Auto, I.T. Take Markets Back To Winning Ways; Nifty Ends Above 8,200

Market Wrap

Closing Bell

After a near 1 percent fall in Monday’s session, benchmark indices returned to winning ways, gaining momentum in the final 90 minutes of trade.

The S&P BSE Sensex gained 182 points or 0.7 percent to end at 26,697, while the NSE Nifty 50 index gained 0.6 percent to end above the 8,200 mark at 8,221.

The market breadth was largely equal but biased towards the declines with 1,203 stocks ending on the losing side as compared to 1,176 stocks that ended with gains.

Earnings Impact: Omaxe

Shares of the real estate company surged as much as 4.97 percent to Rs 165.80 after its consolidated net profit for the second quarter increased to Rs 23.6 crore as compared to Rs 12.3 crore last year.

The company’s consolidated total income increased 8.5 percent to Rs 322 crore compared to Rs 297 crore last year. EBITDA margins too increased from 18.5 percent to 22.8 percent.

Earnings Impact: Den Networks

Shares of the company soared as much as 14.82 percent to Rs 73.60 after its net loss in the quarter ending September 30 narrowed to Rs 47.8 crore as compared to Rs 97.7 crore in the year ago period.

The company’s total income increased 26.5 percent to Rs 272 crore from Rs 215 crore.

Cyrus Mistry Addresses TCS Shareholders

Sluggish Open For European Indices

European indices opened on a tepid note as investors await cues from the U.S. Federal Reserve’s two-day meeting. Indices swung between gains and losses of 0.1 and 0.3 percent

September Rollout For GST?

Earnings Impact: HDIL

Shares of the real estate company fell as much as 2.4 percent to Rs 60.30 after its consolidated net profit for the quarter ending September 30 fell 35.8 percent to Rs 36.8 crore as compared to Rs 57.3 crore in the year ago period.

The company’s margins on earnings before interest, tax, depreciation and amortisation too fell to 67 percent, compared to 84.7 percent year-on-year.

Coal India Flat Ahead Of Q2 Results

Shares of the world’s largest coal miner was largely tepid ahead of its second quarter results today, gaining only as much as 0.84 percent to Rs 307.85.

The state-run miner’s net profit is expected to fall 11 percent on a year-on-year basis to Rs 2,263.5 crore, while revenue is likely to remain flat at Rs 16,614 crore, according to Bloomberg consensus estimates. The profit number is expected to be at its lowest in the last eight quarters.

Also Read: Coal India May Post Its Lowest Profit In Eight Quarters

Brokerages Turn Negative On Bajaj Finance

Shares of Bajaj Finance Ltd., continued to slide for the third straight session, falling as much as 7.3 percent to Rs 805. The stock has lost 8 percent in the last three trading sessions.

Brokerages like Credit Suisse, Deutsche Bank and Jefferies have maintained their negative stance on the stock.

• Deutsche Bank: Sell with a 12-month target price of Rs 750.
• Credit Suisse: Maintains ‘Underperform’ rating.
• Jefferies: Maintains ‘Underperform’ with a target price of Rs 702.

Syngene Slides After Fire At Bengaluru Unit

Shares of Biocon’s research unit fell as much as 6.58 percent to Rs 592.50 after a fire was reported at one of the company’s laboratory buildings last night in Bengaluru, the company said in its filings to the exchanges.

The release further added that the extent of the damage is yet to be assessed but the concerned laboratory occupied almost 10 percent of the total office and laboratory space developed. Other operations continued to remain normal, the company said.

BQSpotted

TVS Electronic Hits Upper Circuit

• Trading 2 percent higher after hitting the 5 percent upper circuit in early trade
• Stock gained around 144 percent in the last 15 trading sessions
• Of the last 15 trading sessions, the stock hit an upper circuit 6 times
• Market cap of Rs 418 crore

Block Deal: Tata Motors

Shares of Tata Motors climbed as much as 4.94 percent to Rs 477 after nearly 50.1 million shares changed hands on the National Stock Exchange in two block deals.

Bloomberg data indicates that the stock is the most traded Indian stock by volume and value. Morgan Stanley is acting as the sole book runner for an undisclosed purchaser.

Movers & Shakers: Coal India, Axis Bank, Sun Pharma And More

Opening Bell

Indian shares fluctuated between gains and losses, tracking weak trade in Asian equities, as investors weigh prospects of tighter monetary policies by world’s top two central banks.

The S&P BSE Sensex inched 0.1 percent higher to 26,547 while the NSE Nifty remained unchanged at 8,167. The market breath was skewed in favour of the buyers with 712 advances, 636 declines and 492 stocks remaining unchanged.

Money Markets Heads Up

Stocks To Watch

• 3i Infotech: Restructures some bonds, to issue shares
• Axis Bank: RBI clarifies no action on bank’s permit
• IRB Infrastructure: Signs 2 agreement with NHAI
• MEP Infra: Q2 profit Rs 62.42 crore versus Rs 11.23 crore loss
• Sun Pharma: Signs exclusive global licensing with Mobius Medicals for osteoarthritis drug
• Tata Motors: Tata Sons said to plan boosting stake in Tata Motors before EGM
• Morgan Stanley to buy up to 50 million shares of Tata Motors for undisclosed purchaser; trade expected today

Earnings To Watch

• Alok Industries
• Amtek Auto
• Bajaj Hindusthan Sugar
• Coal India
• DEN Networks
• Hindustan Copper
• Housing Development & Infrastructure (HDIL)
• Kaveri Seed Co.
• KSK Energy Ventures
• Omaxe
• Prism Cement

For a complete list of stocks to watch, click HERE

Talking Points

• RBI directs bank to report counterfeits in deposited old notes
• Nuclear Power Corp. shuts plant near Chennai amid cyclone
• Cyclone Vardah crossing Chennai coast at 100-110km/Hr: IMD
• Indian gold imports said to jump to year’s high in November
• Russia to tap Indian wheat market after season’s biggest cargo
• Vitol books tanker to move Indian diesel to Europe: Fixtures
• Global funds sell Rs 94.45 crore rupees of local stocks; domestic funds sell Rs 266 crore yesterday: Provisional data
• Global coal use to stall as India props up growth: IEA Says
• Consumption seen falling in developed nations through 2021
• Vodafone India said looking at divesting tower assets: ET Now

Data To Watch

• 5:30pm: India Nov. consumer price inflation; estimate 3.90 percent (prior 4.20 percent)
• 12/13-12/15: SEA to release Nov. edible-oil imports data
• 12/13-12/30: Q3 BoP current account balance, -$2.60 billion, (Prior -$0.30 billion)
• 12/13-12/15: India November exports; no estimate (prior +9.6 percent)

Imports; no estimate (prior +8.1 percent)
Trade Balance; -$10.50 billion (prior -$10.16 billion)

5 Things To Watch

Good Morning!

The Nifty futures on the Singapore Stock Exchange, an early indicator of Nifty’s performance in India, inched marginally higher to 8,196.

Asian stocks declined this morning, led by Chinese shares as investors weigh the impact of monetary tightening in the world’s two largest economies on fragile recoveries.

China’s statistics bureau reported stronger-than-expected industrial output and retail sales, which gives policymakers room to switch focus from stimulus to curbing financial risks. This includes higher money market rates and limits on using bonds to borrow.

Investors are also focused on this week’s U.S. Federal Reserve meeting. While the market sees 100 percent odds of a rate hike on Wednesday, and a two-in-three chance of additional tightening by June, the greenback has been falling as traders squared positions.

Oil fell from its highest level since July 2015 as U.S. shale production was set to increase for the first time in six months. Production could top 4.54 million barrels per day, according to the Energy Information Administration.