Stock Market Today: Sensex, Nifty Advance For The Second Day As Auto Stocks Gain; Axis Bank, M&M Lead
Sensex was up 240 points or 0.38% at 62,787.47 while the Nifty was 60 points or 0.32% at 18,593.85.
KEY HIGHLIGHTS
Rupee Weakens Against The U.S. Dollar
The local currency depreciated by 38 paise to close at 82.68 against the U.S dollar on Monday.
The local currency closed at 82.30 on Friday.
Source: Bloomberg
Sensex, Nifty End Higher For The Second Day: Closing Bell
Indian equity benchmarks held on to gains through Monday after slipping marginally ahead of closing. Nifty Auto Index was the top sectoral gainer and hit a record high in trade, while the Nifty FMCG Index pared gains after hitting an all-time high for the seventh straight session. Axis Bank Ltd., Mahindra & Mahindra Ltd. and ICICI Bank Ltd. led the gains on the indices.
The headline indices were trading in a bull market on Monday after the S&P 500 Index inched closer to it on Friday. Sensex advanced 23.3%, whereas, NSE Nifty 50 was up 22.5% from its low on June 17, 2022, implying that the indices were already trading in a bull market. Generally, this occurs when there is a rise of 20% or more in the market indices over a two-month period.
U.S. futures were steady after Friday’s U.S. payroll data helped take the underlying S&P 500 to the cusp of a bull market.
In Europe, stocks edged higher, following gains for benchmarks in Asia. In Tokyo, the Nikkei 225 climbed as much as 2%, headed for its highest close since July 1990, helped by a sharp weakening of the yen last week. The S&P 500 closed just a few points away from entering a bull market on Friday — a level which would see it rising 20% from its October low.
The S&P BSE Sensex Index was up 240 points or 0.38% at 62,787.47 while the NSE Nifty 50 Index was 60 points or 0.32% at 18,593.85.
Axis Bank Ltd., Reliance Industries Ltd., Mahindra & Mahindra Ltd., ICICI Bank Ltd., and Larsen and Toubro Ltd. were positively adding to the change in the Nifty 50 Index.
Whereas, ITC Ltd., HDFC Bank Ltd., Kotak Mahindra Bank Ltd., TCS Ltd., and Hindustan Unilever Ltd. were negatively contributing to the change.
The broader markets were ended higher; the S&P BSE MidCap Index was up 0.29%, whereas S&P BSE SmallCap Index was higher by 0.51%.
Seventeen out of the 20 sectors compiled by BSE advanced, except S&P BSE Fast Moving Consumer Goods, S&P BSE Information Technology and S&P BSE Teck.
The market breadth was skewed in the favour of the buyers. About 2,183 stocks rose 1,482 declined, and 175 remained unchanged on the BSE.
Stocks At 52-Week High Intraday
Som Distilleries & Breweries Scales Up Beer Market Share in Madhya Pradesh.
Som Distilleries & Breweries announces 42% growth in its beer market share in Madhya Pradesh for the month of May.
Source: Exchange filing
Greaves Cotton's NBFC Arm Introduces Online Platform For EV Financing
Greaves Finance launches electric vehicle financing platform 'evfin"
Source: Exchange filing
PVR Inox Gains The Most In A Week After Opening Seven-Screen Multiplex In B'luru
Shares of PVR Inox Ltd. gained the most in over a week after rising over 3% intraday. The multiplex company said it has opened a seven-screen multiplex at Global Mall in Bengaluru's Mysore Road. PVR Inox Ltd. has opened 65 screens across 10 properties in 10 cities since its merger.
Shares of PVR Inox Ltd. rose 2.44% to Rs 1,434 apiece, as of 1:57 p.m., in trade on Monday compared to 0.48% advance in the benchmark, NSE Nifty 50 Index.
The scrip rose as much as 3.11% intraday, the most in over a week since May 26, 2023. Total traded volume stood at 1.6 times its 30-day average. The relative strength index was at 51.9.
Out of the 28 analysts tracking the company, 24 maintain a 'buy' rating, two recommend a 'hold' and two suggest to 'sell' the stock, as per the Bloomberg data.
The average calculated from the 12-month price target given by analysts implies a potential upside of 27.5%.
Source: Bloomberg, Exchange filing
Most Eurpean Markets Open Higher
Tata Power Renewable Energy Commissions 110 MW Solar Power Project For Kerala State Electricity Board
Company will set up renewable energy plant in Bikaner, Rajasthan, to supply 211 million units to Kerala
The project is expected to be completed in seven months
Source: Exchange filing
Nifty Midcap 100 Hits Record High Intraday
Suzlon Crosses 20 GW Wind Energy Installations Worldwide
Becomes first Indian wind energy company to cross 20 GW of wind energy installations through 12,467 wind turbines installed across 17 countries.
Source: Exchange filing
Embassy Office Parks REIT To Raise Rs 1,050 Crore Via Private Placement Of NCDs
Company will allot 1,05,000 non-convertible debentures at a face value of Rs 1,00,000 each for the coupon rate of 7.77% per annum
The tenure of the issued NCDs will extend up to 24 months from the deemed date of allotment
Source: Exchange filing
L&T Finance Shares Decline After 44.3 Lakh Shares Change Hands In Two Bunches
Shares of Larsen & Toubro Finance Holdings Ltd. fell on Monday after 0.2% or 44.3 lakh shares changed hands in two bunches.
About 22.8 lakh shares changed hands at 10:58 a.m., whereas, 21.5 lakh shares followed a trade at 12:15 p.m.
Shares of Larsen & Toubro Finance Holdings Ltd. declined 0.76% to Rs 104.75 apiece, as of 12:30 p.m., in trade on Monday compared to 0.45% advance in the benchmark, NSE Nifty 50 Index.
The stock fell as much as 1.56% intraday, the most in nearly two weeks since May 23, 2023. Total traded volume stood at 2.1 times its 30-day average. The relative strength index was at 72, implying that the stock maybe overbought.
Out of the 15 analysts tracking the company, 11 maintain a 'buy' rating, one recommends a 'hold' and three suggest to 'sell' the stock, as per the Bloomberg data.
The average calculated from the 12-month price target given by analysts implies a potential upside of 4%.
Source: Bloomberg, Exchange filing
Patel Engineering Bags Rs 520 Crore Contract For Water Tunnel Construction In Raigad
Patel Engineering receives a contract for the construction of a 6.70 km treated water tunnel from CIDCO
As per the letter of agreement, the project is to be completed in 60 months
Source: Exchange filing
Sensex, Nifty Hold Gains As Axis, ICICI Bank, M&M Lead; Auto Advances: Midday Market Update
Indian equity benchmarks held on to steady gains after opening higher on Monday. Nifty Auto Index was the top sectoral gainer in trade after it hit a record high. Nifty FMCG Index, on the other hand, pared gains after hitting a record for the seventh session. While Axis, ICICI Bank and M&M led; HUL, ITC, Asian Paints dragged.
Asian markets rose, extending a rally in global equities to a third day, as stronger economic data fueled optimism that central banks will avoid bringing on a recession while quelling inflation.
Crude pared its gain to around 1% after surging as high as 4.6% on Saudi Arabia’s pledge to make an extra 1 million barrel-a-day reduction in July, taking its production to the lowest level for several years. Asian energy shares rose.
Contracts for the S&P 500 edged lower in Asia after U.S. payroll data helped take the underlying measure to the cusp of a bull market. An MSCI Inc. gauge of equities across developed and emerging markets is at the highest since May last year, despite increasing worries about an economic slowdown in China and the prospect of higher interest rates in the U.S.
Gains in the U.S. on Friday were fueled by big tech, options positioning and bets for a Fed to hold rates unchanged this month, before a likely increase in July.
As of 12:07 p.m., the S&P BSE Sensex Index was up 307 points or 0.49% at 62,854.15 while the NSE Nifty 50 Index was 88 points or 0.47% at 18,621.75.
Axis Bank Ltd., ICICI Bank Ltd., Mahindra & Mahindra Ltd., Larsen and Toubro Ltd., and Sun Pharmaceutical Industries were positively adding to the change in the Nifty 50 Index.
Whereas, Hindustan Unilever Ltd., ITC Ltd., Asian Paints Ltd., Bharti Airtel Ltd., and TCS Ltd. were negatively contributing to the change.
The broader markets were trading higher; the S&P BSE MidCap Index was up 0.45%, whereas S&P BSE SmallCap Index was higher by 0.66%.
Sixteen out of the 20 sectors compiled by BSE advanced, except S&P BSE Fast Moving Consumer Goods, S&P BSE Telecommunication, S&P BSE Metal and S&P BSE Realty.
The market breadth was skewed in the favour of the buyers. About 2,267 stocks rose 1,238 declined, and 178 remained unchanged on the BSE.
Nava Shares Gain The Most In Five Months After Zambian Unit Reduces Debt By $277 Million
Shares of Nava Ltd. gained the most in over five months after the supplier of ferro alloys said that its Zambia based colliery has lowered overall liabilities by about $277 million or Rs 2,296 crore.
Company's unit Maamba Collieries Ltd. leveraged upon the improved operational cash flows to discharge overdue loan instalment aside, the company said in a statement.
The unit has reduced its overall liabilities by $277 million since the start of December to $206 million or Rs 1,707 crore, which is a significant turnaround in its financial position. The subsidiary has been receiving payments for all energy sales from May last year, resulting in incremental cash flows, including that from coal sales.
“With this turnaround and the loans having become standard, MCL proposes to engage with its lenders the way forward including that for distributions to sponsors,” the said in a statement.
Shares of Nava Ltd. rose 8.98% to Rs 268.7 apiece, as of 10:17 a.m., in trade on Monday compared to 0.5% advance in the benchmark, NSE Nifty 50 Index.
The stock rose as much as 11.09% intraday, the most in over five months since Dec. 27, 2022. Total traded volume stood at 14.1 times its 30-day average. The relative strength index was at 69.7.
Stock Market Live: Sensex, Nifty Hold Gains As Axis, ICICI Bank Lead; Nifty Auto, FMCG At Record High
TCS Ltd. has been awarded a 10-year contract by the UK Government's Department for Education to administer the Teachers’ Pension Scheme.
The contract includes administration and further enhancement of customer experiences via a digitally enabled system.
Source: Exchange filing
Rupee Depreciates Against The U.S. Dollar
Nifty FMCG Index Hits Record High Intraday
Nifty Auto Index Hits Record After Auto Sales Rise In May
May proved to be an encouraging month for the auto retail industry, with a 10% sales growth across all vehicle categories, the auto dealers' association said today.
Auto Retail Sales In May (YoY)
Total sales rose 10% to 20.19 lakh units.
Passenger vehicle sales rose 4.31% to 2.98 lakh units.
Two-wheeler sales up 9.32% at 14.93 lakh units
Commercial vehicle sales up 7.19% at 77,135 units.
Three-wheeler sales rose 78.57% to 79,433 units.
Electric vehicles account for 8% of total sales.
Tractor sales grew 9.63% at 70,739 units.
Mahindra Lifespace Developers Shares Gain After Starting Operation With OMRON Healthcare
Shares of Mahindra Lifespace Developers Ltd. rose on Monday after the company announced, Mahindra Industrial Park Chennai Ltd. a joint venture between Mahindra World City Developers Ltd. and Japan-based OMRON Healthcare will start operations at Origins by Mahindra in Chennai by March 2025, by manufacturing the blood pressure monitors in India.
The OMRON Healthcare factory will be built over 6.02 acres and will be manufacturing blood pressure monitors and supplying them mainly to the domestic market.
Shares of the company advanced 1.82% to Rs 457.15 apiece as of 10.08 a.m. on Monday, compared to a 0.47% rise in the benchmark Nifty 50. The stock advanced as much as 4.01% intraday, rising the most since May 31.
The total traded volume so far in the day stood at 4.3 times its 30-day average. The RSI stands at 74, suggesting stock may be overbought
All the eight analysts tracking the company maintained a 'buy' rating, according to Bloomberg data. The average 12-month consensus price target implies an upside of 7.5%.
Auto Retail Sales Up 10% YoY, EVs Account For 8%: FADA
May proved to be an encouraging month for the auto retail industry, with a 10% sales growth across all vehicle categories, the auto dealers' association said today.
"Electric Vehicles (EVs) made impressive strides this month, contributing to 8% of the total vehicle retail," the Federation of Automobile Dealers' Association (FADA) said in a release.
The increase in EV sales was led by a rise in two-wheeler and three-wheeler electric vehicle sales by 7% and 56% respectively, while commercial vehicle and passenger vehicle sales contributed 0.5% and 2.5% respectively.
Two-wheeler sales recorded a growth of 9.32% at 14.32 lakh units led by seasonal factors such as the marriage season, changes in FAME subsidies which are set to be in effect from June, and recovery of rural demand, according to the release.
Auto Retail Sales In May (YoY)
Total sales rose 10% to 20.19 lakh units.
Passenger vehicle sales rose 4.31% to 2.98 lakh units.
Two-wheeler sales up 9.32% at 14.93 lakh units
Commercial vehicle sales up 7.19% at 77,135 units.
Three-wheeler sales rose 78.57% to 79,433 units.
Electric vehicles account for 8% of total sales.
Tractor sales grew 9.63% at 70,739 units.
Tata Chemicals Jumps The Most In Eight Months As It Plans To Build EV Battery Plant In Gujarat
Shares of Tata Chemicals Ltd. rose the most in over eight months after it signed an MoU with the Government of Gujarat to set up a 20 GW capacity lithium-ion cell manufacturing factory with an investment of Rs 13,000 crore.
Deal to set up the cell manufacturing unit stems from the state's resolve to adopt 100% of electric vehicles and reduce 50% carbon emissions by 2030.
Also, as per an exchange filing it announced the reorganization of U.S. operations to rationalise the number of intermediate entities. Tata Chemicals (Soda Ash) Partners will be converted from a partnership to a limited liability company, resulting in change of the name to Tata Chemicals (Soda Ash) Partners LLC.
Tata Chemicals will also merge two intermediate holding entities into the above mentioned company. Furthermore, it will merge Valley Holdings Inc into Tata Chemicals North America Inc.
Additionally, the company informed the exchanges over the weekend that Crisil has reaffirmed the credit rating of A1+ to the company’s commercial paper worth Rs 100 crore.
Shares of Tata Chemicals Ltd. rose 3.98% to Rs 1,008.4 apiece, as of 10:17 a.m., in trade on Monday compared to 0.46% advance in the benchmark, NSE Nifty 50 Index.
The stock rose as much as 4.96% intraday, the most in over eight months since Oct. 4, 2022, 2022. Total traded volume stood at 12 times its 30-day average. The relative strength index was at 63.6.
Out of the nine analysts tracking the company, seven maintain a 'buy' rating and two recommend a 'hold' on the stock, as per the Bloomberg data.
The average calculated from the 12-month price target given by analysts implies a potential upside of 10.5%.
Source: Bloomberg, Exchange filing
Angel One's Client Base Rose 3.3% In May
The number of orders logged in May grew 32.7% to 9.1 crore as compared to 6.8 crore in April
Company's gross client acquisition rose 20.4% MoM to 4.6 lakh clients
Source: Exchange filing
Dr. Reddy's Laboratories Concludes Phase-I Study Of Tocilizumab Biosimilar
The pharma company has completed the phase-I study of a tocilizumab biosimilar compound for intravenous and formulations
The drug is used to treat moderate to severe active rheumatoid arthritis.
Source: Exchange filing
Broader Markets Open Higher
The broader markets opened higher; the S&P BSE MidCap Index was up 0.34%, whereas S&P BSE SmallCap Index was higher by 0.70%.
All the 20 ectors compiled by BSE advanced, except S&P BSE Oil & Gas.
The market breadth was skewed in the favour of the buyers. About 2,169 stocks rose 695 declined, and 123 remained unchanged on the BSE.
Source: BSE
Top Movers On The Nifty 50 Index
Hindustan Unilever Ltd., Infosys Ltd., Asian Paints Ltd., Tech Mahindra Ltd., and Kotak Mahindra Bank Ltd. were negatively adding to the change in the Nifty 50 Index.
Whereas, ICICI Bank Ltd., Axis Bank Ltd., Mahindra & Mahindra Ltd., Tata Motors Ltd., and Power Grid Corp of India Ltd. were positively contributing to the change.
Sensex, Nifty Open Higher: Opening Bell
Indian equity benchmarks opened higher on Monday, following the positive global cues after it advanced for the second straight week on Friday.
Asian markets extended a rally in global equities that continues to defy concern over risks to economic growth and elevated interest rates.
Oil surged on a supply cut from Saudi Arabia. Crude jumped more than 3% before trimming its move after the pledge to make an extra 1 million barrel-a-day reduction in July, which trims Saudi Arabia’s production to the lowest level for several years.
Stock benchmarks in Japan and Australia advanced more than 1% Monday while South Korea’s Kospi rose about 0.4%. Shares in Hong Kong opened marginally higher before falling slightly, along with Shanghai’s main index.
Contracts for the S&P 500 fell slightly in Asia after further gains on Friday took the underlying measure to the cusp of a bull market. An MSCI Inc. gauge of equities across developed and emerging markets is at the highest since May, despite increasing worries about an economic slowdown in China and the prospect of higher interest rates in the US.
Gains in the U.S. on Friday were fueled by big tech, options positioning and bets for a Fed to hold rates unchanged this month, before a likely increase in July. A mixed jobs report shaped the wagers on the Fed, with signs of labor-market slackening in May despite a pickup in hiring.
At pre-open, the S&P BSE Sensex Index was up 209 points or 0.33% at 62,756.33 while the NSE Nifty 50 Index was 78 points or 0.42% at 18,612.
Sensex, Nifty Rise In Pre-Open Trade
At pre-open, the S&P BSE Sensex Index was up 209 points or 0.33% at 62,756.33 while the NSE Nifty 50 Index was 78 points or 0.42% at 18,612.
Source: Bloomberg
Yield On The 10-Year Bond Opens Higher
The yield on the 10-year bond opened 3 bps higher at 7.01% on Monday.
It closed at 6.98% on Friday.
Source: Bloomberg
Rupee Weakened Against The U.S. Dollar
The local currency depreciated by 15 paise to open at 82.45 against the U.S dollar on Monday.
The local currency closed at 82.30 on Friday.
Source: Bloomberg
Expected Pause In FII Buying May Led To Pause In Nifty Movement: Trade Setup
Global Cues
U.S. Dollar Index at 104.1
U.S. 10-year bond yield at 3.72%
Brent crude up 1.04% at $76.92 per barrel
Nymex crude up 1.18% at $72.59 per barrel
SGX Nifty up 0.45% at 18,712 as of 07:40 a.m.
Bitcoin down 0.62% at $27,082
Pledge Share Details
Jindal Steel & Power: Promoter group Siddeshwari Tradex released a pledge of 7 lakh shares on May 31.
Insider Trades
Mukand: Promoter group Baroda Industries bought 49,852 shares between May 30-31.
Greaves Cotton: Promoter Karun Carpets bought one lakh shares on June 1.
Som Distilleries & Breweries: Promoter Deepak Arora bought 10,000 shares on June 2.
Usha Martin: Promoter Peterhouse Investments sold one lakh on May 31.
Advanced Enzyme Technologies: Promoter group Rasika Vasant Rathi bought 10,000 shares on May 29.
Pricol: Promoter group Pricol Engineering Industries bought 16.82 lakh shares betweem May 31-June 2.
PSP Projects: Promoter & Director Prahaladbhai S. Patel bought 25,000 shares May 30.
Star Cements: Promoter Group Rahul Chamaria sold 5,023 shares and Sachin Chamaria sold 5,057 shares on May 30.
Rajnish Wellness: Promoter Rajnish Kumar Singh bought two lakh shares on May 8.
Trading Tweaks
Price Band Revised From 20% To 10%: Hardwyn India
Ex-Date Bonus Issue: Hardwyn India
Record Date Bonus Issue: Hardwyn India
Ex-Date Stock Split: Hardwyn India
Record Date Stock Split: Hardwyn India
Ex-Date Interim Dividend: Shyam Metalics and Energy
Record Date Interim Dividend: Shyam Metalics and Energy
Move Into Short-Term ASM Framework: Hindware Home Innovation, Inox Wind Energy, Hardwyn India.
Move Out of Short-Term ASM Framework: Optiemus Infracom, Nucleus Software Exports
Bulk Deals
Jtekt India: Malabar India Fund sold 22.05 lakh shares (0.90%) at Rs 125.03 apiece.
Stocks To Watch: Tata Chemicals, SBI Life Insurance, Zydus Lifesciences, Godrej Properties, Minda Corp In Focus
SBI Life Insurance: Insurance regulator IRDAI approved the transfer of the life insurance business of Sahara India Life Insurance Co. to SBI Life, with immediate effect.
Indian Overseas Bank: The Reserve Bank of India imposed a monetary penalty of Rs 2.20 crore on the bank over regulatory non-compliance.
Tech Mahindra: The company’s subsidiary Comviva Technologies and step-down subsidiary Comviva Technologies B.V. have agreed to sell 0.04% and 99.96% shareholding, respectively, in Comviva Technologies do Brasil Indústria, Comércio, Importação e Exportação to Druid Internet Systems Comércio E Serviços for an upfront payment of $20,000 and a deferred payment of $1.42 million.
Tata Chemicals: The company signed an MoU with the Government of Gujarat to set up a 20 GW capacity lithium-ion cell manufacturing factory with an investment of Rs 13,000 crore, the state government said in a statement. The company will reorganise its U.S. operations to rationalise the number of intermediate entities.
Dish TV: The company cancelled the extraordinary general meeting scheduled for June 9 after the resignation of Zohra Chatterji from the position of non-executive independent director.
Zydus Lifesciences: The U.S. FDA inspection of the company’s animal health drug manufacturing facility at SEZ, Ahmedabad, was closed with nil observations.
NTPC: The company declared on commercial operation the fifth and last part of the 300 MW Nokhra solar PV project of NTPC Green Energy at Bikaner, Rajasthan, with 50 MW capacity.
Godrej Properties: The company bought the remaining 26% stake in Godrej Home Constructions for Rs 14.99 crore, taking its total shareholding to 100%.
Minda Corporation: The company will raise Rs 600 crore through further issuance of securities through public and/or private offerings, including preferential issue, qualified institution placement, further public offer, or any of the permissible modes.
Mahindra Lifespace Developers: Japan-based Omron Healthcare will start operations at the Origins by Mahindra industrial cluster in Chennai by March 2025.
PI Industries: The company completed the acquisition of a 100% stake in Therachem Research Medilab (India) and Solis Pharmachem, as well as the acquisition of certain identified assets of TRM U.S. by PI Health Sciences U.S.A.
Greenply Industries: The company approved the disposal of Greenply Industries (Myanmar) assets due to difficulty in continuing its operation on account of political developments resulting in an adverse business environment in Myanmar.
Lemon Tree Hotels: The company started two hotels in Agra and Bhopal that will be managed by its subsidiary, Carnation Hotels.
SGX Nifty Signals Higher Open For Benchmark
Asian markets extended a rally in global equities that continues to defy concern over risks to economic growth and elevated interest rates.
Oil surged on a supply cut from Saudi Arabia. Crude jumped more than 3% before trimming following the pledge to make an extra 1 million barrel-a-day reduction in July, which trims Saudi Arabia’s production to the lowest level for several years.
Stock benchmarks in Japan and Australia advanced more than 1% Monday, while South Korea’s Kospi rose about 0.4%. Shares in Hong Kong opened marginally higher before falling slightly, along with Shanghai’s main index.
Contracts for the S&P 500 fell slightly in Asia after further gains on Friday took the underlying measure to the cusp of a bull market. An MSCI Inc. gauge of equities across developed and emerging markets is at its highest since May, despite increasing worries about an economic slowdown in China and the prospect of higher interest rates in the US.
Gains in the U.S. on Friday were fueled by big tech, options positioning, and bets for the Fed to hold rates unchanged this month before a likely increase in July. A mixed jobs report shaped the wagers on the Fed, with signs of labour market slackening in May despite a pickup in hiring.
The yield on the 10-year Treasury note in the U.S. was trading at 3.72%. Crude oil price advanced over 1% above the $76 mark, while Bitcoin was trading around the $27,000 level.
At 8:10 a.m., the Singapore-traded SGX Nifty, an early indicator of the Nifty 50 Index’s performance in India, was up 0.49% at 18,721.
Domestic benchmark indices moved up after two days of decline, with real estate, metals, and PSU banking stocks leading the rally, managing to close marginally higher on a weekly basis. The Indian rupee closed higher against the U.S. dollar for the second day in a row as domestic equities gained and the greenback showed broad weakness.
Foreign investors remained net sellers for the second straight day and offloaded equities worth Rs 658.9 crore. On the other hand, domestic institutional investors were net buyers for the second day in a row and bought stocks worth Rs 581.9 crore.