SENSEX GAINS 243 PTS, NIFTY CROSSES 18K; VIX DROPS BELOW 13 MARK

The domestic equity barometers ended with modest gains on Wednesday. The Nifty managed to close a tad above the 18,000 level after hitting the day`s low of 17,853.80 in morning trade. The gains were led by index heavyweight Reliance Industries. Metals and banks shares advances for the second straight session.

The barometer index, the S&P BSE Sensex advanced 242.83 points or 0.40% to 61,275.09. The Nifty 50 index added 86 points or 0.48% to 18,015.85.

Tech Mahindra (up 5.79%), Reliance Industries (up 2.22%) and ICICI Bank (up 0.62%) supported the indices.

In the broader market, the S&P BSE Mid-Cap index gained 0.69% while the S&P BSE Small-Cap index rose 0.36%.

The market breadth was positive. On the BSE, 1,705 shares rose and 1,774 shares fell. A total of 121 shares were unchanged.

The NSE`s India VIX, a gauge of the market`s expectation of volatility over the near term, tumbled 4.40% to 12.86.

Investor sentiment took a hit after stronger-than-expected U.S. inflation readings ramped up fears of more hawkish moves from the Federal Reserve. The U.S. consumer price index data for January showed that inflation remained resilient despite a slew of interest rate hikes by the Fed. Regional central banks are also expected to raise rates to keep up with the Fed, further tightening the liquidity conditions.

Economy:

India`s merchandise exports continued to drop in January 2023, falling to $32.91 billion from $35.23 billion in January 2022. Imports of goods, too, declined during January 2023, although at a lower rate to $50.66 billion from $52.57 billion in January 2022, as per the quick estimates issued by the Commerce Department on Wednesday. Goods exports in December 2022 stood at $34.48 billion. In the April-January 2022-23 period, exports increased 8.5 per cent to $369.25 billion while imports increased 21.89 per cent to $602.2 billion. Trade deficit in January stood at $17.75 billion.

Numbers to Watch:

The yield on India`s 10-year benchmark federal paper declined to 7.351 from 7.371 previous trading session.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 82.82, compared with its close of 82.78 during the previous trading session

MCX Gold futures for 5 April 2023 settlement shed 1.03% to Rs 56,167.

The US Dollar index (DXY), which tracks the greenback`s value against a basket of currencies, was up 0.22% to 56,167.

The United States 10-year bond yield fell 0.72% to 3.734.

In the commodities market, Brent crude for April 2023 settlement declined 83 cents or 0.97% to $84.75 a barrel.

Global Markets:

The Dow Jones index futures were down 81 points, indicating a negative opening in the US market today.

European shares rose across the board while most Asian stocks tumbled on Wednesday after the release of U.S. inflation data that came in hotter-than-expected. It further raised expectations that the U.S. Federal Reserve will continue to raise interest rates to curb inflation.

Meanwhile, U.K. CPI data showed inflation fell for the third month in a row January to hit 10.1%, according to the Office for National Statistics, below Reuters economists` expectations of 10.3%.

Wall Street stocks ended mixed on Tuesday after US consumer price data for January offered little to change expectations about the Federal Reserve`s path forward on interest rate hikes.

Inflation in the US continued to surge in January, with the latest data showing higher-than-expected increases both year-on-year and month-on-month. The US Bureau of Labor Statistics reported on Friday that the Consumer Price Index (CPI) rose by 6.4% from January 2022.

Stocks in Spotlight:

Gujarat Mineral Development Corporation (GMDC) surged 7.58%. The company`s consolidated net profit jumped 77.6% to Rs 266.12 crore in Q3 FY23 from Rs 149.82 crore in Q3 FY22. Revenue from operations increased 18.1% to Rs 855.41 crore in the quarter ended 31 December 2022 as compared to Rs 724.58 crore posted in the corresponding quarter previous year.

Oil and Natural Gas Corporation (ONGC) shed 0.64%. The company reported consolidated net profit of Rs 11665.24 crore in Q3 FY23 as compared to net profit of Rs 11636.67 crore in Q3 FY22. Total income increased to Rs 171041.32 crore from Rs 147854.38 crore.

Apollo Hospitals Enterprise jumped 5.16%. The company reported consolidated net profit of Rs 162.31 crore in Q3 FY23 from Rs 243.25 crore in Q3 FY22. Total income increased to Rs 4298.94 crore from Rs 3656.08 crore.

Reliance Industries advanced 2.22%. The Ahmedabad bench of NCLT approved the resolution plan jointly submitted by Reliance Industries and Assets Care & Reconstruction Enterprise for Sintex Industries.

Vodafone Idea rose 0.78%. The debt-ridden telco reported net loss of Rs 7,990 crore in Q3 December 2022, higher than net loss of Rs 7230.90 crore in Q3 December 2021. The company`s net loss stood at Rs 7,595.50 crore in Q2 September 2023. Net sales rose 9.2% year-on-year to Rs 10,613 crore in Q3 December 2022, aided by improvement in subscriber mix, tariff intervention and 4G subscriber additions.

ARPU (average revenue per user) improved to Rs 135, up 3.3% QoQ versus Rs 131 in Q2 FY23. On a YoY basis, ARPU witnessed strong growth of 17.4% aided by tariff hikes and migration of subscribers to unlimited plans.

PI Industries gained 2.62%. The company reported 58% jump in consolidated net profit to Rs 351.80 crore on 18.9% rise in revenue to Rs 1,613.20 crore in Q3 FY23 over Q3 FY22.

Biocon added 1.38%. The biopharmaceutical company reported a consolidated net loss of Rs 41.80 crore in Q3 FY23 as against a net profit of Rs 187.10 crore in Q3 FY22. Revenue from operations jumped 35.3% year on year to Rs 2,941.10 in the quarter ended 31 December 2022.

Biocon has entered into an agreement with Kotak Strategic Situations Fund for a structured funding up to Rs 1,200 crore.

GMR Airports Infrastructure rose 0.66%. The company reported consolidated net profit of Rs 105 crore in Q3 FY23 as compared to net profit of Rs 58 crore in Q3 FY22. Net revenue decreased to Rs 1253 crore from Rs 1320 crore.

Bata India fell 1.17%. The company reported consolidated net profit of Rs 83.10 crore in Q3 FY23 as compared to net profit of Rs 72.32 crore in Q3 FY22. Total income increased to Rs 907.8 crore from Rs 854.8 crore.

LT Foods rose 0.91%. The Competition Commission of India approved the acquisition of certain equity share capital of LT Foods Ltd. by Riyadh-based SALIC International Investment Corp.

Prestige Estates Projects advanced 3.35%. The company`s consolidated net profit surged 45.2% to Rs 127.80 crore in Q3 FY23 as against Rs 88 crore reported in the same period last year. Revenue from operations surged 74.5% year on year to Rs 2,317 crore in the quarter ended 31 December 2022.

Jindal Poly Films tumbled 7.58%. The company reported a consolidated net loss of Rs 96.63 crore in Q3 FY23 as against a net profit of Rs 217.98 crore in recorded Q3 FY22. Revenue from operations dropped 34.8% to Rs 886.65 crore in Q3 FY23 from Rs 1,359.18 crore posted in the corresponding quarter previous year

Powered by Capital Market - Live News