the frontline indices dropping over a per cent. The dip was, however, quickly bought-into, pushing markets in the positive territory in less than 120 minutes into the trade. 

Mood in the global markets changed after the US Treasury yields slipped to 1.5 per cent from Thursday's high of 1.74 pe cent. Back home, Moody's Analytics said India's economy is likely to grow by 12 per cent in CY2021 following a 7.1 per cent contraction last year as near-term prospects have turned more favourable. 

Consequently, bulls reigned on Dalal Street for the first time in six days riding on the back of FMCG and metal counters. Both, the Nifty FMCG and Metal indices, ended over 2 per cent higher each, followed by gains in the Nifty Pharma and PSU Bank indices, up over 1 per cent. Other indices settled with less than a per cent gains, while the Nifty Realty index ended in the red, down 0.7 per cent.

Among the key headline indices, the 50-share barometer on the NSE closed above the 14,700-mark at 14,744 levels, up 186 points or 1.28 per cent. The 30-share benchmark Sensex, on the other hand, advanced 642 points, or 1.3 per cent, to end at 49,858 levels. In the intra-day deals, the Sensex and the Nifty touched 50,003 and 14,788, respectively jumping 1,416 and 350 points from day's low.

Individually, HUL, Power Grid, JSW Steel, Tata Steel, NTPC, UPL, Reliance Industries, Divis Labs, Gail, and UltraTech Cement were the top gainers on the Nifty, while L&T, Coal India, Tech M, Bajaj Auto, Titan, and ONGC ended as the top laggards.

In the broader markets, the S&P BSE MidCap and SmallCap indices closed 1.35 per cent and 0.4 per cent higher, respectively.



TECH VIEW :: Rohit Singre, Senior Technical Analyst at LKP Securities

Index closed a day on a positive note at 14745 with gains of more than one per cent and formed bullish piercing candle pattern on the daily chart which stands for a bullish reversal. Once nifty cross above 14800 zone bullish piercing pattern will get active and we may see a good move towards immediate hurdle zone of 14900-15000, supports still at 14650-14580 zone holding above said levels structure can be positive

MARKET CLOSING COMMENT :: Vinod Nair, Head of Research at Geojit Financial Services

The highly volatile domestic markets witnessed a smart recovery from its morning weakness and was swinging between gains and losses during the day owing to strong buying seen in FMCG, Pharma and Energy stocks. However, auto stocks were under pressure after the announcement of the government's new scrapping policy. The unsettling pace of U.S bond yields and a surge in COVID cases worldwide resulted in the global markets trading deep in red

Stocks that lifted the Sensex today

Sectoral trends on the NSE

Sensex Heatmap at Close


Among the key headline indices, the 50-share barometer on the NSE closed above the 14,700-mark at 14,744 levels, up 186 points or 1.28 per cent. The 30-share benchmark Sensex, on the other hand, advanced 642 points, or 1.3 per cent, to end at 49,858 levels. In the intra-day deals, the Sensex and the Nifty touched 50,003 and 14,788, respectively jumping 1,416 and 350 points from day's low.

Aarti Drugs advances 15% as board approves buyback at Rs 1,000 per share

The stock of the pharmaceutical company bounced back 17 per cent from the day’s low of Rs 670. At 03:00 pm; it was trading 10.5 per cent higher at Rs 755, as compared to a 1.4 per cent rise in the S&P BSE Sensex. Trading volumes on the counter jumped an 10-fold with a combined 6.9 million equity shares changing hands on the NSE and BSE. READ MORE

Burger King, PVR: Avoid these stocks as India sees second wave of Covid-19

Even before completing one year of Covid-19 lockdown, announced on March 24, 2020, India is seeing Covid-19 related restrictions including night curfews across various states, and mandatory institutional quarantine after inter-state travels back in place. In a recent turn of events, the Bombay Municipal Corporation (BMC) on Friday ordered mandatory negative (COVID) test reports for mall visitors in Mumbai. READ MORE

Strong rebound! Sensex jumps over 700 points

Godrej Properties hits 7-week low; shares fall below QIP price of Rs 1,450

Shares of Godrej Properties (GPL) slipped 5 per cent to hit a seven-week low of Rs 1,273 on the BSE in Friday's intra-day trade, extending its decline to 17 per cent thus far in the month of March. The stock of Mumbai-based real estate developer was quoting lower for the sixth straight trading day. It has corrected 19 per cent from its 52-week high level of Rs 1,573 touched on March 1 and was currently trading at its lowest level since February 1. READ MORE

NEWS ALERT :: Aarti drugs approves buyback at Rs 1000/share

The Buyback of up to 6,00,000 fully paid-up equity shares of face value of Rs. 10/- (Rupees Ten only) each of the Company, representing up to 0.64% of the total number of equity shares, at a price of Rs. 1,000 per share (including premium of Rs. 990/- per Equity Share) payable in cash for an aggregate amount of up to Rs 60 crore.

Click here for details

India's economy may grow at 12% in 2021: Moody's

India's economy is likely to grow by 12 per cent in CY2021 following a 7.1 per cent contraction last year, as near-term prospects have turned more favourable, Moody's Analytics said.
A stronger than expected December quarter GDP growth of 0.4 percent following a 7.5 percent contraction in the previous three months has turned India's near-term prospects more favourable, it said.

Moody's saw real GDP growth of 12 percent in the 2021 calendar year, partially due to a low base-year comparison.

(Source: PTI)

Market Check :: Sensex extends gains, rises over 500 points

Stelis Biopharma raises $195 mn for vaccination unit, contract business

The company will use the money to scale up its vaccine unit in Bengaluru to cater to multiple vaccine types including viral vector, protein subunit, RNA and DNA. The unit will manufacture up to 800 million doses of vaccines annually, including Covid-19 vaccines. The company will also use the money for its contract manufacturing business, including ramping up a process development lab, other technical capabilities and debt servicing. READ MORE

MARKET UPDATE:: RIL, ITC among top contributors to Sensex's gain today

Bond market update :: US Treasury yield declines

US 10-year bond yield dips sharply to 1.67% vs yesterday's high of 1.75%

Why a ban on cryptocurrency could have dire consequences for India

In the 1970s and 80s, at the height of what was known as the License Raj, Indians could only hold foreign currency for a specific purpose and with a permit from the central bank. If a businessman bought foreign exchange to spend over two days in Paris and one in Frankfurt, and instead spent two days in Germany, the Reserve Bank of India would demand to know why he’d deviated from the currency permit. Violators were routinely threatened with fines and jail time of up to seven years. READ MORE

European markets check

(Source: Reuters)

Pharma stocks trade largely higher in an otherwise volatile market

Company LATEST(rs) CHG(%)
Biocon 395.60 1.57
IOL Chemicals 576.45 -0.26
Granules India 307.05 0.29
Aurobindo Pharma 821.60 1.83
Sun Pharma.Inds. 577.75 0.57
» More

Progress on BPCL privatisation, but need for further clarity: Fitch Ratings

Fitch Ratings on Friday said there is more visibility on BPCL privatisation, but there is still little information on potential restrictions for the new owner in relation to employee protection, asset stripping, and investment lock-in. Also, there is a need for further clarity on the future of subsidies paid to BPCL's customers on the sale of LPG and kerosene as well as the freedom on the pricing of petrol and diesel before the divestment can conclude, it said. READ MORE

Sector Watch :: Nifty FMCG index best sectoral performer

BOJ widens yield target band, pledges to buy risky assets only when needed

The Bank of Japan on Friday widened the band at which it allows long-term interest rates to move around its target, as part of a raft of measures to make its ultra-easy policy more sustainable amid a prolonged battle to fire up inflation. Following its two-day policy meeting, the central bank also removed its explicit guidance to buy exchange-traded funds (ETF) at an annual pace of roughly 6 trillion yen ($55 billion), which gives it more room to wind back its market stimulus. READ MORE

Stove Kraft tumbles for 10th straight day, down 26% from March high

Shares of recently-listed household appliances company Stove Kraft were trading lower for the 10th straight day, down 6 per cent at Rs 407 on the BSE in intra-day trade on Friday on the back of heavy volumes. With today’s decline, the stock has slipped 26 per cent from its high of Rs 547 touched on March 3. It had hit a low of Rs 406.95 on February 8. Currently, the stock was trading 6 per cent higher over its initial public offer (IPO) issue price of Rs 385 per share. READ MORE

P-notes investment climbs to 33-month high at Rs 91,658 crore in Feb

Investments through participatory notes (P-notes) in the Indian capital market rose to Rs 91,658 crore at February-end, making it the highest level in 33 months, suggesting growing confidence of overseas investors. According to Sebi data, the value of P-note investments in Indian markets -- equity, debt and hybrid securities increased to Rs 91,658 crore in February-end from Rs 84,916 crore at January-end. READ MORE

IPO Update

Suryoday SFB IPO subscribed 1.32 times so far
Nazra Technologies subscribed 20 times so far
(Both issues close today)

How to trade these travel-related stocks?

After suffering a lull, on account of the Covid-19 restrictions, those in the travel business are looking to bounce back on the back of a pent-up demand from domestic travellers during summer vacation. The trend offers some succor to the tourism sector that saw business getting scorched by the pandemic. READ MORE

Accenture Q2FY21 earnings: Five ways in which it can impact Indian IT

Shares of most information technology (IT) companies reversed losses and were trading on a firm note on Friday, taking strength from a strong show put up by Accenture in the second quarter of the financial year 2021 (FY21). While Accenture's robust results bode well for the technology companies, a broad-based weakness in the markets kept a few index heavyweights under pressure. READ MORE

Bharat Dynamics in focus

>> Firm enters into contract with Defence Minstry

>> Agreement to supply of 4,960 MILAN-2T Anti-Tank Guided Missiles (ATGMs) to Indian Army for Rs 1,188 crore. 
>> This is a ‘Repeat Order’ of contract, which was signed with co on March 08, 2016

Rupee becomes only Asian currency to gain in month of sweeping losses

India’s rupee is the only currency in Asia to strengthen amid this month’s rout in risk assets, thanks to a spree of share-sale offers that are luring foreign investors. The rupee has advanced 1.3% in March, boosted by $2.4 billion of overseas purchases of local stocks, including inflows related to initial public offerings. Nine share-sale offers worth about 59 billion rupees ($813 million) this month would have added to one of the highest inflows into emerging Asia, according to Emkay Global Financial Services Ltd. READ MORE

Indo Count Industries shares soar 12% on Rs 200-crore capex plan

Shares of Indo Count Industries advanced 12 per cent to Rs 128 on the BSE on Friday after the textile company announced expansion and modernisation projects of existing capacities with capital expenditure (capex) of Rs 200 crore. The total capex will be funded by a mix of internal accruals and debt and is expected to be operational in H2 (October-March) of FY2022. READ MORE

HDFC Bank's MSME book grows 30% y-o-y to cross Rs 2 trillion-mark

In December 2019, the bank's MSME book stood at Rs 1.4 lakh crore, which has grown by over 60,000 crore or 30 per cent to Rs 2,01,758 crore by the December 2020 quarter, giving it a 10.6 per cent share system-wide MSME lending, becoming the second-largest lender in this segment after the State Bank of India, the bank added. READ MORE

RBI Dy Guv Kanungo may get extension; interviews to find successor nixed

In a fresh twist in the appointment process of deputy governor for the Reserve Bank of India (RBI), the government has cancelled the interviews for the selection, paving the way for incumbent Deputy Governor B P Kanungo's extension. The interviews, scheduled for March 10, were postponed at the last minute. READ MORE

Demand recovery to drive L&T Technology's FY22 show as ERD companies rise

Software companies in the engineering, research and development (ER&D) segment have outperformed their IT services peers on expectations of a faster growth trajectory in FY22, compared to the performance of the overall software industry.
While the BSE Information Technology index has gained 11 per cent in the last three months, ER&D players such as L&T Technology Services (LTTS), Cyient, and Tata Elxsi have risen 15-60 per cent during this period. READ MORE

Future group stocks slip as Delhi High Court puts RIL deal on hold

Future Retail (Rs 55.85), Future Lifestyle Fashions (Rs 64.85), Future Enterprises (Rs 8.60), and Future Consumer (Rs 6.42) were locked in 10 per cent lower circuit, while Future Supply Chain Solutions (Rs 79.80) and Future Market Networks (Rs 15.05) were frozen in 5 per cent lower circuit on the BSE. In comparison, the S&P BSE Sensex was down 0.26 per cent at 49,088 points, at 10:31 am. The stock of Future Retail hit a record low, falling below its previous low of Rs 60.80, touched on Thursday, March 18. READ MORE

SECTOR UPDATE :: Defensive stocks lead recovery

MARKET ALERT :: Sensex jumps 200 pts

Recovery from intra-day lows in today's trade

Sobha 402.50 455.00 452.70 12.47
Jamna Auto Inds. 61.25 67.65 67.65 10.45
Adani Total Gas 671.15 746.80 740.70 10.36
Meghmani Organ. 100.35 110.50 110.50 10.11
Click here for the full list

Be prepared for a volatile phase as risks to markets on a rise: Analysts

In the short-term, analysts expect the markets to remain volatile as they react to news flow – both from overseas and developments back home. Investors, they say, need to keep a tab on how the US treasury yields move, which in turn will have a ripple effect on how big money moves across developed (DMs) and emerging markets (EMs), including India. READ MORE

Easy Trip Planners makes tepid debut, lists at 13% premium over issue price

Shares of Easy Trip Planners made a decent debut at the bourses, getting listed at Rs 212.25, commanding a premium of 13.5 per cent against the issue price of Rs 187 per share on the National Stock Exchange (NSE) on Friday. On the BSE, the stock opened at Rs 206, up 10 per cent against its issue price. Post listing, the stock slipped 20 per cent from its intra-day high of Rs 233 and touched the issue price level on the BSE. READ MORE

ICRA surges 9% after Parag Parikh Flexi Cap Fund buys stake

Shares of ICRA, on Friday, rallied 9 per cent intra-day to Rs 3,036.50 on the National Stock Exchange (NSE) after PPFAS Asset Management bought more than two per cent stake in the rating agency company via open market. The stock is trading close to its 52-week high level of Rs 3,137.90, touched on January 12, 2021. READ MORE

MARKET CHECK :: Sensex recovers over 450 pts from day's low

Rupee Opening

Rupee opens at 72.58 per US dollar vs Thursday's close of 72.53/$

NEW LISTING :: Easy Trip Planners lists at 10% premium against issue price of Rs 187 on BSE

Most active stocks by volume

Company PRICE(rs) CHG(%)
Vodafone Idea 9.68 -2.52
B H E L 50.30 -3.45
Suzlon Energy 5.12 -4.48
Trident 13.55 -5.38
Bank Of Baroda 70.50 -2.02
» More on Most Active Volume

IEX scales new high in a weak market, rallies 22% in seven days

Shares of Indian Energy Exchange (IEX) rose 3 per cent to hit a new high of Rs 366.40 on the BSE in intra-day trade on Friday in an otherwise weak market. The stock of electric utility company was trading higher for the seventh straight day, up 22 per cent during the period, after the company entered into a strategic partnership with the National Stock Exchange (NSE) and Oil and Natural Gas Corporation (ONGC) to build gas markets. READ MORE

MARKET UPDATE:: S&P BSE SmallCap index dips 3%

MARKET INSIGHT :: Investors need to wait and watch, says V K Vijayakumar

Market dynamics have become highly complex with an uncertain cocktail of positive & negative factors. The smart rebound in economic activity, sharp decline in crude by 7% overnight, reaffirmation of accommodative monetary stance by the Fed & resumption of FII buying are clear positives. But the second wave of Covid, particularly in the economically crucial state of Maharashtra,  the rise in US bond yield above 1.7% and sustained DII selling are negatives. The market direction in the short-term will be decided by either the positive or negative factors gaining traction, going forward. Investors will have to wait & watch

Note: VK Vijaykumar is Chief Investment Strategist at Geojit Financial Services

ALERT :: Nifty breaks below 14,400

Weakness extends in markets

Deepak Nitrite down 1% despite rating upgrade

>> Rating agency CRISIL has upgraded long-term rating outlook for bank loan facilities of Rs 750 crore of the company, from 'AA-/Positive' to 'AA/Stable.

Godrej Properties slips 3%

>>  Rating agency ICRA has assigned 'AA' rating to the company's proposed issue of non-convertible debentures of up to Rs 1,500 crore.

GAIL India slides 2.6% amid market weakness

>> The company has signed Concession Agreement with Ranchi Municipal Corporation for setting up Compressed Biogas Plant in Ranchi.

Delhi HC upholds the Emergency Award that Amazon had won against Future Retail-RIL deal

>> Future Retail sinks 10%, RIL down 0.32%

Volatility Gauge

India VIX jumps over 4% in early deals, trades at 20.95

Sectoral trends on the NSE :: Auto, PSB indices down 1% each

Sensex Heatmap :: 27 of the 30 constituents trade in the red

Opening Bell

Opening Bell

Commodity trading at Open

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

Markets at Pre-open

Markets at Pre-open

Top stocks to watch today

Easy Trip Planners: The shares will list on the bourses today. The IPO that was subscribed 159 times was quoting in the grey market at a 70 per cent premium, as per unlisted market watchers.
IT stocks: Shares of IT firms will be in focus after Accenture raised its guidance for the FY21 to 6.5-8.5% from 4-6% earlier, suggesting that Indian IT companies could also report robust growth for the March quarter next month. READ MORE

Dilip Buildcon in focus

Dilip Buildcon gets letter of acceptance from NHAI for 2 Hybrid Annuity Mode (HAM) projects worth Rs 2,241 cr in Puducherry & Tamil Nadu

Top trading ideas by Anand Rathi Shares

The stock is in the cycle of higher highs, higher lows and is highly poised to test its all-time high zone in the coming future. In the past couple of sessions, it has seen some correction and is currently placed near its 21-DEMA on daily chart, from where it is expected to see some resurgence. Even on indicator front, the MACD is comfortably placed above its signal-line and the 14-period RSI is soaring northwards, affirming that the stock may surge in the coming future. READ MORE

Bulk deals on the BSE as on Thursday

Bulk deals on the NSE as on Thursday

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

Rupee check

Source: Bloomberg

Oil steadies but Europe pandemic outlook knocks demand hopes

Oil prices edged up on Friday, but were still down more than 8% for the week as a new wave of COVID-19 infections across Europe spurred fresh lockdowns and dampened hopes that an anticipated recovery in fuel demand would come soon.

Prices plunged 7% on Thursday, falling for a fifth day in a row amid concerns about slowing vaccination programmes in Europe, even if infections have plummeted in the United States, the worst-hit country and biggest crude consumer.
US crude was up 10 cents, or 0.2%, at $60.10 a barrel. Brent crude was up 18 cents, or 0.3%, at $63.46 a barrel.

(Source: Reuters)

Gap-down start

>> At 8:23 am, the SGX Nifty was quoting 109 points, or 0.75 per cent, at 14,486 levels.

Wall Street update

On Wall Street, the Dow Jones fell 0.46 per cent, the S&P 500 lost 1.48 per cent, and the Nasdaq dropped 3 per cent

Asian markets check

Asian share markets eased on Friday as a spike in global bond yields soured sentiment toward richly priced tech stocks, while a stampede out of crowded positions in crude oil caused the sharpest setback in months. Having plunged 7 per cent overnight, and Brent crude futures were down another 38 cents at $62.90 a barrel.
Japan’s Nikkei dipped 0.7 per cent and South Korea 1 per cent in Friday's early deals. MSCI’s broadest index of Asia-Pacific shares outside Japan followed with a fall of 0.5 per cent as yields on US 10-year notes spiked to the highest since early 2020 at 1.754 per cent.

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