Podcast | An evening walk down Dalal Street: Sensex off highs; Nifty reclaims 10,850
The S&P BSE Sensex erased most of its intraday gains and ended marginally higher on Wednesday. The Nifty50 was able to close above 10,850 helped by gains in IT stocks.
The S&P BSE Sensex rose up 46.64 points to close at 35,739.16, and the Nifty50 gained 13.85 points to end at 10,856.70.
The broader market indices underperformed, with BSE Midcap & BSE Smallcap ending with losses of 0.5 percent and 0.2 percent respectively.
Consumer Durables, IT & Banks were top gainers whereas Capital Goods, FMCG, Telecom, and Power closed in the red. Amongst the global indices, European markets were trading higher, while Asian markets closed on a mixed note.
About 1280 shares have advanced, 1366 shares declined, and 178 shares are unchanged.
Top Sensex gainers include names like Dr. Reddy’s Laboratories, TCS, SBI, Power Grid, Infosys, and ICICI Bank.
Top Sensex losers include names like Tata Steel, Adani Ports, Bharti Airtel, HUL, ONGC, and ITC.
Stocks in news:
Tata Consultancy Services (TCS) rallied 2.4 percent on Wednesday after India’s largest software exporter said that its board will meet on Friday to consider a proposal to buy back shares. The stock has been in an uptrend so far in the year 2018, up 34 percent while on a 1-year basis, the stocks rose by nearly 50 percent. The stock is trading near its record high of Rs 1.837.
Shares of Ruchi Soya Industries locked at 5 percent as Adani group emerged as the highest bidder for the company. Adani’s group company offered about Rs 6,000 crore to emerge as the highest bidder for the acquisition of bankruptcy-hit edible oil firm Ruchi Soya, sources with direct knowledge of the matter said.
Shares of Page Industries gained over 4 percent to hit a record high on Wednesday as investors bet on the firm’s extension of licensing with Jockey International. The stock hit a record high of 26,295.95. “Our license agreement with Jockey International Inc has been extended till December 31, 2040,” the company said in a filing to the exchanges.
The share price of Sun Pharmaceutical Industries added nearly 1 percent as the company received EIR from USFDA for its Halol facility. The company has received the EIR (establishment inspection report) from the USFDA for the inspection conducted at its Halol facility (Gujarat, India) during the period February 12-23, 2018.
Telecom stocks remained under pressure as Reliance Jio, the telecom arm of Reliance Industries Ltd, had on Tuesday responded to Airtel’s latest plan by offering more data to users. Shares of top telecom operator Bharti Airtel Ltd dropped as much as 1.3percent, while Idea Cellular Ltd fell more than 5 percent to Rs 61.65.
In other news/Global Update:
The Finance Ministry will launch the second tranche of Bharat-22 exchange-traded fund (ETF) on 19 June which will help raise up to Rs8,400 crore from the markets. The issue will open for anchor investors on 19 June and for other institutional and retail investors the next day. The ETF follow-on offer will remain open till 22 June. The investors would get a 2.5% discount over the issue price.
Asian markets closed lower as investors may have turned cautious ahead of US Federal Reserve’s policy meeting outcome later in the day. The S&P/ASX 200 declined 0.51 percent to 6,023.50.
Meanwhile, markets in European hovered near flat levels, as investors too awaited the latest monetary policy decision from the Fed. Stoxx 600 index was flat with the different sectors moving in opposite directions.