Share Market Highlights: Sensex ends 11 points lower, Nifty at 11,194; Axis Bank, Hindalco, SBI top losers

Sensex, Nifty Updates: Sensex and Nifty, domestic market benchmarks, reversed from earlier losses and ended on a flat note on Friday, amid weak global equities. Sensex ended 11 points lower at 38,128 and Nifty closed 21 points lower at 11,194. Domestic market indices continued trading lower, in line with weak Asian cues, as investors sentiments were cautious amid rising numbers of coronavirus cases worldwide. Meanwhile, ITC, Asian Paints, Ambuja Cements, JSW Steel, GHCL, TCI Express, Welspun India are among the top companies that will be reporting their April-June quarterly earnings.

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

4.08 PM: Real estate sector update

Speaking on the Outlook for Real Estate sector, Yash Miglani, MD, Migsun Group said, "The past lockdown times made the shift of traditional to digital extremely swift for so many developers and real estate regulatory bodies. It became the need of the hour to not just continue sales but maintain the buyer's overall trust and confidence in the sector. Changes that are likely to occur in the coming year would include adoption of more automation and immersive technology for attracting and satisfying buyer's inquisitiveness towards their property. The response of buyers have been positive even during the lockdown with ongoing discount drives and lucrative offers, we managed to record a sale of INR 252 crores. It is an indication to us that we must evolve our processes and outlook as per the new smart buyer and their preferences. Social media and applications are useful tools to expand our reach in a cost-efficient way; such tech upgradations and adaptability are helpful in presenting a fair picture to the investors as well."

3. 44 PM: Closing

Sensex and Nifty, domestic market benchmarks, reversed from earlier losses and ended on a flat note on Friday, amid weak global equities. Sensex ended 11 points lower at 38,128 and Nifty closed 21 points lower at 11,194.

3. 37 PM: Market quote

Commenting on today's flat session, Vinod Nair, Head of Research at Geojit Financial Services said,"Inspite of negative global cues and profit booking in the beginning of trade, Indian indices overcame a negative start to finally end the day flat with a negative bias. Reliance Industries stock performance boosted the benchmark indices and helped limit further losses, while financials led the losses. The record virus infections in India have also unsettled investors, with its related delay in business and earnings recovery. Global markets were also affected on account of rising US-China tensions. Markets head into the weekend with this uncertainty in mind, after a quid pro quo from the Chinese government. Any further developments in this front will impact trade for next week".

3. 23 PM: Global markets decline

Worsening China-U.S. friction, worries over aid to Americans and U.S. businesses and a stumble on Wall Street combined to push world shares lower on Friday.

Germany's DAX fell 2.2% to 12,814.51, while the CAC 40 in Paris skidded 2.1% to 4,928.63. Britain's FTSE 100 shed 1.5% to 6,118.53. U.S. markets looked set for a downbeat opening, with the future for the S&P 500 trading 0.5% lower. The future for the Dow industrials also was down 0.5%.

Global markets slip amid rising US-China tensions; Shanghai Composite loses 4%

3. 16 PM: Market weekly review

On weekly market review, Hemant Kanawala, Head-Equity, Kotak Mahindra Life Insurance said," Shrugging of the weakness seen last week, markets rallied sharply with Nifty returning 4 .8% and Midcap index rising 2.6% on the back of 1) far stronger than anticipated results in Q1FY21 from banks; 2) return of foreign flows (USD 442 million over the last week) 3) news relating progress in government disinvestment (BPCL) and foreign investment commitments (Jio platforms, Google announcement)."

He added," On macro front, European Union countries agreed on a USD 857 bn stimulus package sending strong signal of solidarity. The deal was notable because for the first time European countries agreed to raise large sums by selling bonds collectively, rather than individually. The announcement of the package has considerably eased risk of a deep recession in Eurozone. This deal and the uncertainty regarding the extension of the Relief Package is adding to the pressure on the US Dollar. Dollar Index has declined by 7.7% since its recent peak in March-20. "

On sectoral performane, he said,"Energy (8.8%) and banks (7.2%) have seen strong performance over the last week. News relating to progress in BPCL disinvestment and continuing investor interest for JIO platforms (subsidiary of Reliance Industries, classified under Energy) has pulled energy sector performance strongly. Banks, especially private banks, that have declared results so far have indicated much lower impact due to loan moratorium provisions, infusing positivity into the sector.  Pharma  (-0.3) and FMCG (-0.3) having had a strong run up until now have had a breather last week, remaining flat."

3.00 PM: Market erases losses

Sensex and Nifty, domestic market benchmarks, reversed from earlier losses and traded on a flat note on Friday, amid weak global equities. Earlier at openibg bell, Sensex traded 384 points lower at 37,755 and Nifty fell 111 points lower to 11,104, tracking heavy selloff in overseas markets,

2.41 PM: Asian Paints share trading lower ahead of Q1 earnings

Share price of Asian Paints lost over 2% ahead of the firm's Q1 earnings set to be announced later in the day. Asian Paints share price fell up to 2.57% to Rs 1,683 against previous close of Rs 1,727 on BSE. Asian Paints share is trading higher than 50 day and 100 day moving averages but lower than 5 day, 20 day and 200 day moving averages.

Asian Paints share trading lower ahead of Q1 earnings

2. 36 PML: Oil falls today

Brent crude futures, the global oil benchmark, rose 0.39 per cent to USD 43.48 per barrel.

2. 19 PM: Gujarat Gas update

Centrum broking in its stock note said," A recent National Green Tribunal (NGT) order and a recent Petroleum and Natural Gas Regulatory Board (PNGRB) order are both positive for Gujarat Gas (GGL) and can deliver meaningful volume delta to GGL over the next 3-4 years, which can help ease the impact of the imminent open access regulations, even as we maintain that the vulnerability of GGL to the open access rules.

With these events and the on ground feedback on recovery volume estimates can see further upside risks, underpinning our positive stance. (Buy, TP: Rs340)

2.06 PM: Larsen & Toubro Q1 update

Centrum Broking in its stock report said," L&T's Q1FY21 earnings were below estimates led by lower margins and higher interest costs. Reported PAT declined 79.4% yoy to Rs 3 billion after including pre-tax gain of Rs 2.25 billion from sale of wealth management business. Order backlog (OB) grew 3.8% yoy to Rs 3.05 trillion. NWC rose to 26.8% of revenue due to sharp fall in core revenues, inflating the measurement. Infrastructure margins remained stable at 6.3% (down 10 bps yoy) led by lower input costs and other cost control measures.

Even as L&T's Q1FY21 execution remained impacted and order inflows fell sharply, its OB remained stable at Rs3.1trn (3.2x TTM core revenues). Given its diversified presence, proven execution capabilities and strong balance sheet, we expect L&T to consolidate its leadership position further and be well-placed for recovery. We value L&T on SOTP basis at Rs 1,124 with E&C business valued at 17x FY22E earnings. Maintain Buy.

1. 44 PM: Market update

Nifty and Sensex have gained more than 33% each since India first went into lockdown in late March

1. 36 PM: Biocon Q1 reuslts

Biocon reported a 28% drop in net profit to Rs 149 crore during the quarter to June on the back of higher research and development (R&D) spend coupled with lower profit share in the biosimilars business.

The Bengaluru-headquartered biopharma company's revenue was up 14% at Rs 1,690 crore during the quarter. Biocon said it plans to carry out a phase IV trial in 200 Covid-19 patients to know the therapeutic efficacy of Itolizumab across the country in 10-15 hospitals.

Biocon's net profit nosedives 28%; reaches Rs 149 crore in Q1

1. 14 PM: YES Bank declines for the sixth session

Shares of YES Bank were trading lower for the sixth consecutive session on Friday and fell almost 8%, so much so that exchnages BSE and NSE revised the circuit limit for the stock to 10% from 2% earlier.

Shares of YES Bank fell 6.44% in opening trade today and later fell 7.8% to hit a day's low of Rs 13.6 on both the bourses. With this, the YES Bank has overall fallen 30.56% in the last six days of consecutive fall.

YES Bank share price falls for 6th day; circuit limit revised to 10%

12. 56 PM: Market Update

Sensex was trading 270 points lower at 37,893 and Nifty was trading92 points lower at 11,123.

12. 36 PM: Result updtae on HDFC AMC

Commenting on HDFC AMC- Q1FY21results, Jaikishan Parmar, Sr. Equity Research Analyst - BFSI said," HDFC AMC AUM QAAUM declined by 2%/4% YoY /QoQ, as an investor of mutual fund, has withdrawn investment in the recent rally. Revenue plunged 18% YoY primarily owing to a reduction in an equity-oriented scheme in AUM and declined in AUM. As equity-oriented schemes are the higher-yielding products. PBT compressed 12% YoY lesser than revenue owing to jump in other income and controlled opex. However, PAT grew by 4% YoY due to lower tax.

Correction in the equity market has negatively impacted HDFC AMC AUM and earning. We expect HDFC AMC to consolidate for mid-term, as it is trading at 42x of TTM earning which we believe is a bit higher considering the moderate performance of the HDFC AMC MF scheme and subdued investor sentiment. On M.Cap to QAAUM basis It trades at 14.9%, while Nippon AMC trades at 9.4%. We prefer Nippon AMC over HDFC AMC considering g lower valuation, change in ownership and new management preference profitability over growth."

12. 15 PM: Rupee falls today

Indian rupee, the local currency benchmark fell 23 paise to 74.98 per dollar on Friday's opening session, tracking weak domestic equities and strengthening of US currency.

Where steady crude oil prices and foreign fund inflows supported the rupee, factors like strong dollar, bearish domestic equities and rising COVID-19 cases kept sentiments weak.

Rupee slips 23 paise to 74.98 amid strong US dollar, weak equities

11. 57 AM: Radico Khaitan result update

Commenting on 1QFY21 results of Radico Khaitan, Amarjeet Maurya, AVP - Mid Caps, Angel Broking said,"1QFY2021, Radico Khaitan (RKL)'s net sales de-grew by ~34% to Rs409cr (volume declined by ~43% yoy). Top-line was negatively impacted due to the nationwide lockdown. However, the company has outperformed the industry during the quarter. On the operating front, the company reported margin improvement (up by 242bp YoY to 18.5%), primarily on account of better price realization (due to a favorable state & product mix), increased traction in the exports division and recently received price increase in one key state. The reported net profit de-grew by ~20% YoY to Rs44cr due to lower sales. Radico Khaitan continues to focus on further strengthening its premium products portfolio through new launches and ongoing marketing investments. We currently have a POSITIVE view on the stock."

11. 36 AM: CRISIL update by Centrum Broking

Centrum Brokin gin its stock note said," CRISIL's Q2CY20 overall results were a beat on the revenue front as all three segment revenues surprised positively though opex saw a sequential spike that led to a miss on consolidated PAT. Revenue beat was mainly led by research/ratings that rose by 17.6%/10.1% YoY. Excluding Greenwich, the research segment de-grew by 1.1%. Other income was down 1.0% YoY to Rs121mn (vs. est. of Rs172mn). Overall PAT for the quarter was a miss at Rs663mn that included Greenwich loss and excluding the same consolidated PAT was up 28.5% YoY. We like CRISIL owing to its global presence, strong parentage, diversified business profile and geographic spread though recent price appreciation leaves limited upside. Change rating to ADD and raise TP to Rs1840.

11. 13 AM: Coronavirus toll

Worldwide, the number of cases linked to COVID-19 has crossed 1.54 crore and the death toll has surpassed 6.32 lakh. In India, the death toll due the disease rose to .30 lakh and the number of infections stood at 12.87 lakh.

11. 03 AM: Top losers and gainers

HDFC, followed by Axis Bank, Asian Paints, SBI, ICICI Bank, Kotak Bank, IndusInd Bank and HDFC Bank. On the other hand, Sun Pharma, Reliance Industries, Tech Mahindra and Infosys were among the gainers.

10. 55 AM: Gold futures rise today

Tracking heightened buying sentiment from overseas commodity markets, Gold August futures on MCX were trading 40 points higher at Rs 50,739 per 10 gm today against the previous close of Rs 50,700 per 10 gm. Gold August Futures today touched an intraday high of Rs 50,870 and a low of Rs 50,725 today, after opening at Rs 50,809 per 10 gm. Gold Futures hit another lifetime high of Rs 50,936 per 10 gm in the previous session.

The continued volatility in global equity markets has also led to Gold October futures (on Multi Commodity Exchange) were trading Rs 51,129 per 10 gm today, hitting a lifetime high of Rs 51,251 per 10 gm recently.

Gold price trades near record high; silver eases on profit-booking

10. 35 AM: Silver Futures ease on profit booking

On the contrary, Silver September futures fell by Rs 300 to trade at 60,882  per kg today, after hitting a lifetime high of Rs 62,400 earlier this week.

10. 17 AM: RIL hits fresh high

Share price of Reliance Industries Ltd (RIL) on Friday scaled the Rs 2,100 mark amid broader indices trading in the red. The surge in the market heavyweight came amid report that Amazon.com Inc was in talks to buy a 9.9% stake in Reliance Retail. RIL share rose to an all-time high of Rs 2149, a gain of 4.32% from previous close of Rs 2,060 on BSE.

RIL share scales fresh all-time high amid report Amazon eyeing stake in Reliance Retail

10. 02 AM: Market falls further

Sensex and Nifty fell majorly within the first hour of session on Friday on back of weak global equities. Sensex traded 384 points lower at 37,755 and Nifty fell111 points lower to 11,104.

9. 47 AM: Stocks in news today

Can Fin Homes, HPCL, Wipro, Bank of Maharashtra, AU Small Finance Bank among others are the top stocks to watch out for in Friday's trading session

Stocks in news: Can Fin Homes, HPCL, Wipro, Bank of Maharashtra, AU Small Finance Bank

9. 32 AM: Market outlook

Reliance Smart Money said in its daily note, "NSE-NIFTY resumed its daily rising trend after some consolidation and rose to its new four and half month high of 11,240 level. Yesterday, the index regained 11,200 mark on back of strength in rate sensitive space and pharma sector. The index's major technical indicator remained in favour of bulls. As mentioned earlier, we continue to believe the index will either witness such kind of consolidation or it will face minor decline before resumes its northward journey. On the higher side, the index will face hurdles around 11,435 and 11,600 levels. However in case of decline, the index will initially find support at around 10,865 mark and then at around 10,560 level.

As for the day, support is placed at around 11,132 and then at 11,049 levels, while resistance is observed at 11,269 and then at 11,323 levels."

9. 24 AM: Opening session

Sensex and Nifty traded on a bearish note on Friday on back of weak global equities. Sensex traded 190 points lower at 37,949 and Nifty fell 65 points lower to 11,149.

9. 12 AM: Nifty outlook

"The short term trend continues to be up, A sustainable move above 11250-300 levels is expected to pull Nifty towards the next overhead resistance of 11550-600 levels by next week. Immediate support is placed at 11050-11100 levels," Nagaraj Shetti, Technical Research Analyst, HDFC Securities, said.

9.06 AM: Global cues

Experts said market sentiments turned cautious amid mixed signals on growth and hopes on a possible vaccine, improved policy support, corporate earning performances this week and a fresh threat of US-China tariff escalation on the virus backdrop.

9.00 AM: Earnings today

ITC, Asian Paints, Ambuja Cements, JSW Steel, GHCL, TCI Express, Welspun India are among the top companies that will be reporting their April-June quarterly earnings.

8. 50 AM: Rupee Closing

On the currency front, Rupee ended unchanged at 74.76 per dollar yesterday.

8. 40 AM: Closing

Sensex ended 268 points higher at 38,140 and Nifty closed 82 points higher to 11,215. Yesterday, Sensex closed 58 points lower at 37,871 and Nifty ended 29 points down at 11,132

Sensex ends 268 points higher, Nifty at 11,215 amid mixed global equities

8. 30 AM: Global market outlook

"Global markets traded mixed. On the positive side, there were better-than-expected corporate earnings and potential vaccine developments which were offset by worries over flaring tensions between the United States and China. On the domestic front, the sentiments were uplifted after India's commerce minister, Piyush Goyal, said that the US and India were nearing a trade deal after two years of negotiations. The sentiments were further boosted by the news of India working on offering production-linked incentives for up to five sectors to boost domestic manufacturing," Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services, said.

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