F&O Expiry: Financials drag indices, Sensex falls 335 pts; HDFC slips 4%

All that happened in the markets today

The domestic stock market ended Thursday's trade, the last day of the futures and options contracts (F&O) for the July series, in the red, mainly due to selling in the financial counters.

The S&P BSE Sensex slipped 335 points, or 0.88 per cent, to settle at 37,736 levels. IndusInd Bank (down over 5.6 per cent) ended as the biggest loser on the index while Sun Pharma (up nearly 3.5 per cent) emerged as the top gainer. 

NSE's Nifty ended at 11,102, down 101 points, or 0.9 per cent. Volatility index, India VIX, gained over 3 per cent to 24.90 levels. 

Among individual stocks, HDFC ended nearly 4 per cent lower at Rs 1,811 on the BSE after the company reported a standalone net profit of Rs 3,051.52 crore for June quarter of FY21 (Q1FY21), clocking a 4.7 per cent year-on-year (YoY) de-growth from Rs 3,203.1 crore-profit reported in Q1FY20. READ MORE

BPCL slipped nearly 8 per cent to Rs 419 after the government for the third time extended the deadline for bidding for the privatisation of the oil refiner by two months to September 30. READ MORE

In the broader market, the S&P BSE MidCap index ended 0.38 per cent lower to 13,710 levels while the S&P BSE SmallCap index ended at 12,916, down 56 points, or, 0.43 per cent.

On the sectoral front, barring Nifty IT and Nifty Pharma, all the other indices ended in the red.  

Global markets

Global shares fell on Thursday as the Federal Reserve’s pledge to use all its tools to support the US economy failed to reassure investors uneasy about a stalemate on fiscal support and rising coronavirus cases. 

Europe’s STOXX 600 slipped 0.7 per cent. Earlier, gains in Asian shares were undone, with MSCI’s broadest index of Asia Pacific shares outside of Japan edging down 0.1 per cent.

The MSCI world equity index, which tracks shares in 49 countries, was 0.3 per cent lower, ending three days of gains.

In commodities, oil prices slipped, weighed down by concerns that surging coronavirus infections around the globe could jeopardise a recovery in fuel demand just as major oil producers are set to raise output.

(With inputs from Reuters) 

4:04 PM

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

"Global markets faded as a status quo in policy by the US Fed Reserve failed to offset tepid business outlook and resurgence in virus cases around the world. Indian markets also closed in the negative, in spite of a positive opening. Unlock 3.0 failed to enthuse, as earnings results took priority, and markets turned volatile in the expiry session. Financials led the losses for the benchmark index. Investors will be looking at commentary emerging from today’s meeting between the PM and key economic regulators. Stock specific action expected to continue."

3:44 PM

SECTOR WATCH:: Nifty Pharma and Nifty IT end in the green

3:42 PM

MARKET AT CLOSE:: Losers and gainers on the S&P BSE Sensex

3:37 PM

CLOSING BELL

The S&P BSE Sensex ended 335 points, or, 0.88 per cent, lower at 37,736 levels while NSE's Nifty ended at 11,102, down 101 points or 0.9 per cent. 

3:24 PM

INDEX GAINER:: Sun Pharma advances over 3.6%

3:14 PM

BROKERAGE VIEW:: Centrum Broking on Colgate-Palmolive (India)

We remain cautious until we see the lower competitive intensity and gain in market share in the naturals’ portfolio. Further, we expect rising competitive intensity in the multi-benefit segment from HUL (Sensodyne) and in naturals portfolio from Dabur/ Patanjali to lift CLGT’s spends as gaining market share is the top priority. Considering improved margin profile in Q1 and guidance of lower capex cycle we increase FY21E/FY22E earnings estimate by 4.4%/4.3%. We retain Sell rating with DCF-based revised Target price of Rs1,198, implying 38.3x FY22E EPS. Risks to our call include significant volume uptick with improved offtake, lower input cost inflation, and lower competition. 

3:09 PM

MARKET CHECK:: HDFC Life slips 0.7% ahead of its inclusion in Nifty tomorrow

2:59 PM

India gold demand drops 70% in Q2 to hit 11-year low on price, Covid impact

India’s gold demand declined by a staggering 70 per cent in the three months to June, hitting the lowest quarterly figure in 11 years due to the closure of retail shops and factories following the Covid-induced nationwide lockdown during most of the period. A sharp increase in the price of the metal fuelled the downtrend. READ MORE

2:54 PM

UPDATE:: India VIX up over 2% to 24.63 levels

2:42 PM

IndusInd Bank slips 5%, top Sensex loser at this hour

2:35 PM

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

2:27 PM

HDFC Q1 profit dips 5% to Rs 3,051 cr; Board approves to raise Rs 45,000 cr

Housing financier HDFC on Thursday reported a standalone net profit of Rs 3,051.52 crore for June quarter of FY21 (Q1FY21), clocking a 4.7 per cent year-on-year (YoY) de-growth from Rs 3,203.1 crore-profit reported in Q1FY20. Sequentially, the profit grew 36.68 per cent from Rs 2,232.5 crore reported in the March quarter of FY20. READ MORE

2:22 PM

JUNE QUARTER RESULTS | Piramal Ent consolidated net profit up 10.6% at Rs 495.6 crore

-- Revenue dips 8.7 per cent at Rs 2,937 cr

-- Tax expense at Rs 161 cr vs Rs 216 cr (YoY)

2:14 PM

RESULT IMPACT:: HDFC slips over 1% post Q1 results

2:12 PM

ICRA reaffirms IndiGo's long-term rating at A-plus with negative outlook

Rating agency ICRA has reaffirmed IndiGo's long-term rating at A-plus with a negative outlook but downgraded short-term rating by one notch from A1-plus to A1. The agency has acknowledged India's largest airline's strong market position, cost-efficient structure and robust liquidity profile among its peers. READ MORE