The Sensex and Nifty ended the session in positive territory. The Sensex closed the session at 37,882, up 51 points or 0.14 per cent higher, while the Nifty was at 11,284, up 32 points or 0.29 per cent firmer.
YES Bank shot up 9.64 per cent on the Sensex, followed by Bajaj Finance that gained over 7 per cent. HeroMotoCorp, M&M and Bajaj Auto registered gains of around 3 per cent. Vedanta lost more than 4 per cent during the session. It was followed by Reliance, Bharti Airtel, ONGC and HDFC, all of which lost more than 1 per cent.
Auto sector shares propped up the 30-share index, riding up gains of nearly 2 per cent. Banking, consumer discretionary goods and services, capital goods, healthcare and industrials were the other shares that gained over 0.5 per cent during the session.
Energy, IT, oil and gas and technology shares, on the other hand, were the major losers.
European shares inch higher on media rally after ECB disappointment
European shares inched higher on Friday, pushed up by a rally in media stocks, following a drop after the European Central Bank held out the possibility of more easing and a review of its inflation target, disappointing investors.
Europe's media sector advanced 1.6 per cent as Vivendi rose 5 per cent after stellar first-half results at its Universal Music Group raised the stakes for the sale of the French media giant's most-prized asset. Click here to read in full the European markets report.
Dollar at two-month highs before US growth data
The dollar held near two-month highs on Friday and looked set for a second straight weekly gain, as the market awaited US gross domestic product numbers for the second quarter.
The dollar's gains were also helped by widening yield differentials between US and German debt. Spread were also holding at two-month highs at 244 bps.
Investors were disappointed by lack of policy action from the European Central Bank at a policy meeting on Thursday. Their attention will now shift to a Federal Reserve meeting next week, where policymakers are expected to cut interest rates by a quarter point.
Second-quarter growth figures for the United States due later on Friday will provide a backdrop for the Fed meeting. Expectations are for a 1.8 per cent expansion in US GDP, compared with 3.1 per cent in the first quarter.
“A number below the 1.8 per cent mark should be enough to convince market participants that the Fed will ease policy more than once this year and would weigh down on the dollar,” said Konstantinos Anthis, head of research at ADSS in Abu Dhabi.
“Conversely, if the GDP report surprises to the upside - a printing between 2.0 per cent and 2.5 per cent should be regarded as sufficiently bullish - the greenback will look to extend its gains as the odds for more easing down the road will retreat.”
Against a basket of its rivals, the dollar rose 0.1 per cent at 97.88, just shy of a two-month high of 97.92 in the previous session.
The euro traded at $1.1136, a recovery from a two-month low of $1.1102 after the ECB decision on Thursday but down 0.1 per cent on the day. For the week, the single currency is down 0.7 per cent.
After the ECB meeting, President Mario Draghi indicated the bank was prepared to cut rates at its next meeting, in September, and consider other options for easing.
Government bond purchases and a revamped policy message are also likely at the next meeting, four sources close to the discussion told Reuters.
Sterling edged down to $1.2428 and was on course for a 0.6 per cent weekly loss. Cable has stabilised since Boris Johnson became Britain's new prime minister, but uncertainty remains on Britain's negotiations to leave the European Union.
Sensex, Nifty weakly positive
The Sensex and Nifty traded in weakly positive territory ahead of the close on Friday. The Sensex was quoting at 37,870, up 39 points or 0.10 per cent firmer, while the Nifty was at 11,276, up 24 points or 0.22 per cent higher.
The top gainers in the Sensex pack were YES Bank, Bajaj Finance, Hero MotoCorp, M&M and Bajaj Auto, while the laggards were Vedanta, Reliance, HDFC, Tech Mahindra and ONGC.
Oil on track for weekly gain as Iran tensions support
Oil prices rose on Friday and were on track for a weekly increase as geopolitical tensions over Iran remained unresolved, although flagging prospects for global economic growth amid the US-China trade war capped gains.
Brent crude futures were up 16 cents at $63.55 per barrel at 0834 GMT, equivalent to a weekly rise of around 1.7 per cent. They fell 6 per cent last week.
US West Texas Intermediate crude was 21 cents higher at $56.23 a barrel, a weekly gain of 1 per cent. It fell 7.5 per cent last week. Click here to read in full the global oil markets report .
Asian shares slide as ECB holds off easing, earnings mixed
Asian share prices dropped on Friday following mixed US earnings reports and after the European Central Bank disappointed those investors who had expected an immediate easing, while the euro held above two-year lows struck overnight.
MSCI's broadest index of Asia-Pacific shares outside Japan dropped 0.53 per cent, while Japan's Nikkei lost 0.58 per cent . Shanghai shares ticked down 0.16 per cent. Click here to read in full the Asian markets report .
Bajaj Auto rides up after profit increases amid demand slump
Shares of two- and three-wheeler maker Bajaj Auto Ltd climbed 5.2 per cent to Rs 2,679.95, marking the sharpest intra-day gain in 10 weeks.
Bajaj Auto's quarterly profit rose nearly 1 per cent to Rs 1,126 crore ($163.18 mln) amid a slump in demand domestically, but beat analyst estimates for a profit of Rs 1,078 crore. Click here to read in full the Bajaj Auto share price report .
YES Bank shares surge 10% on report TPG Capital, Advent to infuse capital
Shares of YES Bank rose as much as 10.1 per cent to Rs 96.5 amid a financials-led rebound on the main indexes.
TPG Capital's Indian private equity arm and Advent International Corp are among institutional investors that will infuse fresh capital into YES Bank, according to a news report.
TPG and Advent are 'most likely' to invest around $350 million each in the bank, according to the news report. Click here to read in full the YES Bank share price report .
Sensex, Nifty edge lower in the green
The Sensex and Nifty lost some of their earlier gains to trade in the green in the afternoon session on Friday. The Sensex was at 37,848, up 17 points or 0.05 per cent firmer. The Nifty was at 11,279, up 27 points or 0.24 per cent higher.
The top gainers on the Sensex were YES Bank, Bajaj Finance, Hero MotoCorp, Bajaj Auto and M&M, while the laggards were Vedanta, Reliance, Bharti Airtel, Tech Mahindra and HDFC.
The auto index rode up 2 per cent on the BSE index, while the consumer discretionary goods and services were up 1 per cent. Healthcare, banking, capital goods and finance sector shares gained between 0.50-0.90 per cent.
on the other hand, energy, IT, technology and oil and gas shares lost 0.55-1 per cent, to weigh on the 30-share index.
Nifty Call: Go long only if contract rallies above 11,330 levels with fixed stop-loss
The domestic equity indices - the Sensex and the Nifty - began the session on flat note and were trading in the red initially. The Asian markets are hovering in negative territory; the Nikkei 225 index has declined 0.45 per cent to 21,658 and the Hang Seng index has fallen 0.46 per cent to 28,462. Following an initial decline, both the Sensex and the Nifty managed to recover and entered the positive territory. The market breadth of the Nifty index is biased towards advances. On the other hand, India VIX has slumped 1.9 per cent to 12.3 levels. Apart from the Nifty IT index which has declined 0.9 per cent, all the key sectoral indices are trading in positive territory. The Nifty PSU Bank and Auto have gained more than 2 per cent in today's session. Click here to read in full the Nifty call report .
Bank of Baroda rises after quarterly profit surge
Shares of Bank of Baroda Ltd rose as much as 4.24 per cent to Rs 114.2, their biggest intra-day per cent gain in over three weeks.
The company posted a 34.4 per cent jump in June-quarter net profit as interest income surged 62.8 per cent.
Q1 was impacted by higher provisions and should progressively improve. The negatives are well priced, Jefferies said in a note; quarterly provision was up ~52 per cent.
This is the state-run lender's first results announcement after it merged Dena Bank and Vijaya Bank Ltd with itself.
Up to Thursday's close, the BoB stock had fallen 7.8 per cent this year, while peers Punjab National Bank Ltd and Canara Bank Ltd lost 15.4 per cent and 13 per cent, respectively.
Sensex, Nifty recover from early lows
The Sensex and Nifty recovered to trade in the green by mid-session on Friday. The 30-share benchmark was trading at 37,930, up 99 points or 0.26 per cent higher, while the Nifty gained 41 points or 0.37 per cent to trade at 11,293.
The top gainers on the Sensex were YES Bank, Bajaj Finance, HeroMotoCorp, Bajaj Auto and M&M, while the laggards were Vedanta, Infosys, Bharti Airtel, Tech Mahindra and TCS.
Healthcare, capital goods, banking, consumer discretionary goods, industrials, finance and metals propped up the BSE index, rising between 0.60 and 1.1 per cent, while the index was weighed down by IT, technology, oil and gas and energy sector shares.
AU Small Finance sees best session in 7 months as profit jumps
Shares of AU Small Finance Bank Ltd spurted up as much as 7 per cent to Rs 677, their biggest daily per cent gain since December 2018.
The company's Q1 profit more than doubled to Rs 190 crore ($27.5 million) against Rs 76.82 crore a year ago. Total income jumped 66 per cent. The stock has a PE of 35.69, above the sector average of 13.05.
Up to last close, the AU Small Finance stock had risen 2 per cent this year, while peer Cholamandalam Investment and Finance Company Ltd was down 1.2 per cent ($1 = 69.0340 rupees). Reuters
Oil falls after poll points to slower global growth
Oil prices fell on Friday after a Reuters poll showed global economic growth is likely to slow further amid the US-China trade war, although losses were limited by tensions in the Middle East.
Brent crude futures were down 24 cents, or 0.4%, at $63.15 a barrel by 0049 GMT. They rose 0.3% in the previous session.
US West Texas Intermediate crude was down 5 cents, or 0.1%, at $55.97 a barrel, after gaining 0.25% overnight. Click here to read in full the global crude oil markets report .
Biocon sees best day in 10 months after Q1 profit surge
Biocon Ltd jumped as much as 5.5 per cent to Rs 251.6, the biggest daily per cent gain since September 25, 2018.
The biotechnology firm posted a 72 per cent jump in June-quarter profit to Rs 206 crore ($29.83 mln), led by growth in the biologics and small molecules businesses.
The Q1 net consolidated profit exceeds analyst estimates of Rs 198 crore, according to Refinitv IBES. Click here to read in full the Biocon share price report .
Don’t wait till Aug 31 to file I-T returns, it will increase your tax liability
The deadline to file income tax return for individuals has been pushed by another month to August 31 from July 31. But this shouldn’t make you complacent and wait for the last minute to file your income tax return, especially if you were liable to pay advance tax. If you do so, you may end up paying more tax. This is how :
Usually, advance tax is to be paid in four instalments by March 31 of the year in which you earn the income, if you estimate your tax liability after reducing TDS to be over Rs 10,000 for the year. If you didn’t pay the entire amount by March 31, and it’s less than 90 per cent of the advance tax due, then you are liable to pay interest on the outstanding tax amount from April 1, 2019 till the date of payment. If you thought of delaying your tax payment because the return filing date has been extended, you will have to pay more interest on the shortfall. Click here to read in full the report on why you should not wait till Aug 31 to file your returns .
Dollar near 2-week high, euro stable as traders temper rate cut views
The dollar traded near a two-week high versus the yen as investors pared expectations for aggressive Federal Reserve interest rate cuts ahead of key US economic data due later in the day.
The euro held gains after European Central Bank (ECB) kept policy unchanged, disappointing some market participants who had bet on a possible easing. ECB President Mario Draghi also sounded more upbeat on the euro-zone economy than some investors expected, curbing speculation the bank was about to enter a prolonged easing cycle. Click here to read in full the forex report .
Jubilant Industries surges on Q1 profit
Shares of Jubilant Industries Ltd surged 20 per cent to ₹93.5, their biggest per cent gain since June 14, 2018.
At 10.30 am, the stocks of Jubilant Industries of surged 20 per cent to ₹93.60.
The agricultural chemicals maker posted consolidated profit of ₹95.5 million ($1.38 mln) against a loss of ₹9.9 million year ago.
The revenue jumped 19 per cent to ₹1.52 billion. The stock has fallen 23.4 per cent this year as of last close. ($1 = INR 69.1000)
Rupee slips 10 paise to 69.14 vs $ in early trade
The rupee opened on a cautious note and fell 10 paise to 69.14 against the US dollar in early trade on Friday amid rising crude oil prices and foreign fund outflows.
At the Interbank Foreign Exchange, the rupee opened weak at 69.12, then fell to 69.14 against the US dollar, showing a decline of 10 paise over its previous closing.
The local unit, however, pared some losses and was trading at 69.05 against the American currency at 1005 hrs. The Indian rupee on Thursday had closed at 69.04 against the US dollar. Click here to read in full the rupee report .
Asia stocks dip on mixed US earnings, euro off 2-yr low as ECB holds
Asian share prices opened a tad lower on Friday on mixed US earnings reports and the euro held above two-year lows struck overnight after the European Central Bank held interest rates steady, though officials said a cut was certain in September. Click here to read in full the Asian markets report .
With NCLT nod for ₹4,350-cr resolution plan, Patanjali gets control of Ruchi Soya
The National Company Law Tribunal’s (NCLT) Mumbai Bench has approved Baba Ramdev-led Patanjali Ayurved’s ₹4,350-crore resolution plan for debt-ridden edible oil firm Ruchi Soya, which was kept in abeyance earlier.
In its order dated July 24, the bankruptcy tribunal approved the plan, subject to certain conditions and modifications including filing of affidavits showing the source of funds and details of the Corporate Insolvency Resolution Process (CIRP) cost. These have to be submitted before the next hearing on August 1.
The tribunal is seeking clarity on source of funds of about ₹600 crore which was part of the bid amount. Click here to read in full the report on Patanjali gets control of Ruchi Soya .
SEBI may allow commodity futures delivery from sellers’ warehouses
SEBI is considering a proposal to allow commodity futures sellers to deliver goods from their own warehouses, rather than moving them to exchange-accredited warehouses.
Once implemented, the move will cut costs for commodity participants and help widen the market base by letting all warehouses hedge part of their inventory on the exchange platform. A lower delivery cost will also be a major boon. Click here to read in full the report on SEBI may allow commodity futures delivery from sellers' warehouses .
Tata Motors’ Q1 loss doubles to ₹3,680 cr due to JLR impact, slowdown in India and China
Guenter Butschek - Bijoy Ghosh
Slowing domestic sales, issues related to JLR and softness in the Chinese market have led to Tata Motors posting a consolidated net loss of ₹3,679.66 crore for the first quarter of this fiscal. This is more than double the ₹1,862.57-crore loss posted in the year-ago period.
Total revenue from operations fell 7.84 per cent year-on-year to ₹61,466.99 crore (₹66,701.05 crore). Click here to read in full the Tata Motors Q1 results report .
Sensex, Nifty slip into the red
The Sensex and Nifty fell into the red in early trading on Friday. The Sensex fell 113 points or 0.30 per cent to 37,717, while the Nifty dropped 31 points or 0.28 per cent to 11,220
The top gainers on the Sensex were M&M, Bajaj Finance, Tata Motors, YES Bank and SBI, while the laggards were Vedanta, Bharti Airtel, Reliance, Infosys and ONGC.
According to an agency report, while weak corporate earnings, foreign fund outflows and negative global cues weighed on investor sentiment, hopes of above-average rainfall in the next two weeks capped losses.
On a net basis, foreign institutional investors sold equities worth Rs 126.65 crore, while domestic institutional investors purchased shares to the tune of Rs 398.53 crore, provisional data available with stock exchanges showed on Thursday.
Elsewhere in Asia, Shanghai Composite Index, Hang Seng, Nikkei and Kospi were trading in the red in their respective early sessions. Equities on Wall Street too ended on a negative note on Thursday.
Meanwhile, the Indian rupee depreciated marginally to 69.07 against the US dollar (intra-day). The global oil benchmark Brent crude futures were trading 0.09 per cent higher at 63.45 per barrel.
Nifty, Bank Nifty witness low rollovers to August F&O series
Markets ended the July F&O series on a woeful note as both the Nifty50 and Bank Nifty index crashed. The Nifty50 index slipped below the 11,300-mark to close at 11,252 as both Q1 results of major companies (declared so far) and the Union Budget disappointed marketmen, especially foreign portfolio investors.
The Nifty50 index tumbled 4.98 per cent this series — the worst since October 2018; Nifty Bank and Nifty Midcap’s fall in July series was also the biggest in 10 months. Click here to read in full the report on low rollovers to August F&O series in Nifty, Bank Nifty .
What to Watch: Maruti, Vodafone, Vedanta results eyed
About 40 companies including Aarti Drugs, ABB, Astec LifeSciences, Bajaj Auto, Bajaj Holdings, GIC Housing Finance, JSW Steel (also for fund-raising), Jubilant Life Sciences, Kalyani Forge, Mahindra Lifespace, Mangalam Drugs, Maruti Suzuki, Polycab India, Puravankara, Supreme Petrochem, Teamlease, Tilaknagar Ind, Usha Martin, Vedanta, Vodafone Idea and VST Industries will announce their quarterly results for the period ended June 2019 on Friday.
What to Watch: Future Lifestyle’s fund-raising in focus
The board of Future Lifestyle Fashions will meet on Friday to consider fund-raising plans. The proposals include issue of equity shares through any of the following modes — private placement, preferential issue, qualified institutional placement, or a combination thereof. Shareholders would be keen to know the quantum of funds the company plans to raise, the number of shares that would be offered and the price of the issue, especially if is through QIP.
Brokers hit hard as NSE Clearing blocks trading by IL&FS Securities
The ₹380-crore derivative fraud by Allied Financials is now turning into a major issue for IL&FS Securities. On Thursday, NSE Clearing Corporation (NCC) disabled IL&FS Securities as a clearing member following its inability to make good a few crore worth of pay-in obligations, sources involved in the negotiations told BusinessLine . Click here to read in full the report on brokers hit as NSE Clearing blocks trading by IL&FS Securities .
PNB board approves raising equity capital by up to Rs 5,000 cr
The board of Punjab National Bank (PNB) has approved fresh equity capital raising of up to Rs 5,000 crore.
The equity capital mop-up could happen through a Qualified Institutional Placement (QIP)/ Follow-on-Public Offer (FPO)/ Rights Issue, sources said.
This will be the first big equity capital mop-up (besides Government capital infusion) after the Rs 13,000-crore Nirav Modi scam hit the bank two years ago. Cilick here to read in full the report on PNB equity capital raising .
Opening bell
The Sensex and Nifty opened flat on Friday. The Sensex was trading at 37,831 and the Nifty at 11,247.
On Thursday, the Sensex finished at 37,830, down 16 points at 0.04 per cent, while the Nifty finished at 11,252, 19 points or 0.17 per cent lower.
Day Trading Guide for Friday, July 26, 2019
Given below are supports and resistances for Nifty 50 futures and seven key stocks that can help in your intra-day trading:
₹2285 • HDFC Bank
S1 | S2 | R1 | R2 | COMMENT |
2270 | 2255 | 2300 | 2315 | Fresh short positions are recommended with a stiff stop-loss only if the stock declines below ₹2,270 levels |
₹795 • Infosys
S1 | S2 | R1 | R2 | COMMENT |
786 | 780 | 802 | 810 | Initiate fresh long positions with a fixed stop-loss if the stock of Infosys advances above ₹802 levels |
₹268 • ITC
S1 | S2 | R1 | R2 | COMMENT |
265 | 262 | 271 | 274 | Make use of intra-day rallies to initiate fresh short positions while retaining a stiff stop-loss at ₹271 levels |
₹143 • ONGC
S1 | S2 | R1 | R2 | COMMENT |
141 | 138 | 147 | 150 | Utilise intra-day declines to buy the stock of ONGC while maintaining a tight stop-loss at ₹141 levels |
₹1232 • Reliance Ind.
S1 | S2 | R1 | R2 | COMMENT |
1215 | 1200 | 1246 | 1260 | Initiate fresh short positions with a fixed stop-loss only if the stock of RIL fails to move beyond ₹1,246 levels |
₹341 • SBI
S1 | S2 | R1 | R2 | COMMENT |
335 | 328 | 347 | 355 | Consider initiating fresh short positions with a stiff stop-loss if the stock of SBI reverses down from ₹347 levels |
₹2128 • TCS
S1 | S2 | R1 | R2 | COMMENT |
2110 | 2090 | 2150 | 2170 | Fresh long positions can be initiated with a stiff stop-loss if the stock rebounds up from ₹2,110 levels |
11247 • Nifty 50 Futures
S1 | S2 | R1 | R2 | COMMENT |
11200 | 11150 | 11315 | 11380 | Consider initiating fresh long positions with a tight stop-loss if the contract manages to rally above 11,315 levels |
S1, S2 : Support 1 & 2; R1, R2: Resistance 1 & 2.
Today's Pick: Hindustan Petroleum Corporation Ltd (₹266.8): Sell
Investors with a short-term perspective can sell the stock of Hindustan Petroleum Corporation (HPCL) at current levels. On Thursday, the stock tumbled 4.3 per cent accompanied by good volume, breaching a key support at ₹280 levels. This fall has strengthened the stock’s short-term downtrend that has been in place since registering a 52-week high at ₹333 in early June this year. While trending down, the stock had breached its 21- and 50-day moving averages recently and hovers well below them. Moreover, the medium-term uptrend that has been in place from the February 2019 low of ₹211 is under threat after the recent decline. Click here to read in full Today's Pick on HPCL.