Closing Bell

Key stock indices bounced back sharply from early fall and finished sharply higher due to fresh buying from domestic financial institutions and retail investors. The market sentiment turned buoyant taking cues from stronger global markets. Also, across the board gains indicate that this could be a start of a pre-budget rally.

The broader NSE index ended higher by 140.30 points or 1.20% at 11,831.75, while the benchmark Sensex rose 488.89 points, or 1.25%, and ended at 39,601.63.

The market breadth, indicating the overall health of the market, was strong. On the BSE, out of the 2,680 shares traded, 1,530 shares advanced, while 1,011 shares fell. A total of 139 shares were unchanged.

Elsewhere in Asia, Shanghai Composite Index, Hang Seng, Nikkei and Kospi were traded significantly higher after the US Fed policy outcome.

The US central bank on Wednesday left rates unchanged, opening the door to an interest rate cut soon, saying uncertainties about the economic outlook are on the rise and vowing to act to keep the economy growing.

Bourses on Wall Street too ended in the green last night.

Sensex stocks

Jet Airways shares bounce back

Shares of  Jet Airways bounced back after days of massive fall and rose sharply by 19 per cent on Thursday.

Despite a weak opening, where the scrip hit an all-time low of Rs 27, it later pared the losses and jumped 44.26 per cent to Rs 47.75 on the BSE. On the NSE, shares zoomed 44.25 per cent to Rs 47.75 after dropping to an all-time low of Rs 26.55 during the morning trade.

Shankar Sharma tweets on LTCG

STOCK WATCH ON BSE

Rupee up 11 paise versus dollar

The rupee witnessed high volatility against the US dollar in opening trade on Thursday, after the US central bank left key interest rates unchanged. The US Federal Open Market Committee kept the key rate in the 2.25-2.5 per cent range.

At 2.30 pm, the domestic currency was quoted at 69.57, displaying gains of just 11 paise against the greenback.

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Nifty 50 June Futures (11,761): Buy in declines with stop-loss at 11,720 levels

Near-term outlook positive

Following a gap-down opening at 11,670 levels, the contract marked an intra-day low at 11,668 and rallied sharply. The Nifty futures contract breached key resistances at 11,725 and 11,750 levels. It has registered an intra-day high at 11,789 levels. The near-term outlook remains positive as long as the contract trades above 11,725 levels.

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Vedanta jumps 2 per cent

Vedanta rose 2 per cent to Rs 172 on the NSE today. The company was among among the frontrunners to bag oil and gas blocks auctioned during the second and third rounds of bidding held under the Open Acreage Licensing Policy (OALP).

Others are ONGC, Reliance Industries–BP and Oil India Ltd (OIL)

Corporate bond market’s lowest growth rate fuels concern

There is yet another sign that India’s push to quickly expand its corporate debt market is faltering, as borrowers turn more to banks already struggling with one of the world’s worst bad debt ratios.

India’s bond market remains small compared with other major economies, frustrating policy makers who champion it as a way of diffusing credit risks that have stacked up at banks.

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Trent announces Book Closure date for dividend

The board of Trent Ltd in its release to the NSE announced that the Register of Members and Share Transfer Books of the Company will be closed from Tuesday, 23rd July 2019 to Thursday, 25th July 2019 (both days inclusive) for the purpose of payment of dividend & AGM of the Company scheduled to be held on 1st August 2019.

IndiaMart InterMesh to raise Rs 475 cr through IPO

Private euqity-backed IndiaMart InterMesh Ltd, an online B2B marketplace for business products and services, intends to raise about Rs 475.5 crore through an Initial Public Offering (IPO) at the higher end of the price band.

The company, which operates Indiamart.com, has fixed the price band at Rs 970–Rs 973. The IPO is scheduled to open on Monday (June 24) and close on Wednesday (June 26). 

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NIFTY SECTORAL INDICES

Nifty Sectoral Indices

Sensex stocks

Magadh Sugars fixes June 30 as Record Date for bonus

Magadh Sugar board has fixed June 30, 2019 as the Record date to determine eligible shareholders entitled to receive the company's bonus shares.

Magadh Sugars stock surged 4.70% to Rs 163.80 on the NSE today

Magadh Sugars announced on May 14, 2019 a proposal to issue bonus shares in the ratio of 4:10 [i.e. 4 (Four) Bonus equity shares of Rs. 10/- each for every 10 (Ten) existing fully paid up equity shares of Rs. 10/- each.

ONGC Videsh, partners to invest $20 b in Mozambique LNG project

ONGC Videsh Ltd, the overseas investment arm of ONGC, and its consortium partners have announced the Final Investment Decision (FID) in the Mozambique LNG project.

The Indian consortium is expected to collectively invest $20 billion in the two-train Golfinho/Atum Mozambique LNG Project. The first gas packet is expected in 36-48 months, ONGC said in a statement to the stock exchanges.

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India’s GDP to slow down to 6.8 per cent in FY2020: DBS

DBS Bank has revised India’s GDP growth for fiscal year 2020 downwards to 6.8 per cent year-on-year (YoY) from 7 per cent projected earlier, citing headwinds for exports amidst challenging trade outlook.

“Growth headwinds swiftly turn attention to the likely policy response. We expect monetary policy to do much of the heavy lifting, given limited fiscal leeway,” the bank in its report on the Indian economy on Thursday.

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Software stocks down on H1B visa concerns

Software stocks declined today on worries following a report that t he United States could consider caps on H-1B work visas for nations that force foreign companies to store data locally, widening the two countries' row over tariffs and trade.

The plan to restrict the popular H-1B visa programme, under which skilled foreign workers are brought to the United States each year.

IT STOCKS ON NSE

HDFC in limelight on majority stake buy in Apollo Munich Health

HDFC stock was in limelight today following a report yesterday that it would be acquiring 51.2 per cent stake in Apollo Munich Health Insurance and would be later merging it with its general insurance arm HDFC Ergo. The two-stage transaction, which is subject to regulatory approvals, is priced at about ₹1,347 crore. HDFC will pay about ₹73.2 per share to Apollo Hospitals for the acquisition.

Shares of HDFC rose nearly 0.90 per cent at Rs 2,194.50 on the NSE.

₹1277 • Sell Reliance Ind on rallies with stop-loss at  ₹1,290

Looking at ways to bring Russian crude oil into India: Pradhan

India and Russia are looking at means to boost partnerships in the hydrocarbon sector.

“We reviewed the progress of Indo-Russian projects like Sakhalin-1, the Gazprom-GAIL deal, the investments in Vankorneft and Taas-Yuryakh,” Minister for Petroleum and Natural Gas, Dharmendra Pradhan said after a meeting with Russia’s deputy Prime Minister Yury Trutnev.

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YES Bank ‘will be re-rated by next quarter’, says CEO

YES Bank’s new Managing Director and CEO Ravneet Gill believes that many of the issues at the troubled private sector lender will be addressed by next quarter and that it would also finalise its capital-raising plans by then.

“When we talk about issues, some of them are perception-based, which are easier to sort out. We are also actively managing a couple of concentrated exposures. So my sense is that in a quarter’s time, the entire organisation would have got re-rated,” he told BusinessLine

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IndusInd Bank , Bharat Financial shares climb as RD fixed for July 4

IndusInd Bank  and  Bharat Financial  (BFIL) board had fixed July 4 as the record date for determining the shareholders of BFIL who shall be entitled to receive shares of the Bank. The board has also decided to consider consolidated first quarter earnings on July 12.

IndusInd Bank shares went up 2.50% at Rs 1,416,25 and shares of Bharat Financial rose 3.45% at Rs 895.85 on the NSE today.

Rupee sees high volatility against USD post Fed policy decision

The rupee witnessed high volatility against the US dollar in opening trade on Thursday, after the US central bank left key interest rates unchanged. The US Federal Open Market Committee kept the key rate in the 2.25-2.5 per cent range.

The rupee opened strong at 69.47 at the interbank forex market, but lost ground and touched 69.67 per dollar, displaying gains of just 1 paise against the greenback.

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Broker's call

ICICI SECURITIES

Daily Currency Strategy (June 20):

Sell US$INR in range of 69.78-69.82

The dollar-rupee June contract on the NSE was at 69.78 in the previous session. June contract open interest rose 3.7% in the previous session.

We expect the US$INR to meet supply pressure at higher levels. Utilise the upsides in the pair to initiate short positions.

SELL SBI if falls below Rs 334 levels

₹2259 • Buy TCS on dips with stop-loss at ₹2,240 levels

Intraday calls from ICICI Securities

ICICI SECURITIES Intraday call

Buy Bank Nifty in the range of 30300-30350

After making a high of 30660 yesterday, the Bank Nifty index could not hold on to its gains. On the weekly options it has significant OI at 30000 and 30200 Put and maximum Call OI at 30500. Thus, it may trade in the range of 30200-30500.

11708 • Nifty 50 Futures: Go long if contract reverses higher from 11,650 levels

S1, S2 : Support 1 & 2; R1, R2: Resistance 1 & 2.

NSE SECTORAL INDICES

NIFTY IT INDEX

NIFTY IT INDEX

Sensex stocks

Opening Bell

Key stock indices fell initially on Thursday even as the US Federal Reserve signalled interest rate cuts beginning as early as July, even as host of Asian central banks that scheduled to hold policy meetings later in the day, are expected to flag moves toward looser monetary settings.

The broader NSE index moved up lower by 41 points or 0.36% at 11,649.75, while the benchmark BSE index lost 155.10 points, or 0.35%, to 38,976.01.

Major losers today were YES Bank was down 2.50%, IndusInd Bank lost 2.13%, TCS sheds 1.30% and Asian Paint declined 1% in the morning session.

Broker's call: LIC Housing Finance (Buy)

Narnolia Financial

LIC Housing Finance (Buy)

CMP: ₹541.8

Target: ₹641

Valuations of LIC Housing Finance has corrected significantly from 2.8x in FY17 to 1.7x in FY19 on the backdrop of spread and growth pressure. However, with change in current scenario, we believe LICHF is rightly placed to capture the growth opportunity. Spreads are likely to improve with the ease in competitions. Lenders turning negative towards lower rated HFCs will have positive impact in LICHFC due to Parentage support and AAA credit rating.

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₹167 • Buy ONGC if  advances above ₹169 level

Day Trading Guide for June 20, 2019

Given below are supports and resistances for Nifty 50 futures and seven key stocks that can help in your intra-day trading:

₹2429 • HDFC Bank

₹751 • Infosys

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L&T Finance Holdings (₹109.7): Sell

The stock of  L&T Finance Holdings  plummeted 6.3 per cent accompanied with above average volume on Wednesday, breaking below a key medium-term support at ₹115. The fall gives investors with a short-term perspective an opportunity to sell the stock at current levels.

Since encountering a significant resistance at ₹185 in August 2018, the sock has been in an intermediate-term downtrend. Also, the stock has been in a medium-term downtrend from this April high of ₹155.

Global stocks rally, bond yields plunge after Federal Reserve hints at rate cuts later this year

A gauge of global stock markets edged near this year's peak while benchmark US Treasury yields and the dollar dropped after the Federal Reserve signalled possible interest rate cuts later this year.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.2 per cent while Japan's Nikkei gained 0.5 per cent .

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