Sensex, Nifty snap 2-day rising streak

Infosys breaks below support level

Shares of Infosys Ltd fell as much as 5.73 per cent to Rs 1268.1, its biggest daily percentage loss since April 16. The stock was the top drag on the NSE index, which ended down 20.15 points. Over 85,00,00 shares changed hands, more than double the 30-day average volume. The stock ended at Rs 1,286.50, down Rs 58.70 points or 4.36 per cent on the NSE. Read more

The Sensex broke its two-day winning streak to end about 71 points lower at 35,574.55 today, tracking losses across Asian peers ahead of imposition of US tariffs on Chinese exports. 

Index heavyweight Reliance Industries slumped 2.53 per cent after the conglomerate’s Chairman Mukesh Ambani unveiled a mega fixed-line broadband initiative and announced plans for an e-commerce platform that may rival the likes of Amazon.

Consumer durables, realty, IT, metal, teck, pharma, capital goods, power and oil and gas suffered losses as participants pulled money off the table. Unabated foreign fund outflows and a weak rupee added to the gloom, brokers said.

Asian stock markets mostly ended lower as caution crept in ahead of the July 6 deadline of imposition of US tariffs on Chinese goods.

After opening higher, the 30-share Sensex quickly slipped into the red, largely in line with weak Asian cues, and hit a low of 35,517.79. It finally finished at 35,574.55, down by 70.85 points, or 0.20 per cent. Intra-day, it touched a high of 35,748.26.

The index had climbed 380.99 points in the past two sessions, spurred by sustained buying by domestic institutional investors (DIIs), encouraging services PMI data for June and higher MSP for kharif crops.

The wider NSE Nifty too fell by 20.15 points or 0.19 per cent to end at 10,749.75. It shuttled between 10,726.25 and 10,786.05 during the session.

Meanwhile, on a net basis, foreign institutional investors (FIIs) sold shares worth Rs 284.58 crore, while DIIs bought shares to the tune of Rs 611.01 crore in yesterday’s trade, provisional data showed. -- PTI

DCM Shriram Industries today said that it has received a licence from the government for manufacturing about 3,500 unmanned aerial vehicles (UAVs), bullet proof vehicles and other products, annually.

In a regulatory filing, the company informed that it has got the ‘industrial licence’ for the life-time from the Arms Licence Authority under the Department of Industrial Policy and Promotion (DIPP). Read more

End of the road for the Nano?

Tata Motors’ small car Nano is inching closer towards the end of its journey with just one unit produced in June, although the company maintained that no decision has been taken yet on stopping its production. Read more

The Tata Nano

Near-term outlook is mixed for MCX-Lead

The Lead futures contract on the Multi Commodity Exchange (MCX) has fallen sharply in the past week. The contract faced resistance at around ₹168 and tumbled over 5 per cent to make a low of ₹159 per kg on Thursday. The contract has bounced slightly from this low and is currently trading at ₹163 per kg. Read more

Monsoon update

A cyclonic circulation over Interior Odisha and a fresh one over South Bangladesh would combine to act as the fulcrum around which the monsoon would revive in the next couple of days.

Rainfall is expected to increase over East India, adjoining Central and North Peninsular India in the bargain, India Met Department (IMD) said in the noon update. Read more

Tata Projects wins order

TATA Projects Ltd has announced that its ‘Smart Cities Business Unit’ has bagged the Bharat Net project contract in Chhattisgarh. The Rs 3,057-crore project involves laying an Optical Fibre Network that follows ring architecture with Internet Protocol - Multi Protocol Label Switching (IP-MPLS) technology. Read more

How kharif MSP has moved over 10 years

^{Prices in Rs per quintal *includes a bonus of Rs 200 per quintal (2017-18) #includes a bonus of Rs 100 per quintal}

Sterlite plant closure: NGT notice to TN, state pollution board

The National Green Tribunal (NGT) today sought a response from the Tamil Nadu government and the State Pollution Control Board on a plea moved by metals and mining giant Vedanta Ltd challenging the state government’s order to permanently close the Sterlite copper plant at Tuticorin. Read more

JLR says can't stay in UK in case of hard Brexit

Britain's biggest carmaker Jaguar Land Rover said a so-called “hard Brexit” would cost it 1.2 billion pounds ($1.59 billion) a year, curtailing its future operations in the United Kingdom. “We urgently need greater certainty to continue to invest heavily in the UK and safeguard our suppliers, customers and 40,000 British-based employees,” JLR's Chief Executive Ralf Speth said in a statement on Wednesday.

Shares in Tata plunged to their lowest in more than five years on Thursday, as investors turned jittery on the company, whose biggest business is JLR, which contributed nearly 77 per cent of its total revenue in the year ended March 31, 2018.

Read more

JLR joins a growing list of companies which have raised concerns about potential disruption to business post Brexit. File Photo

The Nifty call:

Buy on intra-day dips with fixed stop-loss at 10,760

The July contract started the session in negative zone, opening at 10,759 levels. After registering an intra-day low at 10,737, the contract bounced up, witnessing buying interest.  Read more

Shares of Maruti Suzuki India Ltd gained as much as 1.12 per cent to Rs 9,324.4, their highest since April 11.  Read more

 Reliance to launch fixed line broadband for homes, enterprises

After shaking the mobile telephony market with free voice calls and dirt cheap data, the richest Indian, Mukesh Ambani, today announced plans to launch ultra high speed fixed line broadband services for homes and enterprises. #RIL AGM Read more

 Petrol, diesel price hiked for first time in more than a month

Petrol and diesel prices were today hiked for the first time in more than a month on the back of rising international rates and weakening rupee. The increase of 16 paisa a litre in petrol and 12 paisa per litre in diesel came after an eight-day self-imposed hiatus in rate revisions by state-oil firms in anticipation of softening international rates due to the OPEC’s decision to raise output by 1 million barrels per day. Read more

Shares continued to trade lower in the post noon session with big names such as Infosys Ltd and Tata Motors Ltd losing ground while a looming deadline for imposition of US tariffs on China played on investors' minds.

Asian stocks fell and major currencies traded in tight ranges, with financial markets jittery before a US deadline to impose tariffs on Chinese imports just a day away.

“Investors are more circumspect about everything. Trade war-related issues can possibly pose nasty surprises if they are not reined in properly,” said Deven Choksey, founder, KR Choksey Investment Managers.

The broader NSE index was down 0.15 per cent or 16 points at 10,753.90 as of 12.30 pm , dragged down by Infosys which fell 4.2 per cent, after gains of nearly 7 per cent in June.

The benchmark BSE index was down 0.17 per cent or 59.91 points at 35,585.

Losers

Tata Motors was among the top percentage losers on the NSE index, falling to its lowest in over five years after unit Jaguar Land Rover said on Wednesday that a so-called “hard Brexit” would cost it 1.2 billion pounds ($1.59 bln) a year.

Titan Company Ltd fell as much as 5.6 per cent and was the top percentage loser after its bleak June-quarter update disappointed investors.

The Nifty IT index fell for the second consecutive session, down 1.2 per cent. It had risen 2.4 per cent in June.

Gainers

Among gainers, financials stocks continued to rise with Yes Bank Ltd rising the most on the NSE index. It gained 2.7 per cent after it got final regulatory approval from the Indian markets regulator to begin its mutual fund business.

Market heavyweight Reliance Industries Ltd edged 1 per cent higher after updates on its expansion plans for telecoms unit Jio during the company's annual general meeting.

Shares of Shriram Transport Finance Co Ltd rose as much as 4.3 per cent to Rs 1,194.35, their biggest intraday percentage gain since April 5. The group firm SVL Ltd has the wherewithal to honour repayment on non-convertible debentures (NCDs) guaranteed by it, STFC has said.

Shares of Future Lifestyle Fashions rose as much as 5.2 per cent to Rs 420 on Thursday. The company on Wednesday said it would invest about Rs 1,400 crore ($20.35 mln) in online fashion retailer Koovs Plc. This will give the company access to online fashion platform, something that had been missing from its portfolio, according to Jefferies analysts. Read more

Options indicate upside for Bank Nifty

The Bank Nifty index rose sharply on Wednesday as investors’ sentiment improved on reports of rise in June’s Purchasing Manager’s Index yesterday. After contracting in May, the Nikkei India Services Business Activity Index rose to 52.6 in June from 49.6 in May. Read more

The BSE Sensex slipped 41 points to 35,604.49  in morning trade today, following intense selling pressure in consumer durables, metal and realty stocks amid sustained capital outflows by foreign funds.

A deprecating rupee against the dollar also dampened the sentiment.

Asian markets were trading lower as investors look for direction amid growing global trade war tensions. Wall Street was closed for a public holiday.

US President Donald Trump’s new tariffs on Chinese imports deadline also affected investors’ sentiment world over, brokers said.

The 30-share index dropped 40.91 points or 0.11 per cent to 35,604.49. The gauge had gained 380.99 points in the previous two sessions.

Similarly, the NSE Nifty fell 8.75 points or 0.08 per cent to 10,761.15.

Sectoral indices led by consumer durables, metal, realty, teck, capital goods, healthcare and IT were trading in the negative zone, falling up to 2.51 per cent.

Eyes on Nath Bio-Genes as pledged shares revoked

Nath Bio-Genes (I) has informed the exchanges that promoters have released the shares they have pledged with ARCIL, the financial institution. The promoters had pledged those shares as security for loans. According to shareholding data available with the exchanges, of the 77.32 lakh shares, promoters had pledged 45.31 lakh shares as of March end. Following the settlement, no shares of the promoters are now pledged with ARCIL, the company said.

Nath Bio-Genes shares gained as much as 4.31 per cent to hit a high of Rs 488.55 on Thursday.

Epic Research

NBCC (Buy)

CMP: 67.65

Target: ₹99

NBCC (India), formerly National Buildings Construction Corporation, provides civil engineering construction services. The company operates through three segments: project management consultancy (PMC), real estate development, and engineering, procurement and construction (EPC). Read more

Mutual funds’ average AUM up 28% in June quarter

The average assets under management (AUM) of the mutual fund industry increased 28 per cent in the June quarter to ₹23.4-lakh crore against ₹18.3-lakh crore in the March quarter on the back of strong inflows through systematic investment plans (SIPs). Read more

 Allcargo’s promoter raises stake

The shares of integrated logistics company Allcargo Logistics rose 5.63 per cent on Wednesday after the company’s Chairman Shashi Kiran Shetty increased his stake through two block deals on Tuesday. Shetty purchased 24.7 lakh shares through open market transactions. Read more

China stocks mixed, yuan slips as RRR cut takes effect

Chinese stocks were mixed in early trading on Thursday and the yuan gave back some of its recent gains against the dollar as a targeted cut of reserve requirements for banks took effect and amid heightened China-US trade tensions. Read more

Markets are on edge ahead of Friday. File Photo

What to watch

Will technical tie-up drive Fiem Industries?

Fiem Industries on Wednesday signed a technical assistance agreement with Toyodenso Co and Toyota Tsusho Corporation, Japan, for manufacturing bank angle sensors (BAS) for motorcycles. The function of BAS is to stop fuel supply to the motorcycle engine at the time of an accident in order to reduce the impact of the accident. BAS is a safety sensor, which is being increasingly used by OEMs in motorcycles, and it will have an increasing market in India, says Fiem Industries.

The Sensex opened at 35,703.17 against 35,645.40 on Thursday. Similarly, the NSE Nifty opened at 10,786.05 against 10,699.90.

BLS International Services (₹174): Buy

Investors with a short-term perspective can buy the stock of BLS International Services at current levels.

Read more

Day Trading Guide For July 5

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

₹2103 • HDFC Bank

Click here for full technical view

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