Key benchmark indices further extended intraday gains and hit fresh intraday high in mid-afternoon trade. At 14:20 IST, the barometer index, the S&P BSE Sensex, was up 87.48 points or 0.32% at 27,325.54. The Nifty 50 index was up 24.35 points or 0.29% at 8,424.70. Indices shrugged off weak trend in global stocks as domestic data showing fall in trade deficit in December extended support amid another data showing slight rise in wholesale inflation.
The Sensex rose 97.02 points or 0.35% at the day's high of 27,335.08 in mid-afternoon trade. It lost 65.38 points or 0.24% at the day's low of 27,172.68 in early trade. The Nifty rose 26.35 points or 0.31% at the day's high of 8,426.70 in mid-afternoon trade. It lost 25.95 points or 0.3% at the day's low of 8,374.40 in early trade.
After a subdued start to the session's trade on weak Asian stocks, key indices reversed losses in morning trade and extended gains thereafter.
The BSE Mid-Cap index was up 0.24%, underperforming the Sensex. The BSE Small-Cap index was up 0.58%, outperforming the Sensex. The market breadth, indicating the overall health of the market, was positive. On the BSE, 1,515 shares rose and 1,088 shares declined. A total of 172 shares were unchanged.
IT stocks saw a mixed trend. Oracle Financial Services Software (up 0.51%) and Wipro (up 0.03%) edged higher. Tech Mahindra (down 0.16%) and HCL Technologies (down 1.54%) edged lower.
IT major TCS rose 0.31% after dropping 3.9% in the previous session. The company's consolidated net profit rose 2.9% to Rs 6778 crore on 1.5% increase in revenue to Rs 29735 crore in Q3 December 2016 over Q2 September 2016. The result was announced after market hours on Thursday, 12 January 2017. The results are as per International Financial Reporting Standards (IFRS).
Also Read
Software major Infosys declined 1.5%, with the stock extending previous session's 2.49% decline triggered by the company lowering the upper band for revenue growth guidance in constant currency terms for the current financial year (FY 2017). In constant currency terms, the company now expects revenue to grow by 8.4% to 8.8% for FY 2017. The company had forecast 8%-9% growth in revenue for FY 2017 in constant currency terms at the time of announcing Q2 September 2016 results. The company had at the beginning of FY 2017 estimated its revenue growth at 11.5-13.5%.
Infosys' consolidated net profit rose 2.8% to Rs 3708 crore on 0.2% decline in revenue to Rs 17273 crore in Q3 December 2016 over Q2 September 2016. The result was announced before market hours on Friday, 13 January 2017. The results are as per International Financial Reporting Standards (IFRS).
FMCG stocks also traded mixed. Tata Global Beverages (down 0.35%), Marico (down 0.5%), Procter & Gamble Hygiene and Health Care (down 0.29%), Hindustan Unilever (HUL) (down 0.12%), Dabur India (down 1.15%), Nestle India (down 0.17%), and Jyothy Laboratories (down 0.19%) declined. Britannia Industries (up 1.01%), Colgate Palmolive India (up 0.87%), GlaxoSmithkline Consumer Healthcare (up 0.4%), Godrej Consumer Products (up 0.62%), and Bajaj Corp (up 1.87%) gained.
Ramco Systems rose 0.45% after the company's HCM and Payroll offering was selected by the Transworld Group. The announcement was made during market hours today, 16 January 2017.
Logistics conglomerate, the Transworld Group, announced that it has chosen Ramco Systems' HCM and Payroll offering to automate its human resources hire-to-retire functionality on a single unified platform. Ramco HCM with global payroll will cover the entire gamut of HR processes along with core HR, recruitment, talent management, leave, time & attendance and payroll for over 1000 employees of the company.
Great Eastern Shipping Company rose 1.04% after the company said that its debenture issue committee at a meeting held on 16 January 2017 approved the issue of 5,000 unsecured non-convertible debentures (NCDs) of Rs 10 lakh each, aggregating to Rs 500 crore by way of private placement. The NCDs are offering interest rate of 7.99% per annum. The announcement was made during trading hours today, 16 January 2017.
On the macro front, data showed during market hours today, 16 January 2017 that inflation based on wholesale price index (WPI) rose 3.39% in December 2016 from 3.15% in November 2016. Build up inflation rate in the financial year so far was 4.28% compared to a build up rate of 0.4% in the corresponding period of the previous year.
Another data showed after market hours on Friday, 13 January 2017 that India's exports rose 5.72% to $23.88 billion and imports rose 0.46% to $34.25 billion in December 2016 over December 2015. The trade deficit declined 9.9% to $10.37 billion in December 2016 over December 2015.
Overseas, European stocks edged lower amid initial volatility tracking weak Asian stocks. UK Prime Minister Theresa May will reportedly address a speech tomorrow, 17 January 2017, in which many investors believe she could spell out an end to her country's participation in European Union's single market. May is also expected to elaborate on the UK's negotiation priorities in a speech.
Asian stocks dropped after the plunge in British pound amid fears of hard exit by UK from the European Union, which Britain voted to leave last June. In mainland China, the Shanghai Composite ended 0.32% lower, In Hong Kong, the Hang Seng settled 0.96% lower.
US stocks rose moderately on Friday, 13 January 2017, on the back of quarterly earnings from some of the country's biggest banks, as the Nasdaq Composite index closed at a record high.
US stock markets have been in an updraft since November's presidential election, with the bulk of the gains coming from the financial sector, as investors have bet banks would benefit from deregulation under President-elect Donald Trump's coming administration and an environment that is expected to see rising interest rates.
US financial markets will be closed today, 16 January 2017, for Martin Luther King Jr. Day.
In the latest economic data, US retail sales rose 0.6% in December, less than expected, while holiday sales were up a better-than-expected 4%.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content