MARKET WRAP: Sensex slips 346 pts on weak Re, oil prices; auto stocks drag

The Nifty Auto index declined 2.4 per cent led by fall in Tata Motors and Hero MotoCorp

The benchmark indices settled around 1 per cent lower on Monday tracking weakness in the Asian markets and rise in global oil prices.

The S&P BSE Sensex ended at 34,813, down 346 points (-0.98 per cent), while the broader Nifty50 index settled at 10,482, down 103 points(-0.97 per cent).

Among the sectoral indices, the Nifty PSU Bank index fell 2.1 per cent weighed by Oriental Bank of Commerce. The Nifty Auto index, too, declined 2.4 per cent led by fall in Tata Motors and Hero MotoCorp. However, the Nifty IT index rose 0.7 per cent led by a rise in the share prices of Tech Mahindra and Infosys.

Titan Company is ended 6 per cent higher at Rs 899 on the BSE after the company reported an 8.34 per cent rise in consolidated net profit at Rs 301.11 crore for the quarter ended September 30, 2018, dragged by provisions made for its corporate deposits in the IL&FS group. Total income during the quarter under review stood at Rs 4,595.13 crore verus Rs 3,603.01 crore in the corresponding period last fiscal.

Weak rupee

The rupee traded on a weak note on Monday slipping below the 73-per US dollar mark to hit 73.06 in intra-day trade, down from its previous close of 72.49 against the greenback.

Global Markets

Asian shares drifted lower on Monday as signs of softening demand in China rekindled anxiety about the outlook for world growth, but Saudi Arabia’s plans to cut production helped to halt a slide in oil prices.

MSCI's broadest index of Asia-Pacific shares excluding Japan fell 0.5 per cent, giving up early gains. Japan's Nikkei stock index ended 0.09 per cent higher.

Oil prices

Brent crude oil prices jumped by 2 per cent on Monday after top exporter Saudi Arabia announced a supply cut in December, a measure likely aimed at halting a market slump that has seen crude decline by 20 percent since early October.

Front-month Brent crude futures, a benchmark for global oil prices, were at $71.59 per barrel, up by 2 per cent from their last close. US West Texas Intermediate (WTI) crude futures rose 1.5 per cent to $61.08 per barrel.

(with Reuters input)

4:18 PM

MARKET COMMENT Jayant Manglik, President, Religare Broking

Markets failed to hold the early gains and lost nearly a percent, pressurized by weak global cues. Participants were in profit taking mood from the beginning and mostly sectoral indices traded in tandem with the benchmark index. The decline was wide spread and broader market indices too ended with loss of nearly a percent each. 

 

Local headwinds combined with feeble global cues are keeping the participants on edge. Traders have no option but to align their position according to the prevailing sentiment and maintaining a balanced approach in trading. Also, we advise keeping close watch on upcoming macroeconomic data, earnings and global markets for cues

3:38 PM

Top sectoral gainers and losers on NSE

3:37 PM

S&P BSE Sensex: Top gainers & losers

3:35 PM

Market at close

The S&P BSE Sensex shed 346 points to settle at 34,813 while NSE's Nifty50 index slipped below the 10,500 level to end at 10,482, down 103 points.

3:17 PM

NEWS ALERT Britannia: consolidated revenue growth of 13% for the Quarter at Rs. 2,855 crores

3:15 PM

NEWS ALERT Brittania Q2FY19 net profit at Rs 303 cr, up 16% on year

2:59 PM

Infibeam Avenues to PC Jeweller, beaten-down stocks stage a comeback

 

After dropping 15% from the peak, markets are staging a recovery. Stocks that have gained the most in the BSE500 universe over the past two weeks are beaten-down names like Infibeam Avenues, PC Jeweller and Reliance Communications. Non-banking financial companies (NBFCs), too, have rallied by over 25% in the past two weeks amid easing of liquidity conditions. Read more

2:45 PM

Top losers in BSE 500

COMPANY	LATEST	PREV CLOSE	LOSS( )	LOSS(%)	VOLUME
AVANTI FEEDS	375.80	422.65	-46.85	-11.08	231549
ORIENTAL BANK	80.30	87.45	-7.15	-8.18	608864
ITI	93.65	101.00	-7.35	-7.28	227841
SREI INFRA. FIN.	36.70	39.40	-2.70	-6.85	345283
SECURITY & INTEL	821.25	874.50	-53.25	-6.09	377

2:30 PM

Buyback offer spurs Bharti Airtel's dollar-denominated bonds to 5-year high

 

Bharti Airtel Ltd.’s dollar-denominated bonds due in 2023 surged the most in five years after the company offered to buy back the securities at above the market price amid the risk of a rating downgrade. India’s second-biggest mobile phone carrier will pay $985 per $1,000 principal amount plus accrued interest for any or all of the $1.5 billion of March 2023 notes in the tender offer, according to a company filing over the weekend. Read more

2:22 PM

Eicher Motors declines ahead of September quarter earnings

2:16 PM

Sugar stocks gain in weak market; Balrampur Chini, Dhampur Sugar up over 8%

Shares of sugar companies were trading higher by up to 13% on the BSE in an otherwise weak market on hopes of posting better than expected operating numbers in coming quarters on the back of firming sugar prices, gains arising from sugar inventory revaluation, higher profitability from their distillery and co-gen segment.
 

Balrampur Chini Mills, Dalmia Bharat Sugar and Industries, Dhampur Sugar Mills, Uttam Sugar Mills, Triveni Engineering & Industries, Dwarikesh Sugar and Thiru Arooran Sugars were up in the range of 5% to 13% on the BSE. READ MORE

2:00 PM

Market check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	34,945.41	-213.14	-0.61
S&P BSE SENSEX 50	10,999.10	-63.36	-0.57
S&P BSE SENSEX Next 50	31,980.93	-317.66	-0.98
S&P BSE 100	10,802.22	-69.07	-0.64
S&P BSE Bharat 22 Index	3,437.52	-31.58	-0.91

1:58 PM

Meet the robot who knows how to trade bonds better than a human investor

The robots have just got a step closer to managing your money. AllianceBernstein Holding LP upgraded its virtual assistant Abbie so she can now suggest the best bonds to buy and sell based on pricing, ease-of-trading and risk. Unlike any human, she can scan millions of data points to filter the universe of outstanding bonds in seconds and identify potential trades to portfolio managers using other electronic tools the firm has built READ MORE

1:55 PM

How falling oil prices are fast becoming a catalyst for emerging markets

Falling oil prices are fast becoming a catalyst for emerging markets. Last week’s slide in crude was partly behind the weakness in the Russian ruble, Mexican peso and Malaysian ringgit, according to Societe Generale SA. With oil wallowing in a bear market, OPEC and its allies started laying the groundwork to cut oil supply in 2019 in a meeting in Abu Dhabi on Sunday READ MORE

1:48 PM

Anand Rathi Securities on H G Infra Engineering

A consistent grower, HG Infra has had a phenomenal run, rising from a ~Rs 110m turnover in FY03 to ~Rs 13.9bn in FY18, translating to strong CAGR growth. Even with increasing size, its revenue CAGR is impressive, with the past-five year revenue CAGR at ~26%, and ~19% anticipated for FY18-20. With the sturdy assurance of  its ~Rs 49bn order book, no dearth of opportunities, strong fundamentals and manageable debt, it seems all set to position itself as the go-to growth company in road infrastructure. We, hereby, initiate coverage, with a Buy and a TP of Rs 274