Benchmarks sharply pare gains; auto shares in demand. 29 March 2022

 

The key equity benchmarks sharply pared gains in afternoon trade. The Nifty traded a tad above the 17,250 mark. Auto shares advanced for the second day in a row.

The barometer index, the S&P BSE Sensex was up 77.03 points or 0.13% to 57,670.52. The Nifty 50 index added 29.85 points or 0.17% to 17,251.85.

Divi's Lab (up 3.15%), Ultratech Cement (up 2.32%), Bharti Airtel (up 2.22%), HDFC (up 2.06%) and SBI Life (up 2.02%) were the top Nifty gainers.

ONGC (down 2.98%), Coal India (down 2.75%), IndusInd Bank (down 0.98%), ITC (down 0.31%) and Power Grid Corp (down 0.78%) were the top Nifty losers.

In the broader market, the S&P BSE Mid-Cap index added 0.32% while the S&P BSE Small-Cap index rose 0.39%.

The market breadth, indicating the overall health of the market, turned negative. On the BSE, shares 1,421 rose and 1,879 shares fell. A total of 130 shares were unchanged.

Global Markets:

European stocks advanced on Tuesday. Investors in the European region remain focused on developments in Russia's invasion of Ukraine. Ukraine's President Volodymyr Zelensky said Kyiv's negotiators were studying a Russian demand for Ukrainian neutrality. The comments came ahead of new face-to-face talks between Ukraine and Russia, set to start Tuesday in Turkey.

Meanwhile, Asian stocks advanced as crude oil prices slumped overnight on demand concerns arising from a new lockdown in Shanghai, diving more than 8%.

In Washington, President Joe Biden released an annual $5.8 trillion (S$7.89 trillion) budget plan that would steer $6.9 billion towards Ukraine to assist in defending against Russia's invasion, as well as to aid NATO.

Buzzing Index:

The Nifty Auto index rose 0.71% to 10,495.40. The index has added 1.36% in two sessions.

Eicher Motors (up 2.02%), TVS Motor Company (up 1.10%), Mahindra & Mahindra (up 0.96%), Bharat Forge (up 0.86%), Tata Motors (up 0.80%), Maruti Suzuki (up 0.59%), Ashok Leyland (up 0.31%) and Hero MotoCorp (up 0.28%) advanced.

Sensex crosses 56,000 level; banks stocks in demand. 10March2022

 

The benchmark indices extended gains in morning trade, buoyed by banks, autos and financial services scrips. Metal shares corrected for the third trading session. The Nifty crossed the 16,700 level.

The barometer index, the S&P BSE Sensex, surged 1,359.96 points or 2.49% at 56,007.29. The Nifty 50 index soared 390 points or 2.39% at 16,735.35.

In the broader market, the S&P BSE Mid-Cap index rose 1.84% while the S&P BSE Small-Cap index gained 2.29%.

The market breadth was strong. On the BSE, 2,728 shares rose and 382 shares fell. A total of 100 shares were unchanged.

Foreign portfolio investors (FPIs) sold shares worth Rs 4,818.71 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 3,275.94 crore in the Indian equity market on 9 March 2022, provisional data showed.

Politics:

The elections of the five states - Goa, Manipur, Punjab, Uttar Pradesh and Uttarakhand - were held in seven phases between 10 February 2022 to 7 March 2022. The results are being announced today, 10 March 2022.

So far, the ruling Bhartiya Janata Party (BJP) is leading in Uttar Pradesh (UP), Goa, Manipur and Uttarakhand. In Punjab, Aam Admi Party (AAP) all set to dethrone the incumbent Indian National Congress (INC).

In UP, BJP under CM Yogi Adityanath is all set to sweep the elections again, as the party currently leads on 172 seats (vote share: 42.61%) while former CM Akhilesh Yadav's Samajwadi Party (SP) currently leads with 81 seats (vote share: 30.97%), grabbing the second position as of now.

Buzzing Index:

The Nifty Bank index rallied 4.52% to 35,345.55. The index has jumped 7.52% in three trading sessions.

Axis Bank (up 6.47%), IndusInd Bank (up 5.19%), State Bank of India (SBI) (up 5.07%), Bandhan Bank (up 4.61%) and ICICI Bank (up 4.60%) were the top gainers in the Bank segment.

Stocks in Spotlight:

Jindal Steel & Power (JSPL) lost 0.71%. The steel manufacturer reported a 8% year-on-year increase in steel sales to 5.9 lakh tonnes in February 2022 as compared to 5.47 lakh tonnes sold in February 2021. JSPL said sales would have been higher if not for limited rake availability in the eastern part of the country. The company further said that railway rake availability issue is not yet fully resolved, hampering its sales efforts. Meanwhile, exports contributed 24% to the sales volumes. On production side, JSPL's steel production stood at 6.57 lakh tonnes in February 2022 which was 1% higher than previous year.

Jindal Stainless (Hisar) advanced 2.43%. The company said it received AS 9100D Certification, a quality management system for aviation, space, and defence organizations. The certification validates Jindal Stainless (Hisar) (JSHL)'s competence to constantly meet highly stringent standards of the aerospace industry. It also enables JSHL to get listed in OASIS, the Online Aerospace Supplier Information System database, which showcases the company offerings to aerospace manufacturers. The AS 9100D certification journey was driven by the top management and implemented by a team of around 120 people across the supply chain, within 15 months, JSHL said in a statement.