Sensex gains 257 pts, ends above 49K; Nifty holds 14,800; Nifty Metal up 5%

Stock market updates: Firm global cues and healthy corporate earnings back home helped domestic equity indices to settle higher for third straight day on Friday. In Europe, stocks hit a record high as strong economic data from Germany and other major economies as well as upbeat earnings underpinned hopes of a swift economic recovery from the pandemic.

The pan-European STOXX 600 index rose 0.3 per cent while the German DAX rose 0.9 per cent. France's CAC 40 hit its highest level since November 2000 and the UK's FTSE 100 breached the 7,100 mark for the first time since February 2020.

Earlier in Asia, the Nikkei share average ticked up 0.09 per cent while the broader Topix rose 0.29 per cent. South Korea's Kospi added 0.6 per cent and Australia's S&P/ASX200 index gained 0.3 per cent.

Domestically, the frontline indices gained little over 0.5 per cent as volatility gauge, India VIX, eased 5.5 per cent, propelled largely by metal stocks. The Nifty Metal index advanced 5 per cent on the NSE while all other sectoral indices clocked gains between 0.04 per cent and 1 per cent. The Nifty PSU Bank index was the only loser, down 0.14 per cent.

Against this backdrop, the benchmark Nifty50 shut shop at 14,823 levels, up 98 points. On the BSE, the 30-share Sensex index closed 257 points higher at 49,206 levels.

Individually, Tata Steel, Hindalco, JSW Steel, Adani Ports, SBI Life, M&M, and HDFC were the top Nifty gainers of the day while Tata Consumer Products, Bajaj Auto, Hero MotoCorp, Bajaj Finance, and Eicher Motors declined up to 3.5 per cent.

Trading in the broader markets, however, remained mixed. The S&P BSE MidCap index dipped 0.04 per cent while the SmallCap index ended 0.15 per cent higher.

Buzzing stocks

Shares of Tata Steel moved higher by 8 per cent to Rs 1,185, their fresh record high on the BSE, in intra-day trade on Friday. The stock has gained 11 per cent in the past two trading days after the company reported its best-ever performance across metrics such as revenue, Ebitda, and net profit (excluding exceptional items). With the past two days' gain, Tata Steel has now rallied 97 per cent since the Finance minister presented the Union Budget 2021-22 on February 1. READ MORE

Shares of SBI Life Insurance rallied 7 per cent to hit a record high of Rs 1,040 on the BSE in intra-day trade on Friday after more than 40 million shares or 4 per cent equity of the insurance company changed hands via block deals. The stock surpassed its previous high of Rs 1,030 touched on October 30, 2019. READ MORE

Vedanta shares rallied 7 per cent and hit a three-year high of Rs 287.50 on the BSE in intra-day trade on Friday on healthy and improving operating performance, supported by stable volume across business segments and increased commodity prices. The stock was trading at its highest level since May 2018. Vedanta was trading higher for the fourth straight day, surging 12 per cent in that period. READ MORE

Shares of Tata Consumer Products dipped 6 per cent to Rs 614.25 on the BSE in the intra-day trade on Friday after the company reported a per cent rise in its consolidated earnings before interest, taxes, depreciation, and amortization (Ebitda) at Rs 317 crore for the quarter ended March 2021 (Q4FY21). Ebitda margin, too, contracted by 253 basis points (bps) to 10.44 per cent from 12.97 per cent in Q4FY20. READ MORE

  

4:43 PM

TECH VIEW :: Ashis Biswas, Head of Technical Research at CapitalVia Global Research

The market witnessed extension in the trend that started yesterday after breaching the important level of 14700.The rally MIGHT continue till the level of 14900. Though it is subject to further price action but if the market breaks the level of 14900 and sustains above the level a new bullish rally will take place till the levels of 15200.the momentum indicators like RSI and MACD support the upside move and indicate potential upside from the current market level.

4:34 PM

MARKET CLOSING COMMENT :: Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Sec

Since the last few weeks, on a weekly closing of the market, the Nifty/Sensex failed to sustain at higher levels. The market breadth was healthy when it opened but due to some profit-taking in financials, Auto and Technology companies, the Nifty closed at opening levels. It has formed an indecisive formation on a daily chart, however, on a weekly basis, Nifty/Sensex gained 400/1200 points from the lowest levels. The positive part of the week that the Nifty-50 closed above the crucial resistance of 14800/49000.  Based on it, Nifty/Sensex would climb to a minimum of 15000/15050 levels.  However, the market would pick up the momentum, if it crosses 15150 levels. On the downside, 14600 and 14500 would be major supports. The bank-nifty closed below the psychological barrier of 33000 that would keep the financial sector selective. During the week, the FIIs sold heavily in the cash segment to the tune of 5500 crores that should reverse immediately otherwise it would minimize the upside for the market. In the coming week, again our focus should be on metals and pharmaceuticals stocks. From the defensive, we prefer the technology sector over the FMCG sector

4:20 PM

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

Market opened with a gap up tracking heavyweights gains and was able to maintain its optimism to the end, supported by the global market. Global bourses were largely positive as easing restrictions on movement in the US & Europe along with the expectation of better US job data signalled a faster economic rebound in the western markets. Metals stocks are continuing its upbeat movement on improved sectoral outlook while mid-cap stocks underperformed their peers

4:11 PM

MARKET RECAP :: S Ranganathan, Head of Research at LKP Securities

Metals fired up yet again to pull Indices up with support from key Pivotal. The broader markets witnessed buying interest in Mortgage companies post good earnings from HDFC. Profit Taking was witnessed in few high-quality Midcaps in Today's Trade

4:08 PM

Markets this week

Top gainers: Tata Steel (7.4%), Bharti Airtel (5.9%), Adani Ports (5.26%), Hindalco (3.9%), JSW Steel (3.7%)

Top losers: Tata Consumers (6%), RIL (3.15%), Titan (3.03%), Cipla (3.02%), PowerGrid (2.5%)

4:04 PM

Markets this week :: Market rises for 3 consecutive weeks for the first time since early January

Sensex, Nifty & Midcap Index gain 1% each

Nifty Bank up 0.4%

 

Nifty Metal Gains 10%

4:02 PM

BSE Snapshot :: 274 scrips hit 52-week highs today

3:59 PM

BSE Snapshot :: Top losers of the day

3:58 PM

BSE Snapshot :: Top gainers of the day

3:56 PM

Broader market check

3:53 PM

Sector of the day :: PSU bank give market rally a miss

3:51 PM

Sector of the day :: Nifty Metal index soars 5%

3:49 PM

NSE Snapshot :: Top Nifty50 gainers today

3:47 PM

Stocks that lifted the Sensex today

3:46 PM

Sectoral trends on the NSE