Stock Market Today: Sensex, Nifty Tumble For Third Day Running As Geopolitical Concerns Unsettle Investors

Overseas investors stayed sellers on Tuesday for the third consecutive day. Foreign portfolio investors sold stocks worth Rs 4,468.09 crore, according to provisional data from the National Stock Exchange. This comes as benchmark stock indices extended losses for the third consecutive session as geopolitical concerns weighed on investor sentiments.

Domestic institutional investors remained net buyers for the sixth day and mopped up equities worth Rs 2,040.38 crore, the NSE data showed.

Foreign institutions have been net buyers of Rs 13,067 crore worth of Indian equities so far in 2024, according to data from the National Securities Depository Ltd., updated till the previous trading day.

The local currency weakened by 9 paise to close at 83.54 against the U.S. Dollar.

Intraday rupee hits all-time low of 83.555

It closed at 83.45 a dollar on Monday.

Source: Bloomberg

India's benchmark stock indices extended losses for the third consecutive day on Tuesday as geopolitical concerns weighed investor sentiments. The indices were dragged by banks and information technology stocks.

The Nifty hit an intraday low of 22,079.49, and the Sensex touched 72,685.03 earlier in the session.

The NSE Nifty 50 settled 124.6 points, or 0.56%, lower at 22,147.9 and the S&P BSE Sensex declined 456.1 points, or 0.62%, to end at 72,943.68.

There was no relief for the bulls, as the index commenced the session lower but as the day progressed, a relief rally was seen, according to Aditya Gaggar, director, Progressive Shares. "However, another round of selling dragged the Index further lower but towards the end."

The Indian rupee recorded its lowest-ever level against the US dollar on Tuesday. The domestic currency weakened 9 paise intraday to close at Rs 83.54 against the U.S. Dollar. The yield on the 10-year bond was trading 0.25% higher at 7.19%.

Stocks in the Asia-Pacific region ended lower losses on Tuesday, even after China GDP beat expectations to expand at 5.3%. Hong Kong's Hang Seng fell by 2.12%, while S&P ASX closed lower by 1.81%.

Brent crude was trading 0.06% lower at $90.05 a barrel. Gold was lower by 0.54% at $2,370.57 an ounce.

If Bank Nifty sustains above the 47,500-47,400 range, it could experience a pullback towards the 48,000 level, according to Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities. "However, a break below 47,300 on a closing basis might trigger further selling pressure, potentially driving the index down towards the 46,500 level."

Shares of Infosys Ltd., ICICI Bank Ltd., Tata Consultancy Services Ltd., Larsen & Toubro Ltd. and Bajaj Finance Ltd. were negatively contributing to changes in the Nifty.

Whereas, HDFC Bank Ltd., Hindustan Unilever Ltd., Reliance Industries Ltd., Titan Co. and Eicher Motors Ltd. added positively to the index.

The sectors on the NSE ended mixed, with Nifty PSU Bank and Nifty IT declining the most. Nifty Media and Nifty Oil and Gas rose the most by 1.74% and 0.77%, respectively.

Broader markets outperformed benchmark indices. The S&P BSE Midcap ended 0.20% higher, and the S&P BSE Smallcap settled 0.58% higher.

A quick recovery from the lower levels helped the mid and smallcaps to outperform the Nifty50, Gaggar said. "A reversal can be expected as the index has formed a spinning top candlestick pattern at its long-term trendline support which is coupled with a 50DMA."

On BSE, 10 sectors declined and 10 advanced out of 20. The S&P BSE IT index was the worst performing sector, and the S&P BSE Oil and Gas sector emerged as the top performing sector.

Market breadth was skewed in favour of the buyers. Around 2,256 stocks advanced, 1,565 stocks declined, and 112 remained unchanged on BSE.

• GQG raises stake in Patanjali Ayurveda to 11.5% as of March 31, 2024 from 3.3% as of previous quarter.

Source: Exchange filing

• The local currency weakened by 9 paise to trade at 83.54 against the U.S. Dollar.

• It closed at 83.45 on Monday.

Source: Bloomberg

• Jammu & Kashmir Bank Ltd. appointed Fayaz Ahmad Ganai as CFO effective today.

Source: Exchange filing

• Sasken Technologies Ltd. is in pact with Joynext for in-vehicle systems and off-vehicle cloud and digital services.

Source: Exchange filing

• Revenue up 3.18% to Rs 738 crore from Rs 715 crore

• Ebitda down 5.6% at Rs 192 crore from Rs 203 crore

• Margin down 250 bps at 26% from 28.5

• Net profit down 5.6% at Rs 138 crore from Rs 146 crore

Source: Exchange filing

India's benchmark indices continued to trade lower through midday on Tuesday, tracing losses in shares of Infosys Ltd., ICICI Bank Ltd. and Larsen & Toubro Ltd. As of 12:26 p.m., the NSE Nifty 50 was trading 118.90 points or 0.53% lower at 22,153.60 and the S&P BSE Sensex was 486.01 points or 0.66% down at 72,913.77.

Intraday, Nifty fell 0.76% to 22,103.85, and Sensex declined 0.80% to 72,814.15.

Tensions in West Asia heightened after Israel's military officials warned of response to Iran's attack, Bloomberg reported. This dented investors' risk appetite and prompted them to move away from risk assets like emerging market equities, which exerted pressure on Indian benchmarks like its Asian peers.

The market, which opened with a decline, is facing sustained selling pressure at higher levels. The index has formed a bearish candle on the daily chart and a bearish continuation pattern on the intraday chart, indicating potential further weakness, according to Shrikant Chouhan, head of equity research at Kotak Securities Ltd.

Shares of Eicher Motors Ltd., HDFC Bank Ltd., Hindustan Unilever Ltd., Oil and Natural Gas Corp. and Titan Co. limited the loss in the Nifty.

Infosys, ICICI Bank, Larsen & Toubro, Reliance Industries Ltd. and State Bank of India weighed the index.

On the NSE, six sectors advanced, and six declined. The NSE Nifty IT fell over 1% to become the top loser, while NSE Nifty Media rose the most.

The broader markets outperformed benchmark indices. The S&P BSE Midcap rose 0.27%, and the S&P BSE Smallcap rose 0.76%.

On BSE, 14 out of 20 sectors advanced and six declined. The S&P BSE IT was the worst performing sector, while the S&P BSE Oil and Gas was the best performer.

The market breadth was skewed in the favour of the buyers as 2,347 stocks advanced, 1,271 stocks declined and 141 remained unchanged on BSE.

• ABB India launched two energy efficient motor ranges for sustainable industrial growth.

Source: Exchange filing

• Coal India Ltd.'s Capex grew 6.5% to highest Rs 19,840 crore in FY24.

• The company achieved 120% target satisfaction over the year’s capex target of Rs 16,500 crore.

Source: Press Release

• Aditya Birla Capital Ltd. launched omnichannel D2C platform ABCD for digital marketing.

• It looks to add 30 million new users over the next three years.

Source: Press release

• Mahindra & Mahindra Ltd. launched Bolero Neo+ SUV at a starting price of Rs 11.39 lakh, ex-showroom India.

• The nine-seater SUV is offered in two variants—P4 and P10.

• It is powered by a 2.2-litre diesel engine with mild hybrid technology.

• The SUV comes with safety features such as ABS with EBD, dual airbags and Isofix child seats as standard.

Source: Company statement

Bharti Hexacom Ltd. offers strong growth outlook given that it operates in markets which have lower tele-density and have witnessed higher translation of tariff hikes into ARPUs in the past, according to Jefferies.

The research firm has initiated coverage on the stock with 'buy' rating. It has set a target price of Rs 1,080, implying an upside return potential of 34%

Shares of Bharti Hexacom rose as much as 8.76% intraday, before paring gains to trade 6.12% higher at 11:38 a.m., compared to a 0.47% decline in the benchmark Nifty 50.

Two analyst tracking the company has a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analysts' price targets implies a potential upside of 8.8%.

Shares of Exide Industries rose 9.52% to Rs 448.00, the highest level since its listing on Jun 17, 2023. It was trading 9.47% higher at Rs 447.80 as of 11:19 a.m., as compared to 0.32% decline in the NSE Nifty 50 index.

It has risen 138.06% in 12 months. Total traded volume so far in the day stood at 8.3 times its 30-day average. The relative strength index was at 89.12, which implied the stock is overbought.

Out of 24 analysts tracking the company, 15 maintain a 'buy' rating, four recommend a 'hold,' and five suggest 'sell', according to Bloomberg data. The average 12-month consensus price target implies a downside of 20.7%.

• Steel Strips Wheels Ltd. received a contract for supplying aluminium wheels to a passenger car manufacturer in India.

Source: Exchange Filing

• Bigbloc Construction Ltd.'s wholly-owned subsidiary is to install a rooftop solar power project of 625 kilowatts.

• Alert: Bigbloc Building Elements Pvt. Ltd.

Source: Exchange filing

• Jefferies initiated a 'Buy' rating on Bharti Hexacom with a target price at 1,081, which implied 33% upside. Best play on India Telecom.

• The company is offering ways to invest in faster growing parts of Airtel's business.

• The company offers higher Return On Capital Employed and better Free Cash Flow conversion than Bharti Airtel.

• The brokerage expects Bharti Hexacom to deliver 16%/21% CAGR revenue/EBITDA from FY24-27.

• Moderation in capex is to result in 40% CAGR in FCF.

• Hefty market share gains in lower tele-density markets to continue

• The brokerage expects 12% CAGR in Average Revenue Per User and 4% CAGR in mobile subscribers over FY24-27.

• Key risks: Delays in tariff hikes and change in terms of related party transactions.

• Happy Forgings Ltd. has obtained an order from leading global Tier 1 manufacturer of automobile driveline components and systems

• The order entails manufacturing and supply of brake flanges for passenger vehicles.

• The execution's starting date is Q4 of FY 2026 or Q1 of FY 2027 up to December 2034.

• Broad consideration is Rs. 60-70 crore per annum approximately Rs 500 crores in total.

Source: Exchange filling

• Caplin Point Laboratories Ltd. received U.S. Food And Drug Adminstration's approval for Ofloxacin Ophthalmic Solution.

• The approval is for abbreviated new drug application for the sterlie solution.

Source: Exchange filing

• PNC Infratech Ltd.'s subsidiary got an order worth Rs 117.15 crore order from NHAI as one-time settlement for contractual disputes.

• PNC Raebareli Highways Pvt. Ltd. is the subsidiary who received the amount for settlement.

Source: Exchange filing

Senco Gold surged 12.04% to Rs 1,066.50 apiece, the highest level since its listing on Jul 14, 2023. It was trading 5.58% higher at Rs 1,005.00 apiece, as of 10:31 a.m. This compares to a 0.31% decline in the NSE Nifty 50 Index.

It has risen 147.96% in nine months. Total traded volume so far in the day stood at 28 times its 30-day average. The relative strength index was at 78.18.

Two analysts tracking the company maintained 'Buy' rating on the company', according to Bloomberg data. The average 12-month consensus price target implies an upside of 2.7%.

Shares of VST Industries Ltd. rose over 3% after DMart founder Radhakishan Damani bought an additional 1.51% stake in the cigarette-making company for an aggregate amount of Rs 86.25 crore through open market deals. The ace investor mopped up 2.33 lakh shares in the company for Rs 3,689.96 apiece, according to bulk deal data on the BSE.

Shares of VST Industries rose as much as 3.63% during the day to Rs 3,810 apiece on the NSE. It was trading 2.30% higher at Rs 3,769.95 apiece, compared to a 0.41% decline in the benchmark Nifty 50 as of 9:35 a.m.

It has risen 14.09 in the last 12 months. The total traded volume so far in the day stood at 27 times its 30-day average. The relative strength index was at 61.79.

One analyst tracking the scrip have a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analyst price targets implies a potential upside of 4%.

• Infosys completed transition program for Team Global Express, an Australian logistics business.

• The transition program involved modernising the overall technological landscape by embedding a cloud first approach into its core business.

• Under the program, more than 300 applications were migrated to a new environment with no impact on Team Global Express's 4,000 users.

Source: Exchange filing

Shares of Jio Financial Services Ltd. rose nearly 5% on Tuesday after it announced the formation of a 50:50 joint venture with BlackRock and BlackRock Advisors Singapore Pte. to form a wealth management business in India.

JFS stock rose as much as 4.98% during the day to Rs 371.95 apiece on the NSE. It was trading 4.11% higher at Rs 368.85 apiece, compared to a 0.33% decline in the benchmark Nifty 50 as of 9:35 a.m.

It has risen 119% in the last 12 months. The total traded volume so far in the day stood at 3.1 times its 30-day average. The relative strength index was at 61.

One analyst tracking JFS have a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 20.7%.

Shares of Insolation Energy Ltd. rose to their highest level since listing on BSE after it informed the exchanges its unit secured an order worth Rs 55.71 Crore to supply solar PV modules.

• Welspun Corp Ltd.'s unit Welspun Tubular files lawsuit in the U.S. court for claims worth $15 million against order cancellation.

Source: Exchange filing

India's benchmark share indices extended losses to a third session taking cues from Asian peers as risk off sentiment prevailed among investors due to tension in the West Asia.

As of 09:20 a.m., the NSE Nifty 50 was trading 131.55 points or 0.59% lower at 22,140.95, and the S&P BSE Sensex was trading 441.56 points or 0.60% down at 72,958.22.

The nervousness in markets was evident as Asian markets traded in negative territory. Indian markets were set to open lower as traders assess the geopolitical tensions in the Middle East, said Avdhut Bagkar, technical and derivatives analyst, StoxBox.

"Yesterday, the IMD forecast an above-normal Southwest monsoon which should be positive for rural themes such as FMCG which are available at attractive valuations. Another positive news is the stronger-than-expected GDP data in China for the first quarter released earlier today," Bagkar said.

HDFC Bank Ltd., Infosys Ltd., ICICI Bank Ltd., Tata Consultancy Services Ltd., and Axis Bank Ltd. weighed on the benchmark index.

Mahindra & Mahindra Ltd., Titan Co. Ltd., Bharti Airtel Ltd., Nestle India Ltd., and Maruti Suzuki India Ltd. limited losses to the index.

On NSE, nine sectors out of 12 were trading in negative, and three were trading in positive. The NSE Nifty IT index was the worst performer, while the NSE Nifty Auto index was the best performer.

Broader markets outperformed benchmark indices. The S&P BSE Midcap index was 0.21% higher, and the S&P BSE Smallcap index was 0.66% up..

On BSE, 14 sectors out of 20 advanced, and six declined. The S&P BSE IT index fell the most among its peers, while the S&P BSE Oil and Gas rose the most among sectoral indices.

Market breadth was skewed in favour of the buyers. Around 1,959 stocks advanced, 890 stocks declined, and 86 remained unchanged on BSE.

The NSE Nifty 50 was trading 147.20 points or 0.66% lower at 22,125.30, and the S&P BSE Sensex 845.12 points or 1.14% down at 73,399.78.

• The yield on the 10-year bond opened flat at 7.19%.

Source: Bloomberg

• The local currency weakened by 6 paise to open at 83.51 against the U.S. Dollar.

• It recorded its lowest ever close at 83.45 on Monday.

Source: Bloomberg

• Morgan Stanley initiated coverage on Varun Beverages with a Price target of Rs 1,701, which implied an upside of 23%.

• The brokerage expects the beverage company to deliver 19% revenue growth annually. Its margins to remain steady at 23.7%.

• Morgan Stanley expects market share in South and West regions to improve.

• Distribution expansion of 0.4-0.5 million outlets annually fastest among F&B players

• The stock is better placed than peers trading at 57x C25 EPS multiple.

• Nomura retained a 'buy' on Exide Industries Ltd with a target price of Rs 485, which implied a 18% upside.

• Electric vehicle cell business got validation with Hyundai support, Nomura said.

• The brokerage expects EV penetration in India for 2W/4W to rise from 5%/2% FY24F to 25%/20% in FY30F.

• More optimistic of Exide Industries’s ability to win new orders from other OEMS.

• PLI incentive is 15% of the company’s revenue.

• OEMs may also pay some premium for local sourcing.

• Marginally realign EPS estimates by -5%/+5% for FY24F-25F.

• Nomura raised the multiple for the base business to 18x FY26F P/E.

• The price targe of Gold may increase to $3,000 per ounce over next 6-18 months, Citi Research said.

• Citi Research upgraded the baseline gold price forecasts from 2Q Commodities Outlook and Wildcards 2024 reports

• the brokerage expects strong buying support at $2,200 per ounce despite May-June bullion price pullback.

• Expect trading to regularly test and breach $2,500 per ounce in 2H24

• Eventual Fed cutting cycle and treasury rally could be bullish kicker to $3,000 per ounce.

• Ashok Leyland Ltd.'s subsidiary Hinduja Tech approves allotment of Compulsorily Convertible Preference Shares to investor co Gandaraditya Chola

• Following CCPS issue, Gandaraditya Chola's shareholding in the company reduced to 58.75% from 73.03%, assuming a conversion ratio of 1.

Source: Exchange filing

• Equirus Capital initiated coverage on Zaggle Prepaid Ocean Services with 'Long' with a target price of Rs 400, which implied 42% upside.

• Unique business model wherein corporates pay 10-20%, win-win for both, the brokerage said.

• Rest come from merchants where card spends happen or where reward vouchers are redeemed.

• Zaggle Prepaid Ocean Services is in initial phase with multiple legs of growth.

• The company's new customer acquisition, cross-selling of products to existing customers.

• Global expansion and new product offerings

• Domestic market opportunity size estimated at Rs 139 billion by FY27E

• FY24-FY27E Net revenue /EBITDA/PAT CAGR of ~47%/40%/45%

• Aided by 32%/50% gross/net revenues by FY27E

• Coming from a recently launched vendor payments solution, Zoyer

• U.S. Dollar Index at 106.35

• U.S. 10-year bond yield at 4.59%

• Brent crude up 0.72% at $90.75 per barrel

• Nymex crude up 0.82% at $86.11 per barrel 

• Bitcoin was up 0.82% at $63,667.34

• The brokerage reiterates 'buy' rating with a target price of Rs 1,100 apiece, implying a potential upside of 34% from the previous close.

• The consumer glassware segment is a key growth driver on import substitution.

• Expects a narrowing gap between La Opala and Cello on capacity ramp-up.

• Only large, branded player expanding in soda lime glassware vs borosilicate glassware.

• Estimates CAGR of 18%/23%/25% in revenue/Ebitda/profit after tax over FY23-26.

The Indian rupee weakened 3 paise to close at Rs 83.45 against the US dollar.

• Nifty April futures down by 1.05% to 22,357.3 at a premium of 84.8 points.

• Nifty April futures open interest up by 6.8%.

• Nifty Bank April futures down by 1.82% to 47,851.15 at a premium of 77.9 points.

• Nifty Bank April futures open interest down by 5.3%.

• Nifty Options April 18 Expiry: Maximum call open interest at 22,700 and maximum put open interest at 22,000.

• Bank Nifty Options April 16 Expiry: Maximum call open interest at 49,000 and maximum Put open interest at 47,000.

• Securities in ban period: Balrampur Chini Mills, Bandhan Bank, Exide Industries, GNFC, Hindustan Copper, India Cements, Metropolis, National Aluminium, Piramal Enterprises, SAIL and Zee Entertainment Enterprises.

• Moved into short-term ASM framework: Hindustan Zinc, Ramco Systems.

• Ex/record AGM: Crisil.

• Moved out short-term ASM framework: Ramky Infrastructure, Shipping Corp.

• VST Industries: Radhakishan Shivkishan Damani bought 2.33 lakh shares (1.51%) at Rs 3,689.96 apiece, while HDFC Mutual Fund offloaded 3.3 lakh shares (2.14%) at Rs 3,690 apiece.

• Eureka Forbes: North Star Opportunities Fund bought 10 lakh shares (0.57%) at Rs 468 apiece.

• Agro Tech Foods: Ohm Enterprises bought 1.55 lakh shares (0.63%) at Rs 709.98 apiece.

• Capacite Infraproject: Valiant Mauritius Partners bought 5.71 lakh shares (0.77%) at Rs 306.42 apiece.

• Marksans Pharma: The Massachusetts Institute of Technology bought 66 lakh shares (1.45%) at Rs 158 apiece.

• Crisil

• Jio Financial Services: The company announced the formation of a 50:50 joint venture with BlackRock and BlackRock Advisors Singapore to undertake wealth management business in India. It will also incorporate a wealth management company and a brokerage company in India.

• Adani Energy Solutions: The company’s transmission and smart metering business saw system availability of 99.6% in Q4 and added 174 km to the operational network during the quarter. The company’s distribution loss remained low at 5.09% in Q4 and maintained a supply reliability of more than 99.9%.

• TCS: The company announced a new delivery centre in Brazil to transform their technology, with a focus on strategic areas, such as digital transformation, artificial intelligence and cognitive business operations.

• JSW Infra: The company approved the re-appointment of Arun Maheshwari as CEO for three years, effective April 18.

• Cipla: The company will acquire the cosmetics and personal care business undertaking of Ivia Beaute for Rs 130 crore.

• Allcargo Terminals: The company’s March CFS volume is up 1% YoY and up 8% month-on-month.

• Gujarat Gas: The company signed a non-binding MoU to broaden the scope and accessibility of energy solutions for consumers. The alliance between two major players in the energy sector is set to deliver an extensive range of products and services throughout GGL's authorised areas.

• Manappuram Finance: The company will consider a $500 million fund-raising proposal on April 19.

• General Insurance Corp.: The company approved the appointment of V Balkrishna as CFO, effective May 1.

• Thomas Cook: The leading omnichannel forex service opened a counter at its franchise outlet in the NCR. This expands the company’s forex network in the NCR to 12 locations: 11 branches and 1 airport outlet.

• Sula Vineyards: The company has acquired N D Wines, now holding 100% of its equity share capital, making it a wholly owned subsidiary.

• Insolation Energy: The company’s unit bagged purchase orders worth Rs 55.7 crore to supply solar PV modules.

• Swan Energy: The company completed the reconstitution of equity shareholdings of Reliance Naval and Engineering as per the NCLT Order.

• Life Insurance Corp.: The company increases its stake in Hindustan Unilever to 5.01% from 4.99%.

• Brigade Enterprises: The company approved the appointment of Jayant Bhalchandra Manmadkar as CFO and KMP of the company, effective April 18.

• Gokul Agro Resources: The company’s unit entered into an agreement with the Andhra Pradesh government for the oil palm development programme in the state.

The benchmarks across the Asia-Pacific region were trading sharply lower for the second session in a row Tuesday, tracking overnight losses on Wall Street. Traders are awaiting a slew of economic data from China, including GDP, retail sales.

The Nikkei 225 was trading 736.53 points or 1.91% lower at 38,470.78, and the S&P ASX 200 was trading 101.03 points or 1.30% down at 7,651.50 as of 07:09 a.m.

The S&P 500 and the Nasdaq Composite settled 1.20% and 1.79% lower respectively on Monday. The Dow Jones Industrial Average declined 0.65%.

The US Treasuries sold off on Monday as solid retail sales spurred bets the Federal Reserve will be in no rush to cut interest rates, with traders also getting ready for a flurry of bank debt sales, reported Bloomberg.

Brent crude was trading 0.51% higher at $90.61 a barrel. Gold was higher by 0.07% at $2,385.02 an ounce.

The GIFT Nifty was trading 60 points lower or 0.27% down at 22,190.00 as of 07:09 a.m.

India's benchmark equity indices fell for the second straight session to their lowest close in April, as investors sold riskier assets due to uncertainty over the Middle East and caution over quarterly earnings. Overseas investors remained net sellers on Monday for the second consecutive session.

Foreign portfolio investors offloaded stocks worth Rs 3,268 crore; domestic institutional investors remained net buyers for the fifth day and mopped up equities worth Rs 4,762.9 crore, the NSE data showed.

The Indian rupee weakened by 3 paise to close at 83.45 against the U.S. dollar.