Share Market Highlights: Sensex ends 110 points lower, Nifty at 12,968; L&T, SBI, Nestle, ITC top losers

Sensex, Nifty Highlights on November 27: Market indices closed bearish on Friday, subdued by weak global markets. Sensex ended 110 points lower at 44,149 and Nifty fell by 18 points to close at 12,968. Yesterday, Sensex ended 431 points higher at 44,259 and Nifty gained 128 points to 12,987. On the domestic key economic data, traders are awaiting the the July-September quarter gross domestic product data scheduled to be released later in the day by National Statistics Office. April-November fiscal deficit, October goods and services tax (GST) collections and October core sector data shall also be in focus.

Here's a look at the updates of the market action on BSE and NSE today

3.49 PM: Closing

Market indices closed bearish on Friday, subdued by weak global markets. Sensex ended 110 points lower at 44,149 and Nifty fell by 18 points to close at 12,968. Yesterday, Sensex ended 431 points higher at 44,259 and Nifty gained 128 points to 12,987.

3.33PM: Market outlook

Expressing views on market's  weekly outlook, Vinod Nair, Head of Research at Geojit Financial services said, "The market showcased a positive momentum and touched an all-time high level during the week mainly driven by reports of vaccine development & FII inflow. The volatility throughout the week was at elevated levels and witnessed weakness in the latter half leading to profit booking. The US markets inched to new highs during the week on hopes of vaccine development and ease in US political risks. However, European markets snailed through the week owing to extension of coronavirus restrictions. Market are awaiting outcome  major events like RBI policy meeting, release of Manufacturing and Service PMI and banking business data which will be decisive factors driving the market in the upcoming week"

3. 20 PM : Market update

During the week, Sensex and Nifty hgained by 267 points or 0.61% and 117 points or 0.91%, respectively.

3.09 PM: Manappuram Finance outlook

On technical outlook of Manappuram Finance, Reliance Research said,"The stock has given breakout from a bullish continuation pattern-Ascending Triangle. Its major technical indicators are positively poised. The stock has strength to surpass its short-term resistances and will explore uncharted territory. That could take the stock towards its breakout point of Rs 200 in next couple of weeks. In case of any decline, its recent support zone (Rs 155- Rs 153) will work as a key reversal point for the stock. Stop loss will trigger at Rs 153 (on closing basis) and will negate the long trade.

2. 48 PM: Market falls further

Market indices traded bearish on Friday, subdued by weak global markets. Sensex was trading 250 points lower at 44,030 and Nifty fell by 55 points to 12,932.

2. 35 PM: Key data release

On the domestic key economic data, traders are awaiting the the July-September quarter gross domestic product data scheduled to be released later in the day by National Statistics Office. April-November fiscal deficit, October goods and services tax (GST) collections and October core sector data shall also be in focus.

2. 20 PM: NTPC share gains today

Shares of State-owned company NTPC (National Thermal Power Corporation Limited) were trading as top gainers on BSE since Friday's early tradiong session.

NTPC is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages

NTPC stock has gaioned over 11% in the last 2 days of straight gains, . The stock value has gained 5.7% in one month. although, the stock price has erased 20% since the beginning of the year and 18% in one year.

The state-run conventional power generation firm has scheduled its buyback offer for next month. The company's nearly Rs 2276cr buyback will open on December 07 and will close on December 18, 2020.

2. 13PM: Market update

Market indices turned bearish by the first hour of session on Friday, amid mixed global equities. Sensex was trading 160 points lower at 44,070 and Nifty fell by 25 points to 12,959.

1. 55 PM: Maruti Suzuki outlook

Reliance Research said in its report," MSIL's sales volume is expected to be robust in Nov-Dec'20 considering healthy sales during the recently-concluded festive season. Share of first time buyers for SUVs has increased to 28% in FY20 from 12% in FY15. With gradual unlocking and easing of supply chain, the company is now operating at 85-90% capacity utilization level. Demand revival especially in rural and semi-urban markets on the back of strong Rabi and Kharif crops and relatively lower impact of COVID-19 in rural areas augurs well for the company. We expect refreshes and CNG variants of most models apart from new models are expected to fill the gap created by discontinuation of diesel variants."

1.30 PM: Gujarat Gas outlook

Yash Gupta Equity Research Associate, Angel Broking said," Gujarat Gas up by 7%, on positive market news of Open access restriction. As per the market news restriction on existing CNG outlets will not be there, restriction will be on new CNG stations. Key beneficiaries of this positive development will be Mahanagar Gas and Indraprastha gas both are locked at an upper circuit of 10%. PNGRB has extended the work target of the city gas distribution project. Extension will be of a total 129 days by taking into account a 69 days Lockdown period and another 60 days for Restoration period. We keep our "BUY" rating on Gujarat Gas.

1. 10 PM : Rupee rises by 11 paise to 73.77

Indian rupee, the domestic currency benchmark, appreciated by 11 paise to 73.77 per US dollar on Friday's opening session amid sustained foreign fund inflows and weak American currency.

The domestic unit opened at 73.80 against the US dollar at the interbank forex market, and gained ground by 11 paise over its previous close to touch 73.77 against the greenback.

On Thursday, the Indian rupee closed 3 paise higher at 73.88 per dollar, tracking positive domestic equities and sustained foreign fund inflows.  

Rupee rises by 11 paise to 73.77 amid weak dollar, sustained foreign fund inflows

12. 58 PM: YES Bank gains nearly 4% after 2 days of decline

Shares of YES Bank were trading almost 4% higher on Friday's trade after 2 days of consecutive fall.

YES Bank share price opened higher at Rs 14.25 today and hit an intraday high of Rs 14.63, rising 3.9%. The stock also fell to the day's low of Rs 14.10 earlier in today's session on BSE.

Yesterday, YES Bank closed lower at Rs 14.15, led by profit booking. The stock of the troubled lender has quoted a 52-week high of Rs 178 and a 52-week low of Rs 5.65.

12. 48 PM: Top losers and gainers

PowerGrid, Reliance Industries and TCS were among the top laggards in the Sensex pack. Meanwhile, NTPC, Bajaj Auto, Maruti, Tech Mahindra, L&T, Asian Paints and Bajaj Finance were among the top gainers today.

12. 34PM: Cadila's share hits 52-week high

Cadila Healthcare share price touched a fresh 52 week high in early trade today after Zydus Cadila said it would apply for Phase 3 clinical trials of its experimental COVID-19 vaccine in December and plans to launch it by March 2021.

The stock opened with a gain of 4.42% at Rs 441 against previous close of Rs 422 on BSE. Later, the stock touched an intraday high of Rs 452.45, rising 7.13%.

The stock has gained 7.28% in last 2 days. Cadila Healthcare share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.

Cadila's COVID-19 vaccine by March 2021? Share hits 52-week high

12. 12PM: Burger King India IPO

Burger King India, a quick service restaurant chain, is expected to launch its initial public offering (IPO on December 2. The share sale, which will close on December 4, will be held in a price band of Rs 59 to Rs 60 per share. Shares will be available in a lot size of 250 shares and thereof. The company plans to raise Rs 810 crore through the share sale at the higher end of price band.

Burger King India to launch IPO on December 2, price band at Rs 59-60 per share

12. 03 PM: Future Retail share falls 5%

Future Retail share tumbled another 5% in early trade today amid reports that Vistra ITCL, an independent corporate trustee, has invoked shares amounting to 6.61 per cent stake in Future Retail Ltd. Share of Future Retail hit lower circuit of 5% and fell to Rs 82.35 against previous close of Rs 86.65 on BSE.

The small cap stock has lost 9.7% in last two days. The share has fallen 74.93% in one year and lost 75.92% since the beginning of this year. However, in a week, the share has gained 14.61%.

Future Retail share falls 5% for second straight session

11. 45 AM: Top losers and gainers

 ICICI Bank, Airtel, Infosys, M&M were among the top losers today. On the other hand, Kotak Bank, NTPC, Maruti were among the top gainers

11. 30 AM: Nifty technical outlook

Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking) said," The November series has been the historical one for our markets as we saw two key indices, Nifty and Bank Nifty clocking sizable gains over 11% and 22%, respectively. In the midst of all this, Nifty surpassed it's previous record high and reached the milestone of 13000. Clearly, FIIs have been the charioteer of this mesmerizing rally as they relentlessly pumped money into our market to mark the biggest single month inflows over Rupees 50000 crores. Now, coming back to the levels, 13040 - 13146 remains to be an immediate resistance zone; whereas on the lower side, 12900 - 12868 - 12790 can be seen as a cluster of supports. With yesterday's move, 12790 - 12730 has become a sacrosanct support, till the time it is not breached convincingly, one should trade with a positive bias. "

11.26 AM: Jubilant Foodworks outlook

Geojit Financial Services said in its note," JFL posted standalone revenue of Rs. 806cr in Q2FY21 (-18.5% YoY; +111.8% QoQ), due to muted growth in Dine-in channel. System sales recovery for Q2FY21 stands at 82.3% YoY, whereas Like-for-Like sales recovery stands at 86.9%. EBITDA Margin expanded by 287bps YoY to 26.7%. Margin improvements can be attributed to flat input costs, lower discounts and introduction of delivery charges. Outlook improves with the ongoing growth momentum across delivery and take-away channels and expected recovery from Dine-in. Therefore, we upgrade our rating on the stock to ACCUMULATE with a revised price target of Rs. 2,830 based on 63x Dec 2022E adj. EPS."

We are expecting Burger King IPO issue to open next week. Burger King is the fastest growing international QSR chain in India during the first five years of their operations based on the number of restaurants. (Source: Technopak). Their master franchisee arrangement provides them with the ability to use Burger King's globally recognised brand name to grow their business in India. The Burger King brand is the second largest fast food burger brand globally as measured by the total number of restaurants, with a global network of over 18,000 restaurants in more than 100 countries and U.S. territories as at June 30, 2019.

11. 20 AM: Market update

Market indices turned bearish by the first hour of session on Friday, amid mixed global equities. Sensex was trading 160 points lower at 44,070 and Nifty fell by 25 points to 12,959.

11. 13 AM: Burger King IPO

Keshav Lahoti-Associate Equity Analyst, Angel Broking said," Burger King is growing rapidly in India, revenue of the company increased from Rs. 230 cr in FY17 to Rs. 633 cr in FY19. On the other hand, the company has reduced its losses from Rs. 72 cr to Rs. 38 cr from FY17 to FY19. Burger King peer Jubilant Foodworks is currently trading at 8.7 EV/sales on FY20 basis. We believe Burger King won't get such a premium valuation as Jubilant Foodworks as it does not have a profitability track record like Jubilant, its outlets are young and we believe majority of the Indian people prefers Jubilant - Pizza over burger sold by Burger King."

11.02AM:Indian Oil and Gas sector

On Indian Oil and Gas sector update - Dayanand Mittal from JM Financial Institutional Securities Limited said," Government has notified regulations for: a) open access in CGD sector; and b) unified tariff for gas pipeline network. The notified open access regulation is a big positive for IGL and MGL as it has disallowed OMCs' existing outlets (which sell CNG) to compete with CGD companies to incentivize creation of additional infrastructure. Hence, this has significantly reduced competitive threat from OMCs for IGL and MGL's key CNG business. We re-iterate our preference for CGD companies due to its structural volume growth and strong pricing power - IGL continues to be our top pick due to its superior volume growth visibility (followed by Gujarat Gas). Further, unified tariff for gas pipeline was also notified. This is likely to be revenue neutral for gas companies; we maintain BUY on GAIL and GSPL."

10. 56 AM: Automobile sector outlook

On the auto sector, JM Financial Institutional Securities Limited said," Metals form a significant raw material for auto OEMs and the pure exposure to the commodity basket is c.10-20% of net sales. A long-term historic trend suggests that a 1% change in domestic steel prices impacts OEM margins by 10-20bps. As OEMs have 3-6 months contracts, commodity price changes reflect in RM with a lag of 1-2 quarters. After a dip in steel/aluminium prices during COVID-19 related lockdown, prices have surged significantly crossing the pre-Covid levels. Based on the recent trend, we believe, 3Q gross margins to be adversely impacted by c.100bps QoQ. With CMP of metals c.30% higher vs. 1QFY21 avg., we expect 4Q gross margin to be further impacted by c.200bps QoQ. OEMs (especially 2W) have recently taken few rounds of price increases post implementation of BS6. Our latest 2W channel checks suggests that BS6 price hikes have started to weigh on the demand (affordability) and volume tailwinds (pent-up demand, restocking and personal mobility) are fading. In such scenario, we believe it will be difficult for 2W OEMs to take further price increases to pass on high commodity prices. PV demand remains buoyant along with low channel inventory providing room for lower discounts and price increase. Cost optimisation during the Covid-19 period may be able to mitigate RM inflation to a certain extent. Maruti remains our preferred pick in PVs while the risk-return trade-off is unfavourable for 2W OEMs."

10. 49 AM: Nifty outlook

On markets opening --Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments said,"The resistance level for the Nifty is at 13050 and if we can cross that, we could head to 13200 by next week. A strong support lies at 12800 and thereafter at 12500. It is only post the breaking of 12500 that we would consider a short term correction. Until then, the trend remains bullish with a strong upside momentum."

10. 38 AM: Market outlook

Geojit Financial said in its note,"Despite a brief penetration of 12850 identified yesterday as a downside marker, traders gave it the respect it deserved, lifting prices higher in the second half. 13000 slowed down proceedings as expected, and a certain deal of resistance is expected today as well from this level, though we will have a watchful eye on the potential for a vertical rise to 13400 should 13000 is overcome convincingly. The chances of the same today looks limited though."

10. 27 AM:Global markets today

Asian markets are trading flat as participants reacted to Chinese Industrial profits data and news on vaccine development by Oxford-AstraZeneca.

US markets were closed yesterday on account of Thanksgiving Day. However, Dow and S&P500 futures are trading negative.

European markets closed flat as investors took a breather after the recent global upmove.

10. 18 AM: Nifty technical update

Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said,"Markets are likely to consolidate around the current levels in the short run. However, in the medium term, markets are likely to turn increasingly volatile. Valuations are high and therefore upside is limited. Stick to bluechips, particularly in performing sectors like IT and financials. If Sensex moves beyond 45000, increase cash levels. Invest in mid-small-caps through mutual funds. Macro data indicate better than expected recovery in the economy"

10.06 AM: JSW Steel outlook

As per Reliance Research, the stock has failed to give the desired action post our short call. The breakout of double top has extended the up move to scale an 52 week high. Therefore we recommend to exit as it triggers our stop loss levels.

9. 56 AM: Stocks to watch today on November 27

Larsen & Toubro, M&M, Indiabulls Real Estate, Gillette, United Spirits among others are the top stocks to watch out for in Friday's trading session

Stocks in news: Larsen & Toubro, M&M, Indiabulls Real Estate, Gillette, United Spirits

9.44 AM: Global markets today

Nervousness weighed on investors due to the questions about the effectiveness of possible coronavirus vaccine after data errors were revealed. Worries that US states and European governments are reimposing controls on business and travel as infection rates surged also weighed on investor optimism. Meanwhile, US Congress is deadlocked on a possible new aid plan.

9. 37AM: Dabur outlook

Reliance Research in its note said," Dabur made multiple attempts to surpass Rs530 - Rs540 levels, but failed to post a decisive close above the same. This lead to trend line breakdown which has added negative tone to the trend. We recommend exiting long positions at the current levels of Rs497."

9. 23 AM: Opening session

Market indices opened on a flat note on Friday, amid positive global equities. SGX Nifty on the Singapore Exchange was rising by 10 points, indicating positive trend in domestic grounds today. Sensex was trading 27 points higher at 44,286 and Nifty gained by 18 points to 13,001.

9.14 AM: Market outlook

As per Reliance Research, "NSE-NIFTY extended loss post a bearish formation, but later due to lack of follow-up selling interest the index turned upwards from 12,800 mark and bounced to 13,000 level. Yesterday, strength in the Asian markets supported a late trade recovery for the Indian bourses. On the daily chart, the index has formed a bullish hammer pattern. Despite late trade recovery, our near-term bearish view will remain intact on the index. On the lower side, the index will initially find support at 12,700 and then at 12,600 levels. However in case of rebound, its life-time-high (13,146 mark) will cap the up-move.

As for the day, support is placed at around 12,846 and then at 12,704 levels, while resistance is observed at 13,073 and then at 13,159 levels."

9.02 AM: FII action

Foreign portfolio investors (FPIs) bought shares worth Rs 2,027.31 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 3,400.10 crore in the Indian equity market on 26 November, provisional data showed.

8. 50 AM: Global market update

Overseas, Asian markets were trading little changed on Friday as investors react to key economic data and after questions were being raised over AstraZeneca's vaccine candidate, for which the firm said combined results revealed it to be 70% effective. US financial markets were closed on Thursday for the Thanksgiving holiday.

On the domestic key economic data, the National Statistics Office will release the July-September quarter gross domestic product data today, 27 November 2020. Besides this, April-November fiscal deficit, October goods and services tax (GST) collections and October core sector data shall also be in focus.

8. 40 AM: Rupee closing

On the currency front, the Indian rupee closed 3 paise higher at 73.88 per dollar, tracking positive domestic equities and sustained foreign fund inflows.

8. 30 AM: Closing

Benchmark indices reversed the trend and closed higher amid strong opening in European markets on Thursday. After a volatile trading session amid November series expiry day, Sensex ended 431 points higher at 44,259 and Nifty gained 128 points to 12,987. Yesterday, Sensex ended 694 points lower at 43,828 and Nifty fell by 196 points to 12,858.

Sensex closes 431 points higher, Nifty at 12,987 on F&O expiry; banking, financial stocks shine