Key benchmark indices pared gains after hitting fresh intraday high in morning trade. The Sensex was up 55.45 points or 0.29%, up close to 80 points from the day's low and off about 75 points from the day's high. Index heavyweight Reliance Industries (RIL) edged higher in choppy trade. Another index heavyweight and cigarette major ITC reversed gains after hitting record high at the onset of the trading session. The market breadth, indicating the overall health of the market, was strong. Gains in Asian stocks supported domestic bourses.
Bank stocks extended recent gains triggered by expectations that the Reserve Bank of India will cut its key policy rate viz. the repo rate to boost growth amid slowing wholesale price inflation. IndusInd Bank extended Thursday's surge triggered by strong Q4 results to hit record high. Wipro slumped nearly 10% after the company said at the time of announcing Q4 results that it expects revenue from IT services business to remain flat on sequential basis in Q1 June 2013.
The market edged higher in early trade on firm Asian stocks. The barometer index, the S&P BSE Sensex, and the 50-unit CNX Nifty, both, hit their highest level in almost five weeks. The market pared gains after hitting fresh intraday high in morning trade.
The market sentiment was boosted by data showing that foreign funds remained net buyers of Indian stocks on Thursday, 18 April 2013. Foreign institutional investors (FIIs) bought shares worth a net Rs 940.07 crore on Thursday, 18 April 2013, as per provisional data from the stock exchanges.
The market may remain volatile this week as traders roll over positions in the futures & options (F&O) segment from the near month April 2013 series to May 2013 series. The May 2013 F&O contracts expire on Thursday, 25 April 2013. The stock market remains shut on Wednesday, 24 April 2013 on account of Mahavir Jayanti.
At 10:20 IST, the S&P BSE Sensex was up 55.45 points or 0.29% to 19,071.91. The index jumped 128.01 points at the day's high of 19,144.47 in morning trade, its highest level since 19 March 2013. The index fell 26.68 points at the day's low of 18,989.78 in early trade.
The CNX Nifty was up 38.35 points or 0.66% to 5,821.45. The index hit a high of 5,833.45 in intraday trade, its highest level since 19 March 2013. The index hit a low of 5,789.80 in intraday trade.
The market breadth, indicating the overall health of the market, was strong. On BSE, 912 shares advanced and 419 shares declined. A total of 59 shares were unchanged.
Among the 30-share Sensex pack, 22 stocks advanced while rest of them declined.
Index heavyweight Reliance Industries (RIL) rose 0.87% to Rs 788.60. The scrip hit high of Rs 791.40 and a low of Rs 778.65 so far during the day. On the back of a surge in refining margins, RIL's net profit jumped 31.9% to Rs 5589 crore on 1.4% fall in turnover to Rs 86618 crore in Q4 March 2013 over Q4 March 2012. On sequential basis, RIL's net profit rose 1.58% to Rs 5589 crore on 10.06% decline in turnover to Rs 86618 crore in Q4 March 2013 over Q3 December 2012. The company reported Q4 March 2013 results on 16 April 2013.
At the time of announcement of the results, RIL said that the company is working towards next wave of projects to exploit the undeveloped discovered resources in KG-D6 gas field targeted over the net 3-5 years. RIL has submitted an Integrated Block Development Plan (IBDP) for four discoveries in NEC -25 block (D-32, D-40, D-9 and D-10) proposing for a phased manner development. First gas is expected by mid-2019 subject to timely approvals.
Index heavyweight and cigarette major ITC fell 0.25% to Rs 314.15. The stock reversed direction after hitting record high of Rs 317.30 in intraday trade today, 22 April 2013. The government raised the excise duty on cigarettes by about 18% on all cigarettes except cigarettes of length not exceeding 65 mm in Union Budget 2013-14, which was unveiled on 28 February 2013.
Bank stocks extended recent gains triggered by expectations that the Reserve Bank of India will cut its key policy rate viz. the repo rate to boost growth amid slowing wholesale price inflation. Shares of India's biggest commercial bank in terms of branch network, State Bank of India (SBI), were up 1.74%.
Among other PSU bank stocks, Canara Bank, Union Bank of India, Bank of India, Bank of Baroda and Punjab National Bank gained by 0.53% to 2.25%.
ICICI Bank advanced 1.72%. ICICI Bank announces Q4 results on 26 April 2013.
HDFC Bank rose 2.58%. HDFC Bank announces Q4 results tomorrow, 23 April 2013.
IndusInd Bank jumped 4.2% to Rs 469, with the stock extending Thursday's 7.22% surge triggered by strong Q4 results. The stock struck a record high of Rs 471.55 in intraday trade today, 22 April 2013. IndusInd Bank's net profit rose 37.61% to Rs 307.40 crore on 23.55% increase in total income to Rs 2190.66 crore in Q4 March 2013 over Q4 March 2012. The result was announced during trading hours on 18 April 2013.
IndusInd Bank's net profit rose 32.22% to Rs 1061.18 crore on 31% increase in total income to Rs 8346.19 crore in the year ended March 2013 over the year ended March 2012.
The bank's ratio of net non-performing assets to net advances stood at 0.31% as on 31 March 2013, compared with 0.30% as on 31 December 2012 and 0.27% as on 31 March 2012.
At a post-result analyst meet, IndusInd Bank's management said it expects further improvement in the bank's net interest margin (NIM) after NIM increased sharply to five year high of 3.72% in Q4 March 2013 from 3.46% in December 2012. The bank remains on ambitious target to touch the NIM of 3.9% to 4%. Accordingly, bank expects the interest income contribution to total revenue to increase.
The bank plans to add new 125-150 branches in FY 2014 and it expects to get 2 offshore branches licenses. The bank has 182 new branch licenses in hand.
As per the bank's growth roadmap for 2014-2016, the bank expects its loan growth at above industry growth in the range of 25-30% during the period. CASA (current and savings account) growth is planned to be kept ahead of loan growth with around 35% of deposits. Fee income growth is also planned to be maintained ahead of loan growth.
Axis Bank gained 2.5%. The company will announce its Q4 March 2013 results on Wednesday, 24 April 2013.
Wipro slumped 9.86% after the company said at the time of announcing Q4 results that it expects revenue from IT services business to remain flat on sequential basis in Q1 June 2013. Wipro expects a between 0.63% fall to a growth of 1.57% in revenue from IT services business at between $1.575 billion to $1.61 billion in Q1 June 2013 over Q4 March 2013. At a post-result conference call, Wipro's management indicated that Q1 for Wipro will be the traditionally weak quarter on account of softness from the India business. The management expects Q2 September 2013 to be better than Q1 June 2013 for the company.
Wipro's IT services revenue rose 0.5% to $1.585 billion in Q4 March 2013 over Q3 December 2012. On year on year basis, IT services revenue rose 3.2% to $1.585 billion in Q4 March 2013 over Q4 March 2012. Wipro announced the fourth quarter results on Friday, 19 April 2013, when the stock market was closed on account of Ram Navmi.
The focus of the market is on Q4 results. HDFC Bank announces Q4 results tomorrow, 23 April 2013. Axis Bank will announce its Q4 March 2013 results on 24 April 2013. Jindal Steel & Power declares its Q4 results on 25 April 2013. Hero MotoCorp, ICICI Bank and Maruti Suzuki unveil Q4 results on 26 April 2013. IDFC announces Q4 results on 1 May 2013.
Bharti Airtel and Kotak Mahindra Bank unveil Q4 results on 2 May 2013. ACC and Ambuja Cements announce Q1 March 2013 results on 3 May 2013. Grasim announces Q4 March 2013 results on 4 May 2013. HDFC unveils Q4 results on 8 May 2013. Ranbaxy announces Q1 March 2013 results on the same day. Dr. Reddys Laboratories announces Q4 results on 14 May 2013. Bajaj Auto announces Q4 results on 16 May 2013.
The Reserve Bank of India (RBI) will announce the Monetary Policy Statement 2013-14 on 3 May 2013. The RBI cut its key policy rate viz. the repo rate by 25 basis points to 7.5% after a mid-quarter monetary policy review on 19 March 2013.
Inflation based on the monthly wholesale price index (WPI) eased the lowest level in 40 months at 5.96% in March 2013, and sharply lower than 6.84% in February 2013, data released by the government on 15 April 2013 showed. Non-food manufacturing inflation or core inflation slowed further to 3.41% in March 2013, the data showed.
The India Meteorological Department will issue its initial forecast of 2013 southwest monsoon in this month.
The finance ministry in October 2012 announced a five-year plan to cut fiscal deficit. The government hopes to reduce the fiscal deficit to 3% by March 2017.
The second half of the Budget session of the Parliament begins today, 22 April 2013. The government has lined up a number of key bills for consideration and passing during the Budget session of the parliament, which include The Forward Contracts (Regulation) Amendment Bill, 2010, The Pension Fund Regulator and Development Authority Bill, 2011, The Land Acquisition, Rehabilitation and Resettlement Bill, 2011, The National Food Security Bill, 2011 and The Insurance Laws (Amendment) Bill, 2008. The Budget Session of the Parliament ends on 10 May 2013.
Asian stocks rose for the second day in a row on Monday led by Japanese exporters as the yen slid to a four-year low against the US dollar after the Bank of Japan's stimulus policies were unopposed at a Group of 20 meeting. Key benchmark indices in Hong Kong, Japan, South Korea, Singapore and Taiwan rose by 0.07% to 2.02%. Key benchmark indices in China and Indonesia shed by 0.1% to 0.42%.
Bank of Japan (BOJ) Governor Haruhiko Kuroda emerged from the G-20 meeting saying he was emboldened to press ahead with the campaign to defeat deflation. The central bank holds a policy meeting this week after pledging on 4 April 2013 to double the monetary base in two years.
Trading in US index futures indicated that the Dow could gain 73 points at the opening bell on Monday, 22 April 2013. US stocks rose on Friday as earnings from Google and other companies lifted tech shares.
Powered by Capital Market - Live News
