 "Sensex hovers around 27,300; HUL & Infosys gain 4-5%")
Benchmark indices continue to remain marginally positive amid choppy trades led by Infosys and HUL. However, upside has been capped due to selling among banks and index heavyweight ITC.
At 14:30 PM, the 30-share Sensex was up 32 points at 27,307 and the 50-share Nifty was up 4 points at 8,239.
The broader markets are trading marginally lower. BSE Midcap and Smallcap indices are down 0.1-0.3%. Markets breadth in BSE remains weak with 1,573 shares declining and 1,188 shares advancing.
GLOBAL MARKETS
Asian stocks rose on Friday on upbeat expectations for the closely-watched U.S. jobs data, while the euro continued to flirt with fresh nine-year lows against the dollar.
Equities worldwide suffered deep losses early this week as plunging oil prices and global growth woes triggered investor flight from risk assets. But optimism about the U.S. economy and prospects of more stimulus from the European Central Bank and China have diffused risk aversion for the time being.
MSCI's broadest index of Asia-Pacific shares outside Japan rose 1.2%.
Australian shares added 1.6%, while the Shanghai Composite Index gained 2% and Hong Kong's Hang Seng index advanced 1.2%. Japan's Nikkei was up 0.1% after giving back earlier gains.
INFOSYS Q3 RESULTS
Bangalore-based Infosys took the street and the analysts by surprise as its reported better than expected third quarter numbers for FY15. Infosys reported volume growth of 4.2% for the quarter, one of the best in three years.
The company reported healthy net profit growth for the quarter, but the biggest surprise came as it maintained its full-year guidance of 7-9% (on constant currency). The street was expecting that the company will reduce its guidance or maintain it at the lower end of the guidance due to currency volatility and traditionally softer third quarter.
Infosys reported net profit of Rs 3,250 crore for the third quarter ended December 31, 2014, up 4.9% from Rs 3,096 crore in quarter ended September 30, 2014. On a year-on-year basis, Infosys' net profit was up 13%.
“We are excited by several breakthrough results in Q3. Our 'renew and new' strategy, is being received well by our clients and our ecosystem and we are already seeing its early adoption”, said Vishal Sikka, CEO and Managing Director."Based on our strong performance, we are intensifying our efforts to deepen employee engagement, client ecosystem and strengthen our foundation of education as we build a next generation services company that innovates for consistent profitable growth.”
SECTORS & STOCKS
BSE IT index has surged nearly 3% followed by counter like Consumer Durables, TECk and Healthcare, all gaining between 1-2%. On the losing side, BSE Realty index has plunged by nearly 2% followed by counters like Power, Capital Goods and Banks, all slipping by 1% each.
Shares of information technology (IT) companies are in demand with the CNX IT index surged over 400 points after the sector major Infosys has reported a better-than-expected net profit growth in October-December quarter (Q3).
Infosys, Tata Consultancy Services (TCS), HCL Technologies, Wipro, Tech Mahindra, Persistent Systems, MindTree, Hexaware Technologies and CMC have rallied between 2-6% on the National Stock Exchange (NSE).
CNX IT index, the largest gainer among sectoral indices, was up nearly 4% or 422 points at 11,440 at 1313 hours. It touched high of 11,485, bouncing back 553 points from intra-day low of 10,932 before Infosys results. The benchmark CNX Nifty was up marginally 0.04% or 3 points at 8,238.
Other notable gainers from the Sensex pack are HUL, Dr Reddy’s Labs, Cipla, Tata Motors and Sun Pharma.
Fast moving consumer goods (FMCG) company Hindustan Lever (HUL) are trading higher by nearly 5% at Rs 853, extending its past four day’s gain on BSE, after Deutsche Bank upgraded the stock to buy with a target price of Rs 900 per share.
Shares of pharmaceutical companies are trading higher by upto 5% on reports that the Indian and global companies are looking to invest over Rs 1,000 crore in Gujarat's pharma sector.
Wockhardt, Cadila Healthcare, Cipla, IPCA Labs, Dr Reddy’s Labs, Torrent Pharma, Sun Pharma and Divis Labs have gained between 1-5% on the BSE.
Tata Steel has gained over 1% to Rs 401 on the BSE after Global rating agency Moody's has upgraded Tata Steel ("TSL")'s corporate family rating to Ba1 with a stable outlook.
On the losing side, NTPC, Bajaj Auto, ICICI Bank, ITC and Axis Bank have plunged between 2-3.5%.
At 14:30 PM, the 30-share Sensex was up 32 points at 27,307 and the 50-share Nifty was up 4 points at 8,239.
The broader markets are trading marginally lower. BSE Midcap and Smallcap indices are down 0.1-0.3%. Markets breadth in BSE remains weak with 1,573 shares declining and 1,188 shares advancing.
More From This Section
Further, in what underlines the government's push towards e-governance, domestic electronics manufacturing and fostering innovation and entrepreneurship, the finance minister Arun Jaitley has called not just captions of the Indian software firms but also their counterparts in the hardware industry for the pre-budget consultations.
GLOBAL MARKETS
Asian stocks rose on Friday on upbeat expectations for the closely-watched U.S. jobs data, while the euro continued to flirt with fresh nine-year lows against the dollar.
Equities worldwide suffered deep losses early this week as plunging oil prices and global growth woes triggered investor flight from risk assets. But optimism about the U.S. economy and prospects of more stimulus from the European Central Bank and China have diffused risk aversion for the time being.
MSCI's broadest index of Asia-Pacific shares outside Japan rose 1.2%.
Australian shares added 1.6%, while the Shanghai Composite Index gained 2% and Hong Kong's Hang Seng index advanced 1.2%. Japan's Nikkei was up 0.1% after giving back earlier gains.
INFOSYS Q3 RESULTS
Bangalore-based Infosys took the street and the analysts by surprise as its reported better than expected third quarter numbers for FY15. Infosys reported volume growth of 4.2% for the quarter, one of the best in three years.
The company reported healthy net profit growth for the quarter, but the biggest surprise came as it maintained its full-year guidance of 7-9% (on constant currency). The street was expecting that the company will reduce its guidance or maintain it at the lower end of the guidance due to currency volatility and traditionally softer third quarter.
Infosys reported net profit of Rs 3,250 crore for the third quarter ended December 31, 2014, up 4.9% from Rs 3,096 crore in quarter ended September 30, 2014. On a year-on-year basis, Infosys' net profit was up 13%.
“We are excited by several breakthrough results in Q3. Our 'renew and new' strategy, is being received well by our clients and our ecosystem and we are already seeing its early adoption”, said Vishal Sikka, CEO and Managing Director."Based on our strong performance, we are intensifying our efforts to deepen employee engagement, client ecosystem and strengthen our foundation of education as we build a next generation services company that innovates for consistent profitable growth.”
SECTORS & STOCKS
BSE IT index has surged nearly 3% followed by counter like Consumer Durables, TECk and Healthcare, all gaining between 1-2%. On the losing side, BSE Realty index has plunged by nearly 2% followed by counters like Power, Capital Goods and Banks, all slipping by 1% each.
Shares of information technology (IT) companies are in demand with the CNX IT index surged over 400 points after the sector major Infosys has reported a better-than-expected net profit growth in October-December quarter (Q3).
Infosys, Tata Consultancy Services (TCS), HCL Technologies, Wipro, Tech Mahindra, Persistent Systems, MindTree, Hexaware Technologies and CMC have rallied between 2-6% on the National Stock Exchange (NSE).
CNX IT index, the largest gainer among sectoral indices, was up nearly 4% or 422 points at 11,440 at 1313 hours. It touched high of 11,485, bouncing back 553 points from intra-day low of 10,932 before Infosys results. The benchmark CNX Nifty was up marginally 0.04% or 3 points at 8,238.
Other notable gainers from the Sensex pack are HUL, Dr Reddy’s Labs, Cipla, Tata Motors and Sun Pharma.
Fast moving consumer goods (FMCG) company Hindustan Lever (HUL) are trading higher by nearly 5% at Rs 853, extending its past four day’s gain on BSE, after Deutsche Bank upgraded the stock to buy with a target price of Rs 900 per share.
Shares of pharmaceutical companies are trading higher by upto 5% on reports that the Indian and global companies are looking to invest over Rs 1,000 crore in Gujarat's pharma sector.
Wockhardt, Cadila Healthcare, Cipla, IPCA Labs, Dr Reddy’s Labs, Torrent Pharma, Sun Pharma and Divis Labs have gained between 1-5% on the BSE.
Tata Steel has gained over 1% to Rs 401 on the BSE after Global rating agency Moody's has upgraded Tata Steel ("TSL")'s corporate family rating to Ba1 with a stable outlook.
On the losing side, NTPC, Bajaj Auto, ICICI Bank, ITC and Axis Bank have plunged between 2-3.5%.