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Market clocks modest gains

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Capital Market
Last Updated : Jul 12 2017 | 4:28 PM IST

Key benchmark indices provisionally settled with modest gains led by Reliance Industries (RIL) and ICICI Bank. The barometer index, the S&P BSE Sensex, rose 57.73 points or 0.18% at 31,804.82, as per the provisional closing data. The Nifty index rose 30.05 points or 0.31% at 9,816.10, as per the provisional closing data. Trading session was quiet as investors awaited industrial output data for the month of May and retail inflation data of June by the government today, 12 July 2017.

The Sensex gained 118.60 points or 0.37% at the day's high of 31,865.69 in morning trade. The index fell 15.66 points or 0.05% at the day's low of 31,731.43 in early afternoon trade. The index gained 38.90 points or 0.40% at the day's high of 9,824.95. The index rose 1.65 points or 0.02% at the day's low of 9,787.70 in early afternoon trade.

The S&P BSE Mid-Cap index provisionally rose 1.12%. The S&P BSE Small-Cap index provisionally rose 0.6%. Both these indices outperformed the Sensex.

The market breadth, indicating the overall health of the market, was positive. On the BSE, 1,454 shares rose and 1,207 shares fell. A total of 146 shares were unchanged.

The total turnover on BSE amounted to Rs 3634.93 crore, lower than the turnover of Rs 4488.21 crore registered during the previous trading session.

Oil & gas stocks gained. Shares of oil exploration and production (E&P) companies edged higher. ONGC (up 1.65%) and Oil India (up 0.78%) edged higher.

Among PSU OMCs, HPCL (up 5.02%), BPCL (up 0.97%), and Indian Oil Corporation (up 1.49%) gained.

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Reliance Industries (RIL) gained 1.01% after the company's telecom subsidiary Reliance Jio Infocomm (Jio) announced that Jio Prime Members can enjoy unlimited services for 3 months with Rs 399 plan. The earlier launched Rs 309 plan will provide 2 months of unlimited Jio services.

The new set of plan benefits will be available from 11 July and will be applicable for all new as well as existing subscribers. As part of this unlimited benefit, customers can enjoy 1GB data per day at 4G speed followed by unlimited at 128 kbps, unlimited local, STD and national roaming voice calls and unlimited national SMS.

Over and above the Prime exclusive plans, Jio is introducing new Every Day More Value (EDMV) plans. These plans provide 20% more value than competitors' best plans. It's Jio's solemn promise to always offer better value for the best price, RIL said.

Earlier this year, in the month of March, Jio introduced Jio Prime membership program. Millions of customers enrolled into this membership. These founding members of Jio will also be special and they will continue to get industry-leading tariffs, RIL said. With the introduction of EDMV plans, Jio customers no longer have to worry if they are getting the best value with Jio, it added. The announcement was made after market hours yesterday, 11 July 2017.

Tata Steel rose 0.32% after the company announced that its entire equity stake in a 50% joint venture, viz, Tata Elastron S.A. has been divested to Elastron S.A for a consideration of euro 0.368 million. It is not a related party transaction. The announcement was made before market hours today, 12 July 2017.

Among macro economic data, investors are awaiting industrial output data for the month of May and retail inflation data of June by the government today, 12 July 2017. The government will announce industrial production data for the month of May 2017 after market hours today, 12 July 2017. The data on inflation based on consumer price index (CPI) or retail inflation for June 2017 will also be announced after market hours today, 12 July 2017.

Overseas, European stocks were trading higher led by gains in energy shares and miners, as well as strong updates from retailers Burberry and B&M.

Asian stocks were mixed as investors looked ahead to US Federal Reserve Chair Janet Yellen's comments. The US stock market remained resilient yesterday, 11 July 2017 with the Nasdaq extending its winning streak to a third session as a pair of political developments dominated the news cycle. The Dow Jones Industrial Average, edged up less than a point to close at 21,409.07. The S&P 500 lost 1.90 points to finish at 2,425.53. The Nasdaq Composite Index rose 16.91 points, or 0.3%, to end at 6,193.30.

In a development in claims that Russia might have meddled in the 2016 US presidential election, Donald Trump's eldest son released correspondence on Tuesday that showed communication with a Russian government attorney.

Meanwhile, investors are awaiting testimony from Federal Reserve Chair Janet Yellen on Wednesday and Thursday for more cues on the pace of interest-rate increases. On the Fed front, Fed Gov. Lael Brainard, speaking at a conference held at Columbia University, indicated she supports the central bank beginning to reverse its $4.5 trillion balance sheet, but wasn't persuaded on more rate increases after that.

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First Published: Jul 12 2017 | 3:55 PM IST

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