Nifty Posts Best Gain In Six Weeks; Cement Makers Jump

Indian shares rose almost a percent on Monday, boosted by better-than-expected quarterly results of cement makers UltraTech and ACC while improved global risk appetite following French election outcome also supported sentiment.

The S&P BSE Sensex rose 0.99 percent to 29,655, the biggest gain since March 14. The NSE Nifty climbed 1.1 percent to 9,217.

The market breadth was in the favour of advancers, with about 5 stocks gaining to every 4 stocks that declined.

Among the sectoral indices, S&P BSE Realty and S&P BSE Capital Goods indexes advanced 3 percent and 1.7 percent, respectively.

Reliance Jio Infocomm Ltd., the telecom unit of Reliance Industries Ltd., saw its losses widen during the second half of 2017. Net loss during the second half of the year was at Rs 22.5 crore compared to a loss of 7.46 crore during the corresponding six-month period last year.

Total income during the period stood at Rs 54 lakh against Rs 2.25 crore in the year-on-year period.

Shares of Reliance Industries gave up its gains to trade negative before recovering to trade 1.3 percent higher at Rs 1,421. Reliance Industries will post its earnings for the January-March quarter post market hours today.

Shares of India’s largest cement maker gained as much as 5.8 percent after its fourth quarter earnings beat street estimates.

Net profit of company stood at Rs 688 crore for the quarter-ended March, compared to Rs 665 crore estimated by analysts in a Bloomberg poll

Sales came in at Rs 7,740 crore for the quarter in focus, compared to the estimated Rs 6,480 crore. Total costs for the quarter was Rs 6,710 crore.

• Stock +4.5% to Rs 225, most since November 2016
• Net income Rs 114 crore vs estimate Rs 111 crore
• Revenue Rs 961 crore vs estimate Rs 942 crore

Real estate stocks have been on a tear this year. Here's why

• Housing Development & Infrastructure Ltd: Up as much as 5.4% to Rs 96.80, highest since September 2016
• Indiabulls Real Estate: Up as much as 14.2% to Rs 163.30, highest since November 2010

Shares of the contract manufacturer for toothpaste makers such as Colgate-Palmolive (India) Ltd, Dabur India Ltd and Hindustan Unilever Ltd (HUL), gained as much as 11.8 percent after it settled its disputes with various group companies of Procter and Gamble companies in India.

The company settled “positively” disputes in various courts with mutual consent, according to its statement on exchanges. It said the settlement clears contingent liabilities of Rs 206 crore from its balance sheets.

“JHS management further expects that the new expansion plan underway shall also be operational by June 2017, and shall positively add to growth of the company in coming years,” the filing said.

Shares of healthcare services provider gained as much as 4.7 percent to Rs 213.65.

Private equity firm General Atlantic has shown interest in buying a controlling stake in the company, Mint reported citing two unidentified people aware of the development.

Volume at 3.4 times its 30-day average.

The rupee recovered by 12 paise to 64.49 against the U.S. dollar on increased selling of the American currency by exporters and banks amid a higher opening in the domestic equity market.

Besides, the dollar's weakness against some currencies overseas, fresh selling of the American currency by exporters as well as banks supported the rupee, forex dealers said.

Further, a higher opening in the domestic equity market influenced the rupee uptrend, they added.

On Friday, the rupee had slipped by 5 paise to 64.61 a dollar due to demand uptick for the American currency and persistent capital outflows.

(PTI)

Shares of automotive lighting firm rose as much as 7.3 percent to Rs 1,445, most since February 27.

Lumax won an order for supplying headlamps for Maruti Suzuki’s Swift, the company said in a regulatory filing.

Volume at 57.5 times its 30-day average.

Shares of cement maker rose as much as 3 percent to Rs 1,540, highest since October 26.

ACC reported net income of Rs 211 crore for the quarter ended March 31 compared with an estimate of Rs 166 crore.

Cement sales volume for the quarter rose 3.77 percent to 6.60 million tonnes, it said in a regulatory filing.

Other cement stocks also gain: Ambuja Cements (+2.3%), UltraTech Cement (+3.2%)

• Mahindra Lifespace: (-1.4%): Q4 net income down 64%
• Tata Metaliks (+1%): Q4 net income up 5.3%
• Tinplate Company of India (+4.4%): Q4 net profit up 75%

Shares of pharmaceutical research firm fell as much as 3.9 percent to Rs 606, lowest since December 2013.

The U.S. Food & Drug Administration issued warning letter for Vishakhapatnam unit-II, the company said in a regulatory filing.

Stock trades at an unusually high 34 percent discount versus peers; Bloomberg data.

Indian shares opened marginally higher on Monday, led by gains in realty stocks while improved global risk appetite also supported investor sentiment.

The S&P BSE Sensex rose 0.17 percent to 29,419, while the NSE Nifty edged up 0.16 percent at 9,135. The market breadth was skewed in the favour of gainers, with about 8 stocks advancing to every 2 stocks that declined.

Among the sectoral indices, S&P BSE Realty and S&P BSE Oil & Gas indexes advanced 1.1 percent and 0.5 percent, respectively. Technology stocks dragged, with the S&P BSE Tech index down 0.44 percent.

• Dilip Buildcon: New buy at Nomura; target price Rs 587
• Ashok Leyland: Raised to neutral from underperform at Credit Suisse; price target Rs 81
• HDFC Bank: New add at Equirus Securities; price target Rs 1,645
• Hindustan Zinz: Raised to hold from reduce at Reliance Securities

• Indiabulls Ventures: Board approved preferential offer and issue of Rs 4.73 crore equity shares to Singapore-based Tamarind Capital Pte Ltd.
• Divi's Laboratories: U.S. FDA issued warning letter to
• the company's Unit-II at Visakhapatnam.
• Dr. Reddy's Laboratories: Launched Progesterone capsules in the U.S.
• Wockhardt: Board meeting on May 4 to consider fund raising options.
• GE Shipping: Board to meet on May 5 to consider issue of NCDs up to Rs 1,000 crore.
• IMP Powers: Won orders worth Rs 62 crore from Tamil Nadu Transmission.
• Shriram City Union Finance: Board meeting on May 2 to consider issue of NCDs.
• Advanced Enzymes: Approved investment in Advanced biodiesel worth Rs 3.75 crore.
• Trident: Board meeting on May 9 to consider issue of NCDs.

For a complete list of stocks, click HERE

• Prime Minister Narendra Modi seeks early state-level arrangement for GST rollout
• SEBI not in favor of tax incentives for market investments
• Modi push to make kitchens safer makes India no. 2 LPG importer
• India metro rail procurement to focus on locally made coaches
• India tax reform may help accelerate GDP growth above 8 percent
• India requests Indonesia to consider joining international solar group
• DHL to invest $268 million in India as national tax spurs demand
• India to unveil 3-year development strategy, action plan

Also Read: Will Reliance Industries Surprise For The Seventh Straight Quarter?

• World Bank approves $375 million loan for India’s National Waterway-1
• Forex reserves +$889.4 million to $369.9 billion in a week to April 14: RBI
• India exploring home delivery of oil products to customers
• India Gold Bond 2017 issue from April 24 to April 28
• Global funds sold Rs 978 crore of local stocks; domestic funds buy Rs 1,130 crore on April 21: Provisional data

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Sovereign bonds may remain under pressure due to higher supply and also as the central bank uses various tools -- like issuance of treasury bills under market stabilisation scheme (MSS) and reverse repo -- to remove excess cash from the banking system.

To suck out the liquidity, the RBI will later today sell Rs 25,000 crore of 323-day T-bill under MSS. The central bank on Friday evening also announced that it will auction Rs 20,000 crore of 15-day cash management bill on Tuesday.

The Indian currency on the other hand is seen gaining following its Asian peers as investors swung back into a risk-taking mode on speculation pro-growth centrist Emmanuel Macron will become France’s next president.

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The Singapore traded SGX Nifty, an early indicator of Nifty’s performance in India, rose 0.1 percent to 9,141.

Asian shares rose in early trade, along with U.S. stock futures, as investors switched to risk-taking mode on speculation that pro-growth centrist Emmanuel Macron will become France’s next president.

The euro jumped the most in a month while the yen retreated and volatility ebbed as Macron and far-right nationalist Marine Le Pen won the first round of voting. Gold dropped and 10-year Treasury yields climbed the most since March 1 on a closing basis.

A snap survey by market research company Ipsos on late Sunday, Macron would win by 62 percent to 38 percent for Le Pen. The results of the weekend vote, in which both establishment parties were eliminated, triggers a runoff on May 7 between two radically different visions of the country’s future.

Also Read: Macron, Le Pen in French Runoff as Establishment Crashes Out

Meanwhile, crude oil rose for the first time in six days as a committee of Organisation of Petroleum Exporting Countries supported extending production cuts past June.

Back home, investors will watch out for quarterly earnings from Reliance Industries Ltd., scheduled to be released post market hours.