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Nifty reclaims 11850; PSU OMCs rise

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Last Updated : Jul 02 2019 | 3:04 PM IST

Key barometers extended gains and hit fresh intraday high in mid-afternoon trade. The Nifty reclaimed 11850 and headed towards 11900 mark. At 14:25 IST, the barometer index, the S&P BSE Sensex, was up 87.88 points or 0.22% at 39,774.38. The Nifty 50 index was up 22.5 points or 0.19% at 11,888.40.

Broader indices underperformed the benchmark index. The S&P BSE Mid-Cap index was up 0.13%. The S&P BSE Small-Cap index was down 0.03%.

The market breadth was negative. On the BSE, 1048 shares rose and 1297 shares fell. A total of 156 shares were unchanged.

ARSS Infrastructure was up 3.28% to Rs 39.40. The company received a work order of Rs 195.42 crore for track linking, S&T and OHE from Rail Vikas Nigam. The announcement was made during market hours today, 2 July 2019.

Power Mech Projects was up 0.23% to Rs 999.90. The company bagged two orders worth Rs 412 crore.

Alembic Pharmaceuticals was up 4.66% to Rs 527 after the company has received US Food & Drug Administration (USFDA) approval for Febuxostat tablets, 40 mg and 80 mg. Febuxostat tablets are indicated for the chronic management of hyperuricemia in adult patients with gout. Febuxostat Tablets have an estimated market size of $578 million for twelve months ending December 2018 according to IQVIA. The company had previously received tentative approval for this ANDA.

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FMCG stocks advanced. Godrej Consumer Products (up 1.61%), Colgate Palmolive (India) (up 1.13%), Jyothy Laboratories (up 1.12%), Nestle India (up 1.1%), Procter & Gamble Hygiene & Health Care (up 1.04%), Marico (up 0.92%), GlaxoSmithkline Consumer Healthcare (up 0.83%), Britannia Industires (up 0.61%) and Hindustan Unilever (up 0.27%) advanced. Bajaj Consumer Care (down 0.52%), Tata Global Beverages (down 0.31%), ITC (down 0.11%) and Dabur India (down 0.02%) edged lower.

Shares of most public sector oil marketing companies (PSU OMCs) gained. Indian Oil Corporation (up 1.25%), Hindustan Petroleum Corporation (up 1.03%) and Bharat Petroleum Corporation (up 0.89%) edged higher.

In the commodities market, Brent crude for August 2019 settlement was down 2 cents at $65.04 a barrel. The contract closed flat at $66.55 a barrel in the previous trading session.

Meanwhile, OPEC agreed on Monday, 1 July 2019, to extend oil supply cuts until March 2020 as the group's members overcame their differences in order to prop up the price of crude amid a weakening global economy and soaring U.S. production.

MCX Gold futures for 5 August 2019 settlement rose 0.47% at Rs 33,800.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 69.040, compared with its close of 68.9475 during the previous trading session.

The yield on 10-year benchmark federal paper fell to 6.837% at 14:20 IST compared with 6.882% at close in the previous trading session

Overseas, most shares in Europe were trading lower on Tuesday, while Asian markets closed lower, as investors weighed the tariff truce between the US and China and the potential for a trade deal. US President Donald Trump reportedly said Monday that renewed talks have already begun, and added that any deal has to be better for us than for them.

US stocks ended higher on Monday led by gains in technology stocks on optimism for progress in US-China trade talks and signs of a likely reprieve for Chinese telecom company Huawei.

US manufacturing showed surprising strength in June, however, with the IHS-Markit purchasing-manager's index rising to 50.6 in June, from 50.1 in May. Separately the Institute for Supply Management's (ISM) index showed the sector slowing from 52.1% in May to 51.7% in June.

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First Published: Jul 02 2019 | 2:28 PM IST

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