KEY HIGHLIGHTS
Markets At Close
- Benchmark indices post healthy gains
- Nifty ends 2.6% higher at 9,826
- Sensex ends 2.7% higher at 33,303
- Nifty Bank ends 3.4% higher at 19,959
- Nifty Midcap Index ends 3.1% higher
- Nifty Smallcap Index ends 3.2% higher
- India Volatility Index up 1.1% to 30.56
- Nifty PSU Bank ends as the top sectoral gainer; up 7.6%
- Nifty Auto, Metal, Media and Realty gain over 3% each
- Bajaj Finance ends as the top Nifty gainer; up 10.5%
- Dr Reddy's Laboratories ends as the top Nifty laggard; down 3%
- 1,488 stocks ended with gains while 324 declined
New Week, New Month
Good Morning!
Indian equity markets managed to trim its losses in May, after capping off the month with healthy gains.
Lots will be in focus on Monday as automakers will be reporting their monthly sales data. The country’s manufacturing PMI is also scheduled to be released.
The Singapore-traded SGX Nifty, an early indicator of the Nifty 50 Index’s performance in India, rose 0.8% to 9,577 as of 6:55 a.m.
Asian markets are recovering after a sluggish start, led by indices in Hong Kong as U.S. President Donald Trump stopped short of specifying tough sanctions over China’s new national security law.
The Hang Seng gained over 3%, while markets in Japan, Australia and South Korea are seeing modest advances.
Futures on the Dow Jones pared early losses and now trade higher by 40 points. The benchmark index ended flat on Friday.
Yields on the 10-year treasury edged higher, while West Texas Intermediate crude fell 1% to $35 a barrel.
Short on time? Well, then listen to this podcast for a quick summary of All You Need To Know before the opening bell.
India To Reopen In Phases
- All areas apart from containment zones to resume in phases starting June 8
- Lockdown in containment zones extended to June 30
- Shopping malls, places of worship, hotels, restaurants and other hospitality services to re-open in the first phase.
- Schools, colleges and other educational institutions will re-open in the second phase after consultations with states and union territories.
- International air travel, metro rail, cinema halls, gyms, swimming pools, theatres and bars to re-open in the third phase. Dates for this phase will be determined later.
- Movement of individuals to remain strictly prohibited between 9 p.m. to 5 a.m. throughout the country.
- No restriction on inter-state and intra-state movement of persons or goods.
- Individuals must maintain a distance of 6 feet in public places. Shops to now allow more than five people at a time.
Also Read: India To Reopen In Phases; Containment Zones To Remain On Lockdown To Curb Covid-19 Spread
A Check On Indian ADRs
How Did The Fund Flows Fare On Friday
Your Trade Setup For The Day
Key Stocks In Focus
- Adani Power: To consider proposal for delisting of shares on June 3. Promoter group holds 74.97% stake in the company. Board will consider appointing a merchant banker as well.
- Kotak Mahindra Bank: Invesco Oppenheimer Developing Markets Fund, Canada Pension Plant Investment Board and ICICI Prudential Mutual Fund allotted 8.02%, 7.12% and 6.3% shares respectively post its QIP.
- Dr Reddy's Laboratories: Gets Establishment Inspection Report (EIR) from the U.S. FDA for its API Srikakulam Plant (SEZ) in Andhra Pradesh, indicating that the inspection is closed.
- Metropolis Healthcare: Expects revenue to improve to 75% of normal by the end of June. It foresees no major risk on receivables although there may be some impact from the B2B business. B2C business does not carry the risk of recovery of assets as large part of the business is on cash and carry model.
- HCL Tech: Announced intent to acquire Cisco’s SON technology.
- Kalpataru Power: Buyback opens on June 1. Also, the company will sell its entire 49.72% stake in Jhajjar KT Transco to India Grid Trust for a total enterprise of about Rs 310 crore. The project comprises of three 400 kV power transmission lines and two 400 kV and sub-stations in state of Haryana.
- Manappuram Finance: DSP Mutual Fund increases its holding to 5.03% from 5% after purchasing 2,84,660 shares of the company.
- Lemon Tree Hotels: Board approves raising Rs 150 crore either via rights issue, preferential allotment or a QIP. It also considers an issue of Compulsory Convertible Preference Shares (CCPs) worth Rs 300 crore by its material subsidiary Fleur Hotels Pvt. Ltd. to APG Strategic Real Estate Pool.
- Vardhman Textiles: Board approves issue of NCDs worth Rs 195 crore on a private placement basis.
- Indian Hotels: Board approves issue of rated, unsecured, listed, redeemable NCDs worth Rs 300 crore to ICICI Bank on a private placement basis.
- KEI Industries: Expects profitability to be impacted in Q1FY21 due to Covid-19 lockdown. Expects situation to improve from Q2 onwards.
- Non-Nifty Earnings Today: V-Guard Industries, Orient Electric, Srikalahasthi Pipes, Welspun Enterprises.
To know more about companies that have shared their Covid-19 updates along with a slew of earnings reported after market hours on Friday and over the weekend, click here.
Top Reads On Bloombergquint.com
Latest On The Coronavirus
- Total cases rise to 6.1 million across the globe
- Death toll rises to 3.7 lakh
- Wuhan reports no asymptomatic case for the first time since data was being published
- Purchasing Managing Index for South Korea, Japan and Taiwan fall, as per data released by IHS Markit.
- Japan likely to relax entry restrictions on people from Thailand, Vietnam, Australia and New Zealand.
- U.K. mulls new stimulus to combat virus.
- U.S. sends Brazil 2 million dozes of Hydroxychloroquine and 1,000 ventilators
- India adds 8,392 new cases, 4,835 recoveries and 230 deaths in the last 24 hours. Total number of cases in India now stand at 1,90,535.
Opening Bell: Strong Start To June
Indian equity markets began the month of June on a strong note, opening higher as the government announced phased re-opening of the economy, starting June 8.
Most Asian markets are trading with modest gains while futures on the Dow Jones trade little changed.
Both the S&P BSE Sensex and the NSE Nifty 50 index opened 1.5% higher at 32,906 and 9,726 respectively. Both the benchmarks opened at their highest level in a month.
All sectoral indices opened with gains, led by the Nifty Bank, which opened 2.2% higher. All the other indices, barring Nifty Pharma and Nifty FMCG opened with gains of over 1%.
Market breadth remained in favour of the advances. 1,279 stocks on the NSE opened with gains while 216 opened with declines.
Aiding Gains On The Nifty
Earnings Reaction: Voltas
The cooling solutions company saw its net profit rising 13.7% from the previous year while low raw material costs aided margin expansion.
The company in its Covid-19 update stated that recovering lost season sales will be a challenge going ahead as consumer spending patterns might undergo a change.
Brokerage firms like Jefferies and Credit Suisse have maintained their buy and outperform rating on the stock respectively.
Shares gained as much as 9.8% - the most since May 2017 to Rs 527, post the announcement.
Stock Reaction: Adani Power
The power project development company informed the exchanges that it will consider delisting of its shares from the exchanges during its board meeting on June 3.
As on date, promoters of Adani Power hold a 74.97% stake in the company. Public shareholding amounts to 25.03% of the paid-up equity share capital.
Shares gained as much as 9.8% to Rs 40 and were up for the second straight day.
Earnings Reaction: IDBI Bank
The LIC-backed lender returned to profitability aided by a write-back of provisions in the quarter ending March.
Provisions worth Rs 1,511 crore were written back this quarter, which aided the Rs 135 crore net profit figure.
Provisions were down compared to the previous year, falling 81% to Rs 1,584 crore while asset quality was improved. Gross NPA stood at 27.53% from 29.72% in the previous quarter while Net NPA fell to 4.19% from 5.25% sequentially.
66% of the retail loans of the bank were under moratorium, MD & CEO Rakesh Sharma said in a media interaction.
Shares gained as much as 20% - the biggest single-day gain since November 2019 to Rs 24.45. The stock is up for the fourth straight day and is trading at the highest level in nearly three months. It is also the top performing stock on the Nifty Midcap Index.
May Auto Sales: Escorts
Escorts reported a total decline of 3.4% in overall sales for the month of May, the company stated in an exchange filing.
Overall sales in May stood at 6,594 units, down from 6,827 units during the same period last year.
While domestic sales were largely flat at 6,454 units, exports for the Agri Machinery company declined 59% to 140 units from 339 units last year.
Shares gained as much as 3.1% to Rs 931.35, and are up for the fourth straight day.
Aster DM Healthcare's Covid-19 Update
- Occupancy levels in GCC and India fell to 52% and 38% respectively in April.
- Observed reduction of 35% in revenue for GCC and India business in April as compared to the same month last year.
- Negative impact of the pandemic higher on clinics business as compared to hospitals business.
- Supply chain normalising post initial disruption
- Converted some facilities in Dubai to dedicated Covid-19 hospitals due to overflow of patients.
- Put most of our existing projects on hold till business normalises in order to conserve cash.
- Material costs have gone up due to higher consumption of PPE kits, sanitisers, gloves and masks.
- Continuously servicing our debt and have sufficient unutilised working capital limits to support operations.
Shares are off the day's high, after gaining as much as 2.8% to Rs 92.30.
May Auto Sales: Maruti Suzuki India
India's largest passenger car maker reported total sales of 18,539 units for the month of May.
Domestic sales for the company stood at 13,865 units, including a sale of 23 units to other OEMs.
The company also exported 4,651 units, following resumption of port operations at Mundra and Mumbai, following all guidelines put in place.
Operations have resumed at its Manesar and Gurugram facility from May 12 and May 18 respectively, the car-maker said in its exchange filing.
Shares gained as much as 3.9% to Rs 5,830 and are up for the third straight day. The stock has gained in eight out of the last 10 trading sessions.
Money Market Update
The currency opened stronger for the second straight day, tracking positive cues from the equity markets.
The rupee opened at 75.3 against the U.S. Dollar as compared to Friday's closing of 75.61.
The currency snapped a three-week losing streak on Friday, and was also the second best performing Asian currency on a weekly basis.
India will be reporting its manufacturing PMI numbers at 10:30 a.m. today.
Nifty Bank Index Is The Top Sectoral Gainer
Markets At 10:10 A.M.
- Benchmark indices trade at the day's high
- Nifty up 2.7% to 9,836
- Sensex up 2.8% to 33,326
- Nifty Bank up 4.3% to 20,120
- Nifty Midcap Index up 2.6%
- Nifty Smallcap Index up 3%
- India Volatility Index down 1.1% to 29.88
- Nifty PSU Bank and Nifty Realty gain over 4% each
- Nifty Pharma is the only sectoral laggard; down 0.3%
- Nifty Auto, Nifty Media and Nifty Metal gain over 3% each
- Bajaj Finserv is the top Nifty gainer; up 6.9%
- Dr Reddy's Laboratories is the top Nifty laggard; down 1.6%
- 47 out of the 50 Nifty constituents trade with gains
- 1,457 stocks on the NSE are trading with gains while 212 decline
Earnings Reaction: Polycab India
The wires and cables company reported a 13.5% decline in its revenue for the March quarter, although its net profit saw a growth of over 50% compared to the previous year.
Wires and cables business for the company declined 11% while the FMEG business saw a de-growth of 6% from the previous year.
Our financial stability, in-house backward integration, wide distribution channels and quality human capital, positions us well to deal with any challenge.Inder Jaisinghani, CMD, Polycab India
Shares are locked in an upper circuit of 5% at Rs 713.35. The stock is up for the fifth straight day, its longest winning streak in four months.
F&O Snapshot: Active Options Contracts
- Nifty June futures add 7.8% and 7.76 lakh shares in Open Interest.
- Nifty Bank June futures add 17.4% and 2.61 lakh shares in Open Interest.
Nifty: June 4 Expiry
- 9,800 Call: Premium up 302% to Rs 104.3. The contract has added 5.32 lakh shares in Open Interest.
- 10,000 Call: Premium up 485% to Rs 41. The contract has added 6 lakh shares in Open Interest.
- 9,500 Put: Premium falls 75.7% to Rs 33.25. The contract has added 9.1 lakh shares in Open Interest.
Nifty Bank: June 4 Expiry
- 20,000 Call: Premium up 208.4% to Rs 397.7. The contract has added 2.2 lakh shares in Open Interest.
- 21,000 Call: Premium up 341.5% to Rs 107.3. The contract has added 3.43 lakh shares in Open Interest.
- 20,500 Call: Premium up 275% to Rs 211.2. The contract has added 2.1 lakh shares in Open Interest.
Second Month Of Contraction
India's economy contracted for the second straight month as per the IHS Markit's Purchasing Managers' Index (PMI).
PMI for the Month of May stood at 30.8, as compared to 27.4 in April. A reading below 50 indicates contraction in the economy.
New orders have risen as compared to April, while output index has risen to 19.6 from 11.1 in April, according to IHS Markit.
Large Trades Alert
- Bharti Infratel: 15.5 lakh shares of the telecom tower company exchanged hands in a single large trade. The trade took place at Rs 233.4 per share.
- Power Grid: 30 lakh shares of the company exchanged hands in two large trades on the National Stock Exchange. The first trade saw 20.11 lakh shares changing hands while 10.52 lakh shares exchanged hands in the second trade. The trades took place at Rs 159.25 and Rs 159.50 respectively.
- Coal India: 10.1 lakh shares of the state-run miner exchanged hands in a single large trade at Rs 142.45 per share.
Buyers and sellers in all the trades remain unknown, according to Bloomberg data.
Shares of Coal India and Bharti Infratel are up for the seventh straight day while those of Power Grid are advancing for the third day.
Earnings Reaction: NCC
The construction company reported a 35.6% decline in its revenue for the March quarter while net profit fell 36.7%. Ebitda margins however expanded to 12.9% from 11.7%, despite the 29.5% decline in the company's Ebitda.
The company has mentioned that it has an order book of Rs 25,000 crore. It has also warned of revenue and profitability to be lower in the first quarter of FY21.
The board has recommended a dividend of 20 paisa per share. Brokerage firm IDFC Securities has maintained its outperform rating on the stock with a price target of Rs 41.
Shares gained as much as 20% to Rs 27.50 - the biggest single-day gain for the stock since February 2015.
How Are The Sectoral Indices Faring
Earnings Reaction: CreditAccess Grameen
The consumer finance services company reported a 68% growth in its Assets Under Management for the period ending March. Net Interest Income too saw a growth of 52%.
Net profit fell 60% to Rs 31 crore while Asset quality saw a deterioration on a sequential basis. Gross NPA for the period stood at 1.6% from 0.9% in the December quarter. The company mad additional provisions of Rs 82.9 crore on account of the Covid-19 impact.
The company in its press release said that over 70% of its borrowers are sure of not wanting further moratorium on repayment of loans while 20% need a few more weeks to begin transactions.
Shares are locked in a 5% upper circuit at Rs 408.60 and are up for the third straight day.
Stock Update: Piramal Enterprises
- Top performer on the Nifty Pharma Index
- Gains as much as 11.7% to Rs 1,081
- Biggest single-day gain in two months
- Trades at the highest level in nearly three months
- Rising for the fourth straight day
- Has gained in eight out of the last 10 trading sessions
- Up 20% in the last 10 trading sessions
- Today's volumes are 1.6 times higher than its 30-day average
- Has gained 75% from its 52-week low of Rs 607 on March 24, 2020
- All 3 analysts tracking the stock have a buy recommendation
- Return potential of the stock as per Bloomberg data is 2.7%
Cupid's Covid-19 Update
- Operations impacted for a period of one month.
- Availability of labour is hampered.
- Revenue and profitability will be adversely impacted in Q1FY21.
- Expect the situation to normalise by Q2FY21.
- No liquidity concerns as of now and capital and banking facilities remain intact.
- Witnessing delay in receivables.
- Hopeful of demand of products not being affected materially.
- Difficult to ascertain impact on business due to non-fulfillment of obligations by any party in the future.
Shares are off the day's high, trading 2.3% higher at Rs 168.85, after gaining as much as 4%.
Earnings Reaction: Jubilant Lifesciences
The company returned to profitability in the March quarter, reporting a net profit of Rs 260.5 crore. The same period last year saw the company report a net loss of Rs 99.3 crore. The base quarter had an exceptional loss of Rs 235 crore.
Ebitda rose 49.9% while margins grew to 22.4% from 15% in the year-ago period, aided by lower raw material cost and other expenses.
Revenue for the pharma segment rose 6% while that of the life sciences ingredients segment fell 10% from last year.
Shares are locked in a 5% upper circuit at Rs 464.3 and are up for the third straight day.
Nifty Pharma Index Underperforms
Markets At Noon
- Benchmark indices surge to the day's high
- Nifty up 3.1% at 9,878 - the highest in nearly 3 months
- Sensex up 3.2% or 1,040 points at 33,469
- Nifty Bank up 4% at 20,073
- Nifty Midcap Index up 3%
- Nifty Smallcap Index up 3.6%
- India Volatility Index up 1.8% to 30.75
- Nifty Pharma Index pares losses; trades little changed
- Nifty Media (Up 4.9%), Nifty Metal (Up 4.1%), Nifty Realty (Up 4.6%) and Nifty PSU Bank (Up 4.4%) among top sectoral gainers
- Bajaj Finance is the top Nifty gainer; up 9.4%
- Dr Reddy's Laboratories remains the top Nifty laggard; down 2%
- 45 out of the 50 Nifty constituents are advancing
- 1,505 stocks on the NSE trade with gains while 236 decline
Stock Update: Shriram Transport Finance
The commercial finance lender has informed the exchanges that it will consider raising of funds through various options of borrowings.
The methods will also include issue of debt securities in onshore/offshore markets through a public issue, or private placement and commercial papers.
The company will hold its board meeting on June 30, where it will consider the said proposal.
Shares gained as much as 4.8% to Rs 599.7 and are up for the fourth straight day.
Earnings Reaction: Amber Enterprises
The heating and ventilation equipment manufacturer reported a 5% decline in its profits as compared to the previous year.
Ebitda fell 10.6% while margins contracted to 7.7% from 9.5% during the same period last year.
The company reported an increase in its RoCE to 18.5% from 14.5% during the quarter, despite weak demand seen post the Covid-19 lockdown, the press release stated.
Shares gained as much as 6.4% to Rs 1,326 and are up for the third straight day. The stock has gained in 8 out of the last 10 trading sessions.
Nifty Trades At Nearly Three Month High
Stock Update: VIP Industries
- Gains as much as 8.8% to Rs 236.8
- Biggest single-day gain since July 2018
- Trades at the highest level in over a month
- Up for the third straight day
- Has gained 15% in the last three trading sessions
- Breaks above its 50-Day Moving Average of 229 on high volumes
- Today's volumes are 3.5 times higher than its 30-day average
- 7 out of the 9 analysts tracking the stock have a buy recommendation; 0 sell calls
- Return potential for the stock as per Bloomberg data is 31%
Positive Open In Europe
European markets opened the new trading week and month with gains, after posting their second successive weekly advance on Friday.
Global equities are witnessing some relief buying after the U.S. stopped short of issuing sanctions on China over the Hong Kong issue.
The Stoxx 600 index opened 1% higher led by miners and banks. Healthcare stocks are underperforming.
Asian markets have ended with gains while futures on the Dow Jones are trading higher by 115 points.
Brent Crude for the August contract fell 0.3% to $37.73 per barrel while gold was 0.7% higher at $1,742.77/Oz.
Lets take a look at how benchmark indices across Europe have opened:
- Euro Stoxx 50 up 1% to 3,081
- CAC up 1.6% at 4,771
- FTSE 100 up 1.5% at 6,169
- IBEX 35 up 1.8% at 7,222
Earnings Reaction: KEI Industries
The wires and cables company reported revenue that remained flat for the quarter ending March at Rs 1,258 crore. Ebitda saw a decline of 10% while margins narrowed to 9.7% from 10.8% during the same period last year.
The company reported a volume growth of 18% in the cables division as compared to last year, the press release said.
Shares are locked in an upper circuit of 5% at Rs 293.05 and are up for the second straight day.
May Auto Sales: Mahindra & Mahindra
- Overall sales in May down 79% to 9,560 units
- Total domestic sales down 79% to 9,076 units
- Total exports down 80% to 484 units
- Passenger Vehicle sales down 81% to 3,867 units
- Utility Vehicle sales down 81% to 3,745 units
- Total farm equipment sales flat at 24,704 units
- Domestic farm equipment sales up 2% to 23,539 units
- Exports of farm equipment down 72% to 324 units
Shares gained as much as 7.5% post the announcement to Rs 468.95 and is the second best performing stock on the Nifty Auto index.
Earnings Reaction: Amara Raja Batteries
The battery-maker reported a 15.3% growth in its net profit for the period ending March while revenue and Ebitda remained flat during the quarter, as did Ebitda margins which stood at 15.42%.
Brokerage firm Morgan Stanley has maintained its overweight rating on the stock with a price target of Rs 779. It expects the company's earnings to be more resilient as compared to those of OEMs in FY21.
The company mentioned in its press release that the high seasonal demand for inverter batteries faced a severe impact due to lockdown restrictions in March.
It also said that it is too early to monitor the impact caused from the pandemic on the full year business.
Shares gained as much as 6.4% to Rs 653.9 and are up for the fifth straight day. This is the longest winning streak for the stock since November 2019.
Bharat Wire Ropes' Covid-19 Update
- Resumed limited operations at its manufacturing units.
- In touch with customers across all markets and receiving orders.
- Do not foresee any difficulty in realisation of recoverables.
- Providing liquidity to vendors by making on-time payments.
- In the process of assessing the impact on profitability, liquidity position and demand for services.
Shares are trading flat at Rs 17 on the National Stock Exchange, after gaining for three successive sessions until close on Friday.
State-Run Lenders Among Top Gainers
Money Market Update
The rupee pared all the gains made in the session to end little changed on Monday, despite sentiment remaining buoyant in the equity markets.
The rupee ended at 75.54 against the U.S. Dollar as compared to Friday's closing of 75.61. It had made an intra-day high of 75.28, before giving up gains.
The flat close meant that the rupee underperformed most of its Emerging Market peers, only ending stronger than the Chinese Renminbi, the Indonesian Rupiah, the Hong Kong Dollar and the Offshore Chinese Renminbi.
Yield on the 10-year government bond ended at 5.775% as compared to the opening level of 5.762%.
Markets At 2:10 P.M.
- Benchmarks off day's high but hold on to gains
- Nifty up 2.5% at 9,820
- Sensex up 2.7% at 33,297
- Nifty Bank up 2.9% at 19,848
- Nifty Midcap Index up 2.6%
- Nifty Smallcap Index up 3%
- India Volatility Index up 2.2% to 30.89
- Nifty Pharma extends losses; down 0.8%
- Nifty PSU Bank is the top sectoral gainer; up 4.4%
- Nifty Auto, Nifty Realty, Nifty Media and Nifty Metal gain 3.5% each
- Bajaj Finance remains the top Nifty gainer; up 9%
- Dr Reddy's Laboratories remains the top Nifty laggard; down 3%
- 1,502 stocks on the NSE trade with gains while 288 decline
Stock Update: M&M Financial
The company informed the exchanges that it has considered and approved a fund raising for an amount not exceeding Rs 3,500 crore.
The fund raise will done via a rights issue, the date for which will be notified later.
Shares are off the day's high, after gaining as much as 10.2% to Rs 153.95 and are up for the second straight day.
Stock Update: Endurance Technologies
- Gains as much as 9.3% to Rs 794
- Biggest single-day gain since September 2019
- Up for the eighth straight day
- Longest winning streak since February 2019
- Trades at the highest level in nearly three months
- Has gained 27.2% in the last eight trading sessions
- Today's volumes are 1 times higher than its 30-day average
- Stock trading in overbought territory with Relative Strength Index (RSI) at 75
- Has gained nearly 40% from its 52-week low of Rs 562 on April 22, 2020
- 8 out of the 12 analysts tracking the stock have a buy recommendation; 3 sell calls
- Return potential for the stock as per Bloomberg data is 8%
IMD's Second Monsoon Forecast
- Retain forecast for normal monsoon this year
- Conditions becoming favourable for good rains
- Expect monsoon rains to be 102% of the Long-Period Average (LPA)
- Expect monsoon in North-West India to be 107% of LPA
- Expect monsoon in Central India to be 103% of LPA
- Expect monsoon in Southern Peninsula to be 102% of LPA
- Expect monsoon in the North-east to be 96% of LPA
- Rains in July likely to be 103% of LPA and August to be 97% of LPA
IMDs Rainfall Probabilities:
- Deficient rains: 5%
- Below Normal rains: 15%
- Normal Rains: 41%
- Above Normal Rains: 25%
- Excess Rains: 14%
Stock Update: Granules India
The company has informed the exchanges that the proposed Rs 250 crore share buyback will open on June 8 and close on June 19.
The company intends to buyback shares worth Rs 250 crore at a price of Rs 200 per share.
The buyback size is 16.83% of the fully paid-up equity share capital of the company.
Shares are trading 0.5% higher at Rs 172.2, on the National Stock Exchange.
Stock Reaction: SRF
The company in its Covid-19 update on Friday had informed the exchanges that its chemicals and packaging films business have restarted operations.
It also said that exports have remained robust other than logistical issues. The domestic focused technical textiles business has been adversely impacted, the company said.
However, it expects a demand revival for most of its B2B sales as the lockdown eases further.
Shares gained as much as 7.1% to Rs 3,734 and are up for the second straight day.
Stock Update: Ajanta Pharma
- Worst performer on the Nifty Midcap index
- Falls as much as 5% to Rs 1,448
- Snaps two-day losing streak
- Today's volumes are 1.6 times higher than its 30-day average
- 10 out of the 13 analysts tracking the stock have a buy recommendation; 0 sell calls
- Return potential for the stock as per Bloomberg data is 9.8%
India Starts Real-Time Power Trade
The Indian Energy Exchange started real-time electricity trading starting today i a bid to allow buyers greater flexibility in balancing supply and demand.
Auctions will be conducted every 30 minutes and deliveries will be made within an hour of the session ending, Indian Energy Exchange said in a statement.
Shares of IEX are trading 5.6% higher on the NSE.
Closing Bell: Strong Finish
Indian equities managed to hold on to the momentum from early trade to register strong gains on the first trading day of the week and the month.
The IMD retaining the forecast of a normal monsoon, aided sentiment further.
European markets trade with gains while futures on the Dow Jones are little changed.
The S&P BSE Sensex ended 2.7% higher, marginally off the highest point of the day at 33,303 while the NSE Nifty 50 index too ended with gains of 2.6% at 9,826. 40 out of the 50 Nifty constituents ended with gains.
All sectoral indices ended with gains, including the Nifty Pharma index, which pared losses to end 0.4% higher.
The Nifty PSU Bank index was the top performer of the day, ending 7.5% higher while the Nifty Bank, Auto, Media, Metal and Realty indices ended with gains of 3% each.
Market breadth remained in favour of the advances with 1,480 stocks ending with gains while 327 posted losses.
Aiding Gains On The Nifty
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