Market updates: Sensex closes 413 points lower at 33,956

Nifty sheds 120 points to finish at 10,047

 

3:45 pm

Closing bell

Benchmark Sensex plunged 414 points on Tuesday, dragged by heavy losses in heavyweights HDFC Bank, RIL and ICICI Bank as investors fretted over the rising number of Covid cases in the country.

After opening on a positive note, the 30-share index reversed all early gains to settle 413.89 points, or 1.20 per cent, lower at 33,956.69.

In a similar movement, the NSE Nifty declined 120.80 points, or 1.19 per cent, to 10,046.65.

ICICI Bank was the top laggard in the Sensex pack, falling around 3 per cent, followed by Bharti Airtel, HDFC Bank, Bajaj Finance, Kotak Bank and Axis Bank.

On the other hand, IndusInd Bank, Sun Pharma, M&M and HDFC were among the gainers.

According to analysts, the domestic market succumbed to profit-booking at higher levels as concerns over a rising number of Covid-19 cases in the country outweighed the optimism over reopening of the economy.

The number of infections in India spiked to 2,66,598, while the death toll rose to 7,466 and, according to the Health Ministry.

The number of cases around the world linked to the disease has crossed 71.19 lakh and the death toll has topped 4.06 lakh.

In contrast to the Indian equities market, Shanghai, Hong Kong and Seoul bourses ended with gains. Japan settled in the red.

Stock exchanges in Europe were trading with significant losses in early deals.

International oil benchmark Brent crude futures fell 1.69 per cent to $40.11 per barrel.

On the currency front, the rupee closed 6 paise lower at 75.61 against the US dollar. - PTI

 

3:20 pm

PhonePe launches domestic trip insurance with ICICI Lombard 

 

With the lockdown ending and domestic travel gradually starting across the country, PhonePe, a digital payments platform, today announced the launch of a comprehensive, industry-first domestic multi-trip insurance cover in a strategic partnership with ICICI Lombard, the non-life insurance company.

This service is exclusively available for PhonePe users. The platform provides affordable annual insurance cover for unlimited trips, PhonePe said in its official release.

PhonePe said unlike other traditional travel insurance products, this solution does away with the need to insure every trip separately and will benefit both business and leisure travellers.

The company said it aims to provide customers a stress-free travel experience by covering risks associated with all modes of travel within the country (road, rail and air within the country) right from the time a customer leaves home, till the time he/she returns.

 

3:00 pm

Benchmark indices slide into the red

The Sensex gave up all its morning gains to fall into the red ahead of the close on Tuesday.

Sensex was down 434 points or 1.26 per cent at 33,936. Nifty also shed 120 points or 1.18 per cent to trade at 10,047.

 

 

2:50 pm

European shares inch lower as BAT, banks weigh

European shares inched lower on Tuesday as declines in the UK's British American Tobacco and banking stocks halted a rally driven by optimism over a global recovery from the coronavirus crisis.

The pan-European STOXX 600 index fell 0.3 per cent by 0729 GMT, with eurozone banks down 4.3 per cent after a six-day run of gains.

Dragging London's FTSE 100 lower, British American Tobacco fell 2.8 per cent as it cut its annual adjusted profit and revenue forecasts, citing the impact of prolonged lockdowns in South Africa and Mexico.

The European benchmark is still hovering near its early March highs, just 14 per cent below its record high, while Wall Street's tech-heavy Nasdaq closed at an all-time high on Monday, confirming a return to a bull market.

Healthcare stocks, technology and food and beverage supported markets, rising between 0.6 per cent and 1.6 per cent. - Reuters

 

2:20 pm

Nifty call: Sell on rallies with fixed stop-loss at 10,210 levels

 

The domestic equity benchmark indices -- Sensex and Nifty -- began the session on a flat note amid mixed cues from the Asian markets. The Japanese index, Nikkei 225, has slipped 0.4 per cent to 23,091, whereas the Hang Seng index has jumped 1.7 per cent to 25,198 in today's session. The US indices -- Dow Jones and S&P 500 index -- had gained 1.7 per cent and 1.2 per cent in the previous session.

After an initial rally, the Sensex and Nifty started to witness selling interest and profit-taking at higher levels. Both the key indices have begun to decline now. The market breadth of the Nifty index is now slightly biased towards declines. The India VIX is up by 0.8 per cent to 29.9 levels. The Nifty mid and small-cap indices are trading mixed. Read more.

2:00 pm

Negative perception, liquidity squeeze have pushed NBFCs to the brink: IIFL Finance chief

Starting with the collapse of IL&FS and now the Covid crisis, the risk aversion to the sector has risen further, says Nirmal Jain

https://www.thehindubusinessline.com/money-and-banking/negative-perception-liquidity-squeeze-have-pushed-nbfcs-to-the-brink-says-iifl-finance-chief/article31785105.ece?homepage=true

1:45 pm

Prolonged lockdown, social distancing norms could hit revenue streams: INOX Leisure

INOX Leisure Ltd on Tuesday said its future revenue streams could be impacted from a prolonged lockdown situation resulting in its inability to reopen multiplexes and to operate these at optimal capacity on account of government-imposed social distancing norms. Click here to read more.

1:25 pm

Dollar gains traction as trade fears knock bounding Aussie back

The dollar found some footing on Tuesday, rising against tearaway commodity currencies for the first time in June as investors paused to take profits.

However, a stronger yen pointed to some trepidation over the US Federal Reserve's next move at its two-day meeting starting later in the day.

The Australian dollar, which touched a 10-month top of $0.7043 early in the Asia session, retreated 1 per cent to $0.6948 after China's education ministry warned students to carefully consider studying there amid tension between the trading partners. Click here to read more on the global forex market.

 

 

1:10 pm

Oil prices rise on optimism easing of lockdowns to spur fuel demand

 

Oil prices rose on Tuesday, boosted by hopes for a swift recovery in fuel demand as coronavirus lockdown measures are eased across the globe, but gains were capped by the spectre of persistent oversupply in the market.

Brent crude futures rose 0.5 per cent, or 22 cents, by 0647 GMT to $41.02 a barrel. The benchmark contract had fallen $1.50 on Monday, snapping a seven-day streak of gains.

US West Texas Intermediate (WTI) crude futures rose 0.8 per cent, or 31 cents, to $38.50 a barrel, after dropping by $1.36 on Monday. Click here to read in full the global oil markets report.

12:45 pm

Asian shares extend gains as economic recovery hopes build

Asian stocks extended their winning streak for the ninth consecutive session on Tuesday and oil prices rose as the lifting of coronavirus lockdowns in many countries fed investor hopes of a relatively quick global economic recovery.

European markets were set to follow that lead with pan-European Euro Stoxx 50 futures up 0.4 per cent and DAX futures rising 0.3 per cent. US S&P 500 futures eased 0.15 per cent.

The big bout of optimism for equity markets came last week after US jobs data showed a surprise fall in the unemployment rate, sending Wall Street indices surging with the Nasdaq closing at a record level on Monday. Click here to read more on the global markets.

 

12:25 pm

Sensex, Nifty make further gains

The benchmark indices extended their morning gains to nearly 1 per cent by mid-session on Tuesday.

Sensex was at 34,670, up 300 points or 0.87 per cent, while the Nifty was at 10,256, up 89 points or 0.88 per cent.

The top gainers on the Sensex were IndusInd Bank (up 4.5 per cent), Sun Pharma, HDFC, ITC and Asian Paints, while the laggards were Nestle India, NTPC, Power Grid, Reliance and Bajaj Auto.

Among the BSE sectoral indices, the healthcare and realty shares rose nearly 2 per cent; FMCG, finance, banking and metals were up over 1 per cent. Energy and oil and gas were the only sectors in negative territory.

 

 

12:10 pm

PVR shares decline nearly 5 per cent after Q4 earnings

A representative image   -  @PVR

 

Shares of multiplex operator PVR on Tuesday fell nearly 5 per cent after the company reported a consolidated net loss of Rs 74.61 crore for the fourth quarter ended March 2020.

On BSE, the stock declined 4.61 per cent to Rs 1,106, while on the NSE it dropped 4.65 per cent to Rs 1,107.05.

PVR on Monday reported a consolidated net loss of Rs 74.61 crore for the fourth quarter ended March 2020, as the film exhibition business was impacted because of the Covid-19 pandemic.

The company had posted a net profit of Rs 46.75 crore in the January-March quarter a year ago, PVR said in a BSE filing.

Revenue from operations during the quarter under review stood at Rs 645.13 crore. It was Rs 837.63 crore in the corresponding quarter a year ago.

Beginning March 11, 2020, the company started closing its screens in accordance with the order passed by various regulatory authorities and within a few days most of our cinemas across the country were shut down, PVR said in a statement.

11:50 am

Inox Leisure shares tumble nearly 8 per cent on Q4 net loss

 

Shares of multiplex chain operator Inox Leisure Ltd on Tuesday plunged nearly 8 per cent after the firm reported a consolidated net loss of Rs 82.15 crore for the fourth quarter ended March 2020. The scrip tumbled 7.66 per cent to Rs 261.30 on the BSE. On the NSE, it plunged 7.46 per cent to Rs 262.05.

Inox Leisure Ltd on Monday reported a consolidated net loss of Rs 82.15 crore for the fourth quarter ended March 2020, as the film exhibition business was impacted because of the Covid-19 pandemic and subsequent lockdown.

The company had posted a net profit of Rs 48.08 crore in the January-March quarter a year ago, Inox Leisure said in a BSE filing.

Revenue from operations declined 22.39 per cent to Rs 371.58 crore during the quarter under review as against Rs 478.84 crore in the corresponding quarter a year ago.

“The Covid-19 pandemic and the resultant lockdown declared by the government in March 2020 has impacted the entire entertainment industry and consequently the business activities of the Group have also been adversely affected,” Inox Leisure said in a post-earnings statement.

Group Director Siddharth Jain said, “the advent of Covid-19 has left a serious mark on our fourth quarter performance and will remain a cause of concern in the subsequent months as well.”

11:35 am

Franklin suspends e-voting to close six debt schemes

Franklin Templeton has suspended the e-voting process seeking unit-holder’s approval to wind up the six debt schemes which had recently faced heavy redemption.

The development comes after the Gujarat High Court refused to provide any relief on its ad-interim stay order, issued on a case filed by a group of investors. The next hearing in the case is scheduled for June 12.

In a statement on Tuesday, Franklin Templeton said pursuant to the order on June 8 issued by the High Court, e-voting scheduled between June 9 and 11 and the unit-holder’s meeting on June 12, related to the schemes under winding up, stands suspended till further notice. Click here to read more.

11:15 am

Rupee rises 11 paise to 75.44 against US dollar in early trade

 

The rupee appreciated 11 paise to 75.44 against the US dollar in early trade on Tuesday tracking gains in the equity market amid sustained foreign fund inflows.

The rupee opened at 75.53 against the US dollar, then advanced to touch 75.44 against the US dollar, up 11 paise over its previous close. It had settled at 75.55 against the greenback on Monday.

Forex traders said positive domestic equities, persistent foreign fund flows and the revival of business activity supported the rupee. Click here to read in full the rupee report.

 

10:55 am

Daily Rupee call: Rupee might appreciate intraday 

Providing help The loan would enable MSMEs to meet their operational liabilities and restart business iStockphoto Denis Vostrikov

 

The rupee (INR) was sluggish yesterday and it closed the session at 75.54 versus the previous close of 75.57 against the dollar (USD). Thus, the price range between 75 and 75.6 continues to hold.

Today, the Indian currency opened the session slightly higher at 75.51. Since the exchange rate of USDINR is fluctuating between 75 and 75.6, the rupee might gain on the back of support at 75.6. On the upside, it might face a hindrance at 75.3 and 75.15, whereas a break below 75.6 can trigger a considerable sell-off.  Click here to read in full the Daily Rupee Call.

10:40 am

As defensive play, FMCG stocks catch FPIs’ fancy

Foreign portfolio investors (FPIs) are making record investments in the shares of companies producing household and personal products. According to latest data available with depositories, FPIs made a net investment of ₹19,069 crore in the sector during the first 45 days (between April 1 and May 15) of the current fiscal. This compares with the net outflow of ₹2,503 crore during the full fiscal 2019-20. Click here to read more on FMCG stocks.

10:20 am

Dollar wallows as focus shifts to Fed meeting

 

The dollar nursed losses on Tuesday as surging commodity currencies paused for breath and a rising yen pointed to investor trepidation over the US Federal Reserve's next move.

The yen extended big overnight gains to a week-high 108.03 per dollar as investors weigh the possibility of stepped-up bond buying - or even simply a very dovish outlook - from the Fed which meets on Tuesday and Wednesday.

At the same time the Australian and New Zealand dollars swiftly retreated from milestone peaks in early trade. Click here to read more on the global forex market.

10:05 am

Sensex, Nifty make gains

Sensex and Nifty edged up more than 0.5 per cent each in morning trade on Tuesday. Sensex was at 34,608, up 237 points or 0.69 per cent higher, while the Nifty was at 10,224, up 57 points or 0.56 per cent.

The top gainers on the Sensex were Sun Pharma, Asian Paints, ITC, IndusInd Bank and Axis Bank, while the laggards were Titan, Maruti, Bajaj Auto, HDFC Bank and Tech Mahindra.

According to a PTI report, Sensex jumped over 100 points on optimism over reopening of the economy and unabated foreign fund inflows.

The gains were, however, capped as profit-booking at higher levels restrained benchmarks from strengthening further, traders said.

In the previous session, the BSE barometer settled 83.34 points, or 0.24 per cent, higher at 34,370.58, and the broader Nifty closed 25.30 points, or 0.25 per cent, up at 10,167.45.

On a net basis, foreign institutional investors bought equities worth Rs 813.27 crore in the capital market on Monday, provisional exchange data showed.

According to analysts, market opened with a positive bias due to fresh fund inflows through foreign direct investment (FDI) and foreign portfolio investors (FPIs), and a general optimism emanating from the benefits of the reversal of the lockdown.

On the global front, bourses in Shanghai and Hong Kong were trading with gains, while those in Seoul and Tokyo were in the red. Stock exchanges on Wall Street ended on a positive note in overnight trade.

International oil benchmark Brent crude futures rose 0.91 per cent to $41.17 per barrel. (with inputs from PTI)

9:50 am

Oil prices rise on optimism easing of lockdowns to spur fuel demand

 

Oil prices climbed on Tuesday, paring losses from the previous session, as markets broadly rose on growing confidence in a global recovery with pandemic lockdowns easing.

US West Texas Intermediate (WTI) crude futures rose 1.3 per cent, or 50 cents, to $38.69 a barrel at 0134 GMT, after dropping by $1.36 on Monday.

Brent crude futures rose 1.4 per cent, or 56 cents, to $41.36 a barrel. The benchmark contract fell $1.50 on Monday, snapping a seven-day streak of gains. Click here to read in full the global oil markets report.

 

9:35 am

Asian stocks extend rally as economic recovery hopes boost confidence

istock.com/ipopba ipopba

 

Asian stocks rallied for their ninth straight day on Tuesday and oil prices jumped as the lifting of coronavirus lockdowns in many countries fed investor hopes of a relatively quick global economic recovery.

Markets have been particularly encouraged by a May US jobs report last week that showed a surprise fall in the unemployment rate, sending Wall Street indices surging with the Nasdaq hitting a record close on Monday.

Global financial markets were battered in March as investors fretted over extent of both the short and longer term damage to the world economy from the coronavirus pandemic. But most indices are now back to pre-Covid-19 levels. Click here to read in full the markets report.

 

9:15 am

Opening bell

The benchmark indices opened marginally positive on Tuesday. Sensex was at 34,381, up 10 points or 0.03 per cent. Nifty was at 10,179, up 12 poins or 0.12 per cent.

 

9:10 am

Day Trading Guide for Tuesday, June 9, 2020

₹1015 • HDFC Bank

S1

S2

R1

R2

COMMENT

1003

990

1030

1045

Consider initiating fresh short positions with a stiff stop-loss only if the stock falls below ₹1,003 levels

 

₹720 • Infosys

S1

S2

R1

R2

COMMENT

710

700

731

740

Near-term stance is bullish for the stock of Infosys. Buy on declines with a fixed stop-loss at ₹710 levels

 

₹197 • ITC

S1

S2

R1

R2

COMMENT

195

192

201

204

Initiate fresh short positions with a tight stop-loss if the stock of ITC reverses down from ₹201 levels

 

₹90 • ONGC

S1

S2

R1

R2

COMMENT

88

85

94

97

Make use of intra-day declines to buy the stock of ONGC while maintaining a stop-loss at ₹88 levels

 

₹1570 • Reliance Ind.

S1

S2

R1

R2

COMMENT

1550

1530

1592

1610

Fresh long positions are recommended with a tight stop-loss only if the stock moves above ₹1,592 levels

 

₹186 • SBI

S1

S2

R1

R2

COMMENT

180

174

194

200

Fresh short positions can be initiated with a stiff stop-loss if the stock of SBI slips below ₹180 levels

 

₹2071 • TCS

S1

S2

R1

R2

COMMENT

2050

2030

2090

2115

Initiate fresh long positions with a tight stop-loss if the stock of TCS reverses higher from ₹2,050 levels

 

10165 • Nifty 50 Futures

S1

S2

R1

R2

COMMENT

10100

10040

10230

10300

Initiate fresh short positions with a fixed stop-loss only if the contract slumps below 10,100 levels

 

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

9:00 am

Today's Pick: Bharat Petroleum Corporation (₹394.2): Buy

 

Investors with a short-term perspective can buy the stock of Bharat Petroleum Corporation (BPCL) at current levels. The stock found support at ₹252 in late March this year after a sharp fall in February and early March. Subsequently, the stock had changed direction and has been in a medium-term uptrend since late March.

Following a corrective decline, the stock took support at around ₹292 in mid-May and continued to trend upwards. The stock has been in a short-term uptrend over the past three weeks. While trending up, the stock had decisively surpassed its 21- and 50-day moving averages and trades well above them. Click here to read in full Today's Pick on BPCL

 

Published on June 09, 2020