Thursday, December 31, 2015

THE END SESSION ( 31 / 12 / 2015 )

Sensex, Nifty hit more than four-week closing high


Trading for the calendar year 2015 closed on a positive note as key benchmark indices settled with decent gains amid intraday volatility. The barometer index, the S&P BSE Sensex rose 157.51 points or 0.61% to settle at 26,117.54. The 50-unit Nifty 50 index gained 50.10 points or 0.63% to settle at 7,946.35. The Sensex and the Nifty, both, hit more than four-week closing high. The Sensex closed above the psychological 26,000 mark. The index had alternately moved above and below that psychological level in intraday trade.

After moving in a small range near the flat line, key indices witnessed a spurt during a later part of the session. The market witnessed volatility as traders rolled over positions in the futures & options (F&O) segment from the near month December 2015 series to January 2016 series. The near month December 2015 derivatives contracts expired today, 31 December 2015.

The Sensex rose 157.51 points or 0.61% to settle at 26,117.54, its highest closing level since 2 December 2015. The index rose 187.60 points or 0.72% at the day's high of 26,147.63 in late trade. The index lost 18.12 points or 0.06% at the day's low of 25,941.91 in early trade.

The Nifty gained 50.10 points or 0.63% to settle at 7,946.35, its highest closing level since 1 December 2015. The index rose 59.30 points or 0.75% at the day's high of 7,955.55 in late trade. The Nifty dropped 5.10 points or 0.06% at the day's low of 7,891.15 in early trade.

In overseas markets, European stocks edged lower. Asian stocks were mixed. US stocks ended lower yesterday, 30 December 2015, as a drop in oil resumed, dragging down energy company shares.

Closer home, the market breadth indicating the overall health of the market was positive. On BSE, 1,465 shares rose and 1,163 shares fell. A total of 283 shares were unchanged. The BSE Mid-Cap index rose 0.35%. The BSE Small-Cap index gained 0.49%. Both these indices underperformed the Sensex.

Bharti Airtel gained 1.14% after the company said that it has acquired remaining balance paid up share capital i.e. 26% of Augere Wireless Broadband India and with the said acquisition, Augere has become a wholly owned subsidiary of the company. The company made the announcement during market hours today, 31 December 2015.

Realty stocks rose. Indiabulls Real Estate (up 2.83%), Godrej Properties (up 0.04%), Housing Development & Infrastructure (HDIL) (up 6.85%), DLF (up 1.76%), Oberoi Realty (up 2.92%) and Phoenix Mills (up 0.18%) edged higher. Sobha (down 1.2%) and Unitech (down 1.34%) edged lower.

IT stocks also rose. HCL Technologies (up 2.13%), Infosys (up 1.83%), TCS (up 0.73%) and Wipro (up 0.95%) edged higher. Tech Mahindra declined 0.25%.

Shares of public sector banks declined. Punjab National Bank (down 1.78%), State Bank of India (SBI) (down 0.62%), Union Bank of India (down 0.77%), Canara Bank (down 1.41%), and Bank of India (down 0.39%) edged lower. Bank of Baroda rose 0.35%.

Shares of private sector banks were mixed. HDFC Bank (up 0.81%) and Kotak Mahindra Bank (up 1.4%) edged higher. ICICI Bank (down 0.63%), IndusInd Bank (down 0.21%), Axis Bank (down 1.24%) and Yes Bank (down 1.02%) declined.
Shares of power generation and power distribution companies gained. NHPC (up 4.48%), NTPC (up 0.45%), Tata Power Company (up 0.3%), Adani Power (up 2.38%), Power Grid Corporation of India (up 0.21%), Reliance Infrastructure (up 5.41%) and Reliance Power (up 2.34%) gained. Torrent Power declined 0.61%.

Petronet LNG rose 2.99% after the company announced that it has entered into a binding sale and purchase agreement (SPA) with RasGas of Qatar for supply of an additional 1 million tonne a year (MTA) of LNG to India starting in 2016 for onward sale to Indian Oil Corporation, BPCL, GAIL (India) and Gujarat State Petroleum Corporation. The announcement was made during trading hours today, 31 December 2015.

Further, RasGas and Petronet LNG have entered into a binding agreement to adjust some aspects of their existing long term LNG SPA of 7.5 MTA, signed by the parties in 1999, which laid the foundation for the LNG business in India. Such adjustments will protect and preserve the overall value of the contract.

Cadila Healthcare slumped 14.89% after the company said during market hours today, 31 December 2015 that it has received a warning letter issued by the USFDA relating to its Moraiya formulation facility and Ahmedabad API facility (Zyfine). It clarified that there are no products in the US market which use API of Zyfine facility. The company will respond to USFDA to address the The company said it takes quality and compliance matters very seriously and stand by commitment to fully comply with cGMP quality standards across all facilities. The company is working hard to ensure that the commitments made to the USFDA are fully completed. The company will continue to take all necessary steps to ensure that the USFDA is fully satisfied with remediation of the above facilities. The company stated that products in the market are safe and effective and it is committed to supply the quality products to customers across the globe. The company is committed to resolve all the issues and revamp quality systems and processes as the top most priority.

The Sensex declined 28.13 points or 0.1% in December. The barometer index fell 1,381.88 points or 5.02% in calendar year 2015. From a 52-week low of 24,833.54 hit on 8 September 2015, the Sensex has risen 1,284 points or 5.17%. The Sensex is off 3,907.20 points or 13.01% from a record high of 30,024.74 hit on 4 March 2015.

Wednesday, December 30, 2015

THE END SESSION ( 30 / 12 / 2015 )

Sensex, Nifty attain lowest closing level in almost a week


Losses in IT stocks and index heavyweight Reliance Industries (RIL) led decline for key benchmark indices. The barometer index, the S&P BSE Sensex lost 119.45 points or 0.46% to settle at 25,960.03. The 50-unit Nifty 50 index fell 32.70 points or 0.41% to settle at 7,896.25. The Sensex closed below the psychological 26,000 level. The Sensex, and the Nifty, both, hit their lowest closing level in almost a week.

Shares of public sector banks edged lower. Shares of private sector banks were mixed. Shares of state-run oil marketing companies (PSU OMCs) declined as global crude oil prices surged yesterday, 29 December 2015. Shares of the companies engaged in solar power generation and manufacture of solar power equipment rose after the Cabinet Committee on Economic Affairs (CCEA) has approved the scaling up of budget from Rs 600 crore to Rs 5000 crore for implementation of grid connected rooftops systems over a period of five years upto 2019-20 under National Solar Mission (NSM).

In overseas markets, European and Asian stocks were mixed. US stocks climbed sharply higher yesterday, 29 December 2015, as a rebound in oil prices helped reinvigorate bullish sentiment.

The Sensex fell 119.45 points or 0.46% to settle at 25,960.03, its lowest closing level since 24 December 2015. The index lost 140.23 points or 0.53% at the day's low of 25,939.25 in late trade. The index rose 50.72 points or 0.19% at the day's high of 26,130.20 at the onset of the trading session.

The Nifty lost 32.70 points or 0.41% to settle at 7,896.25, its lowest closing level since 24 December 2015. The index lost 39.10 points or 0.49% at the day's low of 7,889.85 in late trade. The index rose 15.80 points or 0.19% at the day's high of 7,944.75 at the onset of the trading session, its highest level since 2 December 2015.

The BSE Mid-Cap index rose 0.21%. The BSE Small-Cap index rose 0.07%. Both these indices outperformed the Sensex.

The market breadth indicating the overall health of the market was positive. On BSE, 1,385 shares rose and 1,283 shares declined. A total of 285 shares were unchanged.
Among the sectoral indices on BSE, the S&P BSE Energy index (down 0.66%), BSE IT index (down 1.21%), BSE Oil & Gas index (down 0.56%) and BSE Teck index (down 0.77%) underperformed the Sensex. The S&P BSE Telecom index (up 0.48%), BSE Auto index (down 0.3%) and BSE Bankex index (down 0.43%) outperformed the Sensex.

Index heavyweight Reliance Industries (RIL) lost 1.01% at Rs 1,004.85. The stock hit a high of Rs 1,017 and a low of Rs 1,002.10 in intraday trade.

Shares of public sector banks edged lower. Punjab National Bank (down 2%), Canara Bank (down 1.52%), Corporation Bank (down 1.41%), State Bank of India (down 1.18%), Bank of India (down 1.16%), Union Bank of India (down 0.99%) and Bank of Baroda (down 0.89%) declined. Central Bank of India (up 2.76%) and IDBI Bank (up 0.45%) edged higher.

Shares of private sector banks were mixed. IndusInd Bank (up 0.89%), Yes Bank (up 0.22%) and Kotak Mahindra Bank (up 0.26%) edged higher. ICICI Bank (down 0.79%), Axis Bank (down 0.56%) and HDFC Bank (down 0.25%) edged lower.

IT stocks declined. HCL Techologies (down 1.48%), TCS (down 1.37%), Wipro (down 0.95%) and Oracle Financial Services Software (down 0.66%) edged lower. Tech Mahindra (up 0.95%) edged higher.

Index heavyweight and software major Infosys fell 1.6% at Rs 1,086.05. The stock hit a high of Rs 1,106.35 and a low of Rs 1,083.50 in intraday trade.

Shares of state-run oil marketing companies (PSU OMCs) declined as global crude oil prices surged yesterday, 29 December 2015. BPCL (down 1.46%), HPCL (down 1.53%) and Indian Oil Corporation (down 0.94%) edged lower.

Higher crude oil prices could increase under-recoveries of PSU OMCs on domestic sale of LPG and kerosene at controlled prices. The government has already freed pricing of petrol and diesel.

In the global commodities markets, Brent crude oil futures edged lower after a sharp surge during the previous trading session. Brent for February settlement was currently down 70 cents at $37.09 a barrel. The contract had surged $1.17 a barrel or 3.19% to settle at $37.79 a barrel during the previous trading session.

Shares of the companies engaged in solar power generation and manufacture of solar power equipment rose after the Cabinet Committee on Economic Affairs (CCEA) has approved the scaling up of budget from Rs 600 crore to Rs 5000 crore for implementation of grid connected rooftops systems over a period of five years upto 2019-20 under National Solar Mission (NSM). Ujaas Energy (up 7.04%), Indosolar (up 9.54%), Websol Energy System (up 3.69%) and Swelect Energy Systems (up 2.04%) edged higher.

The scaling up of budget under NSM will support installation of 4,200 megawatts (MW) solar rooftop systems in the country in next five years. The capital subsidy of 30% will be provided for general category states/UTs and 70% for special category states i.e., North-Eastern states including Sikkim, Uttarakhand, Himachal Pradesh, Jammu & Kashmir and Lakshadweep, Andaman & Nicobar Islands. There will be no subsidy for commercial and industrial establishments in the private sector since they are eligible for other benefits such as accelerated depreciation, custom duty concessions, excise duty exemptions and tax holiday etc, a government statement released during market hours today, 30 December 2015 said.

Dr Reddy's Laboratories rose 0.62% at Rs 3,121.40 after the company announced the relaunch of its Esomeprazole Magnesium Delayed-Release Capsules, a therapeutic equivalent generic version of Nexium Delayed Release capsules in the US market. Nexium is a registered trademark of Astrazeneca AB Corporation. The re-launch is due to a change in the capsule color. The company made the announcement during market hours today, 30 December 2015.

Bharti Airtel fell 0.54% at Rs 332.65. The stock hit a high of Rs 339.30 and a low of Rs 332.25 in intraday trade. The company announced after market hours yesterday, 29 December 2015, that it has acquired 74% capital of Augere Wireless Broadband India (Augere). With this acquisition, Augere has become a subsidiary of Bharti Airtel. It may be recalled that Bharti Airtel had announced on 27 October 2015 that its board of directors had approved the scheme of amalgamation of Augere with the company.
Bosch rose 0.02% at Rs 18,566.15. The stock hit a high of Rs 18,690 and a low of Rs 18,377.20 in intraday trade. The company announced after market hours yesterday, 29 December 2015 that with a view to adjust production to meet the demand for products and to avoid unnecessary buildup of inventory, the company is suspending all manufacturing operations at its Bangalore plant and Bidadi plant for two days on 30 and 31 December 2015. There is no financial impact on account of the proposed suspension of operations, Bosch said.

DLF rose 0.13% at Rs 113.95. The company after market hours yesterday, 29 December 2015 announced that subsequent to receipt of funding and issuance of securities, two joint venture (JV) companies namely, DLF Urban and DLF Midtown ceased to be subsidiaries of DLF. Accordingly, DLF Home Developers (DHDL), a wholly owned subdidiary of DLF owns 49% equity shares in each of these entities viz. DLF Urban and DLF Midtown. It may be recalled that DHDL and GIC, Singapore's sovereign wealth fund had announced on 2 September 2015 that they had signed an agreement to enter into a JV to invest in two upcoming projects located in Central Delhi. Subsequent to the Competition Commission of India's (CCI) approval for the same on 12 November 2015, and having met other pre-closing conditions, the funding for the transaction had been concluded on 23 December 2015 with the receipt of Rs 1992 crore from GIC.

Tuesday, December 29, 2015

THE END SESSION ( 29 / 12 / 2015 )

Sensex registers small gains


A divergent trend was witnessed among various index constituents, with the two key benchmark indices registering minuscule to small gains. The barometer index, the S&P BSE Sensex, rose 45.35 points or 0.17% to settle at 26,079.48. The 50-unit Nifty 50 index rose 3.80 points or 0.05% to settle at 7,928.95. The Sensex regained the psychological 26,000 level after falling below that mark in intraday trade. The Sensex, and the Nifty, both, attained their highest closing level in almost four weeks.

Cement stocks gained. Shares of public sector banks declined. Shares of private sector banks rose. Bharat Heavy Electricals (Bhel) fell on reports that the Expert Appraisal Committee (EAC) under the Ministry of Environment and Forests (MoEF) has deferred terms of reference (ToR) for Bhel's Yadadri thermal power project in Telangana due to ecological concerns. Shares of two-wheeler makers rose.

In overseas stock markets, European stocks edged higher as crude oil prices stabilised on the back of prospects for lower temperatures in the United States and Europe. Earlier during the global day, Asian stocks ended higher. US stocks edged lower yesterday, 28 December 2015, weighed down by a drop in energy stocks as global crude oil prices fell.

The Sensex rose 45.35 points or 0.17% to settle at 26,079.48, its highest closing level since 2 December 2015. The index gained 99.65 points or 0.38% at the day's high of 26,133.78. The index shed 39.68 points or 0.15% at the day's low of 25,994.45.

The Nifty rose 3.80 points or 0.05% to settle at 7,928.95, its highest closing level since 2 December 2015. The index rose 17 points or 0.21% at the day's high of 7,942.15. The index fell 22.40 points or 0.28% at the day's low of 7,902.75.

The BSE Mid-Cap index rose 0.42%, outperforming the Sensex. The BSE Small-Cap fell 0.13%, underperforming the Sensex.

The market breadth indicating the overall health of the market was negative. On BSE, 1,472 shares fell and 1,180 shares rose. A total of 259 shares were unchanged.

Among the sectoral indices on BSE, the S&P BSE Consumer Discretionary Goods & Services index (up 0.53%), BSE Finance index (up 0.41%), BSE Telecom index (up 0.72%) and BSE Auto index (up 0.56%) outperformed the Sensex. The S&P BSE FMCG index (down 0.42%), BSE Industrials index (down 0.33%), BSE Capital Goods index (down 0.46%), BSE Metal index (down 0.42%) and BSE Realty index (down 0.92%) underperformed the Sensex.

Index heavyweight and housing finance major HDFC rose 0.69% at Rs 1,233.75. The stock hit a high of Rs 1,239 and a low of Rs 1,225.80 in intraday trade.

Shares of public sector banks declined. Central Bank of India (down 1.29%), Union Bank of India (down 0.95%), Bank of India (down 0.93%), Bank of Baroda (down 0.79%), IDBI Bank (down 0.44%), Punjab National Bank (down 0.25%) and State Bank of India (down 0.15%) edged lower. Corporation Bank (up 2.63%), United Bank of India (up 0.23%) and Indian Overseas Bank (up 0.16%) edged higher.

Shares of private sector banks rose. Axis Bank (up 0.78%), ICICI Bank (up 0.4%), IndusInd Bank (up 0.4%), HDFC Bank (up 0.36%), Kotak Mahindra Bank (up 0.12%) and Yes Bank (up 0.05%) edged higher.

Cement stocks gained. ACC (up 1.61%), Ambuja Cements (up 1.61%) and UltraTech Cement (up 0.55%) edged higher. Shree Cement (down 0.87%) edged lower.

Grasim Industries rose 1.34% at Rs 3,745. Grasim has exposure to cement sector through its holding in UltraTech Cement.

Shares of two-wheeler makers rose. TVS Motor Company (up 2.73%), Bajaj Auto (up 1.76%) and Hero MotoCorp (up 1.18%) edged higher.

Bharat Heavy Electricals (Bhel) fell on reports that the Expert Appraisal Committee (EAC) under the Ministry of Environment and Forests (MoEF) has deferred terms of reference (ToR) for Bhel's Yadadri thermal power project in Telangana due to ecological concerns. The stock shed 1.75% to settle at Rs 168.65. An NGO had raised concerns on the tributary of the Krishna River flowing through the project's site in October 2015 and the answers provided on the issue by Telangana State Power Generation Corporation (TSGENCO) were verbal and unclear, reports suggested.
Bhel had announced on 2 June 2015 that it had secured the single-largest order in its history from TSGENCO for setting up a 4,000 megawatts supercritical thermal power project. The order valued at Rs 17950 crore is one of the highest value orders ever placed in the capital goods sector in India, Bhel said at that time. Media reports suggested that the Rs 17950 crore Yadadri thermal power project order formed 81% of Bhel's order inflows in the first half of the current financial year.

Meanwhile, Bhel announced during market hours today, 29 December 2015, that it has commissioned another 660 megawatts (MW) supercritical thermal power plant at the upcoming 3x600 MW Prayagraj Super Thermal Power Project (STPP) at Bara in Allahabad district of Uttar Pradesh. One more 660 MW unit at Lalitpur, also in Uttar Pradesh, and two units of 660 MW each at Bara are in advanced stage of construction, Bhel said. In addition, one 500 MW unit at Anpara thermal power station in Uttar Pradesh is also nearing completion, the company added.

Bhel has already commissioned 4,410 MW of power plants in the utility sector during the current financial year and is on track to achieve the target set by the government for the year, the company said in a statement.

Tata Power Company declined 0.81% at Rs 67.05. The stock hit a high of Rs 67.90 and a low of Rs 66.75 in intraday trade. The company said during market hours today, 29 December 2015, that Coastal Gujarat Power (CGPL), a 100% subsidiary of the company, has refinanced its outstanding rupee loan. The refinancing will help in extending the tenure of the rupee facility and also help in reducing the interest cost for CGPL. The total interest savings will be 2% or approximately Rs 77 crore per annum on Rs 3864 crore of refinancing, Tata Power said in a statement.

Lupin gained 0.15% at Rs 1,843.95 after the company announced that it has received final approval from the United States Food and Drug Administration (USFDA) for its Fyavolv Tablets, a generic version of Warner Chilcott's Femhrt Tablets. Lupin's US subsidiary, Lupin Pharmaceuticals Inc. would commence promoting the product in the US shortly, Lupin said in a statement. Lupin's Fyavolv Tablets are indicated for the treatment of moderate to severe vasomotor symptoms due to menopause and prevention of postmenopausal osteoporosis. Femhrt had annual sales of $39.9 million in the United States as per IMS MAT September 2015 data. The company made the announcement after market hours yesterday, 28 December 2015.

Infosys rose 0.19% at Rs 1,103.75 after the company announced the launch of its solar PV power plant of 6.6 megawatts (MW) capacity at its Pocharam campus in the state of Telangana. With this launch, combined with the existing 0.6 MW capacity rooftop solar plant, the Infosys campus in Pocharam will be one of the first corporate campuses in India that will be run completely by renewable energy.

The construction of phase-2 at Infosys' campus at Pocharam SEZ is currently underway, with a planned capacity of 25,000 employees. An area has been reserved to construct phase-3 at the campus.

Jindal Steel & Power (JSPL) rose 0.22% at Rs 90.80. The company's board of directors has approved giving the lenders of Jindal Power's (JPL) 1200 MW thermal power project in Chhattisgarh the rights for conversion of loan into equity share capital of JPL in the event of default from JPL. JPL is the power generation subsidiary of JSPL. The company made the announcement after market hours yesterday, 28 December 2015.

Srei Infrastructure Finance (Srei) spurted 13.35% at Rs 58.60 after the company said it has entered into a share purchase agreement with BNP Paribas Lease Group (BPLG) and other stakeholders for sale of a 5% stake to BPLG. Srei, BPLG, Srei Equipment Finance (SEFL), Hemant Kanoria and Sunil Kanoria have entered into a share purchase agreement whereby BPLG has agreed to acquire 2.51 crore equity shares of Srei, representing 5% of the total paid-up equity capital. In lieu thereof, BPLG will sell its entire shareholding of 2.98 crore shares of SEFL representing 50% of the total paid-up equity capital to Srei in accordance with applicable laws. SEFL is a 50:50 joint venture (JV) between Srei and BPLG. Funds received by Srei from 5% stake-sale will be used for acquisition of additional 50% stake in SEFL. Post these transactions, Srei will hold 100% of the total paid-up equity share capital of SEFL. The transaction is expected to be consummated by 31 March 2016, subject to necessary approvals.
The total assets under management (AUM) of SEFL stood at Rs 18747 crore as on 30 September 2015.

Hemant Kanoria and Sunil Kanoria held 0.08% and 0.36% stake respectively in Srei Infrastructure Finance as per the shareholding pattern as on 30 September 2015.
Key benchmark indices gained for the second straight session. The Sensex has risen 240.77 points or 0.93% in the preceding two trading sessions from its close of 25,838.71 on 24 December 2015. The Sensex has declined 66.19 points or 0.25% in this month so far (till 29 December 2015). The barometer index has fallen 1,419.94 points or 5.16% in this calendar year so far (till 29 December 2015). From a 52-week low of 24,833.54 hit on 8 September 2015, the Sensex has risen 1,245.94 points or 5.01%. The Sensex is off 3,945.26 points or 13.14% from a record high of 30,024.74 hit on 4 March 2015.

Monday, December 28, 2015

THE END SESSION ( 29 / 12 )

Sensex, Nifty attain highest closing level in almost four weeks


Stocks of pharmaceutical companies and private sector banks led gains as key benchmark indices edged higher on the first trading session of the week, with the barometer index, the S&P BSE Sensex, surpassing the psychologically important 26,000 level. The Sensex rose 195.42 points or 0.76% to settle at 26,034.13. The 50-unit Nifty 50 index gained 64.10 points or 0.82% to settle at 7,925.15. After opening with a small to minuscule upward gap, key indices traded in positive terrain throughout the trading session. The Sensex and Nifty, both, hit their highest closing level in almost four weeks.

Index heavyweight Reliance Industries (RIL) rose after the company's telecom unit Reliance Jio Infocomm announced the soft launch of its fourth generation (4G) telecom services for RIL group employees, their families and business partners. Shares of other telecom companies dropped as the RIL's re-entry into the telecom business is likely to intensify competition in the telecom sector, particularly in the lucrative data business.

Shares of commercial vehicle makers moved higher on reports that the government is looking to notify 15 years as the end of life for commercial vehicles. Steel stocks led decline in metal and mining stocks as copper prices declined in global commodities markets. Tata Power Company rose after the company signed a Memorandum of Understanding (MoU) with the Ministry for Development of Russian Far East, Government of the Russian Federation, to explore and develop investment opportunities in the energy sector across the Russian Far East.

In overseas stock markets, European stocks edged lower on slumping crude oil prices and on concerns over Chinese growth and finances. Chinese stocks moved lower after weaker-than-expected industrial profit data for November and a looming revamp of the country's initial public offering (IPO) system. In mainland China, the Shanghai Composite ended 2.59% lower. Hong Kong's Hang Seng index lost 0.99%. Other Asian markets witnessed a mixed trend. US stocks closed slightly lower in a truncated trading session on Thursday, 24 December 2015, as investors remained on the sidelines ahead of a long weekend.

The Sensex rose 195.42 points or 0.76% to settle at 26,034.13, its highest closing level since 2 December 2015. The index rose 234.70 points or 0.9% at the day's high of 26,073.41. The index rose 18.15 points or 0.07% at the day's low of 25,856.86.

The Nifty rose 64.10 points or 0.82% to settle at 7,925.15, its highest closing level since 2 December 2015. The index rose 76.15 points or 0.96% at the day's high of 7,937.20. The index rose 1.95 points or 0.02% at the day's low of 7,863.

The BSE Mid-Cap index rose 0.14%. The BSE Small-Cap index rose 0.47%. Both these indices underperformed the Sensex.

The market breadth indicating the overall health of the market was positive. On BSE, 1,540 shares rose and 1,154 shares fell. A total of 260 shares were unchanged.
Among the sectoral indices on BSE, the S&P BSE Energy index (up 0.79%), BSE Healthcare index (up 1.34%), BSE Utilities index (up 1.17%), BSE Auto index (up 0.96%), BSE Bankex index (up 0.92%) and BSE Power index (up 0.93%) outperformed the Sensex. The S&P BSE Basic Materials index (down 0.4%), BSE FMCG index (up 0.5%), BSE Finance index (up 0.57%), BSE IT index (up 0.59%), BSE Telecom index (down 0.96%), BSE Metal index (down 0.77%) and BSE Oil & Gas index (up 0.67%) underperformed the Sensex.

Index heavyweight and cigarette major ITC rose 0.88% at Rs 326.05. The stock hit a high of Rs 327.25 and a low of Rs 322.60 in intraday trade.

Another index heavyweight and software major Infosys rose 0.53% at Rs 1,101.65. The stock hit a high of Rs 1,107.60 and a low of Rs 1,090 in intraday trade.

NTPC rose 3.38% at Rs 143.75. The stock hit a high of Rs 144.65 and a low of Rs 139 in intraday trade.

Pharma stocks edged higher on renewed buying. Dr Reddy's Laboratories (up 3.52%), Sun Pharmaceutical Industries (up 2.52%), Cipla (up 1.06%), Divi's Laboratories (up 0.41%) and Strides Shasun (up 1.07%) gained.

Lupin rose 1.98% at Rs 1,841.15. Lupin after market hours today, 28 December 2015, announced that it has received final approval from the United States Food and Drug Administration (USFDA) for its Fyavolv Tablets, a generic version of Warner Chilcott's Femhrt Tablets. Lupin's US subsidiary, Lupin Pharmaceuticals Inc. would commence promoting the product in the US shortly, Lupin said in a statement. Lupin's Fyavolv Tablets are indicated for the treatment of moderate to severe vasomotor symptoms due to menopause and prevention of postmenopausal osteoporosis. Femhrt had annual sales of $39.9 million in the United States as per IMS MAT September 2015 data.

Bank stocks gained. Among private sector banks, ICICI Bank (up 2.46%), IndusInd Bank (up 1.07%), Yes Bank (up 0.86%), Axis Bank (up 0.77%), Kotak Mahindra Bank (up 0.71%) and HDFC Bank (up 0.19%) edged higher.

Among public sector banks, IDBI Bank (up 2.73%), Oriental Bank of Commerce (up 1.76%), Union Bank of India (up 0.99%), Indian Bank (up 0.87%), Punjab National Bank (up 0.21%), Bank of India (up 0.21%), Bank of Baroda (up 0.25%) and State Bank of India (up 0.09%) edged higher. United Bank of India (down 1.34%), Corporation Bank (down 0.83%) and Central Bank of India (down 0.21%) edged lower.

Auto stocks also moved higher. Bajaj Auto (up 0.11%), Hero MotoCorp (up 0.29%) and TVS Motor Company (up 0.7%) edged higher. Mahindra & Mahindra (down 0.87%) edged lower.

Shares of commercial vehicle makers edged higher on reports that the government is looking to notify 15 years as the end of life for commercial vehicles. Tata Motors (up 2.84%), Ashok Leyland (up 1.08%) and Eicher Motors (up 2.72%) edged higher. The move to ban 15-year-old commercial vehicles, once implemented, will take millions of vehicles off the roads, thereby giving a big boost to demand for new commercial vehicles. The notification, which is likely to come into effect from the middle of 2016, is primarily aimed at addressing rising pollution levels in the country, reports added.
Car maker Maruti Suzuki India (MSIL) gained 0.89% at Rs 4,635.35. The company announced on Saturday, 26 December 2015, that it will contribute Rs 2 crore to the Prime Minister's National Relief Fund to strengthen the relief and rebuilding efforts of the government for victims of the recent floods in Tamil Nadu. Alongside, MSIL has taken several customer care initiatives for vehicles impacted by the floods. The company has rushed spare parts to Tamil Nadu and has made special arrangements with the insurance companies to speed up survey and approval process. To support customers in this time of hardship, for the flood affected vehicles repaired under insurance, 50% of the depreciation amount will be borne by Maruti Suzuki. Normally, the total depreciation amount is payable by the customer. Additionally the company is offering 50% waiver on cleaning and polishing charges.

Reliance Industries (RIL) rose 0.76% at Rs 1,008.55 after the company's telecom unit Reliance Jio Infocomm yesterday, 27 December 2015, announced the soft launch of its fourth generation (4G) telecom services for RIL group employees, their families and business partners. Reliance Jio Infocomm didn't disclose when commercial operations will begin, according to news reports.

Shares of other telecom companies dropped as the RIL's re-entry into the telecom business is likely to intensify competition in the telecom sector, particularly in the lucrative data business. Bharti Airtel (down 2.14%), Tata Teleservices (Maharashtra) (down 3.88%), Reliance Communications (RCom) (down 0.41%) and Idea Cellular (down 0.92%) declined.

Steel stocks led decline in metal and mining stocks as copper prices declined in global commodities markets. Tata Steel (down 3.59%), JSW Steel (down 3.19%), Jindal Steel & Power (down 1.89%) and Steel Authority of India (down 1.03%) edged lower. Among other metal stocks, National Aluminium Company (down 1.34%), Hindustan Zinc (down 0.71%) and Vedanta (down 0.05%) edged lower. NMDC was unchanged at Rs 91.

High Grade Copper for March 2016 delivery was currently down 2.17% at $2.078 per pound on the COMEX.

Tata Power Company rose 1.88% at Rs 67.60 after the company signed a Memorandum of Understanding (MoU) with the Ministry for Development of Russian Far East, Government of the Russian Federation, to explore and develop investment opportunities in the energy sector across the Russian Far East. The announcement was made after market hours on Thursday, 24 December 2015. Under the provisions of the MoU, the Ministry for Development of Russian Far East will cooperate with and support Tata Power at all stages of the investment projects, including assisting the company's communications with federal and regional authorities, state-owned companies and the private sector. The MoU was signed during Prime Minister Narendra Modi's visit to Russia.

ONGC rose 2.56% at Rs 239.95 after the company announced that its wholly owned subsidiary ONGC Videsh and Russia's Rosneft have signed an agreement of confirmation of successful completion of the first stage pre-completion actions in relation to the creation of a joint venture in JSC "Vankorneft". The document was signed during Prime Minister Narendra Modi's visit to Russia last week. The document was signed in continuation of the agreement of sale and purchase of a 15% stake in Rosneft's subsidiary Vankorneft and the shareholders agreement in regard of the enterprise management between the companies in September 2015. The parties intend to complete the transaction upon obtaining necessary regulatory and other approvals.

ONGC Videsh and Rosneft have also signed a Memorandum of Understanding (MoU) for cooperation for geologic survey, exploration and production of hydrocarbons onshore and on the continental shelf of the Russian Federation.

BPCL was off 0.1% at Rs 903.05. The stock hit a high of Rs 907.05 and a low of Rs 901.35 in intraday trade. A press release issued by the Minstry of Petroleum & Natural Gas during market hours today, 28 December 2015 said that the new state-of-the-art crude distillation unit (CDU) of BPCL's Mumbai refinery was dedicated to the nation today, 28 December 2015. The unit with a capacity of 6 MMTPA at a cost of Rs 1419 crore is a replacement of old crude and vacuum units of the refinery.

Adani Ports and Special Economic Zone (APSEZ) rose 1.16% at Rs 261.50. APSEZ during market hours today, 28 December 2015, announced that its board of directors at a meeting held today, 28 December 2015, accepted the resignation of Sudipta Bhattacharya as Chief Executive Officer (CEO) and whole-time director of the company with effect from close of business hours on 31 December 2015. The board has decided to appoint Karan Adani, Executive Director (non-board position) as new CEO of the company with effect from 1 January 2016. Adani has been deeply involved in managing the company's various port operations since 2009 and now looks after the strategic development of all the Adani ports in India, APSEZ said in a statement. Sudipta Bhattacharya is taking on a new role and moving to the United States of America to take over a group position as the CEO-North America, APSEZ said.
Lanco Infratech surged 6.18% at Rs 6.36 after the company said that a meeting of its board of directors will be held on 30 December 2015, inter alia, to consider the proposal for issuance of compulsory convertible debentures (CCDs) through preferential issue, not exceeding 35 crore CCDs of Rs 10 each and seek shareholders' approval for the same. The announcement was made on Friday, 25 December 2015. The stock market was closed on that day on account of Christmas.

Tube Investments of India jumped 11.62% at Rs 446.60 after the company said that its board of directors approved the divestment of 4.18 crore equity shares held by the company in its general insurance subsidiary viz., Cholamandalam MS General Insurance Company, constituting 14% of the equity share capital of Cholamandalam MS General Insurance Company, to its joint venture partner Mitsui Sumitomo Insurance Company, Japan (MSI). The shares will be sold at a price of Rs 211 per equity share, aggregating to a total consideration of Rs 882.67 crore. On completion of the deal, Mitsui Sumitomo's stake in Cholamandalam MS General Insurance Company will increase to 40% from 26%. The announcement was made on Friday, 25 December 2015. Cholamandalam MS General Insurance Company is a general insurance company in India offering health insurance, car insurance, travel insurance, home & accident insurance policies for individuals and corporates.

The Sensex has declined 111.54 points or 0.42% in this month so far (till 28 December 2015). The barometer index has fallen 1,465.29 points or 5.32% in this calendar year so far (till 28 December 2015). From a 52-week low of 24,833.54 hit on 8 September 2015, the Sensex has risen 1,200.59 points or 4.83%. The Sensex is off 3,990.61 points or 13.29% from a record high of 30,024.74 hit on 4 March 2015.

Saturday, December 26, 2015

THE WEEK AHEAD

Market may remain volatile ahead of F&O expiry


Trend in global markets, investment by foreign portfolio investors (FPIs), the movement of rupee against the dollar and crude oil price movement will dictate trend on the bourses in the week ahead.

The market may remain volatile as traders roll over positions in the futures & options (F&O) segment from the near month December 2015 series to January 2016 series. The near month December 2015 derivatives contracts expire on Thursday, 31 December 2015.

Shares of automobile companies will be in focus as companies start announcing monthly sales volume data for December 2015 from Friday, 1 January 2016.

Shares of public sector oil marketing companies (PSU OMCs) will be in focus as a regular fuel price review is due at the month end. PSU OMCs review fuel prices twice a month based on the trend in international oil market and currency movement. The first review takes place during the middle of the month and the last review at the month-end. PSU OMCs also review jet fuel prices on the last day of the month.

Shares of aviation firms will be in focus as a regular jet fuel price review is due at the month end. PSU OMCs revise jet fuel prices on the last day of the month based on the average imported oil price during the month. Prices of ATF constitutes approximately 50% of operating expenses of Indian airlines.

On the global macro front, Conference Board (CB) Consumer Confidence data in the US, which measures the level of consumer confidence in economic activity, will be unveiled on Tuesday, 29 December 2015.

The National Association of Realtors (NAR) will unveil the Pending Home Sales data in the US on Wednesday, 30 December 2015.

China Manufacturing Purchasing Managers Index (PMI) report will be unveiled on Thursday, 31 December 2015.

THE WEEK THAT WAS

Market jumps on positive global cues


Gains in global stocks triggered by a recovery in battered global commodity prices aided gains for Indian stocks last week. The Sensex rose 319.49 points or 1.25% to settle at 25,838.71. The Nifty rose 99.10 points or 1.28% to settle at 7,861.05.

The BSE Mid-Cap index underperformed the Sensex, rising 98.92 points or 0.91% to settle at 11,018.17. The BSE Small-Cap index outperformed the Sensex, rising 198.73 points or 1.72% to settle at 11,730.59.

India's stock markets will remain closed on Friday, 25 December 2015, on account of Christmas.

Trading for the week began on a positive note as gains in index heavyweights ITC and Infosys along with gains for metal stocks took key benchmark indices higher on Monday, 21 December 2015. The barometer index, the S&P BSE Sensex, rose 216.68 points or 0.85% to settle at 25,735.90. The gains for the 50-unit Nifty 50 index were higher in percentage terms than those for the Sensex. The Nifty rose 72.50 points or 0.93% to settle at 7,834.45. Bank stocks edged higher after the government tabled the bankruptcy bill in Lok Sabha for its discussion and passage.

Losses for metal stocks and index heavyweights ITC and Infosys pulled key benchmark indices lower on Tuesday, 22 December 2015. The barometer index, the S&P BSE Sensex, fell 145.25 points or 0.56% to settle at 25,590.65. The losses for the 50-unit Nifty 50 index were higher in percentage terms than those for the Sensex. The Nifty fell 48.35 points or 0.62% to settle at 7,786.10.

Key benchmark indices mirrored rally in global stocks on Wednesday, 23 December 2015. The barometer index, the S&P BSE Sensex, gained 259.65 points or 1.01% to settle at 25,850.30. The 50-unit Nifty 50 index rose 79.85 points or 1.03% to settle at 7,865.95.

Key benchmark indices registered minuscule losses in a lackluster session of trade on Thursday, 24 December 2015. The barometer index, the S&P BSE Sensex, fell 11.59 points or 0.04% to settle at 25,838.71. The 50-unit Nifty 50 index fell 4.90 points or 0.06% to settle at 7,861.05.

Among the 30-share Sensex pack, 27 stocks rose and three stocks declined in the week ended Thursday, 24 December 2015.

State-run GAIL (India) was the top Sensex gainer last week. The stock rose 6.54% to Rs 362.25.

Telecom major Bharti Airtel rose 6.14% to Rs 338.75.

State-run ONGC rose 4.79% to Rs 233.95. The Cabinet Committee on Economic Affairs (CCEA) on Tuesday, 22 December 2015, gave its approval for investment of Rs 5000 crore by ONGC into the equity share capital of ONGC Videsh (OVL) by conversion of existing loan of equivalent amount into equity. The approved investment will strengthen the capital base of OVL. It will enhance the ability of ONGC to undertake overseas exploration and production (E&P) business, thereby improving the energy security of the country, a government statement released after market hours Tuesday, 22 December 2015 said.

State-run State Bank of India (SBI) rose 0.88% to Rs 228.65. SBI before market hours on Thursday, 24 December 2015, announced that the bank has raised Rs 4000 crore on private placement of Basel III compliant, Tier-II bonds with 10 year tenure, bearing 8.33% per annum coupon and with call option after 5 years.

Among private sector banks, Axis Bank (up 4.23%) and ICICI Bank (up 3.08%), edged higher. HDFC Bank fell 0.12%.

The Reserve Bank of India (RBI) in its latest Financial Stability Report (FSR) said that public sector banks (PSBs) pay out significant amounts as dividend to the government and other shareholders which have no relevance to their balance sheet strengths and capital planning. In addition to the improvement of governance processes through initiatives like 'Indradhanush', PSBs may need to review their business models and examine strategic decisions like capital structure and dividend policy, the FSR said. In August 2015, government rolled out a seven pronged plan named Indradhanush aimed at improving the performance of PSBs. It is imperative that PSBs approach their dividend decisions as strategic business decisions which are in keeping with their objective of shareholder wealth maximisation, the FSR said.
RBI said that large borrowers continued to be the biggest sore point for banks' balance sheets. In its report, RBI pointed out that PSBs were the worst hit with gross non-performing assets (GNPAs) among large borrowers showing a significant increase to 8.1% in September 2015 from 6.1% in March 2015.

RBI Governor Raghuram Rajan said in his foreword on the FSR that despite domestic inflation coming down significantly, India should not lose sight of the fact that the climatic conditions have tended to be more erratic and unpredictable. This will have an impact on the volatility of inflation and perhaps its level, Rajan said.

Tata Steel rose 3.19% to Rs 263.50. The company said that an indirect subsidiary of Tata Steel Europe announced the signing of a letter of intent with Greybull Capital for potential sale of its long products Europe business. The announcement was made after market hours on Tuesday, 22 December 2015.

Tata Steel UK (TSUK), an indirect subsidiary company of Tata Steel Europe (TSE), announced the signing of a Letter of Intent with Greybull Capital to start exclusive negotiations for the potential sale of its long products Europe business. The memorandum covers several UK-based assets including TSUK's Scunthorpe steelworks, mills in Teesside and northern France, an engineering workshop in Workington, a design consultancy in York, and associated distribution facilities. It also includes Scottish mills in Dalzell and Clydebridge which are currently being mothballed.

Mahindra & Mahindra (M&M) rose 1.08% to Rs 1,257.70. According to reports, M&M is developing petrol engines for its existing vehicles in the wake of recent temporary ban imposed by the Supreme Court on sale of large diesel cars in Delhi. It may be recalled that the Supreme court had last week imposed a ban on registration of new diesel sport utility vehicles (SUVs) and private cars in Delhi with an engine capacity of over 2000cc until 31 March 2016, to rein in the alarming pollution levels in the capital city. M&M is among the worst hit by the ban because its mainstay is diesel sport utility vehicles (SUVs) with engine capacity of more than 2,000 cc that cannot be sold in the capital until 31 March 2016.

Among two-wheeler makers, Hero MotoCorp (up 1.87%) and Bajaj Auto (up 0.40%), edged higher.

Commercial vehicles major Tata Motors rose 1.11% to Rs 382.40.

Car maker Maruti Suzuki India fell 0.56% to Rs 4,594.40.

Larsen & Toubro (L&T) rose 0.50% to Rs 1,294.50. The company said that its construction division, L&T Construction, won orders worth Rs 1178 crore across various businesses in December 2015. The company made the announcement during market hours on Wednesday, 23 December 2015.

IT major Wipro rose 0.28% to Rs 555.95. The company said it has signed a definitive agreement to acquire Viteos Group for a purchase consideration of $130 million. The announcement was made before market hours on Wednesday, 23 December 2015.
Headquartered in New Jersey, Viteos Group is a business process as-a-service (BpaaS) provider for the alternative investment management industry. Wipro said that the acquisition of Viteos will expand its capital markets portfolio in fund accounting services and enhance its business process services (BPS) capabilities. Viteos licenses its proprietary platform which offers transformation and integration post-trade operations. Wipro said that the company will be able to leverage this proprietary platform to launch solutions across other segments of capital market. These technology based solutions will bring in non-linear and higher revenue realisation for the company. The acquisition would be completed in Q4 March 2016, Wipro said. Viteos Group reported a revenue of $26.5 million in the financial year 2014-15.

Among other IT majors, Infosys (up 0.91%) and TCS (up 0.70%), edged higher.

Wednesday, December 23, 2015

THE END SESSION ( 23 / 12 / 2015 )

Nifty hits 3-week closing high


Gains in global stocks triggered by a recovery in battered global commodity prices aided gains for Indian stocks. The barometer index, the S&P BSE Sensex, gained 259.65 points or 1.01% to settle at 25,850.30. The 50-unit Nifty 50 index rose 79.85 points or 1.03% to settle at 7,865.95. Stocks of public sector companies and metal and oil exploration and production (E&P) sector stocks along with index heavyweight Infosys led the upmove for the two key benchmark indices. The Sensex and the Nifty remained in positive zone throughout the trading session after opening with an upward gap. The Sensex attained its highest closing level in almost three weeks. The Nifty attained a 3-week closing high.

Metal and mining stocks were in demand as copper prices rose in global commodity markets. Tata Steel edged higher after the company announced that Tata Steel UK (TSUK), an indirect subsidiary company of Tata Steel Europe (TSE), has signed a Letter of Intent with Greybull Capital to start exclusive negotiations for the potential sale of its Long Products Europe business. Shares of oil E&P firms rose as global crude oil prices rose.

Engineering and construction major L&T edged higher after the company's construction division won orders worth Rs 1178 crore across various businesses in December 2015.

Dr. Lal PathLabs, a provider of diagnostics and related healthcare tests and services, made a solid debut. Another new listing Alkem Laboratories also made a strong debut.

In overseas stock markets, mining stocks led gains for European equities as copper prices rose in global commodities markets. Asian stocks edged higher as global commodity prices stabilized. US stocks shrugged off soft economic data yesterday, 22 December 2015, scoring gains across the board to finish higher for a second straight session.

The Sensex gained 259.65 points or 1.01% to settle at 25,850.30, its highest closing level since 3 December 2015. The index jumped 284.62 points or 1.11% at the day's high of 25,875.27. The barometer index rose 99.05 points or 0.38% at the day's low of 25,689.70.

The Nifty rose 79.85 points or 1.03% to settle at 7,865.95, its highest closing level since 2 December 2015. The index jumped 85.35 points or 1.09% at the day's high of 7,871.45. The index rose 40 points or 0.51% at the day's low of 7,826.10.

The market breadth indicating the overall health of the market was positive. On BSE, 1,526 shares rose and 1,145 shares fell. A total of 247 shares were unchanged.

The BSE Mid-Cap index rose 0.3%. The BSE Small-Cap index gained 0.43%. Both these indices underperformed the Sensex.

The total turnover on BSE amounted to Rs 2306 crore, lower than turnover of Rs 2685.05 crore registered during the previous trading session.

Metal and mining stocks were in demand as copper prices rose in global commodity markets. Vedanta (up 4.01%), JSW Steel (up 1.38%), Steel Authority of India (Sail) (up 1.89%), Hindustan Zinc (up 1.73%), Jindal Steel & Power (up 1.6%), Hindalco Industries (up 5.91%), NMDC (up 1.57%), edged higher. National Aluminium Company (down 3.03%) and Hindustan Copper (down 0.26%) fell.

High Grade Copper for March 2016 delivery was currently up 0.59% at $2.1215 per pound on the COMEX.

Tata Steel gained 2.68% after the company announced that Tata Steel UK (TSUK), an indirect subsidiary company of Tata Steel Europe (TSE), has signed a Letter of Intent with Greybull Capital to start exclusive negotiations for the potential sale of its Long Products Europe business. The memorandum covers several UK-based assets including TSUK's Scunthorpe steelworks, mills in Teesside and northern France, an engineering workshop in Workington, a design consultancy in York and associated distribution facilities. It also includes Scottish mills in Dalzell and Clydebridge which are currently being mothballed. The announcement was made after market hours yesterday, 22 December 2015.

Engineering and construction major L&T rose 0.87% after the company's construction division won orders worth Rs 1178 crore across various businesses in December 2015. Meanwhile, L&T announced after market hours yesterday, 22 December 2015, that its Smart World & Communications business vertical is leading the way to make Jaipur India's first Smart City by creating a host of smart solutions like Wi-Fi hotspots, citizen interactive information kiosks, surveillance cameras, environmental sensors, parking information systems and remote kiosks with facility management services at select locations in the city. L&T has received the mandate from Jaipur Development Authority (JDA), which is leading the initiative to equip Jaipur with world-class digital facilities targeted primarily at the heavy tourist traffic that the city attracts. The Jaipur Smart City project has been planned in two phases with Phase 1 aimed at transforming six major locations into smart zones in the next month and a half and the remaining locations to be completed in a total of 120 days along with an Operations & Maintenance contract for 5 years. In Phase 1, L&T is completing the work at six locations, including the famous Ajmer Fort.

Kalpataru Power Transmission rose 3.39% after the company announced that it has secured new orders of approximately Rs 1395 crore. The company made the announcement during market hours today, 23 December 2015. Commenting on new orders, Kamal Jain, Director of Finance & CFO Kalpataru Power Transmission said that the domestic order inflows of over Rs 2100 crore till date in the year ending 31 March 2016 (FY 2016) is very strong. It is almost double compared to the same period of previous year. He added that the company expects this momentum to continue for atleast 1 to 2 years considering government's push for the sector in which it operates.

Stocks of public sector companies were in demand. Bharat Heavy Electricals (Bhel) (up 3.58%), GAIL (India) (up 5.82%), Power Grid Corporation of India (up 1.23%), Engineers India (up 0.25%), Coal India (up 0.83%), MMTC (up 0.23%) and NTPC (up 1.53%) edged higher.

Shares of oil exploration and production (E&P) firms rose as global crude oil prices rose. Reliance Industries (RIL) (up 1.63%), Cairn India (up 1.46%) and Oil India (up 0.86%) edged higher.

ONGC rose 2.04% after the Cabinet Committee on Economic Affairs (CCEA) yesterday, 22 December 2015, gave its approval for investment of Rs 5000 crore by ONGC into the equity share capital of ONGC Videsh (OVL) by conversion of existing loan of equivalent amount into equity. This will strengthen the capital base of OVL which in turn will enhance the ability of ONGC and OVL to undertake overseas exploration and production (E&P) business.

Stocks of public sector oil marketing companies (PSU OMCs) also edged higher. HPCL (up 1.45%) and Indian Oil Corporation (up 0.68%) gained. BPCL shed 0.22%.
In the global commodities market, Brent crude oil prices edged higher. Brent for February settlement was currently up 36 cents at $36.47 a barrel. The contract had lost 24 cents or 0.66% to settle at $36.11 a barrel during the previous trading session.
Bank stocks gained. Among public sector banks, Punjab National Bank (up 0.5%), Bank of Baroda (up 0.8%), State Bank of India (SBI) (up 0.7%), Union Bank of India (up 0.96%), Canara Bank (up 0.61%), and Bank of India (up 0.86%) edged higher.

Among private sector banks, Axis Bank (up 1.18%), HDFC Bank (up 0.81%), ICICI Bank (up 0.89%), Kotak Mahindra Bank (up 0.34%), Federal Bank (up 0.36%), Yes Bank (up 1.6%) and IndusInd Bank (up 0.58%) edged higher.

IT stocks gained. HCL Technologies (up 1.65%) and TCS (up 0.6%) gained. Tech Mahindra declined 0.22%.

Wipro edged higher in volatile trade after it signed a definitive agreement to acquire Viteos Group, a BPaaS (Business Process as-a-Service) provider for the Alternative Investment Management Industry, for a purchase consideration of $130 million. The stock rose 0.03% at Rs 555.80. The stock hit high of Rs 559.20 and low of Rs 553.85. Wipro said that the acquisition of Viteos will expand its capital markets portfolio in fund accounting services and enhance its business process services (BPS) capabilities. Viteos licenses its proprietary platform which offers transformation and integration post-trade operations. Wipro said that the company will be able to leverage this proprietary platform to launch solutions across other segments of capital market. These technology based solutions will bring in non-linear and higher revenue realisation for the company. The acquisition would be completed in Q4 March 2016, Wipro said.

Index heavyweight and IT major Infosys rose 1.33% to Rs 1,098. The stock hit high of Rs 1,100 and low of Rs 1,087.

Shares of pharma major Sun Pharmaceutical Industries rose 3.52% to Rs 791.05. The stock hit high of Rs 793.95 and low of Rs 771.

Alkem Laboratories, the fifth largest pharmaceutical company in India by domestic sales, made a strong debut. The stock settled at Rs 1,381.45 on BSE, a premium of 31.56% over the initial public offer price of Rs 1,050 per share. The stock debuted at Rs 1,380, a premium of 31.42% compared with IPO price. The stock hit a high of Rs 1,410 and a low of Rs 1,355.40 in intraday trade.

Dr. Lal PathLabs, a provider of diagnostics and related healthcare tests and services in India, made a solid debut. The stock settled at Rs 824.15 on BSE, a premium of 49.84% compared to the initial public offer (IPO) price of Rs 550 per share. The stock debuted at Rs 717, a premium of 30.36% compared to IPO price. The stock hit a high of Rs 842.40 and low of Rs 715.50 in intraday trade.

The Sensex has declined 295.37 points or 1.12% in this month so far (till 23 December 2015). The barometer index has fallen 1,649.12 points or 5.99% in this calendar year so far (till 23 December 2015). From a 52-week low of 24,833.54 hit on 8 September 2015, the Sensex has risen 1,016.76 points or 4.09%. The Sensex is off 4,174.44 points or 13.9% from a record high of 30,024.74 hit on 4 March 2015.

Tuesday, December 22, 2015

THE END SESSION ( 22 / 12 )

Key indices register modest losses


Losses for metal stocks and index heavyweights ITC and Infosys pulled key benchmark indices lower. The barometer index, the S&P BSE Sensex, fell 145.25 points or 0.56% to settle at 25,590.65. The losses for the 50-unit Nifty 50 index were higher in percentage terms than those for the Sensex. The Nifty fell 48.35 points or 0.62% to settle at 7,786.10. The Sensex and the Nifty extended losses in late trade. Earlier during the trading session, an unusual trend was witnessed when the Sensex witnessed a near 1% slide compared with a 0.41% slide for the Nifty.

In overseas stock markets, European shares witnessed a mixed trend. Asian markets edged higher, taking solace from overnight gains on Wall Street. US stocks edged higher in a choppy trading session yesterday, 21 December 2015, as investors shrugged off weak oil prices.

The Sensex fell 145.25 points or 0.56% to settle at 25,590.65, its lowest closing level since 18 December 2015. The index lost 250.73 points or 0.97% at the day's low of 25,485.17. The barometer index rose 51.31 points or 0.19% at the day's high of 25,787.21.

The Nifty fell 48.35 points or 0.62% to settle at 7,786.10, its lowest closing level since 18 December 2015. The index fell 57.60 points or 0.73% at the day's low of 7,776.85. The index rose 11.85 points or 0.15% at the day's high of 7,846.30.

The BSE Mid-Cap index fell 0.31%. The BSE Small-Cap index fell 0.02%. The decline in both these indices was lower than the Sensex's decline in percentage terms.
The market breadth indicating the overall health of the market was negative. On BSE, 1,369 shares fell and 1,305 shares rose. A total of 237 shares were unchanged.
Among sectoral indices on BSE, the S&P BSE Consumer Durables index (up 0.82%), the S&P BSE Telecom index (up 0.73%), the S&P BSE Healthcare index (up 0.31%), the S&P BSE Utilities index (up 0.03%), the S&P BSE Oil & Gas index (down 0.03%), the S&P BSE Consumer Discretionary Goods & Services index (down 0.19%), the S&P BSE Energy index (down 0.24%), the S&P BSE Realty index (down 0.31%), the S&P BSE Power index (down 0.37%), the S&P BSE Finance index (down 0.39%), the S&P BSE Bankex (down 0.4%), the S&P BSE Capital Goods index (down 0.53%) and the S&P BSE Industrials index (down 0.55%), outperformed the Sensex.

The S&P BSE Basic Materials index (down 0.6%), the S&P BSE Auto index (down 0.66%), the S&P BSE FMCG index (down 0.81%), the S&P BSE Teck index (down 0.86%), the S&P BSE Metal index (down 1%) and the S&P BSE IT index (down 1.15%) underperformed the Sensex.

The total turnover on BSE amounted to Rs 2655 crore, higher than turnover of Rs 2505.93 crore registered during the previous trading session.

L&T fell 0.77% to Rs 1,280. The stock hit a high of Rs 1,297.90 and low of Rs 1,276 in intraday trade. The company announced after market hours today, 22 December 2015, that its Smart World & Communications business vertical is leading the way to make Jaipur India's first Smart City by creating a host of smart solutions like Wi-Fi hotspots, citizen interactive information kiosks, surveillance cameras, environmental sensors, parking information systems and remote kiosks with facility management services at select locations in the city. L&T has received the mandate from Jaipur Development Authority (JDA), which is leading the initiative to equip Jaipur with world-class digital facilities targeted primarily at the heavy tourist traffic that the city attracts. The Jaipur Smart City project has been planned in two phases with Phase 1 aimed at transforming six major locations into smart zones in the next month a and half and the remaining locations to be completed in a total of 120 days along with an Operations & Maintenance contract for 5 years. In Phase 1, L&T is completing the work at six locations, including the famous Ajmer Fort.

Index heavyweight and cigarette major ITC fell 1.63% to Rs 320.45. The stock hit a high of Rs 325.70 and low of Rs 317.65 in intraday trade.

IT stocks edged lower. TCS fell (down 1.43%), Hexaware Technologies (down 1.65%), MindTree (down 1.13%), Persistent Systems (down 0.88%), HCL Technologies (down 0.63%), Oracle Financial Services Software (down 0.46%), Tech Mahindra (down 0.34%) and Wipro (down 0.07%), edged lower. MphasiS rose 0.69%.

Index heavyweight and IT major Infosys dropped 1.67% to Rs 1,083.60. The stock hit high of Rs 1,100 and low of Rs 1,080.50 in intraday trade.

Metal shares declined. National Aluminium Company (down 6.57%), NMDC (down 2.62%), Hindustan Zinc (down 2.23%), Hindalco Industries (down 2.09%), Steel Authority of India (down 1.86%), Jindal Steel & Power (down 1.25%), Bhushan Steel (down 1.01%), JSW Steel (down 1.01%), Vedanta (down 0.58%) and Tata Steel (down 0.52%), edged lower. Hindustan Copper rose 1.16%.

Banking stocks edged lower. Among state-run banks, IDBI Bank (down 2.14%), Punjab and Sind Bank (down 1.77%), Canara Bank (down 1.66%), Punjab National Bank (down 1.59%), Bank of Baroda (down 1.44%), UCO Bank (down 1.33%), Andhra Bank (down 1.32%), Bank of India (down 1.27%), Union Bank of India (down 0.98%), Syndicate Bank (down 0.97%), Dena Bank (down 0.96%), Indian Bank (down 0.96%), United Bank of India (down 0.89%), Allahabad Bank (down 0.56%) and Bank of Maharashtra (down 0.47%) edged lower. Vijaya Bank (up 0.88%), Central Bank of India (up 1.51%) and Corporation Bank (up 4.35%), edged higher.

State Bank of India (SBI) fell 0.89% to Rs 228.30. The state-run bank after market hours yesterday, 21 December 2015, announced that the committee of directors of the bank at its meeting held yesterday, 21 December 2015, has authorized the bank to raise upto Rs 12000 crore by way of issue of Basel III compliant Tier II bonds, at par, through private placement.

Among private sector banks, IndusInd Bank (down 1.4%), Kotak Mahindra Bank (down 1.02%), Federal Bank (down 0.27%) and HDFC Bank (down 0.17%) edged lower. ICICI Bank (up 0.50%) and Axis Bank (up 1.18%), edged higher.

Yes Bank fell 0.89% to Rs 713.60. Yes Bank during market hours today, 22 December 2015, said that subsequent to announcing a redesigned organizational structure on 1 September 2015, the bank has appointed three top management leaders towards accelerating retail and micro, small and medium enterprises (MSME) focus including the appointment of a new Chief Operating Officer (COO) to further augment the operational service delivery. Retail and MSME lending advances currently constitute 31.8% of overall loan book of Yes Bank. Yes Bank has appointed Padhmanabhan Kumar as the new COO and senior group president, operations and service delivery. Yes Bank also appointed Neeraj Dhawan as group president and chief risk officer - retail and business banking. Rajan Pental joined Yes Bank as group head - retail lending, retail banking assets group.

The Sensex has declined 555.02 points or 2.12% in this month so far (till 22 December 2015). The Sensex has fallen 1,908.77 points or 6.94% in this calendar year so far (till 22 December 2015). From a 52-week low of 24,833.54 hit on 8 September 2015, the Sensex has risen 757.11 points or 3.05%. The Sensex is off 4,434.09 points or 14.77% from a record high of 30,024.74 hit on 4 March 2015.