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Closing bell
Equity benchmark Sensex rebounded from a sharp sell-off in early trade to finish 243 points higher on Friday, led by strong gains in Reliance Industries and a rebound in European markets.
After plunging 1,190.27 points to hit a low of 32,348.10 in opening trade, the 30-share index settled 242.52 points, or 0.72 per cent higher at 33,780.89.
Similarly, the NSE Nifty rose 70.90 points, or 0.72 per cent, to end at 9,972.90. It hit an intra-day low of 9,544.35.
M&M was the top gainer in the Sensex pack, rallying around 7 per cent, followed by Bajaj Finance, Hero MotoCorp, Reliance Industries (RIL), Titan and Bajaj Auto.
On the other hand, ONGC, Tech Mahindra, PowerGrid, Infosys and Kotak Bank were among the laggards.
According to analysts, the market witnessed a gap-down opening on negative cues from Wall Street and Asian peers, foreign fund outflows and concerns over rising coronavirus cases.
However, a recovery in RIL and the strong opening of European stocks lifted domestic investor sentiment.
Bourses in Paris, Frankfurt and London rallied up to 2 per cent in early deals. On the other hand, exchanges in Shanghai, Hong Kong, Tokyo and Seoul finished up to 2 per cent lower, following a rout on Wall Street.
International oil benchmark Brent crude futures inched up 0.83 per cent to $38.86 per barrel.
Meanwhile, the number of coronavirus cases across the world crossed 75 lakh and the death toll has topped 4.21 lakh.
In India, the death toll due to Covid-19 rose to 8,498 and the number of infections rose to 2.97 lakh, according to the Health Ministry.
Sensex, Nifty reverse losses
The benchmark indices the BSE Sensex and NSE Nifty reverses their losses to surge into the green ahead of the close on Friday.
The Sensex was up 231 points or 0.69 per cent at 33,769, while the Nifty spurted 73 points or 0.74 per cent to 9,975.
The top gainers on the Sensex were M&M (up 7 per cent), Bajaj Finance (5 per cent), Hero MotoCorp (3.75 per cent), Reliance (3.35 per cent) and Titan (2.83 per cent).
The laggards were ONGC, Tech Mahindra, Power Grid, HCL Tech and Infosys
European shares edge lower as virus worries take centre stage
European shares slipped in choppy trading on Friday after their worst one-day sell-off since late March as doubts grew over the pace of economic recovery amid signs of a resurgence in Covid-19 cases.
After swinging either ways, the pan-European STOXX 600 index dropped 0.5 per cent, although beaten-up shares of automakers gained marginally.
Risk assets took a dive this week as a sober economic outlook from the US Federal Reserve and rising cases in the US reminded investors that the economic damage from the pandemic is far from over.
The STOXX 600 is on course for a 5.8 per cent weekly loss, distancing itself further from all-time highs. The index stood nearly 19 per cent below its Februray peak.
France's Interparfums surged 11.2 per cent after Italy's Moncler entered an agreement with the company to start selling perfumes.
Euro rises, risky currencies recover as traders stop cashing in profits
The euro edged up slightly against the US dollar on Friday, not far from the three-month high it rose to earlier in the week, as traders paused from cashing in the latest profits.
During the Asian trading session, the Australian dollar and other risk-sensitive currencies gave up ground, before recovering and trading higher against the safe-haven greenback, following a rise in European stocks.
Investors had earlier decided to unwind their positions after a rapid build-up of bets on risk assets that had taken off on hopes of a further re-opening of the economies of many countries. Click here to read more on the forex markets .
Jobs, growth and sustainability at the heart of Indian economy: Gadkari
New innovations, decongestion of cities, and creation of sustainable jobs would be the way forward as India charts its way out of the pandemic. And none of these are impossible, said Nitin Gadkari, Union Minister for Micro, Small and Medium Enterprises and Minister of Road Transport.
Speaking at the launch of a study on ‘Jobs, Growth and Sustainability: A New Social Contract for India’s Recovery’ by the Council on Energy, Environment and Water (CEEW) and the National Institute of Public Finance and Policy (NIPFP), Gadkari said, “While (our) huge population is our strength, it can also be a liability; our demographic dividend is our strength, for, the youth are very talented,” urging the participants to leverage on our strengths.
Oil prices extend slump as US coronavirus cases climb
Oil prices fell on Friday, extending big losses from overnight as US coronavirus cases surged this week and raised the prospect of a second wave of the COVID-19 outbreak hitting demand in the world's top consumer of crude and fuel.
Brent was down $1.34, or 3.5 per cent, at $37.21 a barrel by 0701 GMT, having dropped nearly 8 per cent in the previous session. West Texas Intermediate was down $1.37 cents, or 3.8 per cent, at $34.97 a barrel, after slumping more than 8 per cent on Thursday. Click here to read more on the global oil markets .
HDFC slashes prime lending rates by 20 bps
Housing finance company HDFC has cut its retail prime lending rate on housing and non-housing loans, on which its adjustable rate home loans are benchmarked, by 20 basis points.
“The change will benefit all existing HDFC retail home loan and non-home loan customers,” HDFC said in a statement, adding that this is effective Wednesday.
This comes just days after State Bank of India cut its marginal cost of funds based lending rate (MCLR) by 25 basis points across all tenors.
Nifty call: Go short on rallies with stop-loss at 9,800
The Indian benchmark indices opened today’s session significantly lower on the back of negative cues from the Asian markets. The US market, which posted a significant loss yesterday, seem to have set the tone for today.
The Nifty spot and the Sensex spot indices, which opened substantially lower, have been recovering since the start of the session and the loss for today is now about 1.5 per cent. In Asia, the Nikkei index ended the day with a loss of 0.8 per cent, whereas the Hang Seng index is now trading lower by 1.4 per cent. Click here to read in full the Nifty call report .
GDP growth may dip this year: CEA
Decline likely to be limited if there is a recovery in H2
Sensex, Nifty off their morning lows
The benchmark indices, the BSE Sensex and NSE Nifty, recovered some of their early losses by midsession on Friday.
The Sensex was at 33,037, down 500 points or 1.49 per cent, while the Nifty was at 9,758, down 143 points or 1.45 per cent.
The top gainers on the Sensex were Bharti Airtel, Sun Pharma, Titan, Ultra Tech Cement and Asian Paints. The laggards were ONGC, IndusInd Bank, Axis Bank, Kotak Bank and Tech Mahindra.
All the BSE sectoral indices with the exception of telecom (up 1.27 per cent) were in the red. The banking, capital goods, IT and finance sectors were among the notable losers, dropping more than 2 per cent in the session.
Asia stocks slide as coronavirus fears return
Asian shares fell sharply on Friday and oil prices extended losses on growing concerns that a resurgence of coronavirus infections could stunt the pace of recovery in economies reopening from lockdowns, or even lead to fresh restrictions.
MSCI's broadest index of Asia-Pacific shares outside Japan slid 1.2 per cent, after a strong run-up in recent weeks. Australian stocks dropped 1.57 per cent, but shares in China erased losses to trade 0.03 per cent higher after Beijing's pledge to continue with capital market reforms.
US stock futures, the S&P 500 e-minis, rose 1.4 per cent in Asian time on Friday after tumbling overnight, but that did little to help sentiment. Click here to read more on the Asian markets .
Gold flat as dollar strength checks virus woes
Gold was flat on Friday as a stronger dollar offset diminishing risk appetite over concerns of a second wave of coronavirus infections and a protracted economic recovery, while the metal was on track for its first weekly rise in four weeks. Spot gold was unchanged at $1,727.72 per ounce, as of 0531 GMT. Bullion has risen about 2.5 per cent so far this week. US gold futures fell 0.4 per cent to $1,732.60. Click here to read in full the gold markets report.
India records over 10,000 new Covid-19 cases for first time
India recorded over 10,000 new Covid-19 cases in a day for the first time, taking the tally to 2,97,535, while the death toll rose to 8,498 with a record single-day spike of 396 fatalities, according to the Union Health Ministry data. Click here to read in full the report on Covid-19 cases in India .
Daily Rupee call: 76 holds the key for INR
The rupee (INR) began today’s session at 76.1 versus Thursday’s close of 75.78 against the dollar (USD). The local currency has slipped below the important support of 76 and if it sustains below this level, there could be a further decline today.
The immediate support levels for the rupee can be spotted at 76.3 and 76.5. On the other hand, if the local currency manages to strengthen, 76 can be a significant hindrance. Above that level, resistance can be spotted at 75.8. Click here to read in full the Daily Rupee Call report.
RBI moves in to strengthen governance in commercial banks
As part of its plan to strengthen the governance in commercial banks, the Reserve Bank of India (RBI) has proposed to restrict promoters from holding the CEO position for more than 10 years.
Rupee tanks 31 paise in early trade
The rupee tanked 31 paise to quote at 76.10 against the US dollar in early trade on Friday. The domestic unit has since turned a touch firmer at 76.0150.
The Indian unit closed Thursday's session at 75.79 to the dollar.
Sensex, Nifty trade in the red
The benchmark indices traded on a weak note in the morning session on Friday, after opening more than 2 per cent lower.
The Sensex was at 32,750, down 788 points or 2.35 per cent lower, while the Nifty was at 9,672, down 229 points or 2.32 per cent softer.
Bharti Airtel was the only stock in weakly positive territory on Friday. The laggards were indusInd Bank (down 6 per cent), ONGC, Axis Bank, ICICI Bank and L&T.
According to an agency report, witnessing a gap-down opening, the Sensex plummeted 1,100 points in early trade on Friday, tracking a massive global sell-off fuelled by concerns over the economic recovery and a second coronavirus wave in the US.
In the previous session, the BSE barometer tumbled 708.68 points, or 2.07 per cent, to close at 33,538.37, while the broader Nifty tanked 214.15 points, or 2.12 per cent, to 9,902.
On a net basis, foreign institutional investors sold equities worth Rs 805.14 crore in the capital market on Thursday, provisional exchange data showed.
According to analysts, negative cues from global markets, foreign fund outflows and rising coronavirus cases continued to hit domestic investor sentiment.
Stock exchanges on Wall Street sank up to 6 per cent in overnight trade as coronavirus cases in the US increased again, deflating recent optimism for a quick economic recovery.
The market mood was also dampened after Federal Reserve chief Jerome Powell signalled the US economy would take some time to bounce back from the Covid-19 crisis, analysts said.
Bourses in Shanghai, Hong Kong, Tokyo and Seoul plunged up to 2 per cent.
International oil benchmark Brent crude futures fell 1.53 per cent to $37.96 per barrel.
Globally, the number of cases linked to the disease has crossed 75 lakh and the death toll has topped 4.21 lakh.
In India, the death toll due to Covid-19 rose to 8,498 and the number of infections rose to 2.97 lakh, according to the Health Ministry (with inputs from PTI).
Safe-haven currencies gain on worries of lingering economic pain
The safe-haven Swiss franc and the yen held on to gains on Friday while the United States (US) dollar also held firm against riskier currencies after global stock prices tumbled on renewed doubts over the prospects of a quick recovery in the global economy. Click here to read in full the forex markets report .
Oil prices extend slump as US coronavirus cases climb
Oil prices slid early on Friday, extending heavy overnight losses on a surge in United States (US) coronavirus cases this week that has raised the prospect of a second wave of the outbreak slamming demand in the world's biggest consumer of crude and fuel. Click here to read more on the global oil markets .
Asian stocks set to fall sharply as Wall Street tumbles
Asian equities are set to fall sharply on Friday after Wall Street stocks and oil tumbled over growing concerns that a resurgence of coronavirus infections could stunt the pace of reopening economies.
The three major United States (US) stock indexes fell more than five per cent, posting their worst day since mid-March, when markets were sent into freefall by the abrupt economic lockdowns put in place to contain the pandemic. Click here to read in full the Asian markets report .
Dow sinks 1,800 as virus cases rise, deflating optimism
All 11 major S&P sector indexes fell, with energy and financials each down more than 2 per cent. File Photo
Stocks fell sharply Thursday on Wall Street as coronavirus cases in the United States (US) increased again, deflating recent optimism for a quick economic recovery and raising more doubts about how long the market’s scorching comeback can last.
The Dow Jones Industrial Average sank more than 1,800 points and the S&P 500 dropped 5.9 per cent, its worst day since mid-March, when stocks went through repeated harrowing falls as the virus lockdowns began.
Many market watchers have been saying that the comeback in the market since late March was overdone and did not reflect the dire state of an economy in its worst crisis in decades. Click here to read more on the US markets .
Opening bell
The benchmark indices, the BSE Sensex and the NSE Nifty, extended Thursday's weak sentiment into the last trading day of the week. The benchmarks opened Friday's session down nearly 2.5 per cent each.
Sensex was at 32,712, down 829 points or 2.46 per cent lower, while the Nifty was at 9,672, down 229 points or 2.32 per cent softer.
Day Trading Guide for Friday, June 12, 2020
₹968 • HDFC Bank
₹703 • Infosys
₹194 • ITC
₹86 • ONGC
₹1537 • Reliance Ind.
₹177 • SBI
₹2067 • TCS
9894 • Nifty 50 Futures
S1, S2 : Support 1 & 2; R1, R2: Resistance 1 & 2.
Today's Pick: Amara Raja Batteries (₹640.9): Sell
Investors with a short-term perspective can sell the stock of Amara Raja Batteries at current levels. Following a medium-term uptrend from the 52-week low of ₹350 seen in late March this year, the stock had encountered a key resistance at ₹680 in early June.
After testing this resistance early this week, the stock reversed direction triggered by negative divergence on the daily RSI. It fell 3 per cent on Thursday, breaking below the key base level at ₹650. Click here to read in full Today's Pick on Amara Raja Batteries
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