MARKET WRAP: Sensex gains 499 pts as financials rally, Nifty ends at 10,430

Topics Markets | Eveready | ONGC

Traders monitor BSE index at a brokerage firm in Mumbai | PTI
Equity benchmark indices, S&P BSE Sensex and NSE's Nifty50, ended around 1.5 per cent higher on Wednesday amid buying in financial counters. Meanwhile, improved Manufacturing PMI data for May and better June GST collection boosted investor sentiment.

The S&P BSE Sensex rallied 499 points or 1.43 per cent to end at 35,414.45 with Axis Bank (up 6.5 per cent) being the top gainer and NTPC (down over 2 per cent) the biggest loser. 

NSE's Nifty ended at 10,430, up 128 points or 1.24 per cent. Volatility index, India VIX, dropped around 3.5 pr cent to 28.10 levels.

In the broader market, the Nifty Midcap 100 index gained 0.5 per cent while the Nifty SmallCap 100 rose 0.85 per cent.

Sectorally, PSU bank stocks rallied the most. The Nifty PSU Bank index gained over 3.6 per cent while Nifty Bank climbed nearly 3 per cent to 21,977.60 levels.

Global markets

Global stocks struggled for momentum on Wednesday as improving economic data was offset by concern that surging coronavirus cases in the United States could derail the world’s recovery before it properly begins.

MSCI’s world shares index was 0.1 per cent higher after rising 18 per cent for its biggest three-month gain since 2009 in the second quarter, but it still closed the first half around 8 per cent lower from where it started the year.

MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.3 per cent, led by gains in China. E-Mini futures for the S&P 500 were down 0.2 per cent.

(With inputs from Reuters)


4:13 PM IST "Benchmark indices gained strength on the back of data showing that economic activity may be stabilizing. The gains were led by the banking index. The Nikkei PMI survey indicated that although activity contracted in June, it was at a much slower pace as compared to May month. This gives rise to the hope that the economy may be emerging out of one of its worst periods in recent times. However, the continued rise in virus infections, and the resulting extension of lockdowns in many areas, may continue to slow down and impact the economic recovery. Although the market trend is positive, the upside seems to be capped and investors are advised to follow a stock-specific strategy."

3:46 PM IST

3:42 PM IST

3:35 PM IST The S&P BSE Sensex jumped 499 points or 1.43 per cent to end at 35,414 while NSE's Nifty ended at 10,430, down 128 points or 1.24 per cent. 

3:22 PM IST

3:10 PM IST Shares of chemicals, commodities as well as specialty chemicals companies were trading actively on Wednesday, surging up to 18 per cent in the intra-day trade, on the BSE on expectation of good earnings on back of improved demand. Individually, Clariant Chemicals (India) rallied 18 per cent to Rs 477.90 after the company announced that its board will meet on Saturday, July 4, 2020, to consider and declare the payment of special interim dividend for the financial year 2020-21. READ MORE 

3:06 PM IST

2:54 PM IST >> Output edged higher and domestic demand firmed as lockdown restrictions loosened, factories restarted and staff returned to work, said Rob Dobson, director at IHS Markit, which compiles the survey. (Source: Reuters)

2:45 PM IST While the impact of Covid-19 was evident on Q4 numbers, the beat in consolidated operating performance was led by the turnaround of Bhushan Steel’s operations (now Tata Steel BSL), operating efficiencies, and a good show by its European business (Tata Steel Europe).  READ MORE

2:32 PM IST >> Reaches 90% of pre-covid sales >>  Made wholesale deliveries of 450,744 units – a record sequential growth of four times over the 112,682 units dispatched in May’20 >> Hero MotoCorp sold a total of 563,426 units of motorcycles and scooters in the first quarter of Financial Year (April-June) 2020-21. 

2:25 PM IST COMPANY PRICE(rs) 52 WK HIGH CHG(rs) CHG(%) ESCORTS 1026.20 1069.50 -14.05 -1.35 IDBI BANK 45.95 45.95 2.15 4.91 NAVIN FLUO.INTL. 1712.00 1723.10 90.45 5.58 » More on 52 Week High

2:16 PM IST So far this year, large-cap funds have seen deeper value erosion than mid- and small-caps. The data from Value Research shows that mid-cap funds have declined 9.6 per cent year-to-date (YTD), while small-cap funds have fallen 11.26 per cent.   Though there has been some recovery in recent months, advisors say investors should be cautious. READ MORE

LIVE UPDATES

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

"Benchmark indices gained strength on the back of data showing that economic activity may be stabilizing. The gains were led by the banking index. The Nikkei PMI survey indicated that although activity contracted in June, it was at a much slower pace as compared to May month. This gives rise to the hope that the economy may be emerging out of one of its worst periods in recent times. However, the continued rise in virus infections, and the resulting extension of lockdowns in many areas, may continue to slow down and impact the economic recovery. Although the market trend is positive, the upside seems to be capped and investors are advised to follow a stock-specific strategy."

SECTOR WATCH:: Sectoral gainers and losers on the NSE


MARKET AT CLOSE:: Gainers and losers on the S&P BSE Sensex


CLOSING BELL

The S&P BSE Sensex jumped 499 points or 1.43 per cent to end at 35,414 while NSE's Nifty ended at 10,430, down 128 points or 1.24 per cent. 

MARKET CHECK:: Top 5 gainers on the BSE at this hour


Chemical shares in focus; Clariant Chemicals, Balaji Amines rally up to 18%

Shares of chemicals, commodities as well as specialty chemicals companies were trading actively on Wednesday, surging up to 18 per cent in the intra-day trade, on the BSE on expectation of good earnings on back of improved demand. Individually, Clariant Chemicals (India) rallied 18 per cent to Rs 477.90 after the company announced that its board will meet on Saturday, July 4, 2020, to consider and declare the payment of special interim dividend for the financial year 2020-21. READ MORE 

PSU Bank stocks surge in trade; PNB, Indian Bank up 5%


NEWS ALERT :: UK manufacturing PMI rose to 50.1 in June from 40.7 in May

>> Output edged higher and domestic demand firmed as lockdown restrictions loosened, factories restarted and staff returned to work, said Rob Dobson, director at IHS Markit, which compiles the survey.

(Source: Reuters)

Tata Steel: Better-than-expected performance lifts street sentiments

While the impact of Covid-19 was evident on Q4 numbers, the beat in consolidated operating performance was led by the turnaround of Bhushan Steel’s operations (now Tata Steel BSL), operating efficiencies, and a good show by its European business (Tata Steel Europe).  READ MORE

June Auto Sales :: Hero MotoCorp's total sales jump 4x MoM to 4.5 lakh units

>> Reaches 90% of pre-covid sales

>>  Made wholesale deliveries of 450,744 units – a record sequential growth of four times over the 112,682 units dispatched in May’20

>> Hero MotoCorp sold a total of 563,426 units of motorcycles and scooters in the first quarter of Financial Year (April-June) 2020-21. 


MARKET UPDATE :: Stocks that hit 52-week high today

COMPANY PRICE(rs) 52 WK HIGH CHG(rs) CHG(%)
ESCORTS 1026.20 1069.50 -14.05 -1.35
IDBI BANK 45.95 45.95 2.15 4.91
NAVIN FLUO.INTL. 1712.00 1723.10 90.45 5.58
» More on 52 Week High

Equity schemes see cuts in H1CY20 as investors book losses, exit portfolios

So far this year, large-cap funds have seen deeper value erosion than mid- and small-caps. The data from Value Research shows that mid-cap funds have declined 9.6 per cent year-to-date (YTD), while small-cap funds have fallen 11.26 per cent.
 
Though there has been some recovery in recent months, advisors say investors should be cautious. READ MORE

Rupee Closing

Rupee ends weaker at 75.59 per US dollar vs Tuesday's close of 75.50/$

Mahindra & Mahindra bounces 3% from day's low on good tractor sales in June

Mahindra & Mahindra’s farm equipment sector (FES) reported 12 per cent year on year (YoY) growth in domestic tractor sales at 35,844 units in June 2020 as against 31,879 units sold in June last year. This is the second highest June sales ever, the company said.
 
Meanwhile, its export shipments declined 42 per cent during the month at 700 units as against 1,215 units in the same month last year. The company’s tractors' total sales for the month were at 36,544 units, up 10 per cent from 33,094 units in June last year. READ MORE

NEWS ALERT :: Section 144 imposed in Mumbai

MARKET UPDATE:: Sensex extends gains, up 500 pts now


Europe trades with marginal gains in early deals


ICICI Securities lists stocks that are likely to be included in F&O segment


Indian banks will need $15 billion capital to meet Tier I norms: Fitch

State owned banks will require the bulk of the recapitalisation, as the risk of capital erosion at state banks is significantly higher than for their privately owned peers, rating agency said in a statement.
 
“We expect the majority of the injection to come through in FY22, as bad loan recognition has been pushed back by a 180-day regulatory moratorium”, it said. READ MORE

Safe bet: Five reasons that will lead gold to all-time high price

Market players and researchers are banking on five factors for a gold rally:
  • After the US Federal Reserve started cutting interest rates, gold prices started rallying as bonds attractiveness started falling.
  • The trade spat between the US and China added fuel to the gold rally. The price was around $1200-$1300 little over a year ago. That situation is still not settled.
  • The Indian government increased import duty on gold from 10 per cent to 12.5 per cent in July 2019, resulting in an immediate increase in cost of imported gold.
  • The Indian rupee started depreciating against the US dollar. The rupee has depreciated 6 per cent this year, resulting in gold price hike of similar proportion in last six months apart from overall price rise of gold in international market. In Mumbai’s Zaveri Bazaar gold market, price of the yellow metal in the last six month has increased 24 per cent. On Tuesday, standard gold of 995 purity closed at Rs 48,365 per 10 gram.
  • US trading in Comex gold futures crossed $1800 per ounce Tuesday night and gold spot price hit $1789 per ounce: the highest in eight years. Prices rose because of investors seeking safer assets as worries grow about the pace of US economic recovery due to new coronavirus cases US Federal Reserve Chairman Powell said last week that output and employment remain far below their pre-pandemic levels and cautioned that the outlook for the economy is "extraordinarily uncertain.” 

Jio Platforms deals help PE investments climb 12% to $18.8 bn this year yet

H1 2020 witnessed 24 PE-VC investments worth $100 million or more, down from 37 such transactions in the same period last year. But for the Jio investments, PE-VC investments during H1 2020 would have fallen 45 per cent compared to H1 2019, the Venture Intelligence analysis shows. READ MORE

MARKET CHECK :: Sensex gains strength as manufacturing PMI, GST mop up improve in June


Bharti Airtel up 2% as Carlyle Grp to buy 25% stake in Co's Data Centre biz

Geojit Financial Services, in a report dated June 30, said that rising average revenue per user (ARPU) and customer base should provide support to company valuations. "Additionally, the increased demand for broadband connections amidst Covid-19 will further improve topline. We reiterate our BUY rating on the stock with a revised target price of Rs 693 based on sum-of-the parts (SOTP) methodology," they wrote. READ MORE 


June GST collections at Rs 90,917 cr, up from Rs 62,009 cr mopped up in May

"The gross GST revenue collected in the month of June, 2020 is Rs 90,917 crore of which CGST is Rs 18,980 crore, SGST is Rs 23,970 crore, IGST is Rs 40,302 crore (including Rs 15,709 crore collected on import of goods) and Cess is Rs 7,665 crore," an official statement said. READ MORE

June Auto Sales :: Eicher Motors reports 70% YoY decline in commercial vehicle sales


Wary hedge fund managers aren't buying into rally in Indian stocks

The cautious stance has cost some professional investors so far as the S&P BSE Sensex index has rebounded 35 per cent from a March low, helped by a flurry of stimulus measures from the government and the central bank. But the jury is still out with the International Monetary Fund cutting India’s economic growth outlook for the year to March by the most among all major economies. READ MORE

World Bank approves $750 mn emergency response fund for India's MSME sector

The first $1 billion emergency support was announced in April this year for immediate support to India’s health sector. Another $1 billion project was approved in May to increase cash transfers and food benefits to the poor and vulnerable, including a more consolidated delivery platform – accessible to both rural and urban populations across state boundaries. READ MORE

HDFC twins, RIL top contributors to Sensex's gains today


Sterling and Wilson gains for eighth straight day; stock up 44% in 8 days

Shares of Sterling and Wilson Solar gained for the eighth straight session, frozen in 5 per cent upper circuit at Rs 230.60 on the BSE on Wednesday, after the company’s US-based subsidiary was awarded its largest solar project in the United States of America worth $ 99 million (around Rs 747 crore). The stock has rallied 44 per cent in the last eight trading days from the level of Rs 160 on June 19, 2020. READ MORE

New stamp duty charges from July 1: What changes for mutual fund investors

Mutual fund (MF) investors are bracing for lower returns after the introduction of stamp duty charges from July 1. A stamp duty of 0.005 per cent will be levied on issuance of units, and 0.015 per cent on transfer of MF units. An issue of units includes purchase, switch-in and dividend reinvestment, whereas a transfer implies off-market transactions. READ MORE 


NEWS ALERT :: Explosion at boiler of NLC India's Neyveli plant, 17 Injured, reports ANI


MARKET UPDATE:: Sensex edges higher


NEWS ALERT :: Fujifilm to partner with Dr Reddy's to bring Avigan to India

>> Favipiravir, sold under the brand names Avigan, Abigan and FabiFlu, is an antiviral medication

(Source: Reuters)


BROKERAGE VIEW:: ICICI Securities on Petronet LNG

RATING: HOLD | TARGET PRICE: Rs 259

Management expects utilisation at 100% in FY21E. We have cut Kochi volume and ‘other income’ estimates. Net impact is cut in FY21E EPS by 8% and target price by 2% to Rs259. Further cut in Kochi terminal regas charge is a near-term risk. Fall in Dahej volumes due to rise in LNG import capacity in Gujarat and domestic gas output rise is a medium term concern. Clarity is also awaited on possible investment in Tellurian. Retain HOLD.

ICRA on coal mining sector

  • As per ICRA’s latest report on the coal mining sector, the domestic coal demand is estimated to increase at a modest compounded annual growth rate (CAGR) of 2.9%  between FY2021 and FY2027. This is much lower than the CAGR of 5.2% registered between FY2013 and FY2020.
  • The timing of the recovery in the global economy is uncertain and expected to be prolonged, due to which the demand growth of natural gas is expected to remain muted over the medium term
  • Domestic CGD companies are expected to gain and roll out networks in a large number of GAs, the low spot gas prices to compel industrial and commercial consumers to convert from alternate fuels.

BROKERAGE VIEW:: YES Securities on Finolex Cables

RATING: ADD | TARGET PRICE: Rs 337

We have cut our FY21/FY22 estimates by 42%/37% factoring slower recovery in demand and accounting for revenue loss during lockdown. We downgrade the stock to ADD from Buy as we expect earnings recovery to be sluggish on weak offtake from real estate sector. We revise our target price using SOTP method to Rs 337 (Prev TP 483).
 
Valuation: Adjusting for cash and cash equivalents, valuations are attractive at 11x FY22E standalone P/E. Reā€rating would depend on recovery in real estate and telecommunications spending.
 
Risk to our call: Faster recovery in demand from real estate and telecommunication sector

BROKERAGE VIEW:: Centrum Broking on Cement sector

Normalcy is likely to be only during the second half of FY21 after the challenging 1HFY21 as indicated by dealer interaction. However, FY22 the impact of loss of production and earnings is likely to reversed due to the stronger pick in the demand and also due to lower base in FY21. We have revised our ratings on ACC and JK Cement (JKCE) from Reduce to Add. We have upgraded our rating on Ambuja Cements from Add to BUY. We continue our Add rating on Ultratech (UTCEM) in the large cap segment. We have maintained our BUY rating on Star Cement.

BROKERAGE VIEW:: Axis Securities on Lumax Industries

The challenges of FY21 will be unprecedented, having said that, Lumax Industries is a good play on PV and 2W segments and is present in most models that are doing well. Being a market leader in the lighting segment we believe it will be able to withstand and outperform peers. We tweak revenue for FY21 and FY22 upwards by 9%/2% and upgrade the stock from SELL to HOLD valuing it at 16X FY22E EPS estimate of Rs 63.6 to come at a TP of Rs 1,018.

BROKERAGE VIEW:: Axis Securities on Asian Paints

Near term volume pressures are likely to sustain as Metros and Tier1 cities (40-50% of volumes) remain under severe pressure due to COVID-19 impact. To factor in near term demand challenges and benign RM outlook we revise our FY21E/22E Revenue/PAT estimates downwards by 26%/19% and 28%/12% respectively. Retain HOLD rating but revise our TP to Rs 1,796/share (earlier Rs 1,890/share) on the back of downward revision in FY21/22E earnings. Key risks to our estimates – COVID-19 led demand disruption, uncertainty over second wave of the pandemic in India.

BROKERAGE VIEW:: Edelweiss Securities on Jindal Steel & Power

JSPL has accepted a binding offer from Templar Investments Limited to divest its entire stake in Jindal Shadeed for a consideration in excess of USD1bn. The transaction is likely to be completed in a month. We view this as a positive development as JSPL’s leverage ratios will become far more attractive in a period of lean earnings while the balance sheet will strengthen further. We estimate further potential upside of Rs 20/share to our TP if the deal is consummated. Maintain ‘BUY/SO’ on JSPL with a TP of Rs190/share on an exit multiple of 6x FY22E EBITDA.

June Auto Sales :: Maruti reports total sales of 57,428 units

>> Maruti Suzuki posted total sales of 57,428 units in June 2020 (including 52,300 units in the domestic market and 839 units to another OEM)

>> The Company closed the first quarter of FY 20-21 with total sales of 76,599 units (66,165 units domestic, 862 units to other OEM and 9,572 units exported.)

>> Domestic sales (excluding OEMs) at 53,139 units, down 54% YoY

>> Exports at 4,289 units, down 56.4% YoY

ADAG shares gain heavy volumes; RCapital, RInfra freeze at 5% upper circuit

Reliance Power (RPower) and Reliance Naval and Engineering were up in the range of 2 per cent to 4 per cent after more than 10 million shares changed hands in these counters via block deals. In comparison, the S&P BSE Sensex was up 0.49 per cent at 35,088 points on the BSE. RCapital was locked in the upper circuit of 5 per cent at Rs 13.35, surging 65 per cent in the past 11 trading days. The trading volumes on the counter jumped nearly eight-fold with a combined 14 million shares changing hands on the NSE and BSE so far. READ MORE 


Voda Idea dips 5% as loss grows to Rs 11,742 cr; here's what brokerages say

Shares of Vodafone Idea dipped as much as 4.9 per cent on the BSE on Wednesday after the company posted a loss of Rs 11,643.5 crore in Q4FY20 due to one-off expenses. However, on the revenue front, the company reported flat growth on a year on year basis. On a sequential basis, revenue rose 6 per cent to Rs 11,754 crore due to tariff hike. READ MORE

NEWS ALERT :: Alembic Pharma gets US FDA nod for Doxycycline Hyclate tablets

>> the Company has received final approval from the US Food & Drug Administration (USFDA) for its Abbreviated New Drug Application (ANDA) Doxycycline Hyclate Tablets USP, 75 mg and 150 mg.

>> Acticlate Tablets, 75 mg and 150 mg, of Almirall, LLC. Doxycycline Hyclate Tablets, 75 mg and 150 mg are indicated for the treatment of certain Rickettsial, sexually transmitted, respiratory tract, bacterial and ophthalmic infections.

Alert: Doxycycline Hyclate Tablets USP, 75 mg and 150 mg have an estimated market size of US$ 17 million for twelve months ending March 2020 according to IQVIA. 
 

JSPL dips 3.5% after arm JSPML sells entire stake in Oman plant

The enterprise value of the deal is over $1 billion and Alpen Capital, a West Asia-based investment bank was appointed to run the sale process, which received competitive offers from multiple interested bidders.
 
"The divestment is in line with JSPL’s vision and commitment to continuously bring down its debt and deleverage its balance sheet," the company said in a release. READ MORE

Glenmark Pharma falls for second straight day; stock down 8% in 2 days

Shares of Glenmark Pharmaceuticals were trading lower for the second straight day, down 5 per cent at Rs 428 on the BSE on Wednesday amid reports that the company has been charged with manipulating the prices of generic drugs sold in the US. READ MORE 


NEWS ALERT :: June Manufacturing PMI improves to 47.2 vs 30.8 in May

At 47.2 in June, the seasonally adjusted IHS Markit India Manufacturing PMI® surged from 30.8 in May. Despite the rise, the latest reading pointed to a third successive monthly decline in the health of the manufacturing sector, albeit one that was far softer than registered in April and May. Contributing to the further deterioration was another sharp contraction in output at the end of the second quarter. Panellists continued to suggest that coronavirus-related restrictions had constrained production capacity. That said, the rate of contraction eased considerably from May and was the softest since an expansion in March. Another key factor behind the decline in operating conditions was a further decrease in new business during June. The latest contraction extended the current sequence of  falling sales to three months, although the pace of reduction decelerated to the slowest since the introduction of lockdown measures in March.

Wild swings in stock markets this year match 2008 financial crisis levels

This year has been nothing short of a roller coaster for those dealing in the stock markets. Consider this: The benchmark Sensex has seen daily swings of more than 3 per cent — the difference between day’s high and low — in 27 of 123 trading sessions this year, so far. That’s more than a fifth of the sessions. READ MORE

NEWS ALERT :: ICICI Bank cuts lending rates by 15 bps across tenors

NEWS ALERT :: Gold price hits record-high


Rupee Opening

Rupee opens flat at 75.51 per US dollar vs Tuesday's close of 75.50/$

ONGC slips up to 4% after reporting a first-ever loss in March quarter

At 09:29 am, the stock was trading 1.6 per cent lower at Rs 80.10 on the BSE. In comparison, the S&P BSE Sensex was quoting 0.5 per cent higher at 35,099 levels.
 
ONGC had logged a profit before tax (PBT) of Rs 11,691 crore in the corresponding period of FY19. The company’s revenue from operations declined by 7 per cent to Rs 104,489 crore in the period under review, compared to Rs 112,539 crore the previous year. READ MORE

June Auto Sales :: Escorts Agri Machinery volumes grow by 21.1%


Broader market check


MARKET CHECK :: Sensex off day's low, up over 150 pts


ZEEL trades weak

>> YES Bank has filed a suit at the Bombay High Court against Zee Entertainment Enterprises and its board of directors, over their alleged failure to honour obligations under a disputed guarantee related to a 2016 loan of around $50 million, according to a report by Moneycontrol.


RITES slips 2.5% post March qtr result

>> RITES Ltd on Tuesday reported a 4.28 per cent decline in consolidated profit at Rs 143.93 crore for the quarter ended March 31, 2020. The railways consultancy firm had posted a consolidated profit of Rs 150.38 crore in the corresponding quarter of previous fiscal, it said in a regulatory filing to the BSE

Jindal Steel and Power slips 2%

>> Jindal Steel & Power (Mauritius), or JSPML, a subsidiary of Naveen Jindal-led Jindal Steel and Power (JSPL) said on Tuesday that it has accepted a binding offer from Templar Investments to divest its entire stake in its Oman asset, Jindal Shadeed Iron and Steel (JSIS Oman).


ONGC erases 2% in early deals on weak Q4 result

>> State-run Oil and Natural Gas Corporation (ONGC) reported a pre-tax loss of Rs 10,529 crore in the fourth quarter of the financial year 2019-20 (Q4FY20) because of a drop in crude oil prices, the impact of the lockdown, and exchange losses.


Vodafone Idea sheds 1% post Q4 nos

>> Vodafone Idea's pre-tax loss rose 73 per cent to Rs 11,742 crore in the March quarter of 2019-20 owing to exceptional expenses. The telecom firm had posted a pre-tax loss of Rs 6,758 crore in the same quarter last year.


Bharti Airtel gains 1% as Carlyle Group set to pick 25% stake in subsidiary


Sectoral trends on NSE at Open


Sensex Heatmap at Open


Opening Bell


Opening Bell


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


Markets at Pre-open


Markets at Pre-open


Stocks to watch: Voda Idea, ONGC, Airtel, autos, HUL, JSPL, Future Grp stks

Vodafone Idea: Vodafone Idea's pre-tax loss rose 73 per cent to Rs 11,742 crore in the March quarter of 2019-20 owing to exceptional expenses. The telecom firm had posted a pre-tax loss of Rs 6,758 crore in the same quarter last year.
 
ONGC: State-run Oil and Natural Gas Corporation (ONGC) reported a pre-tax loss of Rs 10,529 crore in the fourth quarter of the financial year 2019-20 (Q4FY20) because of a drop in crude oil prices, the impact of the lockdown, and exchange losses.
 
Bharti Airtel: The Carlyle Group on Wednesday announced that it will invest $235 million for approximately 25 per cent stake in Nxtra Data Ltd, a wholly-owned subsidiary of Bharti Airtel engaged in the data centre business. READ MORE 


June auto sales: Analysts see Maruti, Hero Moto making a strong comeback

Prabhudas Lilladher
 
The brokerage expects Maruti Suzuki India’s total sales to jump 115 per cent MoM to 39,800 units from 18,539 units in May 2020. On a yearly basis, this would be a dip of 68 per cent. As for Mahindra and Mahindra (M&M), total sales are seen at 55,200 units, up 63 per cent MoM.
 
Among two-wheelers, Hero MotoCorp’s total sales are pegged at a whopping 3.7 lakh units, logging a growth of 228.4 per cent sequentially. TVS Motor Company and Bajaj Auto are expected to follow with 160 per cent and 86 per cent month-on-month rise at 1.53 lakh units, and 2.37 lakh units, respectively. READ MORE

Carlyle Group to acquire 25% stake in Airtel's Data Centre business

The Carlyle Group on Wednesday announced that it will invest $235 million for approximately 25 per cent stake in Nxtra Data Ltd, a wholly-owned subsidiary of Bharti Airtel engaged in the data centre business.
 
The post-money enterprise valuation of Nxtra is approximately $1.2 billion and Carlyle will hold a stake of approximately 25% in the business upon completion of the transaction, with Airtel continuing to hold the remaining stake of approximately 75%, Bharti Airtel said in a statement. READ MORE

Trading ideas by Religare Broking: Sell Hindalco, TVS Motor futures

ACC Limited
 
Recommendation: Buy
 
Last Close: Rs 1,332.25
 
After a sharp correction, ACC has been rebounding for the last three months. On June 30, the stock posted a fresh breakout from a consolidation range and also surpassed the major hurdle of 200 EMA on the daily chart. The breakout was supported by a strong rise in volume, adding to the confirmation. We, thus, advise creating fresh longs as per the given levels. READ MORE

Nifty outlook and stock pick by HDFC Securities: Buy SBI Life, JK Cements

For the last four sessions, Nifty has fallen into the narrow consolidation range of 10,200 and 10,400. Primary trend has been bullish as Nifty is placed above 10, 20,50 and 100 days EMA. The chances of breaking out looks much higher than breaking down as oscillators and indicators are showing strength in the trend. However, it would be advisable to protect long positions in the Nifty with 10,200 stoploss. Above 10,410, Nifty could move towards 10,600 odd levels. READ MORE

Bulk deals on NSE as on Tuesday

Bulk deals on BSE as on Tuesday

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


Rupee check

Source: Bloomberg


Oil rises after sharp drop in US crude inventories

>> Oil prices rose on Wednesday after an industry report showed crude inventories in the United States fell much more than expected, suggesting demand is improving even as the coronavirus outbreak spreads around the world.

>> Brent crude rose 33 cents, or 0.8%, to $41.60 a barrel by after declining more than 1% on Tuesday. US crude was up 42 cents, or 1.1%, at $39.69 a barrel, having dropped by 1.1% in the previous session.

(Source: Reuters)

NEWS ALERT :: China's June Manufacturing PMI comes in at 51.2, reports Reuters

>> The Caixin/Markit Manufacturing Purchasing Managers’ Index (PMI) rose to 51.2 last month, the fastest pace of growth since December, and up from May’s 50.7. 

>>  China’s factory activity grew at a faster clip in June after the government lifted coronavirus lockdown measures and ramped up support steps, but the health crisis continues to pressure exports and jobs, a private business survey showed on Wednesday.

>> China’s economy is gradually emerging from a sharp 6.8% contraction in the first quarter, with much of the country reopened after weeks of disruptions early in the year due to strict lockdown measures. But demand remained subdued, as many manufacturers are still struggling with reduced or cancelled overseas orders amid faltering global demand.

SGX Nifty hints at lower opening

>> At 8:20 am, the index was at 10,236 level, down 39 points or 0.38 per cent.

Asian markets set for choppy trade amid mixed cues

Source: Reuters


S&P 500 ends best quarter since 1998 on a high note

Source: Reuters


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