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Closing Bell
Sensex, Nifty slip into red
Bourses ended in the negative territory today on the back of renewed selling pressure in late trading session.
After opening firm, indices moved back and forth on alternative buying and selling in equities. However, traders decided to booked profits at the day's higher levels amidst making fresh selling commitments later in the day.
The sentiment did'nt improve much despite the easing of monetary policy by the RBI, which had cut the repo rate by 25 basis points.
Sectors that dragged the markets were Healthcare, PSUs, Oil&Gas, Capital Goods, Metal, Realty and Auto, which declined in the range between 0.50% and 2.50%.
The BSE benchmark after opening higher at 37,853.80, ranged between an intraday high of 37,919.47 and a low of 37,480.53, before being ended at 37,531.98, down by 0.38% or 141.33 points
On the other hand, the benchmark NSE index Nifty ended down by 48.35 points at 11,126.40.
Top losers in the Sensex pack included Tata Steel, ONGC, ITC, M&M, IndusInd Bank, Tata Motors, L&T, Sun Pharma and TCS, falling between 1.50 per cent and 2.50 per cent.
Bharat Petroleum Corporation (BPCL) shares fell nearly 5 per cent intraday today after the government cleared the way for privatisation of the company.This is the second straight day fall witnessed in the counter, after losing three percent in the previous trade.
The stock ended Rs 490, down by 24.750, or 4.80 per cent, on the BSE.
Shares of Edelweiss Financial Services Ltd (EFSL) on Monday ended 7 cent lower following a downgrade of its long-term debt instruments amid concerns over operating environment for NBFCs.
The company’s stock fell to its 52-week low level at Rs 76.30, on the BSE, before closing at Rs 78.50.
Shares of Ashok Leyland plunged over 5 per cent today after the company said it will suspend manufacturing operations at its various plants for up to 15 days in October. On the BSE, the stock slumped 5.50 per cent and ended at Rs 64.35.
Sensex stocks
Edelweiss Financial Services shares fall 9 per cent on rating downgrade
Shares of Edelweiss Financial Services Ltd (EFSL) on Monday declined over nine per cent following a downgrade of its long-term debt instruments amid concerns over operating environment for NBFCs.
The company’s stock fell to its 52-week low level at Rs 76.30, on the BSE.
Broker's call on IT sector
Emkay Global Financial Services
IT industry watch: Re-rating of Tier 1 companies that perform better
The valuation re-rating of Tier-I techs has continued through Current year 2019 despite EPS cuts, while Tier-II techs have seen valuations retreat to mean levels.
The sector has relatively outperformed, benefiting from investor concerns about other domestic sectors and the rupee’s depreciation recently.
Indian IT Services witnessed a revenue rebound through FY 17-19, supported by the cyclical recovery in IT spending and tax cuts in the US, with Tier-II techs seeing a stronger recovery. However, growth has moderated yet again in recent quarters on account of slowing global economic growth, trade issues, etc.
Increased focus of clients on cost optimization, along with the talent crunch, is driving a resurgence in offshoring. This is reflected in higher offshore hiring/attrition and emerging wage/margin pressures. Tier-II techs remain more vulnerable to this trend.
Prefer Tier-I’s over Tier-II techs on a relative basis
The brokerage firm preference in the sector is HCL Tech, Infosys, TCS and TechM (all rated Hold), but preferred to sell Wipro. There are no Buy rated stocks in our Tier-II IT Services coverage.
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Ashok Leyland shares fall 5 per cent
Shares of Ashok Leyland plunged over 5 per cent on Monday after the company said it will suspend manufacturing operations at its various plants for up to 15 days in October.
On the BSE, the stock slumped 5.29 per cent to Rs 64.50. The scrip plunged 5.36 per cent to Rs 64.40 on the NSE.
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Zee stock rebounds as promoters liability down to Rs 4,000 cr
Shares of Zee Entertainment Enterprises rebounded after falling 14 per cent intraday today As lenders including Kotak Mutual Fund and SBI Mutual Fund sold their pledged shares in Zee Entertainment, promoter debt owned to the group of lenders has automatically gone down by about ₹1,500 crore with remaining debt standing at ₹4,000 crore
There was a market buzz that the promoters have increased their total pledge to 90 per cent along with loan liability of Rs 7,000 crore.
At 1.35 pm, the stock rebounded from morning lows and was being quoted at Rs 245.05, up Rs 8.25, or 3.50 percent, on the BSE today. The stock opened sharply lower at Rs 213.15 and immeditely touched an intraday low of Rs 203.70 in the morning trade and rebounded later.
Britannia shares rise over 3.50%
The stock of Britannia went up over 3.50% today as the company has initiated a 10 per cent price hike in the dairy categories, a month back.
It is also looking at a 4-5 per cent price hike across categories to offset a similar rise in raw material costs.
At 1.25 pm, Britannia stock was up by Rs 99 or 3.50% at RS 2,943.30 on the BSE today.
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BPCL dives nearly 5 per cent
Bharat Petroleum Corporation (BPCL) shares fell nearly 5 per cent intraday today after the government cleared the way for privatisation of the company.
This is the second straight day fall witnessed in the counter, after losing three percent in the previous trade.
At 1 p.m, the stock was being quoted Rs 490, down by 25.20, or 4.90 per cent, on the BSE.
The government plans to sell its stake in BPCL to a strategic partner. It is expected that the disinvestment of BPCL will help meet a third of the government's Rs 1.05 lakh crore disinvestment target.
BPCL chart
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SBI in strong bear grip (Rs 249.90). The stock posted some recovery in the month of September by appreciating to Rs 315 levels. However, the rally did not sustain
Info Edge climbs 4.50%
Info Edge stock climbed over 4.50% on the bourses today following a report that the company would acquire 20.25% stake in Greytip Software for Rs 3.5 mn. The target company deals with in human resource and payroll solutions. The company clarified on the news of Zomato’s fundraising that no formal proposal has been sent to the Board.
On the BSE, the stock rose 4.50% at Rs 2,371.80 today.
Rupee slips against USD in early trade
The rupee opened on a weak note and declined by 21 paise to 71.09 against the US dollar in opening trade on Monday, as sustained foreign fund outflows weighed on investor community.
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BEML stock trades higher on new order
Public sector company BEML stock traded firm today after the company announced that it received order worth Rs 729 crore from Delhi Metro Corporation. The stock was up Rs 6.40 or 0.70% at Rs 947.75 on the BSE today. Volumes traded in the counter were 19,000 shares as at 11.30 am on the BSE.
BEML-ATT
L&T Finance Holding shares rise on Crisil rating of NCDs, CP
Shares of L&T Finance Holding gained marginally in opening deals on Monday to Rs 81.15 or 0.7 per cent, after Crisil assigned its Rs 500-crore non-convertible debentures an 'AAA/Stable' rating, and reaffirmed the Crisil A1+ for its Rs 1,500-crore commercial paper.
First-Hour Session
Domestic equity benchmark BSE Sensex jumped over 200 points and the Nifty rose 51 points in the first one-hour trading session today, driven by gains in banking, Financials, Telecom, and FMCG stocks, amid positive global markets.
After opening higher of 37,583.80, the 30-share index fell immediately to a low of 37,534.54. However, some sudden buying spurt bolstered the equities. The Sensex was trading higher by 244.36 points, or 065%, at 37,917.67, while the broader Nifty rose 54.40 points, or 0.50 per cent, to 11,229.15.
Top gainers in the Sensex pack included YES Bank, HDFC Bank, Kotak Bank, ICICI Bank, Bharti Airtel, Tata Steel and SBI,rising between 1 per cent and 4.50 per cent.
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NIFTY BANK CHART
10 am
The BSE benchmark Sensex was being quoted at 37,765.48, up 92.17 points, while the Nifty was up 15.55 pointst at 11,190.30.
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Sensex, Nifty slip
Domestic stock market opened firm on Monday but gave up its gains immediately in the first 15 minutes of trade. The sentiment did'nt improve much despite the easing policy stance from the RBI, which had cut the repo rate 25 basis points.
However, Asian markets went up today after data showed the US unemployment rate dropped to the lowest in almost 50 years
After opening higher at 37,853.80, the Sensex gave up its gains and being traded at 37,607.09, down by 67 points from its previous close of 37,673.31.
On the other hand, the benchmark NSE index Nifty was down by 32.80 points at 11,141.95. The Nifty opened firm at 11,196.20 and touched a high of 11,198.05 in the first few minutes of trade.
TOP 5 STOCKS ON NSE
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Asia ex-Japan stocks headed for third weekly decline.
Index Outlook: Indices are poised at key base
The recent euphoria in the market after the announcement of corporate tax cuts seems to be waning, as the bellwether indices — the Sensex and the Nifty — tumbled almost 3 per cent last week.
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