The Market Soars As Heavyweights Report Big Profits

Share Market Weekly

Our Analysis

After continuing the record highs till Tuesday the market came to a halt after RBI Monetary Policy Committee (MPC) hiked Interest rate by 25 bps, 2nd consecutive hike. On Friday, the market rebounded which shows that in every decline investors are taking the opportunity to enter in fundamentally strong stocks. Earnings remained strong by heavyweights like Indiabulls Housing, ONGC, HDFC along with good microdata. For next week, GBPs GDP data, US oil inventories along with trade tariff war, oil prices, movement of rupee & earnings will be the key events to track.

This Weeks Market Highlights:

Benchmark Indices:

1. The benchmark indices started the week on a strong note as Sensex rose over 150 points while Nifty above 11,300.

2. Nifty PSU banks surged 4.3% followed by banking & financials, pharma & metal while IT index corrected 0.5%. The Nifty midcap index closed 20 points higher.

3. On Tuesday, the market continued uptrend for the 4th day to hit fresh high as Sensex rose 112 points while Nifty closed above 11,350.

4. On Wednesday, momentum came on equity indices came to a halt as Sensex fell 85 points & Nifty closed below 11,350 after RBI MPC hiked interest rate.

5. On Thursday, the market ended on a weak note as Sensex dipped 350 points while Nifty below 11,250, amid weak global cues.

6. Baring Nifty pharma & metal all sectoral indices closed in red led by banking, financials, auto, realty and IT. The Nifty midcap index closed tad higher, was up 21 points.

7. On Friday, Nifty reclaimed 11,300

Broader Index & Global Market:

- This week again broader market outperformed benchmark indices on strong earnings as Nifty midcap & smallcap both rises 2-3% against flat indices. On sectoral indices, Nifty pharma, FMCG, metal & IT rose 1.5-5% while auto, realty, banking & financials remained under selling pressure.

- Global market especially the US market remained under pressure while the European market along with Asian market remained under pressure as BoE hiked interest rate while the threat of trade war remained high. Crude oil prices eased a bit on the back of high production. Next week, several macro data from US and GBP will be presented along with US crude oil inventories data will also be presented.

Movers & Shakers

Aditya Birla Fashion & Retail Ltd. zoomed more than 20% this week after the company reported the net profit of Rs.60 million in June quarter (Q1FY19) against net loss of Rs.600 million last fiscal year on the back of strong operational performance. The company said the outlook for the year is positive as all of ABFRL major brands have a well-charted growth path.

Shares of Redington India Ltd. dipped over 15% after its net profit declined 32.08% to Rs.26.46 crore in the quarter ended June 2018 as against Rs.38.96 crore during the previous quarter ended June 2017. Sales rose 5.14% to Rs.3,570.55 crore in the quarter ended June 2018 as against Rs.3,395.99 crore during the previous quarter ended June 2017.

Key Market Drivers

RBIs Policy Review:-

RBI hikes Repo Rate by 25 bps to 6.50%, Reverse repo rate at 6.25%.

MPCs remains optimistic on GDP growth retained at 7.4% for FY19.

MFS, Bank rate adjusted at 6.75%.

RBI's Monetary Policy Committee maintains neutral stance.

Inflation is projected at 4.6% in Q2, 4.8% in H2 of 2018-19 and 5.0% in Q1.

Banks, NBFCs allowed to co-originate loans for priority sector.

The U.S. Federal Reserve kept interest rates unchanged on Wednesday but characterized the economy as strong, keeping the central bank on track to increase borrowing costs in September. The Fed said economic growth has been rising strongly and the job market has continued to strengthen while inflation has remained near the central banks 2% target since its last policy meeting in June when it raised rates. The Feds decision left its benchmark overnight lending rate in a range of 1.75% to 2.00%.

Event Watch

Indias Forex Reserve (USD) data will be on 10th August 2018.

Q1 FY19 Result:- M&M, HPCL, Eicher Motors, Bharat Forge, Divis Labs, Wockhardt, Arvind, Britannia, Max Financial, Adani Ports, Ujjivan Financial, Adani Enterprises, Mphasis, Edelweiss, PNB, NMDC, GNFC, MRF.

Global:- US Oil Inventories data will be on 8th August 2018 & Core CPI for July (YoY & MoM) data will be on 10th July 2018. GBP GDP for Q2 (QoQ & YoY) will be on 10th August 2018.

Stocks To Watch

Indiabulls Housing Finance Ltd. is on the upside while JK Lakshmi Cement Ltd. is on the downside.

Share Market News 02-August-2018.


Market Ends Lower For 2nd Day; Nifty Ends Below 11,250

The Benchmark indices opened on a lower note as Sensex fell over 100 points & Nifty slipped below 11,350. The equity market fell further as Sensex was down 200 points while Nifty below 11,300. Nifty pharma surged over 2% & FMCG traded in green while realty, IT, auto, banking & financials traded under selling pressure. The Nifty midcap index traded flat was down by 10 points.

In the afternoon session, the market continued to trade lower as Sensex dipped 250 points while Nifty struggled below 11,300. Nifty pharma & metal traded strong while banking & financials, realty, auto & IT traded lower. Nifty midcap index outperformed benchmark indices, was up 60 points.

In last hour of trade, the market slipped further as Sensex fell over 300 points while Nifty traded below 11,250 levels. The market ended the day on a weak note. Baring Nifty pharma & metal all sectoral indices closed in red led by banking & financials, auto, realty & IT. The Nifty midcap index closed ted higher, was up 21 points. Sensex closed 356.46 points down at 37,165.16, Nifty down by 101.50 points at 11,244.70.

Top Gainers

Lupin by 2.64% to Rs.866.50, Dr. Reddy by 2.26% to Rs.2,227, Power Grid by 1.98% to Rs.188.35, HindPetro by 1.77%to Rs.292.45, BPCL by 1.54% to Rs.402.10.

Top Losers

Kotak Bank by -2.61% to Rs.1,278.50, Bharti Airtel by -2.50% to Rs.372.45, Grasim by -2.40% to Rs.1,005.60, Maruti by -2.27% to Rs.9,129.40, M&M by -1.99% to Rs.911.25.

Analysis Of Top Gainer And Loser

Lupin is the top gainer in today's market as strong buying was seen in the stock. Also, in todays market pharma index remained strong.

Kotak Mahindra Bank is the top loser in today's market as some selling pressure was seen in the stock.

Key Market News

Revenue collection from Goods and Services Tax (GST) steadily rose to Rs.96,483 crore in the month of July, from Rs.95,610 crore in June, data released by the Finance Ministry showed. The rise in revenue has been accompanied with increased compliance, with 66 lakh tax assesses filing GSTR 3B or summary returns for the month of July, as compared with 64.69 lakh in June. Despite a rise in revenue collection in July, the mop-up is still lower than the governments monthly target of Rs.1 lakh crore. The 2018-19 budget estimate for GST collection is Rs.12 lakh crore.

The U.S. Federal Reserve kept interest rates unchanged on Wednesday but characterized the economy as strong, keeping the central bank on track to increase borrowing costs in September. The Fed said economic growth has been rising strongly and the job market has continued to strengthen while inflation has remained near the central banks 2% target since its last policy meeting in June when it raised rates. The Feds decision left its benchmark overnight lending rate in a range of 1.75% to 2.00%.

Stocks To Watch

Aditya Birla Fashion & Retail Ltd. is on the upside while Marico Ltd. is on the downside.

ABFRL is currently trading at Rs.174.85, up by Rs.20.50 or 13.28% from its previous closing of Rs.154.35 on the NSE. The scrip opened at Rs.152.50 & has touched a high & low of Rs.180.90 and Rs.148.50 respectively. So far 1,86,77,915 (NSE) shares were traded on the counter. The current market cap of the company is Rs.13,377.81 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.184.40 on 07-September-2017 & a 52 week low of Rs.132.10 on 19-July-2018.

Marico is currently trading at Rs.348.65, down by Rs.19.85 or 5.39% from its previous closing of Rs.368.50 on the NSE. The scrip opened at Rs.369.45 & has touched a high and low of Rs.370.35 & Rs.348.40 respectively. So far 68,61,034 (NSE) shares were traded on the counter. The current market cap of the company is Rs.45,296.43 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.374.75 on 27-July-2018 and a 52 week low of Rs.284.15 on 06-February-2018.

Share Market News 01-August-2018


Market Ends The Record Run After RBI Hikes Repo Rate; Nifty Below 11,350

The Benchmark indices started on a flat note as Sensex was up 30 points & Nifty hit fresh high 11,371. The equity market traded cautiously as Sensex fell over 50 points while Nifty below 11,350 ahead of MPC outcome. Nifty pharma & IT hold the market while bank, auto & realty dragged market. Nifty midcap index outperformed benchmark indices, traded 50 points higher.

In the afternoon session, the market continued to trade lower as Sensex was down 75 points while Nifty around 11,350 ahead of MPC outcome. Nifty pharma, media & IT witnessed strong buying while banking, metal & auto under selling pressure. The Nifty midcap index also erased gains, traded flat.

In last hour of trade, the market remained mix after RBI hikes Repo rate as Sensex was down 25 points while Nifty traded above the 11,350 mark. The market halt record highs after RBI MPC hikes rate by 25 bps to 6.50%. Nifty pharma, IT, FMCG & PSU bank rise 0.5-1.5% while banking & financials, auto & metal ended in red. Nifty midcap index outperformed benchmark indices, closed 28 points higher. Sensex closed 84.96 points down at 37,521.62, Nifty down by 10.30 points at 11,346.20.

Top Gainers

Coal India by 3.60% to Rs.270.50, Lupin by 2.38% to Rs.844.00, IOC by 2.34% to Rs.168.20, Infratel by 2.25%to Rs.293.10, Dr. Reddy by 2.22% to Rs.2,175

Top Losers

Hindalco by -2.53% to Rs.208.00, ICICI Bank by -2.38% to Rs.297.00, Maruti by -2.03% to Rs.9,327, VEDL by -1.91% to Rs.217.95, Tata Steel by -1.70% to Rs.553.50.

Analysis Of Top Gainer And Loser

Coal India is the top gainer in today's market after the state-run company is considering outsourcing coalbed methane production to global operators and will set aside Rs.3,000 crore to part-finance the initiative, company executives said.

Hindalco is the top loser in today's market as some sort of selling pressure was seen in the stock.

Key Market News

RBIs Policy Review:-

RBI hikes Repo Rate by 25 bps to 6.50%, Reverse repo rate at 6.25%

MPCs remains sanguine on GDP growth retained at 7.4% for FY19

MFS, Bank rate adjust at 6.75%

RBI's Monetary Policy Committee maintains neutral stance

Inflation is projected at 4.6% in Q2, 4.8% in H2 of 2018-19 and 5.0% in Q1,

Banks, NBFCs allowed to co-originate loans for priority sector.

Buoyed by an expansion in output of cement, refinery & coal, Indias infrastructure industries grew at a 7-month high of 6.7% in June, official data showed on Tuesday. Core sector had grown 4.3% in May 2018.

Growth in India's manufacturing industry slowed last month, largely pressured by a modest weakening in demand and output. The Nikkei Manufacturing Purchasing Managers' Index, compiled by IHS Markit, decreased to 52.3 in July from June's 53.1, below a Reuters' poll median of 53.0.

Stocks To Watch

JK Paper Ltd. is on the upside while Tata Global Beverages Ltd. is on the downside.

JK Paper is currently trading at Rs.140.20, up by Rs.13.95 or 11.05% from its previous closing of Rs.126.25 on the NSE. The scrip opened at Rs.135.10 & has touched a high & low of Rs.144.80 and Rs.132.75 respectively. So far 93,31,482 (NSE) shares were traded on the counter. The current market cap of the company is Rs.2,490.95 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.169.90 on 05-January-2018 & a 52 week low of Rs.88.70 on 11-August-2017.

Tata Global is currently trading at Rs.235.10, down by Rs.11.80 or 4.78% from its previous closing of Rs.246.90 on the NSE. The scrip opened at Rs.248.70 & has touched a high and low of Rs.254.95 & Rs.234.35 respectively. So far 1,32,72,609 (NSE) shares were traded on the counter. The current market cap of the company is Rs.14,888.35 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.328.75 on 15-January-2018 and a 52 week low of Rs.152.05 on 11-August-2017.

Share Market News 31-July-2018


Strong Earnings Help Sensex, Nifty Clock 2nd-Best Month Of 2018

The Benchmark indices opened on a lower note as Sensex fell 100 points & Nifty tested 10,300. The equity market extended losses as Sensex was down over 120 points while Nifty traded below 11,300. Nifty realty index rose over 2% followed by pharma & IT while banking & financials, metal & FMCG traded in red. Nifty midcap index outperformed benchmark indices, traded 32 points higher.

In the afternoon session, the market continued to trade lower as Sensex was down 70 points while Nifty hold above 11,300. Financials took a hit among sectoral indices along with metals & FMCG while energy, pharma and IT were the top gainers. Nifty midcap index continued to trade higher, was up 50 points.

In last hour of trade, the market gathered buying again as Sensex rose 50 points while Nifty traded well above 11,300 mark. The market continued their uptrend on 4th day to hit fresh high. Nifty IT, realty, pharma, metal, auto & FMCG index traded higher while banking & financials traded closed in red. Nifty midcap index outperformed benchmark indices, closed 75 points higher. Sensex closed 112.18 points up at 37,606.58, Nifty up by 36.95 points at 11,356.50.

Top Gainers

Tech Mahindra by 3.75% to Rs.680.00, Dr. Reddy by 3.04% to Rs.2,130, Reliance by 2.84% to Rs.1,184.15, Hindustan Unilever by 2.62%to Rs.1,733, Adani Ports by 2.60% to Rs.400.95.

Top Losers

Axis Bank by -3.77% to Rs.548.20, IBULHSGFIN by -3.34% to Rs.1,295.95, Eicher Motors by -2.79% to Rs.27,798, HDFC by -1.97% to Rs.1,988.80, Tata Motors by -1.46% to Rs.263.60.

Analysis Of Top Gainer And Loser

Tech Mahindra is the top gainer in today's market after on Monday reported 12.4% rise in consolidated net profit at Rs.897.9 cr. for Q1 FY19 as against Rs.798.6 cr. in the corresponding quarter of the last fiscal.

Axis Bank is the top loser in today's market as its net profit for Q1 FY19 fell 46.3% YoY to Rs.701 crore as against Rs.1,306 cr. in the same quarter of the last fiscal.

Key Market News

Indias fiscal deficit exceeded the halfway mark of its budgetary estimate 2 months into the new financial year. Fiscal deficit, the gap between the govt's revenue & expenditure, rose to Rs.3.45 lakh crore at the end of May, according to data released by the Controller General of Accounts. Thats 55.3% of the targeted Rs.6.24 lakh crore in 2018-19. The gap is lower than what it was in May last year, at 68.3% of the FY18 target, as the govt. had front-loaded expenditure to kickstart the investment cycle.

Oil prices fell on Tuesday, with Brent futures set for their biggest monthly loss in two years, on oversupply concerns after a report showed OPECs output in July rose to its highest for 2018. A Reuters survey showed the Organization of the Petroleum Exporting Countries (OPEC) increased production in July. OPEC hiked production by 70,000 barrels per day (bpd) to 32.64 million bpd, the most this year. The group has pledged to reduce the amount of oil output they are curtailing to offset the loss of Iranian supply as looming sanctions have already started to cut exports from OPECs third-largest producer.

Stocks To Watch

Bharat Electronics Ltd. is on the upside while Redington (India) Ltd. is on the downside.

BEL is currently trading at Rs.117.90, up by Rs.10.10 or 9.37% from its previous closing of Rs.107.80 on the NSE. The scrip opened at Rs.108.40 & has touched a high & low of Rs.119.65 and Rs.107.20 respectively. So far 2,57,07,218 (NSE) shares were traded on the counter. The current market cap of the company is Rs.28,252.30 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.193.40 on 29-November-2017 & a 52 week low of Rs.96.70 on 19-July-2018.

Redington is currently trading at Rs.107.65, down by Rs.16.80 or 13.50% from its previous closing of Rs.124.45 on the NSE. The scrip opened at Rs.125.00 & has touched a high and low of Rs.128.65 & Rs.106.60 respectively. So far 41,28,042 (NSE) shares were traded on the counter. The current market cap of the company is Rs.4,361.88 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.209.90 on 10-November-2017 and a 52 week low of Rs.102.30 on 29-June-2018.

Share Market News 30-July-2018


Sensex, Nifty Extend Record Closing Spree Led By ICICI Bank & RIL

The Benchmark indices clocked a fresh high in opening trade as Sensex rose 100 points & Nifty above 11,300. The equity market off days high as Sensex was up 40 points while Nifty near 11,300. Nifty PSU bank surged over 3% followed by pharma, metal while IT, auto & financials witnessed some selling pressure. The Nifty midcap index gave all opening gains, was down 45 points.

In the afternoon session, the market traded higher as Sensex rose 130 points while Nifty traded above the 11,300 mark. Baring IT index all sectoral indices traded in green led by PSU bank which rose 4.5% followed by pharma, metal, auto & FMCG. The Nifty midcap index also edged higher, rose 40 points.

In last hour of trade, the market continued to trade at fresh high as Sensex surged 175 points while Nifty above 11,300. The market started the week on a strong note. Nifty PSU bank surged 4.3% followed by banking & financials, pharma & metal while IT index corrected over half a percent. Nifty midcap index underperformed benchmark indices, closed 20 points higher. Sensex closed 157.55 points up at 37,494.40, Nifty up by 41.20 points at 11,319.55.

Top Gainers

Bharti Airtel by 5.68% to Rs.385.40, ICICI Bank by 4.88% to Rs.307.50, SBIN by 3.40% to Rs.296.50, Axis Bank by 2.85%to Rs.569.00, Ultratech Cement by 2.80% to Rs.4,240.

Top Losers

HDFC Bank by -1.70% to Rs.2,164.70, Infosys by -1.63% to Rs.1,351, HCL Tech by -1.61% to Rs.947.95, HDFC by -1.53% to Rs.2,016, Bajaj Finance by -1.46% to Rs.2,674.10.

Analysis Of Top Gainer And Loser

Bharti Airtel is the top gainer in today's market after the company posted surprise profit in Q1 earnings last week as brokerages gave thumbs up.

HDFC Bank is the top loser in today's market as some profit booking was seen in the stock ahead of the fundraising plan.

Key Market News

The Reserve Bank of India (RBI) is likely to maintain status quo on the key interest rate on Wednesday notwithstanding elevated oil prices and govt.s announcement to steeply hike minimum support price for Kharif crops, say experts. The central bank had increased the benchmark short term lending rate (repo rate) by 0.25% to 6.25% in its last monetary policy review in June on inflationary concerns. RBI governor Urjit Patel-headed monetary policy committee (MPC) will begin its 3-day deliberations on Monday in Mumbai to decide on the interest rate. The decision of the second bi-monthly monetary policy review of 2018-19 will be made public on the afternoon of August 1.

Growth in Chinas factory sector is expected to have slowed for a second month in July amid softer domestic investment and as the worsening trade dispute with the United States clouds the outlook for external demand. The official manufacturing Purchasing Managers Index (PMI) is expected to fall to 51.3 in July from 51.5 in June, according to the median forecast of 28 economists in a Reuters poll. The 50-mark divides expansion from contraction on a monthly basis.

Stocks To Watch

Bank of Baroda Ltd. is on the upside while Max Financial Services Ltd. is on the downside.

Bank of Baroda is currently trading at Rs.152.15, up by Rs.14.30 or 10.37% from its previous closing of Rs.137.85 on the NSE. The scrip opened at Rs.149.00 & has touched a high & low of Rs.153.30 and Rs.144.65 respectively. So far 6,97,16,569 (NSE) shares were traded on the counter. The current market cap of the company is Rs.40,145.71 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.206.65 on 26-October-2017 & a 52 week low of Rs.109.50 on 02-July-2018.

Max Financial is currently trading at Rs.478.75, down by Rs.16.50 or 3.33% from its previous closing of Rs.495.25 on the NSE. The scrip opened at Rs.499.40 & has touched a high and low of Rs.499.40 & Rs.463.35 respectively. So far 12,23,710 (NSE) shares were traded on the counter. The current market cap of the company is Rs.12,887.98 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.652.90 on 19-September-2017 and a 52 week low of Rs.403.25 on 05-July-2018.

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ABOUT AUTHOR

Niveza Editorial Desk : We are a team of stock market nerds trying to stay ahead of the herd. We spend our grey cells everyday to a pave a smooth road for our clients in the shaky world of stock market. While tracking the mood swings of the market we bring our clients the most rewarding deals.

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