Benchmarks end almost flat after volatile trade

Domestic benchmark indices ended almost flat after a volatile session on Tuesday. The Nifty managed to close above the 15,300 mark after slipping below that level in intraday. Selling in private banks and IT stocks negated strength in metal and PSU banks shares. As per the provisional closing data, the barometer index, the S&P BSE Sensex, declined 49.96 points or 0.1% at 52,104.17. The Nifty 50 index lost 1.25 points or 0.01% at 15,313.65.

The Sensex hit a record high of 52,516.76 and the Nifty hit an all time high of 15,431.75 in early trade.

The broader market bucked the trend. The S&P BSE Mid-Cap index rose 0.19% while the S&P BSE Small-Cap index gained 0.43%.

Sellers outnumbered buyers. On the BSE, 1,371 shares rose and 1,607 shares fell. A total of 166 shares were unchanged.

COVID-19 Update:

Total COVID-19 confirmed cases worldwide stood at 109,142,162 with 2,407,607 deaths. India reported 136,872 active cases of COVID-19 infection and 155,813 deaths while 106,33,025 patients have been discharged, according to the data from the Ministry of Health and Family Welfare, Government of India.

Economy:

India's exports grew by 6.16% to $27.45 billion in January, according to data by the commerce ministry. Imports too grew by 2% to about $42 billion, leaving a trade deficit of $14.54 billion during the month under review, the data showed.

Meanwhile, a foreign brokerage has reportedly upgraded its stance on India to 'overweight' is its Asia pacific (APAC) model portfolio. India, it believes, looks much better positioned cyclically and relative to the pandemic. Within Asia Pacific (ex-Japan), the brokerage is now biased towards second-phase COVID recovery marketsKorea, India, Australia, Singapore, and Hong Kong and away from the early recovery markets (China and Taiwan) and the late-recovery markets in Asean.

"As with India, earnings momentum is strong, and the credit cycle early. The currency is one of the regions' cheapest on a real effective exchange rate (REER) basis," the brokerage reportedly said.

Primary Market:

The initial public offer (IPO) of Nureca received bids for 1.57 crore shares as against 14.01 lakh shares on offer on Tuesday (16 February 2021), according to the stock exchange data at 15:10 IST. The issue was subscribed 11.24 times. The issue opened for bidding on Monday, 15 February 2021, and it will close on Wednesday, 17 February 2021. The price band for the IPO is set at Rs 396-400 per share. An investor can bid for a minimum lot of 35 equity shares and in multiples thereof. The IPO comprises of public issue of equity shares aggregating to Rs 100 crore (including anchor portion of 11,13,750 equity shares). The net proceeds of the fresh issue are proposed to be utilized towards funding incremental working capital requirements of the company and general corporate purposes. Shares of Nureca will list on 26 February 2021 on bourses.

New Listing:

Brookfield India Real Estate Trust REIT were trading at Rs 267.25 at 15:21 IST on the BSE, at a discount of 2.36% over IPO price of Rs 275 per unit. The stock was listed at Rs 275.05, at a premium of 0.02% to IPO price. So far, the stock hit a high of Rs 280.05 and low of Rs 258.35. On the BSE, 11.25 lakh units were traded on the counter so far. The initial public offer (IPO) of Brookfield India Real Estate Trust received bids for 60.59 crore units as against 7.62 crore units on offer, as per the National Stock Exchange of India (NSE) website data. The issue was subscribed 7.94 times.

Stocks in Spotlight:

Tech Mahindra rose 0.84% after the IT company on Monday announced a strategic partnership with Telefica Germany / O2 to drive their end-to-end IT transformation. Through this digital transformation, Tech Mahindra will support Telefica Germany / O2 to deliver faster product launches and provide a more 'human centered' experience to its customers in the mass market segment.

Tata Communications jumped 5% after the company announced its partnership with Google Cloud to drive cloud adoption and transform Indian businesses. With this partnership, Tata Communications further expanded their managed public cloud services portfolio to include capabilities for Google Cloud.

Adani Ports and Special Economic Zone (APSEZ) gained 1.5% after the company said it completed the acquisition of Maharashtra-based Dighi Port. The company said that in accordance with the approved Resolution Plan, Dighi Port ("Dighi") has allotted 10 lakh equity shares for cash at total consideration of Rs 1 crore to APSEZ on 15 February 2021. Pursuant to this, APSEZ will hold 100% equity share capital of Dighi. Further, APSEZ has paid Rs 650 crore to financial creditors and approximately Rs 55 crore towards CIRP cost and other payments.

Biocon gained 2.28% after the company said its subsidiary, Biocon Biologics, partnered International Diabetes Federation (IDF) to promote diabetes care, prevention and effective management worldwide. This partnership with IDF coincides with the start of the centenary celebrations of the discovery of insulin and takes forward Biocon Biologics' mission of enabling affordable access to insulins to people with diabetes worldwide. The partnership further strengthens the shared vision of providing universal access to insulins globally to tackle a broad range of diabetes issues, create awareness, educate and advocate effective management of diabetes.

Glenmark Pharmaceuticals added 2.79%. The drug maker launched SUTIB, the generic version of Sunitinib oral capsules to treat kidney cancer, in India. The drug is launched at a MRP that is approximately 96% lower than the MRP compared to the innovator brand, priced at Rs 7000 (50 mg), Rs 3600 (25 mg) and Rs 1840 (12.5 mg) per month. Sunitinib is also approved by the US Food and Drug Administration (US FDA).

SIS rallied 1.84% after the company said its board approved a proposal to buyback equity shares worth upto Rs 100 crore at Rs 550 each. The aggregate consideration of the buyback will not exceed Rs 99,99,99,550. The resultant equity shares to be bought back at the buyback offer price are 18,18,181 equity shares, representing 1.24% of the total number of equity shares in the total paid-up equity capital of the company as on 31 March 2020.

Mazagon Dock Shipbuilders (MDL) rose 1.04% after the company said it delivered the third Scorpene submarine of Project P-75 to the Indian Navy on 15 February 2021. The submarine would subsequently be commissioned into Indian Navy as INS Karanj, the company said in a BSE filing made after market hours on Monday.

Global Markets:

Most European stocks were trading higher while Asian markets closed higher on Tuesday as optimism about the global economic recovery and expectations of low interest rates drive investments into riskier assets.

The World Health Organization on Monday authorized the AstraZeneca/University of Oxford COVID-19 vaccine for emergency use, expanding access to the comparatively inexpensive shot around the world.

The mainland Chinese markets were closed for Lunar New Year through Wednesday. The U.S. stock market was closed on Monday for Presidents Day.

On the coronavirus front, the World Health Organization gave emergency use approval to AstraZeneca's COVID-19 vaccines on Monday, allowing distribution to some of the world's poorest countries to begin.

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)


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