Sensex recovers 600 pts from day's low, ends 223 pts up; FMCG, pharma rally

All that happened in the markets today

Supported by buying in FMCG, pharma, and auto counters, the domestic equity market ended in the positive territory on Friday, ahead of the release of GDP data for January-March quarter of 2019-20 (Q4FY20).

The benchmark S&P BSE Sensex recovered a good 600 points from day's low to settle at 32,424.10, up 223.15 points or 0.7 per cent. ONGC (up 5.5 per cent) was the the top gainer on the index while IT major Infosys (down 2 per cent) ended as the biggest loser. 

NSE's Nifty settled at 9,580, up 90 points or 1 per cent, with 36 of 50 constituents advancing and 14 declining. 

On a weekly basis, Sensex gained 5.7 per cent and the Nifty added 6 per cent.

Broader market, too, participated in the rally. The Nifty Midcap 100 index gained over 1 per cent to 13,273 and the Nifty SmallCap 100 index rose nearly a per cent to 4,002.80.

Among individual stocks, Vodafone Idea rallied 35 per cent to Rs 7.85 in the intra-day deals on the BSE, after reports said that the global technology giant Google is in talks to buy a 5 per cent stake in the company, owned by Vodafone Plc of the UK and Aditya Birla Group. The stock, however, pared gains and ended around 13 per cent higher at Rs 6.56 after the company clarified on the report, saying there is no proposal as reported by the media that is being considered at the Board. READ MORE 

IT services firm Wipro surged 6.65 per cent to Rs 212.55 after the company named Thierry Delaporte as the new chief executive officer (CEO) and managing director (MD) of the company, replacing Abidali Neemuchwala. Delaporte was most recently the chief operating officer of French consulting and technology firm Capgemini Group. READ MORE

Shares of pharmaceutical companies were in focus with Nifty Pharma index gaining over 3 per cent on expectation of strong demand scenario from both domestic and export market. READ MORE
 

Global markets

Global stock markets fell and safe havens such as bonds and the Japanese yen gained on Friday, as investors awaited Washington’s response to China tightening control over the city of Hong Kong.

US President Donald Trump said he would hold a news conference on China later on Friday.

In Asia, MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.2 per cent. Japan’s Nikkei retreated from a three-month high and the yen rose to a two-week high of 107.06 against the dollar. 

In Europe, stocks opened lower with the pan-European STOXX 600 index down 0.86 per cent. Germany’s DAX fell 1.2 per cent, Britain’s FTSE 100 by 7 per cent and France’s CAC 40 by 1 per cent. Futures for the S&P 500 slipped 0.4 per cent. 

In commodities, oil prices edged lower and was set to post their first weekly fall in five weeks, after US inventory data showed lacklustre fuel demand in the world’s largest oil consumer while worsening US-China tensions weighed on global financial markets.

Gold, on the other hand, traded flat.

(With inputs from Reuters)

4:15 PM

MARKET COMMENT:: Sanjeev Zarbade, VP PCG Research, Kotak Securities

“The current week was one of the best for global markets as most major global indices rallied during the week. The Sensex which has been underperforming the MSCI emerging markets also delivered a strong rally with gains of 5.3% for the week. Most state governments have further relaxed lockdown norms in the current phase as well as allowed domestic air-travel to resume. Hero Motocorp, Marut Suzuki and HDFC Bank were among the top gainers while Bharti Airtel, Bajaj Finance, and Power Grid lost the most in the BSE-30 Index. 

 

FPIs bought equities worth US$209 mn over the past five trading sessions while DIIs bought US$1.02 bn worth of equities in the same period. Tensions between India and China and China and the US remain a concern for the markets. Also, any acceleration in COVID-19 infections could further slow down the lifting of lockdown and delay any economic recovery. Notwithstanding the near-term uncertainty, valuations are attractive on a medium-term basis.”

3:45 PM

SECTOR WATCH:: Nifty Pharma gains over 3%

3:43 PM

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

3:36 PM

CLOSING BELL

The S&P BSE Sensex ended 223.5 points or 0.69 per cent higher at 32,424 while NSE's Nifty ended at 9,580, up 90 points or 0.95 per cent.

3:28 PM

MARKET CHECK | Top 5 losers on the BSE at this hour

3:23 PM

MARKET UPDATE:: Sun Pharma gains over 4%

>> Sun Pharma has received approval from the Drugs Controller General of India (DCGI) to initiate a clinical trial with Nafamostat Mesilate in Covid-19 patients;

>> Nafamostat is approved in Japan for improvement of acute symptoms of pancreatitis and treatment of Disseminated Intravascular Coagulation (DIC).

3:18 PM

MARKET UPDATE:: Nifty Pharma index hits 52-week high of 9,758, surpasses previous high of 9,753, touched on April 27

-- Sun Pharma, Dr Reddy's, Aurobindo Pharma and Divis Labs all up over 4%

3:17 PM

BUZZING STOCK | ONGC climbs over 5.5%

3:10 PM

MARKET UPDATE :: All sectoral indices turn positive

3:06 PM

MARKET UPDATE:: HDFC, ITC lead contributors to Sensex's over 600 point recovery from day's low

3:00 PM

Google's interest positive but may not help solve Voda Idea's debt woes

Google investment into VIL can be incrementally positive, but a 5 per cent stake is unlikely to move the needle or provide any meaningful relief to VIL's debt problems, said Credit Suisse.

 

"We think unless Google (or any other external investor) looks at acquiring a controlling stake in VIL, the chances of company's long term survival beyond FY23 (when the moratorium on deferred spectrum debt ends) appears to be low," it said. READ MORE

2:50 PM

MARKET CHECK:: Sensex at day's high

2:45 PM

STOCK ALERT :: GM Breweries breaks 200-DEMA

2:39 PM

NEWS ALERT :: No (such) proposal being considered at the Board, says Vodafone Idea on Google investment report

"The Company constantly evaluates various opportunities for enhancing the stakeholders’ value. As and when such proposals are considered by the Board of Directors of the Company warranting disclosures, the Company shall comply with the disclosure obligations under the SEBI regulations. Currently, there is no  proposal as reported by the media that is being considered at the Board".

-- Company Statement
 

2:31 PM

Recovery from intra-day lows in today's session

COMPANY	DAY'S LOW(RS)	DAY'S HIGH(RS)	LATEST(RS)	RISE(%)
IFCI	4.00	4.88	4.77	19.25
VODAFONE IDEA	6.40	7.85	7.38	15.31
IDFC FIRST BANK	19.75	22.75	22.75	15.19
MAX INDIA	56.30	65.85	62.45	10.92