Sensex up 364 pts, Nifty tops 15,850; auto, IT, realty stocks march ahead

Topics MARKET LIVE | MARKET WRAP | Markets

Stock market updates: Propelled by solid buying in realty, IT, auto, and select PSU bank stocks, equity markets skyrocketd on Monday. Besides, a stable global mood further cemented position of market bulls. 

MSCI's main European Index rose around 0.8 per cent, while the STOXX 600 hit a new all-time high, up 0.7 per cent. In Asia, Nikkei jumped 2 per cent, Kospi rallied 0.65 per cent, and Hang Seng added 1 per cent.

Back home, the frontline S&P BSE Sensex zoomed 364 points, or 0.69 per cent, to close at 52,951 levels while the broader Nifty50 shut shop at 15,885-mark, up 122 points. 

In the broader markets, both, the BSE MidCap and SmallCap indices hit record highs of 23,342 and 27,106, respectively earlier in the trade. They ended at 23,331 and 27,072, up 1 per cent each. Sectorally, all the indices ended in the green, led by the Nifty Realty index (up 5 per cent), and the Nifty Auto index, up 1.4 per cent.

LIVE UPDATES

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

Index opened a day with good gap & managed to hold bullish stream throughout day and closed a day at 15885 with gains of nearly one percent. the index reached to its upper band of the overall range currently overall range is coming at 15600-16000 mark which hints one can start locking their gains on every rise and if index managed to give a decisive close above 16k mark then only we can say breakout is done & then we may see more northward move in near term, immediate support is coming near 15815-15750 zone & resistance is placed at 15920-16000 mark.

CLOSING COMMENTS :: Vinod Nair, Head Of Research at Geojit Financial Services

Tracking global sentiments, vibrant domestic sectors like realty, auto, IT and chemicals provided an edge to Indian equities. Recovery is seen in July auto sales and an improved outlook for real estate due to a surge in property registrations helped these sectors to trade higher. $1 trillion infrastructure spending package in the US provided better prospects to the core economy, aiding global markets to start the month on a strong footing.

Airtel gains ahead of June quarter show


Earnings Impact :: Cholamandalam Investment surges 11%

Shares of Cholamandalam Investment and Finance Company (CIFC) moved higher by 11 per cent to Rs 529 on the BSE in the intra-day trade on Monday on the back of heavy volumes after the non-banking finance company (NBFC) reported a good set of numbers for the quarter ended June 2021 (Q1FY22). READ MORE

Result Reaction :: Emami gains over 2% after hitting record peak intra-day

>> Emami, posted a 96.53 per cent increase in profit after tax (PAT) to Rs 77.79 crore on a consolidated basis for the quarter ended June 30, 2021, on a lower base. It was at Rs 39.58 crore in the year-ago period.

IRCTC jumps 6% as firm to mull stock split


Earnings Impact :: HDFC gains post Q1 results

India’s biggest mortgage lender HDFC on Monday reported a 1.6 per cent year-on-year (YoY) decrease in standalone net profit at Rs 3,000.67 crore for April-June quarter of FY22 (Q1FY22) on the back of lower other income and higher tax and employee expenses. In the year-ago period, the profit stood at Rs 3,051.5 crore.
 

Top gainers & losers from auto index post July sales figures


Nifty Realty hits multi-year high; all constituents end in the green


SECTOR VIEW :: All sectors gain led by Nifty Realty


BSE Smallcap ends 1.07% up at 27,072

>> Index had scaled all-time high of 27,106.46 in trade today

>> Top gainers and losers from the smallcap space

BSE Midcap index settles 1.05% higher

>> Top gainers and losers from the midcap pack
 
>> Index had hit all-time high of 23344.49 in trade today
 

Sensex Heatmap | Top gainers & losers at close

Top gainers: Titan, M&M, Axis Bank

Top losers: Tata Steel, Bajaj twins

CLOSING BELL :: Sensex gains 364 points, ends only 50 points shy of 53K; Nifty tops 15,850

The benchmark indices gained after a one-day hiatus, helped by gain in global markets and firm macroeconomic data. The BSE barometer Sensex closed 364 points or 0.69% higher at 52,951. NSE Nifty ended at 15,885, up 122 points or  0.77%. Broader markets outperformed as Midcap and Smallcap indices gain 1% each. 

Sensex Heatmap at this hour


Privi Speciality soars 36% in 2 days on JV with Switzerland-based Givaudan

Shares of Privi Speciality Chemicals hit a new high of Rs 1,799, up 13 per cent on the BSE in the intra-day trade on Monday, having rallied 36 per cent in the past two trading days, after the company and Givaudan SA signed a joint venture (JV) agreement for manufacturing highly specialized aroma chemicals for Givaudan. Privi Speciality Chemicals (PSCL) is lndia's largest manufacturer and exporter of aroma chemicals. Meanwhile, Givaudan, a Company incorporated in Switzerland, is the global leader in fragrance creation. READ MORE


HSBC profit more than doubles, loan-loss fears ebb as economies rebound

HSBC Holdings beat forecasts on Monday with first-half pretax profit that more than doubled from last year when it set aside $7 billion to cover pandemic-related bad loans.
 
Encouraged by an economic rebound in its two biggest markets of Hong Kong and Britain, HSBC reinstated dividend payments, flagged higher payouts in the future, and released $700 million that had been set aside as provisions. READ MORE

Zomato's slim ad-spend sets marketing benchmark for firms seeking to list

Zomato's initial public offering (IPO) had many firsts. It was the first consumer technology (tech) company to get listed. The first of several unicorns from the Indian start-up ecosystem to whet investor appetite. Perhaps the first loss-making entity to get oversubscribed 40x. READ MORE


June Quarter Results :: Emami

>> PAT: Rs 78 crore

>> Revenue: Rs 661 crore

>> Ebitda margin: 25.7%

>> Ebitda: Rs 170 crore


Steel Strips Wheels freezes at 10% upper circuit on record turnover in July

Shares of Steel Strips Wheels Limited (SSWL) were locked in the 10 per cent upper circuit band at Rs 1,508.10 on the BSE on Monday after the company announced it has achieved highest-ever net turnover of Rs 306.12 crore in July 2021. The auto parts and equipment manufacturing company has recorded 177 per cent year-on-year (YoY) growth over July 2020. The company achieved gross turnover of Rs 372.22 crore in July 2021 as against Rs 132.75 crore in July 2020, thereby recording a growth of 180.39 per cent YoY, SSWL said in a release. READ MORE



 
 

Analysts expect Bharti Airtel's Q1 profit to halve QoQ; stable ARPU likely

Analysts are pencilling-in a muted quarter for telecom companies marked by flattish average revenue per user (ARPU) growth and lean subscriber addition. Among the listed companies, Bharti Airtel, which is slated to report its June 2021 quarter (Q1FY21) results on Tuesday, August 3, may report stable ARPU sequentially and nearly flat revenue growth, analysts say. READ MORE


NEWS ALERT :: ABB India partners with Audi India to provide charging solutions


IPO UPDATE :: Krssna Diagnostics IPO to open on August 4

>> Price Band at Rs 933 to Rs 954 per equity share 
 
>> Minimum Bid Lot is 15 Equity Shares and in multiples of 15 Equity Shares thereafter
 
>> IPO consists fresh issue of up to Rs 400 crore and an offer for sale of up to 8,525,520 equity shares
 

Q&A | Our portfolios are built around firms that sell essentials: Marcellus CIO

With the markets near their record highs, picking the right stock is essential to maximise the portfolio return. Saurabh Mukherjea, founder and chief investment officer, Marcellus Investment Managers, tells in an interview that his three-step approach to investing does not focus on short-term factors like what central banks are doing or what will do well in the festive season. READ MORE


ALERT :: Saudi Aramco says recent reports of co embarking on bitcoin mining activities, are false & inaccurate

Source: TV reports

NEWS ALERT :: Ambuja Cements to invest Rs 310 crore to expand Ropar Unit in Punjab


These two Dolly Khanna-owned stocks have rallied up to 103% in a month

Among individual stock, Deepak Spinners surged 10 per cent to Rs 421.70 on Monday in intra-day trade, up 103 per cent in the past one month. On June 24, 2021, Dolly Khanna had purchased an additional 76,555 shares, representing 1.06 per cent stake, in Deepak Spinners worth of Rs 1.28 crore via open market. Dolly Khanna acquired shares at price of Rs 167.21 per cent through bulk deal on the BSE, the exchange data shows. READ MORE

Birla tells govt he is willing to give up promoter stake in Vodafone Idea

Kumar Mangalam Birla has told the government he his willing to offer his stake in Vodafone Idea Limited (VIL) to any state-owned or "domestic financial entity" to keep the stressed telecom company afloat. Birla, VIL’s promoter and chairman of the Aditya Birla Group, made the suggestion in a letter to union cabinet secretary Rajiv Gauba on June 7. VIL has a debt of around Rs 1.8 trillion, which includes deferred spectrum obligations and adjusted gross revenue liabilities. READ MORE


Maruti, Tata Motors: How to trade auto stocks in the run-up to RBI policy?

Auto sales were in top gear in July with passenger vehicle volumes improving on the back of a healthy order book and an uptick in enquiries and bookings in urban and rural areas. India's largest car-maker, Maruti Suzuki, for instance, rerported total sales of 162,462 units in July 2021 as against 108,064 units during the same period last year. READ MORE

Policybazaar files DRHP with Sebi, aims to raise over Rs 6,000 cr via IPO

PB Fintech, the parent company Policybazaar and Paisabazaar, has filed a draft red herring prospectus (DRHP) with markets regulator Securities and Exchange Board of India (Sebi), with an aim to raise Rs 6,017.50 crore via an initial public offering (IPO).
 
The IPO will consist of a fresh issue of shares worth Rs 3,750 crore and an offer for sale of shares to the tune of Rs 2,267.5 crore from investors and existing shareholders. READ MORE

HDFC Q1 profit falls 2% YoY to Rs 3,001 cr, misses estimates; NII up 22%

India’s biggest mortgage lender HDFC on Monday reported a 1.6 per cent year-on-year (YoY) decrease in standalone net profit at Rs 3,000.67 crore for April-June quarter of FY22 (Q1FY22) on the back of lower other income and higher tax and employee expenses. In the year-ago period, the profit stood at Rs 3,051.5 crore. The number missed Street expectation, which had estimated up to 9 per cent YoY rise in PAT. READ MORE




 
 

JUNE QUARTER RESULTS :: VARUN BEVERAGES

>> Revenue from operations at Rs 2,483 crore versus Rs 1,666 crore YoY
 
>> Net profit at Rs 318 crore versus Rs 143 crore
 

Realty shares in demand; Oberoi, IB Realty, Prestige Estates, Sobha up 5%

Shares of real estate companies were in demand in Monday's session, pushing Nifty Realty and the S&P BSE Realty to their respective multi-year highs on expectations of improved outlook. Oberoi Realty, Prestige Estates Projects, Indiabulls Real Estate and Sobha were up 5 per cent each while Brigade Enterprises, Godrej Properties, Sunteck Realty and DLF were up between 2 per cent to 4 per cent on the BSE in intra-day trade. READ MORE

 

JUNE QUARTER RESULTS :: HDFC

>> PAT at Rs 3,000 crore
 
>> Capital adeqaucy ratio at 22%
 
>> Net interest margin at 3.7%
 
>> Sharp pick up in disbursements in the month of July 21, which was the highest ever in a non-quarter month
 
>> 22% growth in Net Interest Income
 

Dream run to continue for small- and mid-cap stocks, say analysts

The relentless rally in small- and mid-cap stocks continues as large-caps show signs of fatigue. In July, the Nifty Smallcap 100 rose 8.1 per cent, extending its year-to-date (YTD) gains to 48.5 per cent, while the Nifty Midcap 100 added 3.1 per cent, taking its YTD rise to 33.5 per cent.
 
On the other hand, the Nifty50 remained unchanged for the month, with YTD gains of 12.7 per cent. Not READ MORE

NEWS ALERT :: Jhunjhunwala invests Rs 31 cr in Raghav Enhancers' unsecured CCDs via preferential allotment

(Source: TV Report)

July Auto Sales :: TVS Motor Co's total sales rise 10% YoY at 278,855 units

>> Total two-wheelers registered a growth of 8% with sales of 262,728 units in July 2021 as against sales of 243,788 units in July 2020. 

>> Three-wheeler of the Company registered a growth of 80% with sales of 16,127 units in July 2021 as against sales of 8,956 units in July 2020.

>> The Company's total exports registered a growth of 65% with sales of 103,133 units in the month of July 2021 as against 62,389 units in July 2020.

NEWS ALERT

>>  India Nikkei Markit Manufacturing PMI at 55.3 in July vs 48.1 in June

Nifty Realty index leaps 3%, hits new high


JULY AUTO SALES :: MAHINDRA & MAHINDRA

>> Overall auto sales at 42,983 units versus 25,678 in July last year

Ind Swift Labs tanks 16% on selling API business to PI Industries

PI Industries, in a separate regulatory filing, said it is aiming to create a differentiated position in the pharma sector by leveraging its core competencies in complex chemistry, operational excellence, technology platforms and global reach through partnership with large innovators. READ MORE

IRCTC surges 7%, hits fresh record high as board to consider stock split

Shares of Indian Railway Catering and Tourism Corporation (IRCTC) hit a new high of Rs 2,490 on the BSE as they rallied 7 per cent in the intra-day trade on Monday after the company announced stock split plan. The stock surpassed its previous high of Rs 2,479.45, touched on July 20, 2021. "The board of directors of the Company is scheduled to meet on August 12, 2021 to recommend the proposal for sub-division of Company's equity shares of face value of Rs 10 each and matters related thereto, subject to the approval of Ministry of Railways, Government of lndia and shareholders," IRCTC said in an exchange filing on Friday, post market hours. READ MORE


NEWS ALERT :: Man Industries wins order worth Rs 200 crore

>> Order book as on date stands at approximately Rs 1500 crores to be executed in the current financial year, the company said
 

MARKET VIEW :: Dr V K Vijayakumar, Chief Investment Strategist at Geojit Financial

A significant trend in the market this year is the outperformance of the broader market. While the Nifty is up 12.74% YTD, the Nifty Midcap & Nifty Smallcap are up by 33.45% and 48.46 % respectively YTD. The broader market is now valued at a premium to Nifty. This happens in a bull market particularly when growth and earnings are in an expansion cycle. But now the situation is slightly different. The sustained FII selling (Rs 23000 cr in July) has apparently put a cap on the Nifty around 15900  levels. The market expects FIIs to further press sales in Nifty stocks. So the retail investors and the bulls are now chasing the mid-small-cap stocks where FII presence is either absent or minimal. This game, which is risky, may continue for some time.
 
The July auto sales numbers indicate a strong turn around especially in passenger & commercial vehicles. Therefore, some portfolio churn in favour of autos is likely. Meanwhile, the Delta variant has started posing new challenges in the US with last Friday infections spiking above 2 lakhs. If this starts impacting economic activity, it may impact markets.

Tata Motors adds 1% on recording strong sales in July

>> Tata Motors said its total domestic sales increased by 92 per cent YoY to 51,981 units

BUZZING :: Infosys hits new record high


Result Reaction :: Britannia jumps 3%

>> Home grown cookie maker reported a 29 per cent decline in consolidated net profit at Rs 387 crore for the quarter ended June 30 compared with Rs 543 crore for the April-June period of previous fiscal.

Maruti Suzuki rise over 1% on strong July sales

>> Maruti Suzuki's total sales rose 10 per cent over June, 2021 and about 50 per cent year-on-year to 162,462 units

Earnings Impact :: Bandhan Bank up 2% even as Q1 profit declines

>> The lender reported 32 per cent YoY decline in June quarter net profit at Rs 373.08 crore as the second wave of the pandemic hit collections in its core microlending segment, impacting asset quality and multiplying provisions.

Result Reaction :: Nazara Tech gains 3% as firm posts profit in Q1

>> The company posted a net profit of Rs 13.6 crore for the June 2021 quarter as against a loss of Rs 21.7 crore in the April-June 2020 period. Its revenue during April-June 2021 jumped 45 per cent to Rs 131.2 crore, compared with Rs 90.5 crore in the year-ago period.

Earnings Impact :: IDFC First Bank tanks 6%

>> The lender reported a net loss of Rs 630 crore in the April-June quarter due to provisioning measures for cushioning the impact of the second wave of the Covid-19 pandemic. The bank had posted a net profit of Rs 93.55 crore in the year-ago quarter ended in June 2020.

NEWS ALERT :: PMO planning relief package for telcos, say TV reports

>> PMO met with DoT on Saturday
 
>> Govt mulls revising AGR definition
 
>> Considers easing spectrum charges for 2-3 years


Sector Watch :: Nifty Realty, Auto lead gainers


BSE Midcap index touches fresh record peak


BSE Smallcap index vaults to new high


Sensex Heatmap | Top gainers & losers at opening tick

Top Gainers: Maruti, Titan, Sun Pharma

Top Losers: Tata Steel, Tech Mahindra, NTPC

FIRST TRADE :: Nifty50 eyes 15,850


OPENING BELL :: Sensex gains 300 points


NEWS ALERT

India extends anti-dumping duty on some steel wire rods from China till Jan-end

(Source: TV News, Agencies)

COMMODITY CHECK


Sensex Heatmap | Top gainers & losers in pre-open trade


Nifty50 tops 15,800 in pre-open session


Pre-open session :: Sensex jumps 300 points


NEWS ALERT :: Glenmark inks agreement with Canadian biotech SaNOtize

>> Glenmark inks agreement with Canadian biotech SaNOtize to commercialize Nitric Oxide Nasal Spray for Covid‐19 treatment in India and other Asian markets

>> Nitric oxide (NO) has antimicrobial properties with direct proven effect on SARS‐CoV‐2

>> Nitric Oxide Nasal Spray (NONS) has been tested in healthy volunteers and patients as part of UK and Canada clinical trials

>> Glenmark’s exclusive long term partnership with SaNOtize to manufacture, market and sell NONS extends to India, Singapore, Malaysia, Hong Kong, Taiwan, Nepal, Brunei, Cambodia, Laos, Myanmar, Sri Lanka, Timor‐Leste and Vietnam

>> Phase III clinical trial for NONS is expected to be completed, followed by commercial launch under the brand name FabiSpray in India, by fourth quarter of the calendar year 2021.

July Auto Sales :: Ashok Leyland's domestic sales jump 90% YoY


Top stocks to watch today

Auto stocks: Auto majors reported high double-digit growth in their domestic passenger vehicle sales in July. Maruti Suzuki's total sales rose 10 per cent over June, 2021 and about 50 per cent year-on-year to 162,462 units. Tata Motors, meanwhile, said its total domestic sales increased by 92 per cent YoY to 51,981 units. However, two-wheeler maker Hero MotoCorp reported a 13 per cent dip in total sales at 4,54,398 units in July and Royal Enfield reported a nine per cent rise in total sales to 44,038 units.
 
Adani Enterprises: It has incorporated Adani Petrochemicals as a wholly-owned subsidiary to carry on business of setting up refineries, petrochemicals complexes and specialty chemicals units. READ MORE

'Avoid taking any directional view on markets'

Considering the historical trend, ‘August’ month is known for bigger moves. So it would certainly be interesting to see whether ‘History repeats itself’ or not and if this happens then which direction market decided to move in. As far as levels are concerned, 15,850 followed by 15,950 are the levels to watch out for and on the flip side, the sacrosanct support is placed at 15,550 – 15,450. If breakout takes place in the northward direction then we may not see bigger move; but if it happens downwards, then brace yourself for some tough time. READ MORE

Two auto stocks that Vaishali Parekh believes can be good bets

BUY BAJAJ AUTO | CMP: Rs 3,829 | TARGET: Rs 4,300 | STOP LOSS: Rs 3,650
 
The stock has corrected well from the peak level of Rs 4,300 and is currently near the support zone of Rs 3,730. It has indicated a positive candle to improve the bias. The RSI suggests a trend reversal and potential to carry on with positive bias in the coming days. With the chart looking attractive, we suggest to buy and accumulate this stock for an upside target of Rs 4,300, keeping a stop loss of Rs 3,650. READ MORE

ALERT :: BSE revises Price bands of 5 stocks


ALERT :: BSE revises Market Wide Position Limits (MWPL) and Position Limit

The stock wise Market Wide Position Limits (MWPL) and Position Limit applicable to Clearing Member (CM), Institutional Investors and Client under SLB segment for the month of August 2021 has been revised.

Click here to check the stock list


Results today :: A total of 49 companies are slated to post their quarterly numbers today

Currency check

The US dollar index, which tracks the greenback against a basket of its peers, was at 92.128 after a recent decline from levels above 92.4.
 
The Japanese yen traded at 109.72 per dollar, stronger than levels above 110 against the greenback seen last week. The Australian dollar changed hands at $0.7335, having slipped from levels above $0.738 late last week.
 

Oil falls 1%

Oil prices were lower in the morning of Asia trading hours, with international benchmark Brent crude futures slipping 1.45% to $74.32 per barrel. U.S. crude futures declined 1.27% to $73.01 per barrel.
 

Gap-up start on cards

>> At 8:32 AM, the SGX Nifty index was ruling 116 points higher at 15,889 levels.

Wall Street on Friday

Source: Reuters


Asian market set-up

Asian stocks and US equity futures rose as some of the concerns over Covid-19 reopening disruption and China’s regulatory crackdown eased.  Japan’s Topix index rose 1.5 per cent, Australia’s S&P/ASX 200 Index rose 0.1 per cent and South Korea’s Kospi index gained 0.3 per cent. Meanwhile, S&P 500 contracts rose 0.4 per cent and Nasdaq futures added 0.3 per cent.

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