Sensex, Nifty Log Losses For The First Time In 2022

India's stock benchmarks snapped a four-day winning streak, dragged by losses in information technology, banking, energy and realty stocks. This is the first time the S&P BSE Sensex and NSE Nifty have closed a session with losses in 2022.

The Sensex fell 1.03% to 59,601.84. The Nifty also declined by similar magnitude to 17,745.90.

JSW Steel Ltd. had the largest drop, falling 3.0%. Today, 34 of 50 shares fell, while 15 rose.

The broader indices outperformed their larger peers with both the S&P BSE MidCap and S&P BSE SmallCap closing little changed. Thirteen of the 19 sectoral indices compiled by BSE Ltd. declined with S&P BSE Information Technology and S&P BSE Realty shedding nearly 1.5%.

The market breadth was skewed in the favour of bulls. About 2,000 stocks advanced, 1,389 stocks declined and 83 remained unchanged.

• Shares of Zee Learn Ltd. rose 20% to Rs 19.6 apiece after CNBC-TV18 reported that Byju's is looking to buy majority stake in the company.

• Talks between Byju's and Zee Learn are at an early stage, reports CNBC-TV18, citing people familiar with the matter.

• Deal could be a mix of preferential issue and sale of stake by holders.

• CNBC-TV18 did not receive a response from the companies.

Shares of sugar companies advanced with Balrampur Chini, Triveni Engineering hitting record highs.

• Industry group ISMA said that sugar production grew 4% YoY in the quarter ended December, on Monday.

• Shares of sugar companies have risen between 13-25% over the past three sessions.

Source: Bloomberg

• CG Power & Industrial Solutions Ltd. has 1.5 million shares change hands in a large trade.

• Details of the buyers and sellers are not known immediately.

Source: Bloomberg

• Capricorn Energy reiterated that it expects to pay out a special dividend in early 2022 after it receives a tax refund from India.

• Capricorn is working with Indian government to expedite the refund of approximately Rs 7,900 crore.

• Capricorn is recently renamed from Cairn Energy

Source: Bloomberg

• M&M Financial Services Ltd. rises for the ninth day; longest winning streak in 23 months.

• Inventure Growth & Securities Ltd. is higher for fifth straight day, extending the longest winning streak in nearly 13 months.

Source: Bloomberg

• Bharat Petroleum has entered into an agreement with CSIR-Indian Institute of Chemical Technology to develop a reactor to maximise methane production for compressed biogas from agricultural waste residues like wheat straw, rice straw and sugarcane.

• BPCL plans to expand its renewable energy portfolio to 1 Giga Watt by 2025.

Source: Exchange Filing

Govt. released the 10th installment of the Post Devolution Revenue Deficit Grant recommended by the 15th Finance Commission aimed at meeting the gap in Revenue Accounts of the States post devolution.

• The total PDRD Grant recommendation amounts to Rs 1,18,452 crore to 17 States in the financial year 2021-22, of which Rs 98,710 crore (83.33%) has been released so far.

Source: PIB

India's stock benchmarks declined, dragged by losses in banking, information technology and realty stocks and are poised to snap a four-day winning streak. Sentiment was sapped after the tech sell off intensified in Wall Street after Federal Reserve minutes showed that the tapering of monetary stimulus could be faster-than-expected.

The S&P BSE Sensex shed over 1.2% to 59,481.33. The NSE Nifty 50 also declined by similar magnitude to 17,713.50.

The broader indices outperformed their larger peers with the S&P BSE MidCap shedding 0.3% and S&P BSE SmallCap losing 0.1%. Barring S&P BSE Telecom, Auto and Consumer Durables, all the other 16 sectoral indices compiled by BSE Ltd. declined with S&P BSE Information Technology falling nearly 2%.

The market breadth was skewed in the favour of the bulls. About 1,780 stocks advanced, 1,537 declined and 109 remained unchanged.

Alembic Pharmaceuticals has received the final approval from U.S. FDA for its Abbreviated New Drug Application for Entacapone tablets, USP, 200 mg.

• The drug is indicated for the treatment of end-of-dose 'wearing-off' in patients with Parkinson's disease.

• The drug has an estimated market size of $10.5 million for twelve months ending September 2021, according to IQVIA.

• Alembic Pharma was one of the four stocks that advanced in the 20-stock Nifty Pharma index.

Source: Exchange Filing, Bloomberg

Shares of Panama Petrochem Ltd. rose over 12.6% in intraday to Rs 322.95 apiece. Over the last two sessions, the stock has risen over 20%.

• Ramesh Damani owned 1.26% stake in the company as on December 31, 2021.

• Damani held zero to less than 1% stake at the end of Q2, according to NSE data.

• Trading volume was nearly 21 times the 30-day average volume, for this time of the day. The relative strength index was at 78, suggesting that the stock may be overbought.

• In a clarification to the exchanges regarding the surge in volumes, the company said that the increase in volume is purely as per investors' perceptions based on information already disseminated to the exchanges.

IRB Infrastructure Developers Ltd.'s subsidiary Meerut Budaun Expressway Pvt. Ltd. has executed concession agreement with UP Expressways Industrial Development Authority.

• The agreement concerns the project of development of access controlled six lane greenfield 'Ganga Expressway', in Uttar Pradesh.

• The project cost is Rs 6,555 crore.

Source: Exchange Filing

• Swamy had moved court arguing that the disinvestment process was opaque and lacked transparency.

• The bench today dismissed the petition filed by Subramanian Swamy.

• The order was passed by the bench headed by Chief Justice DN Patel and Justice Jyoti Singh.

Emami Ltd. saw 1.33 million shares change hands in a large trade.

Source: Bloomberg

Yields rose across the India sovereign yield curve in Thursday morning trading.

• The 3-year yield rose 1.9bps to 5.328%

• The 10-year yield rose 3.3bps to 6.541%

• The 14-year yield rose 3.3bps to 7.01%

• The 3-year-10-year yield spread was 121.3bps, vs previous close 119.9bps

• The NSE Nifty 50 Index fell 1.3%.

Source: Bloomberg

India's stock benchmarks opened lower, dragged by information technology stocks, as sentiment was sapped after the tech sell-off in Wall Street intensified following the Federal Reserve minutes which signalled at 'more-than-expected' aggressive rate hikes.

The S&P BSE Sensex fell nearly 1% to 59,638.97. The NSE Nifty 50 also declined by similar magnitude to 17,743.45.

The broader indices outperformed their larger peers with both the S&P BSE MidCap and S&P BSE SmallCap shedding 0.7%. Barring S&P BSE Healthcare and S&P BSE Telecom, all the other sectoral indices compiled by BSE Ltd. declined with S&P BSE Information Technology and S&P BSE Finance falling over 1.25%.

The market breadth was skewed in the favour of bears. About 926 stocks advanced, 1,696 declined and 74 remained unchanged.

India’s rupee and government bonds could join a selloff in regional peers after minutes of the Federal Reserve meeting pointed to an aggressive tightening path.

• USD/INR falls 0.3% to 74.36 on Wednesday.

• 10-year yields fell 1bp to 6.51% on Wednesday

• Global funds bought a net Rs 337 crore of Indian stocks Wednesday: NSE

• They purchased Rs 70 crore of sovereign bonds under limits available to foreign investors, and withdrew Rs 50 crore of corporate debt

• State-run banks sold Rs 675 crore of sovereign bonds on Jan. 5: CCIL data. Foreign banks bought Rs 142 crore of bonds.

Source: Bloomberg

• Rossari Biotech: YES Research initiated coverage of the stock with a 'buy' recommendation; price target set at Rs 1,595

• SRF: YES Research initiated coverage of the stock with a 'buy' recommendation; price target set at Rs 2,955.

• Deepak Nitrite: YES Research initiated coverage of the stock with a 'reduce' recommendation; price target set at Rs 2,100.

• Aarti Industries: YES Research initiated coverage of the stock with a 'buy' recommendation; price target set at Rs 1,345

Source: Bloomberg

• Acute Ratings & Research has reaffirmed rating and outlook to long-term borrowing program of Edelweiss Financial Services Ltd.

• The rating on the NCD instrument of amount Rs 1,900 crore has been reaffirmed as ACUTE AA with a negative outlook.

Source: Exchange Filing

• V-Guard: Indsec Securities & Finance initiated coverage on the stock with a 'buy' recommendation; price target set at Rs 293.

• Welspun Corp cut to 'hold' from 'buy' at NMV Securities; price target set at Rs 215.

Source: Bloomberg

• HCL Tech: Choice Equity initiated coverage of the stock with an 'add' recommendation; price target set at Rs 1,490.

• Infosys: Choice Equity initiated coverage of the stock with 'outperform' recommendation; price target set at Rs 2,250.

• Tata Consultancy: Choice Equity initiated coverage of the stock with an 'outperform' recommendation; price target set at Rs 4,840.

• Tech Mahindra: Choice Equity initiated coverage of the stock with an 'underperform' recommendation; price target set at Rs 1,560.

• Wipro: Choice Equity initiated coverage of the stock with a 'neutral' recommendation; price target set at Rs 690.

Source: Bloomberg

• KPIT Technologies: Goldman Sachs initiates coverage on the stock with a buy rating; price target set at Rs 1,040.

• Thermax raised to 'buy' from 'underperform' at Jefferies; price target set at Rs 2,575.

Source: Bloomberg

• RBL Bank Ltd.'s gross advances rose 3.5% in Q3 to Rs 59,941 crore over the preceding quarter. Retail advances were flat while wholesale advances grew 8% sequentially. These are provisional numbers.

• Retail loans formed 53% of bank's book.

Source: Exchange Filing