A pedestrian holding an umbrella walks past an electronic ticker board displaying stock figures at the Bombay Stock Exchange (BSE) in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)
5 years ago
May 19, 2021
Catch all live updates on share prices, index moves, corporate announcements and more from Indian stock markets today.
Any near-term possible correction in the market should be treated as opportunity of bargain trading. Investors must focus on quality stocks with robust earnings visibility and margins of safety.
Indian sovereign bonds rise as a slide in crude prices eases concern about price pressures in the net-oil importing nation. The central bank’s plan to purchase Rs 35,000 crore ($4.8 billion) of government bonds Thursday is also aiding sentiment.
Traders look forward to the results of a 360b-rupee ($4.9b) sale of Treasury bills due later on Wednesday
10-year yields down 1bp at 5.97%; 6.64% 2035 yield drops 1bp to 6.60%
USD/INR falls 0.1% to 72.9650; pair down about 0.6% in four trading sessions
The first 2-3 months of the financial year are crucial for the RBI to keep it tight so that yields don’t flare up, Anoop Verma, bond trader at DCB Bank
Eventually, the market starts believing that the RBI will always be there, and it won’t be wise to go short on bonds because then you get caught on the wrong foot
Once the market starts believing it's not prudent to short, you can then only stay away from the market or go long
Torrent Pharmaceuticals Ltd. rose 5%. Trading in the company's call options was quadruple the average.
Trading volume was 470,561 shares, ten times the 20-day average of 47,422 shares for this time of day.
Trading in the company's call options totalled 2,797 contracts, compared with the average of 749 over the past 20 days. Trading in the company's put options totalled 292 contracts, compared with the average of 94 over the same period.
The relative strength index on the stock was above 70, indicating it may be overbought.
Torrent Pharma trades at 39 times its estimated earnings per share for the coming year. It trades at 47 times trailing EPS.
Analysts have 17 buy, eight hold, and nine sell recommendations on the stock.
The price target of Rs 2,892.18 represents a 1.1% increase from the last price
The nation added 267,334 new cases in a day on Tuesday, sharply lower than over 400,000 at the start of the month. Still, death due to the virus have climbed above 4,500 to a record. Foreign investors have withdrawn $966 million from local stocks this month through Monday.
