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Market pares losses; Nifty holds above 11,000 mark

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Capital Market
Last Updated : Jul 31 2019 | 12:50 PM IST

Key equity barometers pared losses in early afternoon trade. At 12:27 IST, the barometer index, the S&P BSE Sensex, was down 21.23 points or 0.06% at 37,376.01. The Nifty 50 index was down 9.20 points or 0.08% at 11,076.20.

The S&P BSE Mid-Cap index was down 0.04%. The S&P BSE Small-Cap index fell 0.43%.

The market breadth was weak. On the BSE, 815 shares rose and 1386 shares fell. A total of 97 shares were unchanged.

IT shares were mixed. Tech Mahindra (down 3.49%), MphasiS (down 2.57%), Infosys (down 0.32%), TCS (down 0.32%) and HCL Technologies (down 0.29%) declined.

Persistent Systems (up 0.76%), Oracle Financial Services Software (up 0.55%), Wipro (up 0.42%), MindTree (up 0.13%) and Hexaware Technologies (up 0.11%) advanced.

Tech Mahindra fell 3.49%. The company's consolidated net profit declined 15.29% to Rs 959.30 crore on 2.69% decline in net sales to Rs 8653 crore in Q1 June 2019 over Q4 March 2019. The result was announced after market hours yesterday, 30 July 2019. EBITDA declined 19.8% to Rs 1314.10 crore in Q1 June 2019 over Q4 March 2019. EBITDA margin fell to 15.2% in Q1 June 2019 from 18.4% Q4 March 2019.

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In a separate announcement, the IT company announced that its board has approved the proposal to acquire majority stake in Mad*Pow Media Solutions, LLC through its wholly owned subsidiary viz. Tech Mahindra (Americas), Inc. The cost of the said acquisition is US$25.3mn. The transaction is expected to close by 31 July 2019.

PNB Housing Finance fell 2.65%. On a consolidated basis, PNB Housing Finance's net profit rose 11.2% to Rs 284.47 crore on a 35.4 % rise in the total income to Rs 2232.58 crore in Q1 June 2019 over Q1 June 2018. The result was announced after market hours yesterday, 30 July 2019.

Most realty shares fell. Indiabulls Real Estate (down 7.05%), Phoenix Mills (down 4.9%), Sunteck Realty (down 4.46%), Housing Development and Infrastructure (HDIL) (down 3.66%), Parsvnath Developers (down 3.52%), DLF (down 3.37%), D B Realty (down 3.19%), Prestige Estates Projects (down 2.05%), Unitech (down 2.02%), Sobha (down 1.56%) and Anant Raj (down 0.57%) declined.

Peninsula Land (up 1.16%), Mahindra Lifespace Developers (up 0.58%), Godrej Properties (up 0.39%), Oberoi Realty (up 0.3%) and Omaxe (up 0.2%) advanced.

On derivatives front, the NSE's India VIX, a gauge of market's expectation of volatility over the near term, rose 2.75% at 13.9875.

On the options front, Nifty option chain for 29 August 2019 expiry showed a maximum call open interest (OI) of 19.90 lakh contracts at the 11500 strike price. Maximum put OI of 35.19 lakh contracts was seen at 11000 strike price. Options data suggested a trading range for Nifty will be between 11,000 and 11,500.

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First Published: Jul 31 2019 | 12:27 PM IST

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