Markets Getting Ready For A Rally
Nov 16, 2018 | 15:58 PM IST
Nov 16, 2018 | 15:58 PM IST
Our Analysis
This week market consolidated between 10,400 to 10,650 due to lack of domestic positive news & due to technical resistance. Though the fall of crude oil price below $65/ barrel because of the oversupply but as OPEC decided to cut the daily production, the price of crude oil reversed. Rupee headed for a second-week gain in three on renewed inflows into the nation's stocks and bonds. Also tension between RBI & Central Government not helping the market sentiment. Domestic data also not been favourable as WPI widened & Fiscal deficit increased. Market expected to remain volatile & for rally market need to close above 10,700. RBI meeting, state election voting, rupee movement, crude oil price will be an event to watch next week.
This Weeks Market Highlights:
Benchmark Indices:
1. Last hour selling ended market at days low to start the week as Sensex fall 346 points while Nifty ended below 10,500.
2. Among sector, auto, PSU bank, metal, pharma & energy stocks were among the major losers while IT closed higher. The Nifty midcap index closed 166 points lower.
3. On Tuesday buying in 2nd half helped benchmark indices to close higher as Sensex surged 332 points while Nifty closed near 10,600.
4. In terms of sectors, energy, infra, metals, private banks & auto were top gainers, while pharma & realty space top losers. The nifty midcap index closed 0.33% higher.
5. On Wednesday equity indices ended the rangebound session on a flat note as Sensex fall 2 points while Nifty hold above 10,550.
6. On Thursday market ended at over 1-month high as Sensex rose 119 points while Nifty closed above 10,600 led by private lenders.
7. On Friday market extended rally, Nifty well above 10,600 led by IT & Reliance.
Broader Index & Global Market:
- This week broader market traded inline with the market as Nifty midcap & smallcap index remained flat. On sectoral space Nifty banking & financials, energy & PSU bank index only outperformed the market while IT, pharma, media, realty, metal, FMCG index remained flat or corrected.
- This week US market continued to slide for 5th but end on Thursday on expectations of easing in US-China trade tension. European market reversed course after the resignation of UK Brexit secretary Dominic Raab sparked a series of resignations by other ministers. Asian market remained mix due to trade war tension, fall in crude oil price. OPEC meeting, US services, manufacturing & Markit composite PMI, Dollar movement & Crude oil price will be an event to watch.
Movers & Shakers
Shares of Jet Airways (India) Ltd. surged over 30% this week after reports emerged that Tata Sons is in pursuit of a controlling stake in the debt-laden carrier. News agency Reuters, citing people aware of the talks, reported that Tata is weighing up the economic viability of a deal which would make it Jet Airways' decision-maker, necessitating the departure of the airline's founder, Naresh Goyal.
Shares of Yes Bank dipped over 15% this week after Ashok Chawla, the banks non-executive chairman, stepped down on Wednesday. The bank said Chawla has tendered his resignation as he felt the private lender would need a chairman who could devote more time and attention while chief executive Rana Kapoor is on his way out while OP Bhatt resigns as an expert of search & selection panel.
Key Market Drivers
Inflation based on WPI rose to a four-month high of 5.28% in October, mainly due to a spike in petrol & diesel prices, even as food prices softened. The WPI based inflation stood at 5.13% in September & 3.68% in October last year.
Indias exports rose sharply in October as a weaker rupee provided a competitive edge, but equally strong growth in imports widened the trade deficit. Exports grew 17.9% to $26.98 billion last month from $22.89 billion a year earlier, data released by the commerce department showed. Imports climbed 17.6% to $44.11billion, yielding a trade deficit of $17.13 billion.
Event Watch
RBI Board to Meeting will be on 19th November 2018. Chhattisgarh 2nd phase Voting will be on 20th November 2018.
Global:- US Services PMI, Manufacturing PMI, Markit Composite PMI. OPEC meeting will be on 20th November 20
Stocks To Watch
Shilpa Medicare Ltd. is on the upside while PC Jeweller Ltd. is on the downside.
Share Market News 15-November-2018
Market Gains Momentum Again, Nifty Reclaims 10,600
The Benchmark indices witnessed flat start as Sensex rose 5 points & Nifty traded above 10,550. The equity market extended gains as Sensex rose over 100 points while Nifty above 10,600. Buying interest in IT, FMCG, auto & realty helped market trade higher while Nifty pharma & media traded lower. Nifty midcap index underperformed the market, though traded 20 points higher.
In the afternoon session market surged further as Sensex gained over 200 points while Nifty above 10,600. Surged in banking & financials, IT, realty, auto & metal stocks pushed the market higher while FMCG & media index traded lower. The Nifty midcap index also traded inline with frontline indices, traded 0.60% higher.
In the last hour of trade market remained higher as Sensex was up 190 points while Nifty above 10,600. The market ended on a positive note though were off days high. Except FMCG all other sectoral indices ended in green led by banking & financials, auto, metal & realty helped market close higher. Nifty midcap index outperformed frontline indices frontline indices, closed half a percent higher. Sensex closed 118.55 points up at 35,260.54, Nifty up by 40.40 points at 10,616.70.
Top Gainers
Adani Ports by 4.28% to Rs.346.20, Titan by 3.29% to Rs.921.55, Eicher Motors by 2.93% to Rs.23,920, Kotak Mahindra Bank by 2.77%to Rs.1,161.15, Hero Motocorp by 2.53% to Rs.2,919.70.
Top Losers
Grasim by -8.02% to Rs.806.10, Yes Bank by -7.42% to Rs.205.90, IBULHSGFIN by -4.33% to Rs.803.00, NTPC by -2.41% to Rs.153.55, Bharti Infratel by -2.02% to Rs.254.80.
Analysis Of Top Gainer And Loser
Adani Ports & Special Economic Zone Ltd. is the top gainer in today's market as good buying was seen in the stock.
Grasim is the top loser in today's market after it reported surprise loss in second quarter of the current financial year after paying a one-time non-cash exceptional item worth Rs.2,003 crore against Rs.525 crore profit in the year-ago period.
Key Market News
The government & the RBI will work towards ways to provide relief on liquidity-related issues for NBFCs. Further plans to devise simpler lending norms for MSMEs at the latter's board meeting that is scheduled to be held on November 19, a top government official said. Apart from this, there could be discussions pertaining to the Prompt Corrective Action (PCA) framework prescribed by the RBI for relaxing capital adequacy norms for domestic banks.
Oil rose, ending its 12-day run of declines amid signals that OPEC-allied producers are considering production cuts as soon as next year. Futures in New York clung to gains Wednesday, even as the industry-funded American Petroleum Institute was said to report that US crude stockpiles rose by 8.79 million barrels last week. OPEC & its partners are said to be discussing a deeper than anticipated output cut. Cartel President Suhail Al Mazrouei said Wednesday that supplies will be curtailed as needed to balance the market.
Stocks To Watch
Jet Airways (India) Ltd. is on the upside while Vodafone Idea Ltd. is on the downside.
Jet Airways is currently quoting at Rs.326.00, up by Rs.68.10 or 26.41% from its previous closing of Rs.257.90 on the NSE. The scrip opened at Rs.271.00 & has touched a high & low of Rs.335.00 and Rs.263.60 respectively. So far 4,77,31,670 (NSE) shares were traded on the counter. The current market cap of the company is Rs.3,645.91 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.883.45 on 05-January-2018 & a 52 week low of Rs.162.80 on 01-October-2018.
IDEA is currently quoting at Rs.37.00, down by Rs.4.40 or 10.63% from its previous closing of Rs.41.40 on the NSE. The scrip opened at Rs.40.15 & has touched a high & low of Rs.40.50 and Rs.36.25 respectively. So far 5,68,65,306 (NSE) shares were traded on the counter. The current market cap of the company is Rs.32.189.90 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.118.90 on 05-January-2018 & a 52 week low of Rs.32.55 on 08-October-2018.
Share Market News 14-November-2018
Market End Choppy Session On A Flat Note, Nifty Closed Below 10,600
The Benchmark indices off to a strong start as Sensex rose over 150 points & Nifty above 10,600 on rupee appreciation & fall in crude oil prices. The equity market off days high as Sensex was up 40 points while Nifty holds 10,600. Nifty IT & pharma index fall 1-3% while banking & financials, auto, media & FMCG traded higher. Nifty midcap index outperformed the market, traded 50 points higher.
In the afternoon session market remained positive as Sensex was up 50 points while Nifty below 10,600. Nifty banking & financials, energy, FMCG, media index traded higher while IT, pharma & realty index remained lower. Broader market continued to outperform frontline indices, traded 50 points higher.
In the last hour of trade market traded flat to negative as Sensex was down 40 points & Nifty below 10,600. The market ended the rangebound session on a flat note. Nifty IT, pharma, auto, realty & metal ended with 1-3% cut while energy, banks especially PSU bank, financials & FMCG ended on a positive note. Nifty midcap & smallcap index also ended in line with frontline indices, closed 6 points lower. Sensex closed 2.50 points down at 35,141.99, Nifty down by 6.20 points at 10,576.30.
Top Gainers
HindPetro by 4.04% to Rs.242.20, BPCL by 3.60% to Rs.314.05, UPL by 3.05% to Rs.759.00, Maruti Suzuki by 2.79%to Rs.7,350.20, IOC by 2.69% to Rs.145.20.
Top Losers
Sun Pharma by -7.29% to Rs.520.80, Tech Mahindra by -3.58% to Rs.702.00, GAIL by -3.52% to Rs.352.50, Kotak Mahindra Bank by -3.51% to Rs.1,125, HCL Tech by -3.50% to Rs.997.00.
Analysis Of Top Gainer And Loser
Hindustan Petroleum Corporation Ltd. is the top gainer in today's market after crude fell the most in over three years to $64.61, its lowest level in since March 2018. OPEC warned demand for its crude is falling faster than expected.
Sun Pharma is the top loser in today's market after it reported a loss in September quarter against the expectation of a profit of Rs.1,045 crore. The company posted an unexpected net loss of Rs.219 crore against the Rs.912 crore profit reported in the year-ago period. Exceptional loss of Rs.1,214 crore due to antitrust litigation.
Key Market News
Inflation based on wholesale prices rose to a four-month high of 5.28% in October, mainly due to a spike in petrol & diesel prices, even as food prices softened. Analysts polled by Bloomberg expected inflation to come in at 4.93%. The Wholesale Price Index (WPI) based inflation stood at 5.13% in September & 3.68% in October last year. According to the government data released Wednesday, food articles witnessed softening of prices with deflation at 1.49% in October, against 0.21% September.
Oil showed little sign of recovering from its unprecedented decline as investors flee a market hammered by swelling supplies and a darkening demand outlook. Futures in New York were little changed after plunging 7.1% in the previous session in the biggest one-day drop in more than 3 years. OPEC warned demand for its crude is falling faster than expected, underlining why Saudi Arabia & some other members are signaling output cuts. Still, President Trumps exhorting that the group shouldnt cut output is stoking concerns producers may not change course to prevent a glut.
Stocks To Watch
InterGlobe Aviation Ltd. is on the upside while Ashok Leyland Ltd. is on the downside.
INDIGO is currently quoting at Rs.1,048.15, up by Rs.73.25 or 7.51% from its previous closing of Rs.974.90 on the NSE. The scrip opened at Rs.1,000 & has touched a high & low of Rs.1,062 and Rs.999.45 respectively. So far 37,41,606 (NSE) shares were traded on the counter. The current market cap of the company is Rs.40,308.90 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.1,520 on 20-April-2018 & a 52 week low of Rs.691.00 on 09-October-2018.
Ashok Leyland is currently quoting at Rs.106.60, down by Rs.12.40 or 10.42% from its previous closing of Rs.119.00 on the NSE. The scrip opened at Rs.113.40 & has touched a high & low of Rs.114.00 and Rs.106.00 respectively. So far 9,75,13,684 (NSE) shares were traded on the counter. The current market cap of the company is Rs.31,292.72 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.167.50 on 08-May-2018 & a 52 week low of Rs.101.65 on 05-October-2018.
Share Market News 13-November-2018
Sensex, Nifty Rally In Afternoon Trade To Erase Most Of Yesterdays Loss
The Benchmark indices off to a negative start on Tuesday as Sensex fall 100 points & Nifty below 10,450. The equity market remained lower as Sensex was down 70 points while Nifty above 10,450 on weak Asian cues. All sectoral indices traded in red led by banking & financials especially PSU bank, pharma, FMCG & media. Nifty midcap index underperformed the market, traded 1.25% lower.
In the afternoon session market turned positive as Sensex rose 100 points while Nifty back above 10,500. Buying in FMCG, private banks, IT & metal pushed the market higher while PSU bank, pharma, realty & media remained lower. Broader market continued to underperform the market, was down half a percent.
In the last hour of trade market extended gains as Sensex surged 250 points while Nifty above 10,550. Buying in the second half helped the market to close higher. In terms of sectors, energy, infra, metals, private banks & auto were the top gainers, while a pain was seen in the pharma & realty space. Nifty midcap & smallcap index underperformed the market, though closed one-third of a percent higher. Sensex closed 331.50 points up at 35,144.49, Nifty down by 100.30 points at 10,582.50.
Top Gainers
Eicher Motors by 6.23% to Rs.23,300, IOC by 4.44% to Rs.141.05, BPCL by 3.95% to Rs.302.70, HindPetro by 3.29%to Rs.232.45, NTPC by 3.01% to Rs.157.40.
Top Losers
Sun Pharma by -4.75% to Rs.561.50, Tata Motors by -3.65% to Rs.179.25, IBULHSGFIN by -2.68% to Rs.842.05, PowerGrid by -1.05% to Rs.184.00, Cipla by -0.82% to Rs.527.50.
Analysis Of Top Gainer And Loser
Eicher Motors is the top gainer in today's market as entire workforce at Royal Enfield Oragadam facility reported to work today, bringing an end to the strike, effective November 13, 2018. Though the quarterly number missed expectations due to costlier raw materials & higher employee benefits.
Sun Pharma is the top loser in today's market ahead of its results announcement. A strong selling pressure was seen in the stock due to weak expectations of the number because of one of the loss.
Key Market News
Indias retail inflation grew 3.31% in October compared to 3.77% in September, driven by a relatively slower rate of increase in food and fuel prices. Retail inflation, measured by Consumer Price Index (CPI), stood at 3.28% in September last year. According to central banks latest estimate, retail inflation is projected at 3.7% in the July-September quarter, 4.8% in the January-March quarter and 3.8-4.5% during October-March of FY19. The core CPI for October was at 6.2% versus 5.8% in September. Fuel and light inflation for October was at 8.55% compared to 8.47% month on month.
Indias industrial production grew 4.5% in September as against 4.3% in August, data released by the statistics office on November 12 showed. Factory output, measured by the IIP, is the closest approximation for measuring economic activity in the country's business landscape. Manufacturing sector output, which accounts for more than three-fourths of the entire index, was unchanged at 4.6%.
Stocks To Watch
NCC Ltd. is on the upside while Allahabad Bank Ltd. is on the downside.
NCC is currently quoting at Rs.89.60, up by Rs.6.80 or 8.21% from its previous closing of Rs.82.80 on the NSE. The scrip opened at Rs.82.50 & has touched a high & low of Rs.90.50 and Rs.82.00 respectively. So far 2,80,97,876 (NSE) shares were traded on the counter. The current market cap of the company is Rs.5,399.81 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.141.40 on 10-January-2018 & a 52 week low of Rs.63.25 on 26-October-2018.
ALBK is currently quoting at Rs.38.30, down by Rs.3.35 or 8.04% from its previous closing of Rs.41.65 on the NSE. The scrip opened at Rs.42.00 & has touched a high & low of Rs.42.40 and Rs.35.45 respectively. So far 3,42,54,361 (NSE) shares were traded on the counter. The current market cap of the company is Rs.3,950.14 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.82.00 on 17-November-2017 & a 52 week low of Rs.33.15 on 09-October-2018.
Share Market News 12-November-2018
Market Log Their Worst Decline In 2-Weeks, Nifty Closed Below 10,500
The Benchmark indices started on a positive note as Sensex rose over 100 points & Nifty above 10,600. The equity market erased most gains as Sensex was down 20 points while Nifty below 10,600. Correction in PSU bank, auto, energy media & realty index dragged market while IT, pharma traded higher. Nifty midcap index underperformed the market, traded 37 points lower.
In the afternoon session market fall further as Sensex fall 150 points while Nifty fall below 10,550. Baring Nifty IT index all sectoral indices traded in red led by auto, PSU bank, realty, metal & media. Broader market underperformed frontline indices, led by Nifty midcap index, traded 0.75% lower.
In the last hour of trade market extended losses as Sensex was down 250 points while Nifty near 10,500. Last hour selling ended market nearly at the lowest point of the day. Among the sector, auto, PSU bank, metal, pharma, infra, and energy stocks were among the major losers while IT index closed higher. Nifty midcap & smallcap index also corrected inline with major indices, closed 166 points lower. Sensex closed 345.56 points down at 34,812.99, Nifty down by 103.00 points at 10,482.20.
Top Gainers
Titan by 5.99% to Rs.898.40, TechM by 2.37% to Rs.723.95, Tata Steel by 1.93% to Rs.583.25, KotakBank by 1.54%to Rs.1,153, HCL Tech by 1.08% to Rs.1,039.05.
Top Losers
HindPetro by -7.17% to Rs.224.00, Tata Motors by -4.58% to Rs.186.30, IOC by -4.55% to Rs.135.20, Hero Motocorp by -4.15% to Rs.2,834, Hindalco by -4.06% to Rs.229.10.
Analysis Of Top Gainer And Loser
Titan is the top gainer in today's market company after its profit rose at the slowest pace in 2 years & missed estimates. Net profit up 3% at Rs.314 crore. Net sales up 26% at Rs.4,406 crore. Deutsche Bank Research has maintained Buy ratings, hiked price target to Rs.1,100 from Rs.1,050.
HindPetro is the top loser in today's market on the back of higher crude oil prices. Saudi Arabia has announced supply cuts in December and that is making investors take a bearish bet on these names today.
Key Market News
Oil prices rose by about 1% on Monday after top exporter Saudi Arabia announced a cut in supply for December, seen as a measure to halt a market slump that had seen a crude decline by 20% since early October. According to the energy minister of Saudi Arabia, it plans to reduce oil supply to world markets by 0.5 million barrels/ day in December.
Indias Finance Minister Arun Jaitley on Sunday said minimizing bad loans alone can ensure adequate credit flow to small businesses and the troubled NBFCs and also help take care of the liquidity concerns in the market, signaling a thaw in its fraught ties with the Reserve Bank. Interestingly, the latest statement from the finance minister is, in fact, aligns with the RBI's resolve on the issue which has been doggedly pressing for action on high NPAs. The apex bank has also been averse to government demand for special dispensations for SMEs, NBFCs and the power sector to help boost growth ahead of the April-May hustings.
Stocks To Watch
Wockhardt Ltd. is on the upside while Oriental Bank of Commerce Ltd. is on the downside.
Wockhardt is currently quoting at Rs.564.50, up by Rs.43.15 or 8.28% from its previous closing of Rs.521.35 on the NSE. The scrip opened at Rs.527.00 & has touched a high & low of Rs.578.45 and Rs.527.00 respectively. So far 78,48,371 (NSE) shares were traded on the counter. The current market cap of the company is Rs.6,289.74 Crore. The NSE/BSE group stock has touched a 52 week high of Rs.1,012 on 08-January-2018 & a 52 week low of Rs.437.45 on 26-October-2018.
Oriental Bank is currently quoting at Rs.79.65, down by Rs.7.90 or 9.02% from its previous closing of Rs.87.55 on the NSE. The scrip opened at Rs.88.05 & has touched a high & low of Rs.88.05 and Rs.79.50 respectively. So far 93,81,494 (NSE) shares were traded on the counter. The current market cap of the company is Rs.5,055.81 Crore. The BSE/NSE group stock has touched a 52 week high of Rs.136.35 on 25-January-2018 & a 52 week low of Rs.58.00 on 09-October-2018.
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