Benchmarks hit fresh intraday low in afternoon trade amid heavy selling pressure. Shares of banks and metals companies tumbled. Negative global cues and rising global coronavirus cases dented investors' sentiment.
At 13:21 IST, the barometer index, the S&P BSE Sensex, tumbled 762.40 points or 2.08% at 35,931.77. The Nifty 50 index slumped 221.85 points or 2.05% at 10,575.90.
In the broader market, the S&P BSE Mid-Cap index slipped 1.38% while the S&P BSE Small-Cap index lost 1.52%.
Sellers outpaced buyers. On the BSE, 642 shares rose and 1876 shares fell. A total of 120 shares were unchanged. In Nifty 50 index, 2 stocks advanced while 48 stocks declined.
Foreign portfolio investors (FPIs) bought shares worth Rs 221.76 crore while domestic institutional investors (DIIs) were net sellers to the tune of Rs 1,485.59 crore in the Indian equity market on 13 July, provisional data showed.
COVID-19 Update:
Also Read
India reported 3,11,565 active cases of COVID-19 infection and 23,727 deaths, according to the data from the Ministry of Health and Family Welfare, Government of India. Total coronavirus cases worldwide stood at 13,103,290 with 573,042 deaths so far, according to data from Johns Hopkins University.
Economy:
India's inflation based on wholesale price index (WPI) contracted by 1.81% (provisional) in June 2020 (over June 2019) compared with 2.02% during the corresponding month of the previous year. WPI contracted by 3.21% in May 2020.
The all-India general CPI inflation declined to 6.09% in June 2020, compared with 6.27% in May 2020. The corresponding provisional inflation rate for rural area was 6.20% and urban area 5.91% in June 2020 as against 6.18% and 6.43% in May 2020. The core CPI inflation eased to 4.87% in June 2020 compared with 4.93% in May 2020. The cumulative CPI inflation has moved up to 6.52% in June-May FY2020 compared with 3.07% in June-May FY2019.
Gainers & Losers:
Dr. Reddy's (up 0.63%), Titan Company (up 0.58%) and Bharti Airtel (up 0.43%) were top gainers in Nifty 50 index.
IndusInd Bank (down 5.31%), Axis Bank (down 5.09%), Zee Entertainment (down 4.43%) and Hindalco Industries (down 3.81%) were major losers in Nifty 50 index.
Stocks in Spotlight:
The Nifty Auto index slipped 2.1% to 6,935.50, while the benchmark Nifty 50 index was down 1.5%.
Escorts (down 3.76%), Ashok Leyland (down 2.85%), Hero MotoCorp (down 2.83%), Eicher Motors (down 2.81%), Maruti Suzuki (down 2.65%), Tata Motors (down 2.55%), SML Isuzu (down 2.04%), TVS Motor Company (down 1.82%), Mahindra & Mahindra (down 1.54%) and Bajaj Auto (down 0.89%) tumbled.
According to the latest data by the Society of Indian Automobile Manufacturers (SIAM), passenger vehicle sales in India declined by 49.59% in June to 1,05,617 units as against 2,09,522 units in the same month last year. Domestic passenger car sales fell 58% year on year to 55,497 units in June. Two-wheeler sales fell 38.56% at 10,13,431 units as compared to 16,49,475 units in the same month last year.
HDFC fell 3.24%. The housing finance major on Monday (13 July) said it is planning to raise up to Rs 45,000 crore by issuing debt securities, and will seek approval of shareholders in its upcoming AGM later this month. The board of directors of HDFC will meet on 30 July to announce the Q1 June 2020 results. The 43rd annual general meeting (AGM) of the corporation is scheduled to be held later on the same day (30 July 2020).
Godrej Industries was down 1.69%. The conglomerate's board on Monday (13 July) approved issuing upto 7,500 rated, listed, unsecured, redeemable, non-convertible debentures having face value of Rs 10 lakh each, aggregating to Rs 750 crore on private placement basis.
5paisa Capital hit an upper circuit of 5% at Rs 324.60 after it reported consolidated net profit of Rs 2.81 crore in Q1 June 2020 as compared to net loss of Rs 0.52 crore in Q1 June 2019. Total income rose 85.17% to Rs 42.44 crore. The company said that it has maintained its swift pace of client acquisitions with over 160,000 acquisitions in the quarter, crossing 700,000 customers in total.
BF Utilities hit an upper circuit of 10% at Rs 220.95 after billionaire investor and DMart founder, Radhakishan Shivkishan Damani, acquired 1.30% stake in the Kalyani Group-owned company during April-June 2020 quarter. Meanwhile, BF Utilities on Monday (13 July) announced that it has suspended operations at its Pune office from 14 July 2020 till further notice, to comply with the lockdown order issued by Pune Municipal Corporation.
Sobha was up 0.13%. Godrej Group's promoter entity Anamudi Real Estates increased its stake in Sobha to 9.99% in Q1 June 2020 from 1.08% in Q4 March 2020.
On Monday (13 July), Sobha said that post easing of lockdown in first week of May, all its offices, sites and factories got operational in line with respective state rules and regulations. However, labor migration had an adverse impact on the company's operations at project sites and factories. During April and May months, the company's sales dipped, but from June onwards sales improved and inquiries shot up to pre-Covid levels.
Global Markets:
European markets opened lower while most Asian stocks declined on Tuesday amid concerns over rising coronavirus cases across the globe coupled with rising US-Sino tensions.
The United States on Monday rejected China's territorial claims in the South China Sea, drawing an angry response from Beijing, which claimed Washington was trying to inflame tensions in the disputed waters.
China's yuan-denominated trade data for June was released on Tuesday, with exports rising 4.3% year-on-year while imports increased 6.2% as compared to a year earlier, according to customs data. China's dollar-denominated trade figures for June are expected to be released later. Singapore's economy contracted 12.6% in the second quarter as compared to a year ago, according to advance estimates by the Ministry of Trade and Industry released Tuesday.
The US stock market settled volatile session lower on Monday, 13 July 2020, as investors pocketed recent gains late afternoon amid rekindled worries about another coronavirus lockdown. The Dow Jones Futures were down 3 points, indicating a flat opening in US markets.
Meanwhile, World Health Organization Director-General Tedros Adhanom Ghebreyesus on Monday warned that too many countries are headed in the wrong direction. "In several countries across the world, we are now seeing dangerous increases in Covid-19 cases, and hospital wards filling up again, Tedros added
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