A Volatile Trading Session
Indian equities ended little changed after failing to sustain at higher levels, led by a cool-off in private banks along with FMCG and Auto stocks.
The S&P BSE Sensex ended 35 points higher at 50,441 while the NSE Nifty 50 index ended with gains of 20 points at 14,956. Benchmarks managed to register gains after consecutive days of losses.
Among the sectoral indices, PSU Banks were the outperformers with the index ending with gains of 1.6%. The Nifty Media index ended 1% higher while the Metal index gained 0.8%.
Both Nifty I.T. and the Nifty Pharma index cooled off from their respective day's high to end with gains of close to 0.5%.
The Nifty Realty index was the top sectoral laggard, ending 1% lower, while the FMCG index fell 0.5%.
Broader markets ended with bigger gains as compared to the benchmark indices. The Midcap index rose 0.3% while the Smallcap index ended 0.4% higher.
The India Volatility Index fell 3.5% to end at 24.68.
How Did The Sectoral Indices Fare
Aster DM Healthcare Plans $400 Million Bond Sale
- Looking to issue about $400 million worth of securities in the next three to six months.
- Securities will mature in seven to eight years and will retire and replace existing debt.
- Looking to open at least four hospitals in India over the next four years.
Source: Bloomberg
Saregama India: Highest In Over Two Decades
- Top gainer on the BSE Smallcap index
- Locked in an upper circuit of 20% at Rs 1,471.5
- Biggest single-day gain in nine months
- Trading at the highest level since March 2000
- Up for the seventh straight day
- Has gained 41% over the last seven trading sessions
- Today's volumes are 16 times its 20-day average
- Stock in overbought territory with Relative Strength Index (RSI) at 87
BloombergQuint Exclusive
Talbros Altumotive Components Wins Orders
- Company along with its JV partners has won multi-year orders worth nearly Rs 304 crore.
- Orders are spread across its domestic and international customers.
- Orders will be implemented over a period of five years and a major chunk of it will be distributed between 2023-2025
- Will be required to undertake a capex of approximately Rs 20 crore, which along with the existing facilities will be sufficient to execute these orders.
- Shares gained as much as 10.4% to Rs 246.7 - the highest since September 2018. The stock is up for the fourth straight day.
Benchmark Indices Pare Gains
- Nifty up 0.2% at 14,964
- Sensex up 50 points at 50,455
- Nifty Bank unchanged at 35,225
- Nifty Midcap index up 0.4%
- Nifty Smallcap index up 0.7%
- India Volatility Index down 2.2% to 25
- PSU Bank index remains the top sectoral gainer; up 1.6%
- Nifty Media is the other major sectoral gainer; up 1.4%
- Nifty I.T. and Nifty Pharma indices gain 0.8% each
- Nifty Realty is the top sectoral laggard; down 0.8%
- UPL is the top Nifty gainer; up 5.5%
- Bajaj Finance remains the top Nifty laggard; down 2.2%
- 1,421 stocks on the NSE decline while 533 are trading with gains
SBI Cards To Raise Funds
- To hold board meeting on March 12, 2021 to consider and approve raising funds.
- Fund raising to be done through issue of Non-Convertible Debentures (NCDs) aggregating to Rs 2,000 crore.
- Fund raising can be done in one or more tranches over a period of time.
Bank Balance Sheets Yet To Factor In Pandemic Pain, Says Fitch
Improvement in asset quality and profitability of Indian Banks is set to reverse as measures announced during the pandemic are unwound, according to Fitch Ratings.
"The disproportionate shock to India's informal economy and small businesses, coupled with high unemployment and declining private consumption, have yet to fully manifest on the bank balance sheets," Fitch Ratings said in its note.
Fitch Analysts Prakash Pandey and Saswata Guha wrote in the note that private banks are better poised to tap growth opportunities in 2021.
The note further stated that the strategy of PSU Banks to either not lend or to lend only to capital-efficient sectors is likely to continue as low market valuations leave these lenders with limited scope to access fresh equity on their own.
Media Index Among Top Sectoral Gainers
Marico Forays Into The Noodle Business
IRB Infra At Seven-Month High
- Second best performer on the Nifty Smallcap index
- Gains as much as 16.3% to Rs 131.8
- Biggest single-day gain since December 2008
- Trades at the highest since August 2020
- Today's volumes are almost 18 times its 20-day average
- One-month implied volatility is 88%
- Stock in overbought territory with Relative Strength Index (RSI) at 78
- 10 out of the 12 analysts who track the stock have a buy recommendation
- Return potential of the stock as per Bloomberg data is 21.5%
JPMorgan Raises Estimates On ONGC
Benchmark Indices Off The Day's High But Hold Gains
- Nifty up 0.5% at 15,021
- Sensex up 0.5% at 50,642
- Nifty Bank up 0.3% at 35,328
- Nifty Midcap index up 0.8%
- Nifty Smallcap index up 1%
- India Volatility Index down 3.6% to 24.65
- PSU Bank index and Media index are the top sectoral gainers; up 2.2% each
- Metal index gains 1.4% while Nifty I.T. and Nifty Pharma are up 1% each
- GAIL remains the top Nifty gainer; up 5.5%
- 36 out of the 50 index constituents advance
- Bajaj Finance is the top Nifty laggard; down 1.4%
- 1,258 stocks on the NSE trade with gains while 584 are declining
Vivimed Laboratories Gets Approval For Two Products
- Approval for Bilastin tablet which is a second-generation antihistamine used in the treatment of allergic Rhino Conjunctivitis and Urticaria.
- Approval for Orzole combi used in the treatment of bacterial & parasitic infections. It is also used in the treatment of gastrointestinal infections such as acute diarrhoea or dysentery.
- Products will be launched this year.
BEML Gains The Most In Nearly A Year
- Top gainer on the Nifty Smallcap index
- Gains as much as 18.8% to Rs 1,401.8
- Biggest single-day gain since April 2020
- Trading at the highest level in three years
- Today's volumes are seven times its 20-day average
- One-month implied volatility is 59%
- Stock in overbought territory with Relative Strength Index (RSI) at 81.5
- Four out of the five analysts tracking the stock have a buy recommendation
- The stock trades 14% higher than its 12-month Bloomberg consensus price target of Rs 1,192.5
Warburg Pincus To Invest In Adani Ports
All Stocks On The PSU Bank Index Gain
Aarti Drugs Gets Nod Under PLI Scheme
Benchmark Indices Gain After Two-Day Fall
- Nifty up 1.1% at 15,101
- Sensex up 1.1% at 50,956
- Nifty Bank up 1.6% at 35,796
- Nifty Midcap index up 1.4%
- Nifty Smallcap index up 1.4%
- India Volatility Index down 4.1% to 24.52
- PSU Bank index is the top sectoral gainer; up 3.2%
- Nifty Metal is the other sectoral gainer; up 2%
- Nifty Media index gains 1.6% while I.T. index is up 1.2%
- GAIL is the top Nifty gainer; up 6.2%
- Bajaj Auto is the top Nifty laggard; down 1.9%
- 1,405 stocks on the NSE trade with gains while 357 are declining
New IPO Opens For Subscription
Also Read: Easy Trip Planners IPO: All You Need To Know
A Sedate Start
Indian equities have begun the new trading week with gains even as the gains were modest compared to those suggested by futures early this morning. Asian equities have cooled of from their respective day's high as bond yields continue to rise.
The S&P BSE Sensex opened 0.5% higher at 50,654 while the NSE Nifty 50 index opened 0.4% higher at 15,002. Both Sensex and Nifty reported gains for the week on Friday after two straight weekly losses.
Among the sectoral indices, the PSU Bank index has opened with gains of 2% while the Media and Metal indices have gained over 1% each.
The Nifty Bank index opened with gains of over 200 points or 0.7% while the Auto index too gained a similar quantum.
Broader markets have opened higher as compared to the benchmarks this morning. The Nifty Midcap and Nifty Smallcap have both opened with gains of 0.9% each.
Current Market Update
A Gap-Up Opening Likely
Good Morning!
Indian equities posted gains last week even as rising bond yields made investors book profits at higher levels.
Foreign investors also chose to book profits, turning net sellers in the first week of March. FPIs pulled out more than Rs 5,000 crore from Indian equities over the last week.
Yields on the 10-year treasuries in the U.S. have climbed back to the 1.6% mark. Yet, futures are pointing towards a positive start to the new trading week. The Singapore-traded SGX Nifty, an early indicator of the Nifty 50 Index’s performance in India, rose 0.9% to 15,092 as of 7:45 a.m. on Monday.
Asian equities are rallying after U.S. President Joe Biden's pandemic relief package worth $1.9 trillion received Senate approval. Japanese equities are outperforming, and those in China and Hong Kong are trading with gains.
Oil prices rose to their highest since May 2019 after Saudi Arabia said the world's largest crude terminal was attacked. West Texas Intermediate crude rose 2.4% to $67.68 per barrel, while Brent crude rose 2.5% to $71.1 per barrel.
Short on time? Well, then listen to this podcast for a quick summary of All You Need To Know before the opening bell.
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