Closing Bell
Indian shares hit a record high, led by gains in consumer goods stocks such as Hindustan Unilever as prospect of good monsoon raised growth optimism for Asia's third-largest economy.
The monsoon this year could be “normal” and bring 100 percent rainfall instead of 96 percent as predicted earlier, news wire PTI reported citing Indian Meteorological Department.
The S&P BSE Sensex rose 1.05 percent at 30,248, its highest ever. The NSE Nifty advanced 0.97 percent to a new record of 9,407.
Among the sectoral indices, S&P BSE FMCG index gained 1.8 percent while the S&P BSE Auto index rose 1.5 percent.
The market breadth was skewed in the favour of gainers, with about 6 stocks advancing to every 4 stocks that declined.
Correction Unlikely?
“We expect Nifty to scale 9,600 mark in the next three months and don’t see any major correction coming in for the markets. Even is a correction comes in, it would be bought in by investors in a big way,” said Dilip Bhatt, joint managing director at Prabhudas Liladhar.
Zee Entertainment Climbs As Q4 Revenue Beats Estimate
- Shares up as much as 5.3% to Rs 522, most since October 2016
- Q4 revenue Rs 1,580 crore vs estimate Rs 1,570 crore
- Q4 net income Rs 1,510 crore vs Rs 226.5 crore last year
- Declares dividend of Rs 2.50 per share
Capital First Climbs After Upbeat Q4 Profit
- Shares of the financial services firm rose as much as 2.4% to Rs 809, highest since February 2008
- Q4 net income Rs 70.8 crore vs estimate Rs 60 crore
- Declares dividend of Rs 2.60 per share
- To raise funds up to Rs 500 crore via bonds, other options
Block Deal Alert
- Bharti Airtel: 27 lakh shares change hands in a block
- Tata Power: 11 lakh shares change hands in a block
- Tata Steel: 17 lakh shares change hands in a block
*Buyers and sellers were not immediately known
Marksans Pharma Surges After UK Approval For Goa Plant
- Shares climb as much as 17.2% to Rs 56.30, most since February 2017
- Goa plant received approval from UK's Medicines & Healthcare products Regulatory Agency, the company said in a regulatory filing.
- Volume at 2.4 times its 30-day average
Europe Opens Weak
Markets Hit Fresh Record High
- Nifty +0.80% at 9,391, surpassing previous record high of 9,377
- Sensex +0.83% at 30,180; Hit a life-high of 30,197 earlier in the session
- FMCG stocks jump: Hindustan Unilever (+4.3%), Nestle India (3.8%), Britannia Industries (2.5%)
- Bharti Airtel 4.5%, most since January 2017
Hero MotoCorp Flat Ahead Of Q4 Results
- Consensus price target is 2.6% lower than the current stock price
- Stock has gained 10% year-to-date vs 13% rise for the Sensex
- Shares little changed at Rs 3,288
Market Eye
Hindustan Unilever At All-Time High
- Stock up as much 4.9% to a record high of Rs 998
- Volume at 2.5 times its 30-day average
- RSI at 74, indicating that the stock may be overbought
- Stock up 20% year-to-date vs 15% rise in the Nifty FMCG index
Fertiliser Stocks Rally As IMD Sees Normal Monsoon
- Chambal Fertilizers (+10.4%)
- Fertilisers & Chemicals (+5.3%)
- National Fertilizers (+2.9%)
- Gujarat State Fertilizers and Chemicals (+2.5%)
- Deepak Fertilisers (+1.3%)
Chart Of The Day
IDBI Bank Slumps As RBI Initiates Corrective Action
- Shares of the state-owned lender fell as much as 3.5% to Rs 79.10.
- The Reserve Bank of India initiated so-called prompt corrective action on IDBI Bank
- Such action is taken when a lender’s financial indicators weaken below a prescribed level
- Volume at 4.1 times its 30-day average
Jubilant Life Sciences Jumps After Restart Of Gajraula Operations
Shares of the pharmaceutical company climbed as much as 3.5% to Rs 799, highest since April 2017.
The National Green Tribunal allowed Jubilant to restart manufacturing operations at Gajruala units.
Volume at 2.8 times its 30-day average.
Earnings Reaction
- Alembic: (+3.2%): Q4 net income Rs 30.2 crore vs Rs 24.8 crore last year
- Astrazeneca India (-3.2%): Q4 net loss Rs 288 lakh vs profit Rs 55.7 lakh last year
- Blue Star (+0.49%): Q4 net income Rs 37.2 crore vs estimate Rs 46.7 crore
- Equitas Holdings (+0.52%): Q4 net income Rs 6.9 crore vs Rs 46.8 crore last year
- Gujarat Mineral (+9.1%): Q4 net income Rs 90 crore vs estimate Rs 82.6 crore
- Shemaroo Entertainment (-8.1%): Q4 net income Rs 13.8 crore vs estimate Rs 21 crore
Biocon Slumps After U.S. FDA Observations
Shares of the bio-pharmaceutical company plunged as much as 6% to Rs 982, lowest since January 2017.
U.S. FDA issued form 483 with 8 observations to company's Bengaluru facility. Biocon said it responded to drug regulator on all observations.
Volume at 10 times its 30-day average.
Petronet LNG Rises To Record As Q4 Profit Beats Estimate
- Shares of the oil and gas firm rose as much as 4.6% to a record high of Rs 448
- Q4 net income Rs 471 crore vs estimate Rs 398 crore
- Company approved 1 free share for every held
- Analyst consensus price target is 4.2% lower than current price
Opening Bell
Indian shares rose for a third straight session, with Petronet LNG climbing to a record high after better-than-expected quarterly results while gains in Asian equities also supported sentiment.
The S&P BSE Sensex rose 0.26 percent to 30,018, while the NSE Nifty gained 0.33 percent at 9,347.
Among the sectoral indices, S&P BSE Metal index rose 0.7 percent while S&P BSE Capital Goods index advanced 0.5 percent.
The market breadth was skewed in the favour of gainers, with about 7 stocks advancing to every 2 stocks that declined.
5 Things To Watch
Earnings Today
- Capital First
- Hero MotoCorp
- KEI Industries
- Phoenix Mills
- Zee Entertainment
Stocks To Watch
- Bharti Airtel: The country’s largest telecom operator reported a 71 percent drop in March-quarter profit.
- InterGlobe Aviation: The parent of IndiGo Airlines saw its net profit decline 24.5 percent to Rs 440.3 crore in the fourth-quarter.
- Lupin: Drugmaker received 8 observations after the inspection of Aurangabad plant.
- Petronet LNG: Profit rose 18.44 percent to Rs 470.79 crore in the quarter ended March; company to issue bonus share.
- Sterlite Power: Lowered its infrastructure investment trust IPO to Rs 2,250 crore, from Rs 2,650 crore proposed earlier.
- IDBI Bank: Reserve Bank of India has initiated so-called prompt corrective action on the lender.
- Biocon: U.S. FDA issued form 483 with 8 observations to company's Bangalore facility.
For a complete list of stocks, click HERE
Brokerage Calls
- ACC: Raised to overweight vs neutral at JP Morgan
- Bharti Infratel: Cut to hold vs buy at Jefferies
- Shoppers Stop: Cut to Hold at ICICI Direct; price target Rs 350
Market Outlook
Talking Points
- RBI bought net $3.54 billion of foreign currency in March
- NHAI debut masala bond expected to list on LSE shortly: PIB
- India raises record grain outlook, cuts sugar output estimate
- India’s energy efficiency champion eyes IPO after entering U.K.
- India court to hear hotel’s plea on highway liquor ban in July
- Goldman expects ‘subdued’ Asia equity returns in coming months
- Raw-sugar prices seen rebounding as high as 18c/lb: FCStone
- Global funds bought Rs 333 crore of local stocks; domestic funds bought Rs 16.9 crore on Tuesday: Provisional data
Also Read: Rising Costs Dent IndiGo’s Profit In Q4
Good Morning!
The Singapore traded SGX Nifty, an early indicator of Nifty’s performance in India, rose 0.2 percent to 9,370.
The yen strengthened along with gold while U.S. equity futures slid on fresh concerns over North Korea’s nuclear programme. The dollar slipped against a basket of currencies.
Pyongyang will proceed with a nuclear test, according to Sky News. The reports came even as left-leading Moon Jae-in emerged victorious in the presidential elections in South Korea.
U.S. President Donald Trump abruptly fired Federal Bureau of Investigation Director James Comey, saying the bureau needed new leadership to restore “public trust and confidence.”
Democratic Party leaders condemned the move, saying it was an effort to undermine the agency’s investigation of Russian interference in last year’s election. Comey is only the second FBI chief to have been fired.
The S&P 500 Index fell 0.1 percent Tuesday, while the CBOE Volatility Index edged higher after closing Monday at the lowest level since December 1993.
Oil extended gains after industry data showed U.S. crude stockpiles declined, easing concerns over a global supply glut.
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