MARKET WRAP: Indices trim gains, Sensex ends 277 pts higher; DHFL jumps 32%

All that happened in markets today

Shrugging off weak global cues, the domestic equity market ended with decent gains on Tuesday ahead of the Reserve Bank of India (RBI) monetary policy announcement due tomorrow. The S&P BSE Sensex, which hit an intra-day high of 37,242, up 542 points, retreated sharply in the fag-end of the session to settle at 36,977, up 277 points or 0.75 per cent. YES Bank emerged as the top gainer while Reliance Industries (RIL) was the biggest loser on the index.

HDFC, Larsen & Toubro (L&T), ICICI Bank, Axis Bank and Bajaj Finance were the major contributors to the index's gains. 

On the NSE, the frontline index Nifty50 failed to reclaim the crucial psychological level of 11,000 and ended at 10,948.25 levels, up 86 points or 0.79 per cent. Out of 50 components of the index, 35 ended in the green while 15 declined.

As per analysts, market participants are hoping for a rate cut tomorrow which infused some optimism in the market. Additionally, reports that Finance Minister Nirmala  Sitharaman will meet representatives of various sectors over the coming days, following which the Centre will announce sector-specific measures or interventions also boosted investor sentiment. Sitharaman also said the government was ready to hear FPIs' views on any issues. CLICK TO READ FULL ARTICLE

Sectorally, all the indices on the NSE, barring Nifty Media and Nifty IT, ended with robust gains. Realty stocks advanced the most, followed by banks and auto.

In the broader market, the S&P BSE MidCap index ended 193 points or 1.44 per cent higher at 13,569 levels while the S&P BSE SmallCap closed at 12,495, up 211 points or 1.72 per cent. 

BUZZING STOCKS

DHFL rallied as much as 40 per cent in the intra-day trade after the cash-strapped company finalised and placed a resolution plan to its lenders on Tuesday. The stock, eventually, settled at Rs 55.40 apiece on the BSE, up 32 per cent. CLICK TO READ FULL ARTICLE

Shares of Zee Entertainment Enterprises (ZEEL) ended lower for the seventh straight session on Tuesday. The stock slipped 8 per cent to Rs 305 on the BSE in the intra-day trade, before settling at Rs 312.50, down over 5.50 per cent. 

SRF ended 16 per cent to Rs 2,988 apiece on the BSE after the company reported a healthy 41 per cent growth in consolidated net profit at Rs 189 crore in the June quarter (Q1FY20) on strong performance by packaging film business. It had a profit of Rs 134 crore in the year-ago quarter.

GLOBAL CUES

Globally, the Trump administration formally labeled China a currency manipulator, further escalating its trade war with Beijing after the country's central bank allowed the yuan to fall in retaliation for new US tariffs. READ MORE

MSCI’s broadest index of Asia-Pacific shares outside Japan had ended down 0.75 per cent after brushing its lowest since January. It has lost 3.7 per cent so far this week. The Shanghai Composite Index retreated 1.4 per cent, while Japan's Nikkei shed 0.7 per cent, Australian stocks fell 2.3 per cent and South Korea's KOSPI slid 0.9 per cent. In the currency market, Yuan recovered against the US dollar. 

(With inputs from Reuters)

4:02 PM

MARKET COMMENT | Satish Kumar, Sr Research Analyst, Choice Broking

Despite weak global and domestic cues, benchmarks traded in positive territory throughout the day and ended with a gain of 0.6 per cent as value buying emerged in banking and auto stocks. Globally, markets witnessed sell-off as US designated Beijing a currency manipulator, escalating a protracted trade war between the world's two biggest economies. Value buying can sustain for few more sessions given the oversold position on domestic equity and highly likelihood of 25-50 bps repo rate cut by the RBI on tomorrow.

3:51 PM

Sectoral gainers and losers on the NSE

3:51 PM

Top gainers and losers on the S&P BSE Sensex

3:34 PM

CLOSING BELL

The S&P BSE Sensex ended 277 points or 0.75 per cent higher at 36,977 levels while the NSE's Nifty50 index ended at 10,948, up 86 points or 0.79 per cent. 

3:04 PM

Pidilite Industries gains 4% on good Q1 results, stock hits all-time high

Shares of Pidilite Industries hit an all-time high of Rs 1,324, up 4 per cent intra-day on the BSE on Tuesday after the company reported a better-than-expected 22 per cent jump in consolidated net profit at Rs 294 crore in June quarter (Q1FY20), on strong volume growth. The company had a profit of Rs 241 crore in the year-ago quarter. READ MORE

3:02 PM

Stock Alert | DHFL gains 27% after it shares resolution plan

2:57 PM

Titan Company gains after Q1 results

2:56 PM

Titan Company Q1 results

-- Standalone net profit at Rs 370.7 cr

 

-- Standalone revenue at Rs 4,939.7 cr

 

-- Standalone ebitda at Rs 565.3 cr

 

-- Standalone ebitda margin 11.4%

2:51 PM

Nifty Bank index reclaims 28,000

2:50 PM

Amber Enterprises India gains 5%

2:47 PM

Goldman Sachs sees no trade deal before 2020 U.S. election, now expects 3 rate cuts

Goldman Sachs said it no longer expects the United States and China to agree on a deal to end their prolonged trade dispute before the November 2020 presidential election as policymakers from the world’s largest economies are “taking a harder line”.

The bank now expects two back-to-back rate cuts from the U.S. Federal Reserve (Fed) “in light of growing trade policy risks, market expectations for much deeper rate cuts, and an increase in global risk related to the possibility of a no-deal Brexit”.

 

The comment on U.S.-China trade and a revision to Fed expectations came after U.S. President Donald Trump said last week he would impose a 10% tariff on $300 billion of Chinese imports from Sept. 1, further aggravating trade tensions with Beijing.

-- Reuters

2:41 PM

DHFL shares resolution plan; seeks moratorium on bank loan repayments

After months of deliberation, the troubled housing financier Dewan Housing Finance Corporation (DHFL) has finalised and placed a resolution plan to its lenders on Tuesday. The company, in an intimation to stock exchange, communicated that the draft resolution plan was formulated in consultation with a special committee set up for this purpose and its financial advisor, Ernst & Young. The plan was submitted to its lenders on Tuesday. READ MORE

2:25 PM

Nifty hits 11,000

2:18 PM

BASF surges 8% post Q1 numbers

2:17 PM

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