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Market snaps 5-day gains; Nifty ends below 24,750; VIX spurts 11.4%

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Last Updated : Aug 02 2024 | 4:50 PM IST
The key equity indices tumbled on Friday, snapping five days rising streak. The Nifty settled below the 24,750 mark. Realty, auto and metal shares declined while pharma and healthcare shares advanced.

As per provisional closing data, the barometer index, the S&P BSE Sensex fell 885.60 points or 1.08% to 80,981.95. The Nifty 50 index dropped 293.20 points or 1.17% to 24,717.70. Both the indices had climbed over 2% in five consecutive trading sessions.

In the broader market, the S&P BSE Mid-Cap index declined 1.19% and the S&P BSE Small-Cap index fell 0.58%.

The market breadth was negative. On the BSE, 1,712 shares rose and 2,206 shares fell. A total of 115 shares were unchanged.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, jumped 11.40% to 14.41.

IPO Update:

The initial public offer (IPO) of Ola Electric Mobility received 14,31,90,450 bids for shares as against 46,51,59,451 shares on offer, according to stock exchange data at 15:30 IST on Friday (02 August 2024). The issue was subscribed 0.31 times.

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The issue opened for bidding on Friday (02 August 2024) and it will close on Tuesday (06 August 2024). The price band of the IPO is fixed between Rs 72 to Rs 76 per share. An investor can bid for a minimum of 195 equity shares and in multiples thereof.

The initial public offer (IPO) of Ceigall India received 2,34,46,271 bids for shares as against 2,23,13,663 shares on offer, according to stock exchange data at 15:30 IST on Friday (02 August 2024). The issue was subscribed 1.05 times.

The issue opened for bidding on Friday (01 August 2024) and it will close on Monday (05 August 2024). The price band of the IPO is fixed between Rs 380 to Rs 401 per share. An investor can bid for a minimum of 37 equity shares and in multiples thereof.

Buzzing Index:

The Nifty Realty index tumbled 3.53% to 1,037.15. The index dropped 5.52% in three consecutive trading sessions.

Brigade Enterprises (down 4.8%), Phoenix Mills (down 4.38%), Godrej Properties (down 4.29%), DLF (down 3.55%), Oberoi Realty (down 3.5%), Prestige Estates Projects (down 3.44%), Sobha (down 3.36%), Macrotech Developers (down 3.11%), Mahindra Lifespace Developers (down 1.58%) and Sunteck Realty (down 1.13%) declined.

Stocks in Spotlight:

Maruti Suzuki India dropped 4.63% after the company informed that its total sales declined 3.63% to 1,75,041 units in July 2024 as against 1,81,630 units sold in July 2023.

Meanwhile, the car manufacturer announced that its total production fell marginally to 1,85,641 units sold in July 2024 as compared with 1,86,654 units sold in July 2023.

Hero MotoCorp declined 1.50% after the two-wheeler major sold 370,274 units of motorcycles and scooters in June 2024, which is lower by 5.38% as compared with sales of 391,310 units recorded in June 2023.

Eicher Motors slipped 4.90% after the company reported total motorcycle sales of 67,265 units in July 2024, which is lower by 8% as compared with the same period last year.

Godrej Agrovet added 0.73%. The companys consolidated net profit jumped 22.93% to Rs 131.63 crore in Q1 FY25 as against Rs 107.08 crore posted in Q1 FY24. On the other hand, total revenue from operations declined 6.35% year on year to Rs 2,350.75 crore in the quarter ended 30 June 2024.

Kalyan Jewellers India shed 0.81%. The companys consolidated net profit jumped 23.69% to Rs 1775.58 crore in Q1 FY25 as compared with Rs 1,435.52 crore posted in Q1 FY24. Revenue from operations increased 26.5% YoY to Rs 55,354.79 crore in Q1 FY25.

Saregama declined 2.72% after the companys consolidated net profit declined 14.38% to Rs 37.09 crore during the quarter as comapred with Rs 43.32 crore posted in corresponding quarter last year. However, revenue from operations increased 25.68% YoY to Rs 205.28 crore during the quarter.

TTK Healthcare added 1.80% after the companys consolidated net profit surged to Rs 31.57 crore in Q1 FY25 as compared with Rs 15.66 crore posted in corresponding quarter last year. Revenue from operations increased 2.86% YoY to Rs 207.90 crore in Q1 FY25.

G R Infraprojects slipped 4.71% after the company's consolidated net profit tumbled 49.83% to Rs 155.45 crore in Q1 FY25 as compared to Rs 309.84 crore recorded in corresponding quarter previous year. Revenue from operations fell 18.07% year on year (YoY) to Rs 2,030.30 crore in the quarter ended 30 June 2024.

Thermax lost 3.48%. The company reported consolidated net profit of Rs 115.81 crore in Q1 FY25, registering a growth of 96.68% as against with Rs 58.88 crore posted in Q1 FY24. Revenue from operations stood at Rs 2,184.41 crore during the quarter, grew by 13.01% year on year.

Prataap Snacks declined 3.11% after the companys standalone net profit fell 29.73% to Rs 9.43 crore in Q1 FY25 as compared with Rs 13.42 crore posted in same quarter last year. Revenue from operations increased 8.61% YoY to Rs 419.12 crore in Q1 FY25.

Global Markets:

European and Asian stocks tumbled on Friday, pressured by a confluence of negative factors including a selloff in Japan, a global tech rout, and worries about the US economy.

Japanese stocks plunged for a second day on expectations of tighter monetary policy in the country.

U.S. stocks opened August significantly lower after economic data raised concerns about a slowing economy despite the Federal Reserve's restrictive monetary stance.

Weekly unemployment claims reached a near-one-year high, and US manufacturing activity contracted to an eight-month low in July due to a decline in new orders (data from Aug 1).

The tech sector's losses stemmed from underwhelming earnings reports or outlooks from industry leaders like Intel and Amazon. Investor focus now shifts to the crucial monthly jobs report, due later on Friday.

Geopolitical tensions added another layer of uncertainty. The recent Israeli airstrikes in Gaza, reportedly killing both Hamas' military and political leaders, further dampened market sentiment.

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First Published: Aug 02 2024 | 4:07 PM IST

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