Indices at day's high; RIL jumps 5%

Key benchmarks were trading near the day's high in mid-afternoon trade, supported by a rally in index heavyweight Reliance Industres (RIL). At 13:20 IST, the barometer index, the S&P BSE Sensex was up 318.97 points or 0.93% at 34,527.02. The Nifty 50 index advanced 95.60 points or 0.95% at 10,187.25.

RIL was up 5.89% after announcing today that it has become net debt free. The company raised over Rs 168,818 crore in just 58 days through investments by global tech investors in Jio Platforms (Rs 115,693.95 crore) and through rights issue of RIL (Rs 53,124.20 crore). Along with the stake sale to BP in the petro-retail JV, the total fund raise is in excess of Rs 1.75 lakh crore. RIL's net-debt was Rs 161,035 crore, as on 31 March 2020.

The broader market traded higher. The S&P BSE Mid-Cap index rose 1% while the S&P BSE Small-Cap index gained 1.21%.

Buyers outpaced sellers. On the BSE, shares 1,764 rose and 794 shares fell. A total of 148 shares were unchanged. In Nifty 50 index, 30 stocks advanced while 20 stocks declined.

Buzzing Index:

The Nifty PSU Bank index gained 1.81% to 1,412.65, rising for second straight session.

Union Bank (up 5.27%), J&K Bank (up 4.36%), Canara Bank (up 3.24%), Bank of Baroda (up 1.85%), Punjab National Bank (up 1.62%), Indian Bank (up 1.44%), SBI (up 1.39%), Central Bank of India (up 1.22%) and UCO Bank (up 1.16%) were top gainers in PSU bank segment.

Stocks in Spotlight:

CSB Bank soared 15.14% to Rs 173.05 after the bank said its board has appointed Pralay Mondal as the organization's president (retail, SME, operations and IT). Mondal is expected to join CSB Bank in September 2020, the private lender said in a statement today, 19 June. Pralay Mondal has recently tendered his resignation from his current position a executive director and head of retail banking at Axis Bank. Before joining Axis Bank, Mondal was the senior group president and head of retail and business banking at Yes Bank. Prior to that he had a 12 years' stint at HDFC Bank and was earlier associated with Standard Chartered Bank, Wipro InfoTech and Colgate Palmolive.

Alembic Pharmaceuticals rose 2.94% to Rs 934.90 after the company said it received establishment inspection report (EIR) for general oral solid formulation facility at Panelav, Gujarat. The US Food and Drug Administration (US FDA) had conducted the inspection between 9th and 13th of March 2020. "EIR is in place for all our manufacturing facilities for international markets," the company said in a filing today.

In a separate announcement today, Alembic Pharma said that its joint venture, Aleor Dermaceuticals (Aleor), received approval from the USFDA for its abbreviated new drug application (ANDA) Adapalene Gel USP, 0.3%. The gel is indicated for the topical treatment of acne vulgaris in patients 12 years of age and older. Adapalene Gel USP, 0.3% has an estimated market size of $34 million for twelve months ending March 2020 according to IQVIA.

Numbers to Track:

The yield on 10-year benchmark federal paper rose to 5.831% compared with previous closing of 5.822% in the previous trading session.

In the foreign exchange market, the partially convertible rupee edged lower to 76.20 compared with its previous closing 76.14.

In the commodities market, Brent crude for August 2020 settlement gained $1.22 to $42.73 a barrel. The contract surged 1.97% to settle at $41.51 a barrel in the previous trading session.

MCX Gold futures for 5 August 2020 settlement rose 0.05% to Rs 47,380.

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