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Closing bell
The Sensex closed higher by 299 points or 0.83 per cent at 36,526.14 and the Nifty up 77.85 points or 0.71 per cent at 11,008.3 on heavy buying in IT, TECk, power and PSU stocks amid firm global cues.
Domestic sentiment was buoyed as the RBI announced open market operations to shore up liquidity. Trading sentiment was also boosted as the government has moved the National Company Law Tribunal for change of management at the crisis-hit IL&FS.
Positive manufacturing PMI data for September and healthy auto sales numbers also reassured investors.
HDFC closed 3.45 per cent higher and contributed to over a fifth of the NSE index's gains, while TCS gained 3.05 per cent. YES Bank Ltd was the top percentage gainer on the NSE index, closing 8.8 per cent higher.
As per provisional data, foreign institutional investors sold shares worth Rs 1,699.94 crore on Friday, while domestic institutional investors (DIIs) bought shares to the tune of Rs 3,256.34 crore.
Global markets
Optimism about a reconstituted free trade agreement among the United States, Canada and Mexico and what it could mean for trade relations elsewhere helped world markets kick off the fourth quarter of the year in a positive vein. Japan's Nikkei rose 0.5 per cent to a 27-year high and European stocks were up overall despite losses on Italian markets on political concerns. Read more
European markets
European shares rose as optimism on the trade war front was lifted by a new US-Mexico-Canada agreement, which is helping world markets enter the fourth quarter on a positive footing. Read more
BSE launches commodity derivatives contract
Ashishkumar Chauhan, MD and CEO, BSE
The Bombay Stock Exchange became the first stock exchange in the country to launch commodity derivatives contract in gold and silver. Till date, commodity derivatives contract are available only on MCX and NCDEX, the two specialised commodity derivatives exchanges in the country. Read more
Lupin inks pact with Eli Lilly
Lupin has announced a partnership with Eli Lilly and Company (India) to distribute Eli Lilly’s diabetes injection Aplevant in the country. The company shares were down 0.51 per cent at Rs 896.15 on the BSE. Read more
Pre-close trade
The Sensex was trading higher by 243.83 points or 0.67 per cent at 36,470.97 and the Nifty up 58.7 points or 0.54 per cent at 10,989.15 on heavy buying in IT, TECk, power and PSU stocks amid firm global cues.
Top five Sensex gainers were YES Bank, ICICI Bank, TCS, HDFC and State Bank of India, while the major losers were Bharti Airtel, IndusInd Bank, Axis Bank, Reliance and M&M.
Ashok Leyland sales up 26%
Hinduja Group flagship Ashok Leyland has reported 26 per cent rise in total sales at 19,373 units in September. The company had sold 15,371 units in the same month last year. The company shares were up 0.92 per cent at Rs 120.15 on the BSE. Read more
Marginal rise in M&M sales
Mahindra & Mahindra has reported 2 per cent increase in total sales at 55,022 units in September. The company had sold 53,752 units in the same month last year. M&M shares were down 2.06 per cent at Rs 843. Read more
L&T bags Rs 7,489 crore project
Larsen & Toubro has announced that its heavy civil infrastructure business has orders worth Rs 7,489 crore which includes two packages (1 and 4) of Mumbai Coastal Road Project developed by the Municipal Corporation of Greater Mumbai. Read more
Govt moves NCLT for management change at IL&FS
The government has moved the National Company Law Tribunal for change of management at the crisis-hit IL&FS. Debt defaults by certain group entities of diversified IL&FS have triggered fears of a liquidity crisis in the financial markets and the RBI has been taking steps to improve the overall cash situation. Read more
Sensex gainers, losers
Nifty gainers, losers
Domestic shares wiped off their initial losses and were trading flat on heavy buying in IT, TECk stocks amid firm European cues.
The Sensex was up 57.32 points or 0.16 per cent at 36,284.46 and the Nifty down 10.4 points or 0.1 per cent at 10,920.05.
Trading sentiment was buoyed as factory production improved a tad as September’s Purchasing Manager Index rose to 52.2 per cent from 1.7 per cent of August. This is the 14th consecutive month of expansion.
However, RBI's decision to buy Rs 36,000 crore ($4.95 billion) worth government bonds under its open market operations this month did little to sway the market sentiment.
“The RBI measures are not really sufficient to change the sentiment because even though it implies there would be lesser market borrowing, the fiscal deficit target remains the same,” said Dhananjay Sinha, head of institutional research at Emkay Global Financial Services.
European shares rose cautiously as optimism on the trade war front was lifted by a new US-Mexico-Canada agreement, which is helping world markets enter the fourth quarter on a positive footing.
At 0720 GMT, the euro zone benchmark was up 0.2 per cent with most European bourses and sectors trading in positive territory.
Nifty 50 October Futures (10,913)
A strong rally beyond 10,950 can take the contract higher to 10,970 and 11,000 in the near term. Key supports below 10,900 are placed at 10,874 and 10,855 levels. Vital resistances above 11,000 are at 11,030 and 11,050 levels. Click here to read more
Brent crude hits 4-year high
Brent crude oil prices hit their highest level since November 2014 ahead of US sanctions against Iran that kick in next month. Brent crude oil futures were trading at $83.24 per barrel at 0228 GMT, up 51 cents, or 0.3 per cent, their highest level since November 2014. Read more
Forex market
The dollar dipped against the Canadian dollar ahead of a looming deadline in Canada-US talks over reworking the North American Free Trade Agreement, while hitting a more than 10-month high against the yen. The Canadian dollar rose to a four-month high of $1.2837 before giving up some gains. Read more
Gold could oscillate within a range
Global spot gold ($1,191 per ounce) is currently getting support around $1,180. If it continues to trade above this support, an up-move to $1,205 and $1,210 is possible in the coming days. Broadly, gold can remain in a sideways range between $1,180 and $1,210 for some time. A breakout on either side of $1,180 or $1,210 will then decide the next move. Read more
The Sensex was trading lower by 103.10 points or 0.28 per cent at 36,124.04 and the Nifty down 57.7 points or 0.53 per cent at 10,872.75 on heavy selling in realty, capital goods, consumer durables and realty stocks amid mixed global cues.
Top five Sensex gainers were TCS, Infosys, YES Bank, Wipro and HDFC, while the major losers were Kotak Bank, Axis Bank, IndusInd Bank, Bharti Airtel and L&T.
The Reserve Bank of India today decided to buy Rs 36,000 crore($4.95 billion) worth government bonds under its open market operations this month. This comes after the RBI eased mandatory cash requirement rules for banks last week.
However, analysts feel that measures would do little to sway market sentiment.
“The RBI measures are not really sufficient to change the sentiment because even though it implies there would be lesser market borrowing, the fiscal deficit target remains the same,” said Dhananjay Sinha, head of institutional research at Emkay Global Financial Services.
“This means that the RBI will be looking to tap in other sources, which wont make much of a difference eventually.”
Kotak Mahindra fell as much as 12.2 per cent to its lowest since January on concerns RBI may clamp down on the bank for failing to bring down promoter stake as per regulations.
Bandhan Bank Ltd shares plummeted to lowest since their March debut after the RBI put curbs on its branch expansion and froze CEO pay for its failure to bring down main shareholder's stake to below 40 per cent.
Oil refiner Reliance Industries, down 3.4 percent, contributed to around a third of the NSE index's loss. Oil prices continued to surge with brent oil hitting a near four-year high.
Airline stocks took a hit after top refiner and marketer Indian Oil Corp hiked aviation fuel price for domestic airlines in metro cities by 6.8-7.4 per cent from October 1.
Jet Airways (India) Ltd fell as much as 9.3 per cent to a 9-1/2-year low, while Interglobe Aviation Ltd hit its lowest since February 2016. SpiceJet Ltd lost over 6 per cent. _ Reuters
Don’t diversify mindlessly
Diversification, one of the most used words in personal finance, is, perhaps, also one of the least understood. In this article, we discuss some issues associated with diversification. We also suggest a method to create an emotionally satisfying diversified portfolio. Click here to read more
CPSE ETF new index
The new index of the CPSE Exchange Trade Fund is likely to have shares of 11 state-owned companies, in place of 10 at present. The Finance Ministry, along with investment bankers, is currently in the process of rebalancing the ETF and the new index is likely to be ready by end-October. Read more
Bajaj Auto sales up 17%
Bajaj Auto has reported a 17 per cent increase in total sales at 5,02,009 units for September against 4,28,752 units in the same month last year. The company shares were up 0.11 per cent at Rs 2,690 on the BSE. Read more
Maruti posts marginal rise in sales
A worker is reflected on the body of a Maruti Suzuki car as he locks the door of another car at a Maruti Suzuki stockyard on the outskirts of the western Indian city of Ahmedabad May 2, 2014. A rally that's taken India's stock market to record highs faces a reality check as profits at some blue chips have been bolstered by non-operating items such as tax credits and investments, rather than by a revival in demand. To match INDIA-STOCKS/OUTLOOK REUTERS/Amit Dave (INDIA - Tags: TRANSPORT BUSINESS LOGO)
Maruti Suzuki India has reported a marginal growth in its domestic monthly sales for the month of September at 1.51 lakh units compared with 1.50 lakh units sold in the same month last year. The company shares were down 0.35 per cent at Rs 7,325 on the BSE. Read more
IL&FS Engineering, Transportation shares rally
Infrastructure company IL&FS has reiterated its three-pronged strategy to come out of the woods
Shares of IL&FS Engineering, and Transportation gained on group's restructuring plan to repay its liabilities. Shares of IL&FS Engineering and Construction Co surged as much as 16.9 per cent, while those of IL&FS Transportation Networks Ltd rose 9.3 per cent. Read more
Rupee slips to 72.84
The rupee weakened by 36 paise to 72.84 against the US dollar despite RBI’s plan to purchase government bonds worth Rs 36,000 crore to boost liquidity. The domestic unit had gained 11 paise to close at a one-week high of 72.48 against the US dollar on Friday. Read more
Domestic shares were trading lower on heavy selling in consumer durables, capital goods, realty and banking stocks amid weak global cues. Investors adopted a cautious approach ahead of RBI monetary policy meeting later this week, macroeconomic data and trend in crude oil prices.
The Sensex was down 136.29 points or 0.38 per cent at 36,090.85 and the Nifty down 60.35 points or 0.55 per cent at 10,870.10.
Top five Sensex gainers were TCS, YES Bank, Infosys, Wipro and HDFC, while the major losers were Kotak Bank, Bharti Airtel, Axis Bank, L&T and IndusInd Bank.
Spot gold falls to $1,189
Gold prices dipped on Monday, with the dollar holding steady after marking a near three-week high in the previous session. Spot gold was down 0.2 per cent at $1,189.22 at 0111 GMT. The metal fell 0.8 per cent in September, marking its sixth straight monthly decline and longest monthly losing streak since January 1997. Read more
Bharti Airtel hits 20-month low
Shares of Bharti Airtel today hit a 20-month low, and chart suggested more downside. The stock plunged as much as 4.64 per cent to Rs 322.85, its lowest since January 30, 2017. Read more
Bond yields drop sharply
Bond yields dropped sharply after the Reserve Bank of India said that it has decided to buy Rs 36,000 crore worth government bonds under its open market operations this month, in a bid to ease liquidity conditions in the market. Read more
Bandhan Bank plunges to all-time low
Bandhan Bank MD & CEO Chandra Shekhar Ghosh
Shares of Bandhan Bank Ltd plummeted to lowest since their March debut, after the central bank withdrew permission to open new branches and froze the chief executive's remuneration at the current level until further notice. Read more
Asian markets
MSCI's broadest index of Asia-Pacific shares outside Japan dipped 0.1 per cent in early trade, led by fall in Australia, though activity is likely to be slow due to holidays in China including Hong Kong. Japan's Nikkei gained 0.25 per cent though the Topix , broader and better gauge of the market, was down 0.2 per cent. Read more
Monetary policy, macro data eyed
The Reserve Bank of India’s policy meeting, macroeconomic data announcements, and the trend in rupee and crude oil prices would set the tone for the stock markets in a holiday-shortened week ahead. PMI data for the manufacturing and services sectors will also influence the trading sentiment. Read more
Domestic shares were trading lower on heavy selling in consumer durables, capital goods, realty and banking stocks amid mixed Asian cues. However, IT, TECk, power and metal stocks found investors' support.
The Reserve Bank of India’s monetary policy meet, macro economic data announcements and crude oil price movement are expected to be the key factors for market movements this week.
The 30-share BSE index Sensex was down 66 points or 0.18 per cent at 36,161.14 and the 50-share NSE index down 26.25 points or 0.24 per cent at 10,904.20.
Top five Sensex gainers were YES Bank, State Bank of India, Infosys, NTPC and PowerGrid, while the major losers were Kotak Bank, IndusInd Bank, Bharti Airtel, L&T and Axis Bank.
Consider bear put strategy in Maruti
The long-term outlook remains positive for Maruti Suzuki, as long as it stays above Rs 1,315. However, in the short-term, the stock can turn weak. Key support and resistance are placed at Rs 1,509 and Rs 1,670 respectively.
Traders could consider bear put strategy on Maruti Suzuki. This can be initiated by selling 1,500 put and simultaneously buying 1,600 put. They closed with a premium of Rs 14 and Rs 46.4 respectively. Maximum profit in this strategy is Rs 67.6 and the loss is Rs 32.4 a contract.
Minda Industries (₹354.3)
A strong rally beyond the key short-term resistance at ₹385 is needed to alter the downtrend and take the stock higher to ₹400 and ₹440 levels. You can wait and average the stock at ₹330 levels with a stop-loss at ₹290. Conclusive break-out of the upper boundary can take the stock up to ₹475 and ₹500 in the long run.
Essel Propack (104.5)
A conclusive fall below ₹100 will strengthen the downtrend and pull the stock down to ₹90 and ₹80 in the medium term. Next key supports below ₹80 are placed at ₹70 and ₹60. Investors with a long-term view can remain invested with a stop-loss at ₹67. On the other hand, a decisive rally beyond ₹115 can take the stock up to ₹125 levels.
Weekly trading guide
SBI (₹265)
SBI was range-bound between ₹261 and ₹274 and closed 1.8 per cent lower for the week. The bias remains negative and any intermediate bounce in the coming days could be short-lived. A strong break below ₹261 — the 200-week moving average — can take the stock lower to ₹255.
ITC (₹296.7)
ITC made a low of ₹289.5 last week and bounced from there. If the stock sustains above ₹290, an up-move to ₹305 and ₹307 is possible. A strong break above ₹307 will take the stock up to ₹317 or even ₹321 over the short term.
Infosys (₹727.8)
The price action over the past two weeks leaves the immediate outlook unclear for the stock. Key support is at ₹690 and resistance is in between ₹740 and ₹750. Infosys can remain in a broad sideways range between ₹690 and ₹750.
RIL (₹1,258.2)
A key support is at ₹1,242. As long as the stock remains above this support, an up-move to ₹1,280 is possible. A strong break and a decisive close above ₹1,280 will boost the momentum. Such a break will then pave way for a fresh rally to ₹1,350 or even higher levels.
Tata Steel (₹580.35)
The stock is poised above a crucial support level of ₹575. Whether Tata Steel bounces from this support or not will determine the next move. A bounce from ₹575 will ease the downside pressure. In such a scenario, an up-move to ₹605 or ₹615 can be seen in the near term.
Click here to view the full guide
9.15 am
Opening bell
The 30-share BSE index Sensex opened lower by 111.01 points at 36,116.13 against Friday's close of 36,227.14 and the 50-share NSE index Nifty down 49.25 points at 10,881.20 against 10,930.45.
9.05 am
Indices poisted at key supports
Investors should continue to tread with caution in the coming week as well. September month auto sales data can have an impact on the auto stocks. RBI’s monetary policy need a close watch.
Nifty (10,930.4)
The index currently tests a support at 10,900, and the next significant support is at 10,800, which could temporarily halt the decline. An upward reversal from these supports can lead to a corrective rally and take the index higher to 11,100 and 11,150 levels.
Sensex (36,227.1)
An emphatic break above 37,000 could strengthen the corrective up-move and extend it to 37,400 and 37,600 levels.
But a strong rally beyond 37,600 is required to alter the downtrend and take the Sensex up to 38,000 and 38,400 levels. Further rally beyond the 38,400 resistance level can take the index up to 38,800 and 39,000 over the medium term.
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