Financials lead in Sensex's 522-pt rally; Nifty ends 153 pts up at 9,979

All that happened in the markets today

Shrugging off Moody's downgrade of India's long-term sovereign rating, the domestic equity market ended with decent gains on Tuesday, though the session remained rangebound. Moreover, strong global cues and reassurance by Prime Minister Narendra Modi, in an address to India Inc at the CII's 125th annual session, that India will return to growth, boosted sentiment further. 

The benchmark S&P BSE Sensex rallied 522 points or 1.57 per cent to 33,825.53 levels, thanks to buying in financial counters such as HDFC, HDFC Bank, ICICI Bank, Bajaj Finance, Axis Bank.

NSE's Nifty ended at 9,979, up 153 points or 1.56 per cent. Volatility index, India VIX, slipped nearly 2.5 per cent to 29.99 levels. 

Sectorally, barring Nifty FMCG index, all the indices on the NSE ended in the green. Nifty Realty index gained the most - up nearly 5 per cent to 194.75 levels while Nifty Media ended at 1,259.40, up 3.28 per cent. Nifty FMCG index, on the other hand, slipped over 0.7 per cent to 29,360 levels. 

In the broader market, the S&P BSE MidCap index ended at 12,303, up over 1 per cent while the S&P BSE SmallCap index climbed 1.83 per cent to 11,428.41 levels.

Global markets

World stocks climbed towards three-month highs on Tuesday as the global coronavirus recovery effort won out over US-China tensions and the worst civil unrest in the United States in decades.

In Asia, Japan’s Nikkei rose 1.2 per cent to its highest since late February in Asia and markets in Seoul, Taipei and Hong Kong also gained.

European stocks hit their highest levels since early March, with German stocks outperforming as carmakers rallied on hopes of stimulus and Lufthansa gained after its board approved a state bailout.

In commodities, oil prices rose on expectations that major producers would agree to extend output cuts that have shored up prices, during a video conference likely to be held this week.

Gold prices, on the other hand, held on to last session’s more than one-week high. 

(With inputs from Reuters)

4:06 PM

MARKET COMMENT:: Vinod Nair- Head of Research- Geojit Financial Services

Indian markets shrugged off news regarding Moody’s credit rating downgrade, which was trumped by the expectation of the economy opening up. The government has again reiterated its commitment to continued reforms to strengthen the economy. The uptrend in most major sectoral indices continued while the broader markets have also participated. Inspite of many possible negative triggers, positive sentiment still drives the markets and would advise to stick to quality stocks.

 

3:42 PM

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

3:36 PM

CLOSING BELL

The S&P BSE Sensex rallied 522 points or 1.57 per cent to end at 33,826 while Nifty settled at 9,979, up 153 points or 1.56 per cent.

3:27 PM

TCS, Pidilite, MCX, EID Parry: 42 stocks that are 10% away from 52-wk highs

With 127 stocks in Nifty500 index trading above the 200-day moving average (DMA), the positive momentum is likely to continue as Nifty50 moves towards 10,000 levels. Of 127 stocks, 15 have shown extreme bullishness hitting a new lifetime high in the recent sessions. The list includes names such as Deepak Nitrite, which showed reversal at the 50-weekly moving average. Coromandel International has a double bottom formation on the monthly chart, while Dixon Technologies (India) and J B Chemicals and Pharmaceutical exhibited strong buying around 200-DMA. READ MORE  

3:19 PM

BUZZING STOCK:: Ramco Cements gains 5.5%

3:12 PM

BUZZING STOCK:: Tata Motors up 8%

3:07 PM

AT1 bonds are risky but back on investor radar after YES Bank episode

AT1 bonds are hybrid instruments and pay a slightly higher rate of interest compared to similar non-perpetual bonds. Banks have the right but not the obligation to pay back the principal after exercising a call option.

 

AT1 bonds fell out of favour in March when YES Bank when the central bank took control of the private lender. The rise in risk-off sentiment and concerns that such bonds could be written off led individual and institutional investors to dump such bonds. This led to a spike in yields. State Bank of India AT1 bonds, for instance, traded at close to 10 per cent in April. READ MORE

3:01 PM

Despite moratorium, rural recoveries on rise for microfinance institutions

According to MFIs, the recoveries from rural areas in May were higher by 10-20 per cent compared to that in urban areas.

 

A majority of MFI borrowers have the option to avail moratorium till the end of August. READ MORE

2:55 PM

MARKET UPDATE:: 411 stocks locked in upper circuit on the BSE today

-- The list includes Shoppers Stop, IFCI, Maharashtra Scooters, Bombay Dyeing, GHCL, KEI Industries, HEG, KRBL, and Delta Corp, among others

2:52 PM

NEWS ALERT :: Affirms PNB's rating at Ba1, outlook revised fom positive to stable

2:49 PM

NEWS ALERT :: Moody's downgrades HDFC Bank, SBI to Baa3 from Baa2

>> Puts long-term ratings of Bank of Baroda, Canara Bank, United Bank, Bank of India under review for downgrade

(As reported by CNBC TV18)

2:43 PM

Stocks that hit 52-week high on BSE today

COMPANY	PRICE(rs)	52 WK HIGH	CHG(%)
ADANI GREEN	273.20	273.20	5.00
AUROBINDO PHARMA	731.50	757.10	0.81
BIOCON	385.05	395.90	-0.16
BRITANNIA INDS.	3458.70	3479.55	0.67
CIPLA	640.70	658.25	-0.21

2:36 PM

INDEX LOSER:: Maruti slips nearly 2.5%

2:28 PM

MARKET UPDATE:: Nifty gains 143 points, near 10,000 levels

2:20 PM

NEWS ALERT | Met Dept says deep depression in Arabian Sea turns into cyclone Nisarga: CNBC TV18