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Market drifts higher in early trade

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Capital Market
Last Updated : Oct 22 2019 | 9:50 AM IST

Local stocks are trading higher in early trade on buying demand in index pivotals, extending prior six-day gains. At 9:26 IST, the barometer index, the S&P BSE Sensex, was up 88.93 points or 0.23% at 39,387.31. The Nifty 50 index was up 23.25 points or 0.2% at 11,685.10.

The S&P BSE Mid-Cap index was up 0.45%. The S&P BSE Small-Cap index was up 0.43%. Both these indices outperformed the Sensex.

The market breadth, indicating the overall health of the market, was strong. On the BSE, 812 shares rose and 391 shares fell. A total of 68 shares were unchanged.

On the political front, exit polls predicted a comfortable win for the BJP in Maharashtra and Haryana assembly elections. Polling was held yesterday, 21 October 2019 while counting of votes will be held on 24 October 2019. The domestic stock market was closed yesterday, 21 October 2019, on account of assembly elections in Maharashtra.

Among stocks, Reliance Industries (RIL) rose 1.04%. RIL's consolidated net profit rose 18.35% to Rs 11262 crore on 3.63% rise in net sales to Rs 148526 crore in Q2 September 2019 over Q2 September 2018. The result was announced after market hours on Friday, 18 October 2019.

HDFC Bank gained 1.38%. The bank's net profit rose 26.75% to Rs 6344.99 crore on 19.63% increase in total income to Rs 33755 crore in Q2 September 2019 over Q2 September 2018. The result was announced on Saturday, 19 October 2019.

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Infosys dropped 10%. The company has received anonymous whistleblower complaints alleging certain unethical practices. These have been placed before the Audit Committee as per the company's practice and will be dealt with in accordance with the company's whistleblower policy. The announcement was made yesterday, 21 October 2019, when stock markets were closed on account of assembly elections.

Tata Motors lost 1.83%. Tata Motors said that the meeting of the board of directors of the company is scheduled on 25 October 2019 to to consider proposal for raising funds by way of issue of one or more instruments including equity shares, convertible securities of any description or warrants or debt securities, through preferential issue, private placements, rights issue or any other methods or combination thereof. The announcement was made after market hours on Friday, 18 October 2019.

Ambuja Cements slumped 6.04%. The company's consolidated net profit rose 33.85% to Rs 385.09 crore on 1.55% rise in total income to Rs 6194.96 crore in Q3 September 2019 over Q3 September 2018. The result was announced after market hours on Friday, 18 October 2019.

UltraTech Cement rose 1.58%. The company's consolidated net profit rose 62.26% to Rs 579.10 crore on 4.07% rise in total income to Rs 9774.16 crore in Q2 September 2019 over Q2 September 2018. The result was announced yesterday, 21 October 2019, when stock markets were closed on account of assembly elections.

Overseas, most Asian stocks were trading higher on Tuesday supported by signs of progress in talks on resolving the US-China trade dispute.

US stocks rose on Monday as signs of work to resolve the US-China trade war bolstered investor hopes.

U.S. President Donald Trump sounded reportedly upbeat on a China deal on Monday, while White House adviser Larry Kudlow said tariffs on Chinese goods scheduled for December could be withdrawn if talks go well.

British Prime Minister Boris Johnson failed to get a vote on his Brexit deal and will try again on Tuesday to get the first stage of a withdrawal bill through Parliament.

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First Published: Oct 22 2019 | 9:32 AM IST

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