Sensex, Nifty Halt Longest Weekly Gaining Streak In Over A Year

Indian equity benchmark halted their longest weekly gaining streak since January 2018.

The S&P BSE Sensex closed over 0.2 percent lower this week to end at 38,767.11 and the NSE Nifty 50 ended at 11,643.45 after falling nearly 0.2 percent during the period. The broader market index represented by the NSE Nifty 500 Index ended 0.11 percent lower this week.

On Friday, the 31-share index and the 50-share gauge ended 0.41 percent and 0.4 percent higher respectively, while the 500-share index ended 0.42 percent higher.

The market breadth was tilted in favour of buyers. About 939 shares advanced and 790 stocks declined on National Stock Exchange.

All the sectoral gauges compiled by NSE ended higher, led by the NSE Nifty Media Index’s 1.4 percent advance.

Galaxy Surfactants

• Stock rose as much as 4.5 percent to Rs 1,034.80.
• Trading volume was more than 19 times its 20-day average.

Rain Industries

• Stock rose as much as 19.9 percent to Rs 131.80.
• Trading volume was more than nine times its 20-day average.

Whirlpool of India

• Stock fell as much as 2.7 pecent to Rs 1,395.
• Trading volume was almost seven times its 20-day average.

TV18 Broadcast

• Stock rose as much as 10.3 percent to Rs 38.95.
• Trading volume was almost six times its 20-day average.

Indian equity benchmarks recovered from day’s low. Sensex rose nearly 100 points and Nifty traded above 11,600.

Stocks in Europe fluctuated between gains and losses on the final trading day of a week that’s lacked real direction as investors put aside concerns over the health of the global economy and international trading partnerships to focus instead on incoming financial results from some of the world’s most influential companies.

Shares of PC Jeweller rose as much as 12.3 percent to Rs 108.30, the highest in nine months.

About 17 lakh shares of the company changed hands in a single block, Bloomberg data showed. Buyers and sellers were not known immediately.

Trading volume was more than double its 20-day average, according to Bloomberg. The Relative Strength Index was above 70, indicating that the stock may be overbought.

Deep Industries Ltd. won an order from the state-run Oil & Natural Gas Corporation for worth Rs 18 crore, according to its statement on the exchanges.

Shares of the company rose as much as 4.8 percent to Rs 144 after the announcement.

About 32.8 lakh shares of ITC changed hands in a block deal on BSE, Bloomberg data showed. Buyers and sellers were not known immediately.

RITES Ltd.’s order book during the previous financial year rose 27.5 percent on a yearly basis to Rs 6,142 crore.

Shares of public sector undertaking halted a three-day rally and fell as much as 2.8 percent to Rs 249.80.

Shares of Infosys fluctuated between gains and losses ahead of its results announcement.

Here are the consensus estimates of analysts tracked by Bloomberg:

• Revenue in $ terms seen up 2.6 percent to $3,065 million.
• Revenue in rupee terms seen up 0.3 percent to Rs 21,462 crore.
• Adjusted EBIT seen down 1.3 percent to Rs 4,768 crore.
• Adjusted EBIT margin seen at 22.2 percent versus 22.5 percent.
• Reported net profit seen up 9.4 percent to Rs 3,949 crore.
• Adjusted profit seen down 1.9 percent to Rs 3949 crore.

Note: Adjustments in EBIT gains and net profit made owing to reduction in fair value of disposal group – Skava and Panaya in December quarter.

The NSE Nifty PSU Bank Index fell for the third consecutive trading session, led by the declines in Jammu & Kashmir Bank and Central Bank of India.

Indian equity benchmarks erased gains. Sensex fell over 150 points from day’s high and Nifty traded below 11,600.

• Supreme Court orders status quo to be maintained on Essar Steel sale.
• Supreme Court halts ArcelorMittal's payment to lenders for Essar Steel.

• Bharat Electronics: Abut 21.5 lakh shares changed hands in a single block.
• BHEL: About 50 lakh shares changed hands in a block deal.

Source: Bloomberg

Buyers and sellers were not known immediately.

Nifty’s 11,600 put option contract was among the most active Nifty option contracts on National Stock Exchange.

Premium on the contract fell 3.9 percent to Rs 51.60. Over 6.8 lakh shares were added to the open interest which stood at over 14.21 lakh shares.

Shares of Ruchi Soya rose as much as 9.4 percent to Rs 7.6.

About 50 lakh shares or 1.5 percent equity changed hands in single block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

Trading volume was almost nine times its 20-day average, Bloomberg data showed.

Shares of Vakrangee rose as much as 7.7 percent to Rs 71, its highest level since August 2018.

The trading volume was more than 17 times its 20-day average for this time of the day, Bloomberg data showed. The stock rose 32.4 percent in the last seven trading sessions.

Shares of SpiceJet extended gains for the second consecutive trading session and rose as much as 9.4 percent to Rs 110.80. The stock advanced nearly 10 percent in yesterday’s trade, its biggest jump since March 20.

The Directorate General of Civil Aviation is de-registering aircrafts of Jet Airways which have been grounded by its lessors, making these planes available to other airlines, an official from DGCA told BloombergQuint on condition of anonymity. SpiceJet, he said, is looking to lease 10-12 such planes.

The company, today, said in a stock exchange filing that will induct 16 Boeing 737-800 NG aircraft on dry lease and has applied to the Directorate General of Civil Aviation for a No Objection Certificate to import the aircraft. “Subject to regulatory approvals, the aircraft would begin joining SpiceJet fleet in the next ten days,” it said.

Trading volume was almost seven times its 20-day average, Bloomberg data showed. The Relative Strength Index was above 70, indicating that the stock may be overbought.

Shares of Tata Consultancy Services Ltd. were the top performer on Sensex and Nifty. The stock rose as much as 0.97 percent to Rs 2,039 on NSE.

The company consolidated profit during the fourth quarter is expected to decline 1.5 percent on a sequential basis to Rs 7,981 crore, according to the analysts consensus estimate tracked by Bloomberg.

Key Earnings Preview (Q4, QoQ)

• $ revenue seen up 2.1 percent to $5,362 million (BloombergQuint poll)
• Revenue seen up 1.3 percent to Rs 37,832 crore.
• EBIT seen up 1 percent at Rs 9,655 crore.
• Margin seen at 25.5 percent versus 25.6 percent.

Indian equity benchmarks opened higher, extending gains for the second consecutive trading session.

The S&P BSE Sensex rose as much as 0.28 percent to 38,715.33 and the NSE Nifty 50 rose as much as 0.21 percent to 11,621.40. The broader market index represented by the NSE Nifty 500 Index rose as much as 0.25 percent.

The market breadth was tilted in favour of buyers. About 810 stocks advanced and 589 shares declined on National Stock Exchange.

All the 11 sectoral gauges compiled by NSE advanced, led by the NSE Nifty Media Index’s 0.51 percent gains.

The Indian rupee opened lower against the U.S. dollar. The home currency depreciated as much as 0.29 percent to 69.08 against the greenback.

April Futures

• Nifty open interest down 2 percent sheds 3.5 lakh shares in open interest.
• Bank Nifty open interest down 9 percent sheds 1.6 lakh shares.
• Nifty futures premium at 72 points versus 68.6 points, closed trading at 11,668.9.
• Bank Nifty futures premium at 159 points versus 175.7 points, closed trading at 29,945.

Options

• Nifty PCR at 1.24 versus 1.32 (across all series)

Nifty Monthly Expiry

• Max open interest at 12000 Call (32.9 lakh shares) and 11,000 Put (30.5 lakh shares), 11,500 Put (26.5 lakh shares)
• open interest addition seen for 11,800 Call (3.6 lakh shares), 11,500 Put (3.3 lakh shares)

Stocks In F&O Ban

In Ban

• Dewan Housing Finance Corporation
• DLF
• IDBI
• Jet Airways
• PC Jeweller
• Reliance Power
• Wockhardt
• Dewan Housing*

Out of Ban

• Adani Power

*New in ban

CLSA on Lemon Tree

• Maintained ‘Buy’ with a price target of Rs 89.
• Acquisitions to fortify leadership position in mid-level segment.
• Management contracts business gaining scale.
• Revenue mix change to help beat industry ADR growth.

Credit Suisse on Havells India

• Downgraded to ‘Neutral’ from ‘Outperform’; cut price target to Rs 780 from Rs 800.
• Cables growth to slow down post elections.
• Lloyd will face margin and growth pressures in summer season.
• Stretched valuations and earnings estimates leave no room for upside.

Morgan Stanley on Avenue Supermarts

• Initiated ‘Underweight’ with a price target of Rs 1,120.
• Solid business, but headwinds emerging.
• Competition is rising and retail is becoming an infinite game.
• Competition means risks to SSSG, operating margins and stock valuations.
• Bull case target Rs 1,850; Bear case target Rs 700.

HSBC on Motherson Sumi

• Maintained ‘Buy’; cut price target to Rs 170 from Rs 233.
• Cut estimates by 15-30 percent on slowing car markets, currency headwinds and slower ramp-up of new plants.
• Keep faith on content growth, strong SMP margins, integration benefit and attractive acquisitions.
• March quarter is expected to be another slow quarter, but expect the current and the next financial year to be strong with free cash flows.

Maybank on Bharti Airtel

• Maintained ‘Hold’; hiked price target to Rs 340 from Rs 300.
• Structural improvements in ARPU to take time.
• Taking steps to improve leverage.
• Better placed than Vodafone Idea but still not a Buy.

• DB Corp promoter group DB Consolidated revoked pledge of 11 lakh shares on April 9.
• Max Financial Services promoter group Max Ventures Holdings revoked pledge of 3.67 lakh shares on April 9.
• Bajaj Consumer Care promoter Bajaj Resources created pledge of 86.83 lakh shares from April 2-5.
• Adani Transmission promoter group Gautam Adani revoked pledge of 2.8 crore shares on April 10.

Nifty Earnings To Watch

Infosys (Q4 Preview, QoQ)

• Revenue in $ terms seen up 2.6 percent to $3,065 million.
• Revenue in rupee terms seen up 0.3 percent to Rs 21,462 crore.
• Adjusted EBIT seen down 1.3 percent to Rs 4,768 crore.
• Adjusted EBIT margin seen at 22.2 percent versus 22.5 percent.
• Reported net profit seen up 9.4 percent to Rs 3,949 crore.
• Adjusted profit seen down 1.9 percent to Rs 3949 crore.

Note: Adjustments in EBIT gains and net profit made owing to reduction in fair value of disposal group – Skava and Panaya in December quarter.

Tata Consultancy Services (Q4 Preview, QoQ)

• $ revenue seen up 2.1 percent to $5,362 million (BloombergQuint poll)
• Revenue seen up 1.3 percent to Rs 37,832 crore.
• EBIT seen up 1 percent at Rs 9,655 crore.
• Margin seen at 25.5 percent versus 25.6 percent.
• Profit seen down 1.5 percent to Rs 7,981 crore.

Other Earnings To Watch

• GTPL Hathway
• Tata Metalik
• Tinplate Company of India

• Dewan Housing Finance: Brickwork downgraded ratings of the company across various instruments amounting to Rs 56,550 crore as ‘BWR double A Minus’ (Credit with Negative Implication)-‘Downgraded’. The rating agency said the main reason for this downgrade is on account of limited progress in building up of liquidity, selling/exiting riskier construction finance loans.
• IDBI Bank to consider approval of the proposed Employee Stock Purchase Scheme on April 16. The Bank also stated in its press release that it has reduced MCLR by five basis points to 10 basis points across various tenors with effect from April 12. One-month MCLR at 8.15 percent and one-year MCLR at 9 percent.
• Lumax Autotech signed a JV agreement with Germany’s Jopp Holding for manufacturing and sale of automotive components. Both entities will have 50 percent stake in this joint venture.
• Lumax Industries started a commercial production of PCB from its Haryana Plant with effect from April 11.
• Sterlite Technologies to consider raising funds via NCDs and equity on April 23.
• ICICI Pru Life Insurance reduced stake in Coromandel International by 2.03 percent to 3.06 percent.
• Prabhat Dairy said it completed the sale of its shareholding in its arm ‘Sunfresh Agro Industries’ to Tirumala Products.
• AGC Networks entered into agreement to acquire 100 percent stake in COPC Holdings for $5.5 million. The company says the said acquisition will be completed by April 30.
• HT Media acquired 14.18 percent stake in Next Mediaworks. On Dec. 20 the board had approved purchase of 51 percent stake in the target company.
• Narayan Hrudayalaya incorporated U.S. arm to set up business process and technology consultancy business in the U.S.
• Pasupati Acrylon said that it has commenced commercial production of second line of Cast Polypropylene Film with effect from March 26, with now the total capacity stands at 10,000 MT per annum. (Alert: Company has a market cap of Rs 164 crore)
• Jet Airways said that additional ten aircraft had been grounded due to non-payment of amounts outstanding to lessors. It also suspended its operations to East and Northeast markets from Thursday. (PTI) It also suspended long-haul international flights from India until Friday morning, spokeswoman Shefali Mehta says by phone. (Bloomberg News)

• 5:30 p.m.: India March Consumer Price Inflation YoY; Bloomberg estimates at 2.8 percent (prior 2.57 percent).
• 5:30 p.m.: India Feb. industrial production YoY; Bloomberg estimates at 2.0 percent (prior 1.7 percent).

• Brent crude traded 0.24 percent higher at $71 per barrel.
• West Texas crude added 0.3 percent to $63.76 a barrel.
• Gold held at $1,292.52 an ounce.

London Metal Exchange

• Aluminium ended lower for the second day, down 0.2 percent.
• Copper ended lower for the second day, down 0.87 percent.
• Lead ended lower for the third day, down 1.33 percent.
• Tin ended lower for the second day, down 1.32 percent.
• Zinc ended 0.28 percent lower.
• Nickel halted a three-day rally, ended 1.85 percent lower.

Asian stocks traded mixed after U.S. shares showed little direction ahead of corporate earnings and following data confirming the economy remains on solid footing. Treasuries steadied.

Japan’s Topix index retreated with equities in Hong Kong and South Korea. The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, fell 0.32 percent to 11,639 as of 8:15 a.m.

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