Indices rise for 6th day; Nifty above 17,600; Tata Motors jumps over 5%

Domestic benchmark indices ended with tiny gains on Monday, extending winning streak for sixth straight session. Auto, power, oil & gas and real estate stocks rallied. Buying was supported by positive quarterly business updates from auto and real estate firms. Overall gains were capped due to solid US job data, which raised fears of further rate hikes by the Fed. The Nifty 50 index managed to settle above 17,600 level.

The barometer index, the S&P BSE Sensex, was up 13.54 points or 0.02% to 59,846.51. The Nifty 50 index added 24.90 points or 0.14% to 17,624.05. In sixth consecutive sessions, the Sensex jumped 3.88% while the Nifty climbed nearly 4%.

Tata Motors (up 5.37%), Larsen & Toubro (up 1.51%), TCS (up 1.29%) and Infosys (up 0.37%) boosted the indices.

In the broader market, the S&P BSE Mid-Cap index gained 0.38% while the S&P BSE Small-Cap index rose 0.16%.

The market breadth was positive. On the BSE, 2,013 shares rose and 1,606 shares fell. A total of 162 shares were unchanged.

Meanwhile, the NSE`s India VIX, a gauge of market`s expectation of volatility over the near term, surged 4.02% to 12.27.

Monsoon Forecast:

Private weather forecaster Skymet expects the upcoming June-September monsoon to be `below normal` to the tune of 94% of the long period average (LPA). In January, Skymet had forecast the monsoon 2023 to be sub-par and now retains the same outlook.

Numbers to Track:

The yield on India`s 10-year benchmark federal paper rose to 7.225 from 7.219 in previous trading session.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 81.9800, compared with its close of 82.0200 during the previous trading session.

MCX Gold futures for 5 June 2023 settlement shed 0.13% to Rs 60,407.

The US Dollar index (DXY), which tracks the greenback`s value against a basket of currencies, was down 0.03% to 102.06.

The United States 10-year bond yield fell 0.11% to 3.379.

In the commodities market, Brent crude for June 2023 settlement added 5 cents or 0.06% to $85.17 a barrel.

Global Markets:

Stock markets in Europe and Hong Kong were closed due to a four-day Easter holiday till Monday.

Other Asian stocks ended mixed on Monday as some investors returned from a long Easter weekend.

Investors are in for a busy week of economic data, including the latest consumer price index and producer price index data - due out Wednesday and Thursday, respectively - which will be key in determining if or when the Fed will pause or put an end to its rate hiking campaign.

Employment data for March indicated the labor market remained tight last month. Nonfarm payrolls increased by 236,000 jobs in March, the Labor Department said. Data for February was revised higher to show 326,000 jobs were added instead of 311,000 as previously reported. The unemployment rate dipped to 3.5% from 3.6% in the prior month.

Stocks in Spotlight:

Tata Motors jumped 5.37%. The Tata Motors Group global wholesales in Q4 FY23, including Jaguar Land Rover (JLR), were at 3,61,361 units, higher by 8%, as compared to Q4 FY22.

Titan Company rose 1.23%. The Tata Group company announced that it witnessed healthy double-digit growth across its key businesses, reporting a revenue growth of 25% year on year (YoY). The rise in the revenue was mainly driven by higher growth contributions from watches & wearables and emerging businesses.

Bajaj Finserv added 0.10%. The company said that Bajaj Allianz Life Insurance Company`s total premiums aggregated to Rs 1,676.15 crore for the month of March 2023, up 0.24% YoY. Total premiums in the same period last year were Rs 1,672.18 crore.

Larsen & Toubro (L&T) gained 1.51%. The EPC major said that its hydrocarbon business, L&T Energy Hydrocarbon (LTEH), has secured a significant order under its AdVENT (Advanced Value Engineering and Technology) business vertical. As per L&T classification, the value of the significant project is Rs 1,000 crore to Rs 2,500 crore. The counter hit a 52-week high of Rs 2,319.65 in intraday today.

Oil and Natural Gas Corporation (ONGC) rallied 4.31%. ONGC announced that its board approved the acquisition of 23.04% stake in Mangalore SEZ (MSEZ) from IL&FS for cash consideration of Rs 40.32 crore.

Tata Power Company rose 0.31% after the company said that Asian Development Bank (ADB) has entered into an agreement with its distribution arm Tata Power Delhi Distribution (TPDDL) for subscribing to non-convertible debentures for Rs 150 crore.

Adani Power gained 1%. The power utility company announced that the Unit 1 of 800 megawatt (MW) capacity of the 2x800 MW ultra-supercritical power project of Adani Power (Jharkhand) (APJL), situated in Godda district in Jharkhand, has commenced commercial operations.

CreditAccess Grameen added 0.38% after the micro finance lender`s disbursements improved to Rs 7,171 crore in Q4 FY23, registering a growth of 24% as against Rs 5,792 crore reported in Q4 FY22. Sequentially, disbursements surged 48% in Q4 FY23 from Rs 4,847 crore posted in Q3 FY23. Assets under management (AUM) jumped 27% to Rs 21,032 crore in the quarter ended 31 March 2023 as compared to Rs 16,599 crore recorded in Q4 FY22 and 18% increase from Rs 17,786 crore in Q3 FY23.

Mahindra & Mahindra Financial Services shed 0.65%. The Reserve Bank of India (RBI) on Thursday (6 April 2023) imposed a monetary penalty of Rs 6.77 crore on Mahindra & Mahindra Financial Services for non-compliance with regulatory norms.

Century Textiles and Industries advanced 2.73% after the company`s wholly owned subsidiary, Birla Estate, has entered into the Pune residential real estate market by acquiring 5.76 acres of land in Sangamwadi, Pune. The land was purchased from Sudarshan Chemical Industries (SCIL).

Ethos gained 2.12% after the company said its billing (gross revenue) grew by 30.8% to Rs 242 crore in Q4 FY23 as against Rs 185 crore in Q4 FY22. Its billing (gross revenue) grew by 36.6% YoY to Rs 918 crore in FY23 as against Rs 672 crore in FY22.

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