 "Markets snap 6-day losing streak; Nifty holds 8,050")
Markets have snapped six day losing streak and have ended marginally positive, amid volatile trades, led by oil and IT sectors. However, the upside was capped due to mild selling among banks, capital goods and consumer durables sectors.
The 30-share Sensex ended higher by 31 points at 26,591 and the 50-share Nifty gained 10 points at 8,061.
The broader markets outperformed the benchmark indices- BSE Midcap and Smallcap indices were up 0.3-0.4%. Market breadth ended positive with 1,455 gainers and 1,238 losers on the BSE.
In the currency front, the rupee recovered by 9 paise to 65.60 against the dollar on fresh selling of the American currency by exporters and banks.
On the macro-economic front, the latest data showed that the index of eight core industries comprising nearly 38% of the weight of items included in the index of industrial production (IIP) rose 3.2% in September 2015 over September 2014.
MARKET VIEW
According to Ranak Merchant, Technical Analyst - Strategies of Sushil Financial Services, “The last week saw a negative close on benchmark indices for all 5 trading days of the week. While the week ended with a red ticker , the October expiry of Nse derivatives saw the index gain close to 3%. Globally too Oct proved to be the best month for many markets in a significant time span. The week for the new series of November began with a negative tick and the ongoing results season appears to be keeping the moves incheck pre-results and highly volatile post-results."
She further adds, "The trend is expected to continue and thus markets are to remain volatile. With the festive season round the corner, some bounce back can be expected if Nifty manages to hold onto 8015 on spot on closing basis while a move above the zone of 8080-8115 would confirm the same for a rally towards 8238-8429 zone."
GLOBAL MARKETS
Asian stocks rose on Tuesday helped by buoyant US markets and recent data that indicated the global economy may have turned a corner, though wary central banks signalled a recovery may be anything but durable.
MSCI's broadest index of Asia-Pacific shares outside Japan broke a five-day losing streak, rising 1.4%. While it has gained more than 11% since the end of September, it is still down more than 10% this year.
Global manufacturing growth accelerated to a seven-month high in October but remained muted despite factories cutting their prices at the steepest rate since May 2013, a business survey showed on Monday.
SECTORS & STOCKS
BSE IT, Metal and Power indices were up 1% each. However, Capital Goods and Consumer Durables sectors ended marginally in negative zone.
The top gainers from the Sensex pack were NTPC, ONGC, M&M, Hindalco and Vedanta.
On the losing side, Lupin, Tata Motors, L&T, Bharti Airtel and Tata Steel were down between 1-2%.
Lupin dropped by almost 2%. The company announced that it has received final approval for its Donepezil Hydrochloride Tablets, 23 mg from the United States Food and Drug Administration (USFDA) to market a generic version of Eisai Inc.'s Aricept Tablets, 23mg.
Tata Motors says October Tata-JLR sales are at 219 units. The stock ended lower by 2%.
Country's largest telecom operator Bharti Airtel will have a revenue growth of 8-10 per cent over the next 12-18 months on strong demand for data services and affordable smartphones, Moody's Investors Service said yesterday. Shares of Bharti Airtel were down over 1%.
SMART MOVERS
Shares of liquor companies were in focus with most of them trading higher by up 16% on the BSE in otherwise subdued market after reporting a good set of numbers for the quarter ended September 30, 2015 (Q2FY16) and a few positive announcements.
Tilaknagar Industries, Empee Distilleries and Pioneer Distilleries rallied between 10%-16%, while United Spirits, Radico Khaitan, GM Breweries and Khoday India were up more than 4% each.
Amtek Auto surged 14% on back of heavy volumes after the company said it has appointed Morgan Stanley as advisors to assist in the group’s debt reduction plan.
Tips Industries surged 13.5% after the company announced that its board will meet on Thursday to consider share buyback proposal.
TVS Motor Company gained over 4% after the two-wheeler maker reported 14% year-on-year (y-o-y) increase in total sales at 274,622 units in October 2015, the highest sales growth in past six months
Q2 RESULT IMPACT
Shares of Lakshmi Machine Works were up over 5% after the company reported 21% rise in net profit at Rs 56.5 crore for the quarter ended September 30, 2015 compared with Rs 46.8 crore in the same quarter last fiscal.
Nilkamal rallied 20% after the company reported a strong 276% year on year (YoY) growth in net profit at Rs 25.74 crore for the quarter ended September 30, 2015 (Q2), due to lower raw material cost.
Harita Seating Systems has soared 20% to Rs 320, also its record high on the NSE, after the company reported three-fold jump in net profit at Rs 4.48 crore for the quarter ended September 30, 2015 (Q2), on back of one-time gain on sale of the two wheeler seat business of the Nalagarh unit.
With Reuters input
The 30-share Sensex ended higher by 31 points at 26,591 and the 50-share Nifty gained 10 points at 8,061.
The broader markets outperformed the benchmark indices- BSE Midcap and Smallcap indices were up 0.3-0.4%. Market breadth ended positive with 1,455 gainers and 1,238 losers on the BSE.
More From This Section
Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 272.67 crore yesterday as per provisional data released by the stock exchanges.
In the currency front, the rupee recovered by 9 paise to 65.60 against the dollar on fresh selling of the American currency by exporters and banks.
On the macro-economic front, the latest data showed that the index of eight core industries comprising nearly 38% of the weight of items included in the index of industrial production (IIP) rose 3.2% in September 2015 over September 2014.
MARKET VIEW
According to Ranak Merchant, Technical Analyst - Strategies of Sushil Financial Services, “The last week saw a negative close on benchmark indices for all 5 trading days of the week. While the week ended with a red ticker , the October expiry of Nse derivatives saw the index gain close to 3%. Globally too Oct proved to be the best month for many markets in a significant time span. The week for the new series of November began with a negative tick and the ongoing results season appears to be keeping the moves incheck pre-results and highly volatile post-results."
She further adds, "The trend is expected to continue and thus markets are to remain volatile. With the festive season round the corner, some bounce back can be expected if Nifty manages to hold onto 8015 on spot on closing basis while a move above the zone of 8080-8115 would confirm the same for a rally towards 8238-8429 zone."
GLOBAL MARKETS
Asian stocks rose on Tuesday helped by buoyant US markets and recent data that indicated the global economy may have turned a corner, though wary central banks signalled a recovery may be anything but durable.
MSCI's broadest index of Asia-Pacific shares outside Japan broke a five-day losing streak, rising 1.4%. While it has gained more than 11% since the end of September, it is still down more than 10% this year.
Global manufacturing growth accelerated to a seven-month high in October but remained muted despite factories cutting their prices at the steepest rate since May 2013, a business survey showed on Monday.
SECTORS & STOCKS
BSE IT, Metal and Power indices were up 1% each. However, Capital Goods and Consumer Durables sectors ended marginally in negative zone.
The top gainers from the Sensex pack were NTPC, ONGC, M&M, Hindalco and Vedanta.
On the losing side, Lupin, Tata Motors, L&T, Bharti Airtel and Tata Steel were down between 1-2%.
Lupin dropped by almost 2%. The company announced that it has received final approval for its Donepezil Hydrochloride Tablets, 23 mg from the United States Food and Drug Administration (USFDA) to market a generic version of Eisai Inc.'s Aricept Tablets, 23mg.
Tata Motors says October Tata-JLR sales are at 219 units. The stock ended lower by 2%.
Country's largest telecom operator Bharti Airtel will have a revenue growth of 8-10 per cent over the next 12-18 months on strong demand for data services and affordable smartphones, Moody's Investors Service said yesterday. Shares of Bharti Airtel were down over 1%.
SMART MOVERS
Shares of liquor companies were in focus with most of them trading higher by up 16% on the BSE in otherwise subdued market after reporting a good set of numbers for the quarter ended September 30, 2015 (Q2FY16) and a few positive announcements.
Tilaknagar Industries, Empee Distilleries and Pioneer Distilleries rallied between 10%-16%, while United Spirits, Radico Khaitan, GM Breweries and Khoday India were up more than 4% each.
Amtek Auto surged 14% on back of heavy volumes after the company said it has appointed Morgan Stanley as advisors to assist in the group’s debt reduction plan.
Tips Industries surged 13.5% after the company announced that its board will meet on Thursday to consider share buyback proposal.
TVS Motor Company gained over 4% after the two-wheeler maker reported 14% year-on-year (y-o-y) increase in total sales at 274,622 units in October 2015, the highest sales growth in past six months
Q2 RESULT IMPACT
Shares of Lakshmi Machine Works were up over 5% after the company reported 21% rise in net profit at Rs 56.5 crore for the quarter ended September 30, 2015 compared with Rs 46.8 crore in the same quarter last fiscal.
Nilkamal rallied 20% after the company reported a strong 276% year on year (YoY) growth in net profit at Rs 25.74 crore for the quarter ended September 30, 2015 (Q2), due to lower raw material cost.
Harita Seating Systems has soared 20% to Rs 320, also its record high on the NSE, after the company reported three-fold jump in net profit at Rs 4.48 crore for the quarter ended September 30, 2015 (Q2), on back of one-time gain on sale of the two wheeler seat business of the Nalagarh unit.
With Reuters input