The key equity benchmarks ended flat, with some negative bias, after a volatile session on Friday. Negative global cues impacted the sentiment. The Nifty ended above the 17,300 level. Consumer durables and media stocks advanced while, metal, bank and financial services shares witnessed a bit of a selling pressure.
As per provisional closing data, the barometer index, the S&P BSE Sensex, shed 30.81 points or 0.05% to 58,191.29. The Nifty 50 index lost 17.15 points or 0.1% to 17,314.65.
In the broader market, the S&P BSE Mid-Cap index declined 0.15% while the S&P BSE Small-Cap index rose 0.30%.
The market breadth was positive. On the BSE, 1,951 shares rose, and 1,502 shares fell. A total of 100 shares were unchanged.
Economy:
The World Bank on Thursday projected a growth rate of 6.5% for the Indian economy for the fiscal year 2022-23, a drop of one percent from its previous June 2022 projections, citing deteriorating international environment.
In its latest South Asia Economic Focus released ahead of the annual meeting of the International Monetary Fund and the World Bank, the Bank, however, noted that India is recovering stronger than the rest of the world.
Primary Market:
The initial public offer (IPO) of Electronics Mart India received bids for 164.09 crore shares as against 6.25 crore shares on offer, according to stock exchange data 15:27 IST on Friday (07 October 2022). The issue was subscribed 26.25 times.
The issue opened for bidding on Tuesday (04 October 2022) and it will close on Friday (07 October 2022). The price band of the IPO is fixed at Rs 56-59 per share. An investor can bid for a minimum of 254 equity shares and in multiples thereof.
The issue comprises only fresh issue of equity shares aggregating to Rs 500 crore. Of the net proceeds about Rs 111.441 crore towards funding of capital expenditure (largely opening of stores and warehouses); Rs 220 crore towards funding incremental working capital requirements and Rs 55 crore towards repayment / prepayment of certain borrowings in part or full.
Buzzing Index:
The Nifty IT index shed 0.66% to 27,743.05. The index has added 4.49% in the past two sessions.
Persistent Systems (down 1.65%), Tata Consultancy Services (down 1.08%), Coforge (down 0.7%), Tech Mahindra (down 0.68%) and Mphasis (down 0.56%) were the top losers.
Among the other losers were HCL Technologies (down 0.44%), Wipro (down 0.43%), Infosys (down 0.39%), L&T Technology Services (down 0.3%) and Larsen & Toubro Infotech (down 0.27%).
Stocks in Spotlight:
Titan Company rallied 5.25%. The Tata Group company said that it witnessed double-digit growth across most businesses with overall sales growing 18% year on year (YoY). Retail network continued the pace of expansion adding 105 stores (net) for the quarter. The company's flagship Jewellery division grew 18% YoY on a high base of Q2 FY22 that had elements of pent-up demand and spillover purchases of a Covid disrupted Q1 FY22.
Dabur India shed 1.16%. The company said that the consolidated revenue is expected to grow at mid-single digit. The company said that it will continue to grow ahead of category growths and gain market share in most of its segments, both in domestic and overseas markets.
During the quarter inflation was at peak levels which impacted gross margins. The input cost pressure led to a near term impact on operating margin which is expected to be lower by around 150-200 bps as compared to Q2 FY22 but will see sequential improvement. With commodity prices easing, inflation is expected to ease in H2 FY22 leading to YoY improvement in operating margins.
Kalyan Jewellers India advanced 1.81%. The company said that it achieved a consolidated revenue growth of approximately 20% in Q2 FY23 as compared to the same period in the previous financial year. The company said it witnessed continued robust momentum in footfalls and revenues across all markets in India and Middle East, while effectively navigating through a challenging economic environment. The counter hits a record high of 104.60 in intraday today.
NTPC rose 1.23%. The company and GE Gas Power signed a Memorandum of Understanding (MoU) for feasibility to demonstrate hydrogen co-firing blended with natural gas in GE's 9E gas turbines installed at NTPC's Kawas combined-cycle gas power plant in Gujarat.
FSN E-Commerce (Nykaa) shed 0.19%. Nykaa received board approval to sign an agreement with the Middle East's Apparel Group, a global fashion and lifestyle retail conglomerate headquartered in the
United Arab Emirates (UAE). Nykaa will leverage the Apparel Group's robust retail infrastructure network and deep market relationships to build distinctive Gulf Cooperation Council (GCC) focused beauty offerings in the UAE, Kingdom of Saudi Arabia (KSA), Qatar, Oman, Kuwait and Bahrain.
Indian Hume Pipe Company surged 9.43%. The company received letter of acceptance (LOA) for Rs 194.03 crore under Jal Jeevan Mission Project in Maharashtra.
Zuari Agro Chemicals advanced 4.07%. The company's board approved appointment of Manish Malik as chief financial officer (CFO) and key managerial personnel (KMP) with effect from Thursday, 6 October 2022.
Datamatics Global Services jumped 4.98%. Datamatics and Scan-Optics, a leader in intelligent data management and digital transformation, announced that they have entered in a partnership to help organizations enhance automation of business operations.
PVR slipped 1.93%. CRISIL Ratings has assigned 'CRISIL A1+' ratings to the commercial paper programme of the company (PVR). The ratings on the long-term bank facilities and debt instruments continues to be on 'rating watch with positive implications'. CRISIL said that the ratings continue to consider strong market position and established brand of PVR, improving operating efficiency, and healthy financial risk profile and liquidity. These strengths are partially offset by exposure to risks inherent in the film exhibition business.
RattanIndia Enterprises soared 7.83%. The company said that it will acquiring 100% shareholding in the electric motorcycles market leader Revolt Motors.
Equitas Small Finance Bank advanced 1.40%. The bank said its gross advances rose 20% to Rs 22,802 crore as on 30 September 2022 as against Rs 18,978 crore as on 30 September 2021. Total deposits grew 20% YoY to Rs 21,726 crore in Q2 FY23.
Global Markets:
Shares in Europe and Asia declined across the board on Friday ahead of the monthly U.S. jobs report, which is likely to guide the Federal Reserve's monetary decision in November. Markets in mainland China remain closed for a holiday.
Wall Street's major indexes closed lower on Thursday as concerns mounted ahead of closely watched monthly nonfarm payrolls numbers due on Friday that the Federal Reserve's aggressive interest rate stance will lead to a recession.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
