Street Investment Institute in Indore

Market jumps for 4th day, Nifty settles above 17,550, HDFC twins rally

The domestic equity benchmarks ended with major gains on Wednesday, rising for the fourth trading session. After opening at 17,422.30, the Nifty 50 index marched higher as the session progressed to settle above the 17,550 mark. FMCG, IT and financial services stocks were in demand. On the other hand, PSU bank and auto scrips declined.

As per provisional closing data, the barometer index, the S&P BSE Sensex jumped 582.87 points or 0.99% to 59,689.31. The Nifty 50 index rose 159 points or 0.91% to 17,557.05. Both the indices climbed 3.6% in four sessions.

In the broader market, the S&P BSE Mid-Cap index added 0.11% while the S&P BSE Small-Cap index gained 0.95%.

The market breadth was strong. On the BSE, 2,583 shares rose and 953 shares fell. A total of 118 shares were unchanged.

The Reserve Bank of India (RBI) kicked off its monetary policy meeting on 3 April 2023. The outcome of the meeting will be announced on Thursday, 6 April 2023. The RBI's monetary policy committee (MPC) is expected to hike the repo rate by 25 basis points (bps) in order to combat rising inflation.

Economy:

India's gross domestic product (GDP) growth will likely soften to 6.3% in FY2024, as against earlier estimate of 6.6%, the World Bank stated in its India Development Update.

The bank stated that growth is set to be constrained by slower consumption growth and challenging external conditions. Rising borrowing costs and slower income growth will weigh on private consumption growth and government consumption is projected to grow at a slower pace due to the withdrawal of pandemic-related fiscal support measures.

IPO Update:

The initial public offer (IPO) of Avalon Technologies received bids for 8.76 lakh shares as against 1.14 crore shares on offer, according to stock exchange data at 15:24 IST on Wednesday (5 April 2023). The issue was subscribed 0.08 times.

The issue opened for bidding on Monday (3 April 2023) and it will close on Thursday (6 April 2023). The price band of the IPO is fixed at Rs 415-436 per share. An investor can bid for a minimum of 34 equity shares and in multiples thereof.

Buzzing Index:

The Nifty FMCG index rose 1.36% to 46,361.25. The index declined 0.36% in the past trading session.

Varun Beverages (up 2.86%), ITC (up 2.05%), Hindustan Unilever (up 1.89%), Tata Consumer Products (up 1.51%), Colgate-Palmolive (India) (up 1.12%), United Spirits (up 0.77%), Procter & Gamble Hygiene and Health Care (up 0.67%), Nestle India (up 0.63%), Marico (up 0.59%) and Godrej Consumer Products (up 0.55%) advanced.

On the other hand, Radico Khaitan (down 1.18%), Emami (down 0.98%) and United Breweries (down 0.86%) edged lower.

Britannia Industries added 0.11%. The FMCG major announced that its board has declared an interim dividend of Rs 72 per equity share for the financial year 2022‐23. The record date for determining the eligibility of shareholders for payment of interim dividend is Thursday, 13th April, 2023.

Marico gained 0.59%. The FMCG major said that its India business witnessed some improvement in year on year volume growth as against the preceding quarters and stayed in the mid-single digit zone.

Godrej Consumer Products rose 0.55%. The FMCG company on Wednesday announced that in India, it expects to deliver double-digit volume and value growth in Q4 FY23. The company stated that its domestic branded business growth was very strong registering volume and value growth in teens. This is in line with its strategy of volume driven category development. Overall, the growth was broad based and led by double-digit volume and value growth in both Home Care and Personal Care.

Stocks in Spotlight:

Housing Development Finance Corporation (HDFC) advanced 2.97% after the corporation announced that it had assigned individual loans amounting to Rs 9,340 crore during the quarter ended 31 March 2023, thereby recording a growth of 12% on YoY basis.

HDFC Bank gained 2.71%. The private lender said that its advances aggregated to approximately Rs 16,00,500 crore as of 31 March 2023, a growth of around 16.9 % over Rs 13,68,800 crore as of 31 March 2022. The bank's advances are higher by 6.2 % over Rs 15,06,800 crore as of 31 December 2022.

Bajaj Finance rose 0.87%. On a consolidated basis, customer franchise stood at 69.1 million as of 31 March 2023 as compared to 57.6 million as of 31 March 2022. In Q4 FY23, the customer franchise increased by 3.1 million. The company recorded highest ever increase in its customer franchise of 11.5 million in FY23.

Tata Motors added 0.58%. The auto major announced its partnership with Inchcape plc, a leading global automotive distributor, as their distributor for their commercial vehicles in Thailand. Through this partnership, Tata Motors will commence the sales and service of its commercial vehicles (CVs) across Thailand.

Vedanta rose 1.45%. The miner announced that its total aluminum production rose 0.35% to 5,74,000 tonnes in Q4 FY23 compared with 5,72,000 tonnes in Q4 FY22.

IndusInd Bank fell 1.27%. The private lender's net advances improved to Rs 2,89,965 crore as of 31 March 2023, registering a growth of 21% as compared to Rs 2,39,052 crore as of 31 March 2022.

Grasim Industries gained 1.89%. The cement major announced that it has entered into three term loan agreements to avail the rupee term loan facility aggregating to Rs 5,000 crore from Axis Bank in terms of the approval by the finance committee of the company.

Hindustan Zinc advanced 2.60%. The company announced that its mined metal production grew by 2% to 301,000 tonnes in Q4 FY23 as against 295,000 tonnes registered in Q4 FY22.

Adani Ports and Special Economic Zone (APSEZ) rose 1.30% after the company said it handled about 32 MMT of total cargo in March 2023, implying a year-on-year growth of about 9.5%. For the first time since July 2022, the company's volumes crossed the 30-MMT mark.

Bajaj Auto added 0.57%. The two wheeler maker's total sales declined 2% to 2,91,567 units in March 2023 compared with 2,97,188 units sold in March 2022. The domestic sales surged 47% to 1,86,522 units, while exports slumped 38% to 1,05,045 units in March 2023 over March 2022.

Indian Energy Exchange (IEX)rallied 2.05%. IEX announced that it has recorded 9,212 MU overall volume in March 2023, registering a 4% decline on year on year basis. On a sequential basis, the company's total volume grew 12% month on month (MoM) in March 2023.

Mahindra & Mahindra Financial Services rose 0.84%. The company said that overall disbursements in March 2023 were approximately Rs 5,600 crore, recording a growth of 42% on Y-o-Y basis.

Poonawalla Fincorp gained 0.33%. The company's total disbursements on standalone basis zoomed 151% to approximately Rs 6,370 crore in Q4 FY23 as against Rs 2,539 crore recorded in Q4 FY22. Assets under management (AUM) stood at Rs 16,120 crore as of 31 March 2023, recording a growth of 37% YoY and 16% QoQ.

Yes Bank shed 0.46%. The private lender's loans & advances improved to Rs 201,523 crore as on 31 March 2023, registering a growth of 11.3% as compared to Rs 181,052 crore as on 31 March 2022. Sequentially, loans & advances grew by 5.2% as against Rs 191,542 crore posted on 31 December 2022. The bank's deposits increased by 10.6% year on year (YoY) and 2.1% quarter on quarter (QoQ) to Rs 218,018 crore as on 31 March 2023.

Federal Bank slipped 3.38%. The private lender said that its total deposits aggregated to Rs 2,13,384 crore as of 31 March 2023, registering a growth of 17.4% as compared with Rs 1,81,701 crore as of 31 March 2022.

Global Markets:

Most of the European markets declined on Wednesday after data released today showed that German industrial orders soared 4.8% in February.

Additionally, French industrial production rose 1.2% on the month in February, ahead of the 0.5% growth expected, and a significant improvement from the revised drop of 1.4% the prior month.

Risk sentiments, however, continued to remain fragile with investors wary about the possibility of recessions on both sides of the Atlantic.

Meanwhile, markets in Asia ended mixed on Wednesday as Wall Street digested a key U.S. labor report that showed job openings dropped to their lowest level in nearly two years in February.

New Zealand's central bank raised its benchmark cash rate by 50 basis points to 5.25%. New Zealand's central bank said its latest rate hike decision was supported by the fact that inflation is still “too high and persistent.”

US stocks snapped four day winning streak in the last trading session as investors look towards OPEC+ production cuts and inflation impact of the same with uncertainty still looming for the global economy.

The headline equity indices were trading with modest gains in the early trade on buying demand in index pivotals. The Nifty traded above the 17,450 mark. Financial services, consumer durables and realty stocks were in demand while PSU bank, metal and auto stocks declined.

The barometer index, the S&P BSE Sensex, was up 249.41 points or 0.42% to 59,355.85. The Nifty 50 index gained 61.70 points or 0.35% to 17,459.75.

In the broader market, the S&P BSE Mid-Cap index shed 0.15% while the S&P BSE Small-Cap index gained 0.36%.

The market breadth was strong. On the BSE, 1,902 shares rose and 866 shares fell. A total of 123 shares were unchanged.

Foreign portfolio investors (FPIs) bought shares worth Rs 321.93 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 328.24 crore in the Indian equity market on 3 April, provisional data showed.

Economy:

India's gross domestic product (GDP) growth will likely soften to 6.3% in FY2024, as against earlier estimate of 6.6%, the World Bank stated in its India Development Update. The bank stated that growth is set to be constrained by slower consumption growth and challenging external conditions. Rising borrowing costs and slower income growth will weigh on private consumption growth and government consumption is projected to grow at a slower pace due to the withdrawal of pandemic-related fiscal support measures.

Stocks in Spotlight:

HDFC Bank rose 1.94%. The private lender said that its advances aggregated to approximately Rs 16,00,500 crore as of 31 March 2023, a growth of around 16.9 % over Rs 13,68,800 crore as of 31 March 2022. The bank's advances are higher by 6.2 % over Rs 15,06,800 crore as of 31 December 2022.

Bajaj Finance rallied 3.47%. On a consolidated basis, customer franchise stood at 69.1 million as of 31 March 2023 as compared to 57.6 million as of 31 March 2022. In Q4 FY23, the customer franchise increased by 3.1 million. The company recorded highest ever increase in its customer franchise of 11.5 million in FY23.

Vedanta added 0.02%. The miner announced that its total aluminum production rose 0.35% to 5,74,000 tonnes in Q4 FY23 compared with 5,72,000 tonnes in Q4 FY22.

IndusInd Bank shed 0.77%. The private lender's net advances improved to Rs 2,89,965 crore as of 31 March 2023, registering a growth of 21% as compared to Rs 2,39,052 crore as of 31 March 2022.

Grasim Industries fell 0.58%. The cement major announced that it has entered into three term loan agreements to avail the rupee term loan facility aggregating to Rs 5,000 crore from Axis Bank in terms of the approval by the finance committee of the company.

Hindustan Zinc rose 0.60%. The company announced that its mined metal production grew by 2% to 301,000 tonnes in Q4 FY23 as against 295,000 tonnes registered in Q4 FY22.

Numbers to Track:

The yield on India's 10-year benchmark federal paper declined to 7.291 from 7.315 in previous trading session.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 82.0875, compared with its close of 82.32 during the previous trading session.

MCX Gold futures for 5 April 2023 settlement added 0.06% to Rs 60,990.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.03% to 101.56.

The United States 10-year bond yield advanced 0.49% to 3.353.

In the commodities market, Brent crude for June 2023 settlement gained 44 cents or 0.52% to $85.38 a barrel.

Global Markets:

Asian stocks were trading mixed on Wednesday as Wall Street digested a key U.S. labor report that showed job openings dropped to their lowest level in nearly two years in February.

The headline equity indices ended with minor gains after a volatile session on Monday. The Nifty managed to settle near the 17,400 level after hitting the day's low of 17,312.75 in mid-morning trade. Auto, PSU bank and realty stocks were in demand. On the flip side, oil & gas, FMCG and metal stocks declined.

As per provisional closing data, the barometer index, the S&P BSE Sensex gained 114.92 points or 0.19% to 59,106.44. The Nifty 50 index rose 38.30 points or 0.22% to 17,398.05.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index added 0.36% while the S&P BSE Small-Cap index gained 1.17%.

The market breadth was strong. On the BSE, 2,772 shares rose and 856 shares fell. A total of 133 shares were unchanged.

The Reserve Bank of India (RBI) monetary policy meeting begins today. The outcome of the meeting will be announced on April 6. The RBI's monetary policy committee (MPC) may reportedly increase the repo rate by 25 basis points (bps) in order to combat rising inflation.

The domestic stock market will remain shut on Tuesday, 4 April 2023 on account of Mahavir Jayanti.

Economy:

The seasonally adjusted S&P Global India Manufacturing Purchasing Managers' Index (PMI) rose from 55.3 in February to 56.4 in March, signalling the strongest improvement in operating conditions in 2023 so far. That said the PMI average for the final fiscal quarter (55.7) came in below that recorded in the prior period (56.3 in Q3).

Pollyanna De Lima, Economics Associate Director at S&P Global Market Intelligence, said: Underlying demand for Indian goods remained strong in March, underscored by the quickest upturn in factory orders for three months. Hence, production continued to expand at a robust clip and firms stepped up their stock-building efforts.

Companies reported abundant capacity among themselves and their suppliers. Pending workloads expanded only marginally in March, hindering job creation. As for supply chains, improved availability of raw materials among vendors resulted in shorter delivery times and retreating price pressures. Overall, input costs rose at the second-slowest rate since September 2020.

Firms tried to benefit as much as possible from this moderation in inflation by acquiring additional raw materials and semi-finished items. This contributed to one of the strongest increases in input inventories in over 18 years of data collection.

Although manufacturers were upbeat towards future new orders, they somewhat doubted that inflation would continue to recede. Such worries restricted optimism towards output prospects.

Meanwhile, the gross GST revenue collected in March 2023 is Rs. 1,60,122 crore. The total gross collection for 2022-23 stands at Rs 18.10 lakh crore. The gross revenues in 2022-23 were 22% higher than that last year. This was the fourth time in the current financial year that the gross GST collection has crossed Rs 1.5 lakh crore, marking the second-highest collection ever.

New Listing:

Shares of Udayshivakumar Infra settled at Rs 33.39 on the BSE, representing a discount of 4.6% compared with the issue price of Rs 35.

The scrip was listed at Rs 35, matching the initial public offer (IPO) price.

So far, the stock has hit a high of 35 and a low of 33.25. On the BSE, over 14.02 lakh shares of the company were traded in the counter so far.

IPO Update:

The initial public offer (IPO) of Avalon Technologies received bids for 2.46 lakh shares as against 1.14 crore shares on offer, according to stock exchange data at 15:18 IST on Monday (3 April 2023). The issue was subscribed 0.02 times.

Buzzing Index:

The Nifty Auto index gained 1.49% to 12,425.85, extending gains for the third session. The index rallied 4.26% in three trading sessions.

Hero MotoCorp (up 3.53%), Bajaj Auto (up 2.83%), Maruti Suzuki India (up 2.68%), Eicher Motors (up 1.92%), Sona BLW Precision Forgings (up 1.56%), Ashok Leyland (up 1.33%), Mahindra & Mahindra (up 0.97%), Samvardhana Motherson International (up 0.89%), Tata Motors (up 0.84%) and Tube Investments of India (up 0.72%) advanced.

Tata Motors added 0.84%.The auto major's total domestic sales rose 3% to 89,351 units sold in March 2023 as against 86,718 units sold in March 2022.The total domestic sales increased by 14.54% last month compared with 78,006 units in February 2023.

The company said that its sales in the domestic and international market for Q4 FY23 stood at 2,51,822 vehicles compared with 2,43,459 units during Q4 FY22, up 3.4% year on year (YoY).

Mahindra & Mahindra (M&M) rose 0.97%. The auto major said that its overall auto sales for the month of March 2023 stood at 66,091 vehicles, registering a growth of 21% as against 54,643 vehicles sold in March 2022. On a sequential basis, M&M's total auto sales rose 12.4% in March 2023 as against 58,801 units sold in February 2023.

Further, M&M's Farm Equipment Sector (FES) announced its tractor sales numbers for March 2023. The company's total tractor sales (domestic + exports) increased 17.6% YoY to 35,014 units in March 2023 from 29,763 units sold in March 2022.

Maruti Suzuki India advanced 2.68%. The car major on Monday announced that its total production skid 5.66% to 1,54,148 units in March 2023 compared with 1,63,392 units recorded in March 2022. Sequentially, the company's total production declined 3.58% as against 1,59,873 units produced in February 2023.

Meanwhile, the auto maker said that its total sales declined 0.19% to 170,071 units in March 2023 compared with 170,395 units in March 2022. Further, the car maker announced increase in prices across models. An estimated weighted average of increase across models stands at around 0.8% and is calculated using ex showroom prices of models in Delhi. This is effective from 1 April 2023, said the company.

Eicher Motors rose 1.92%. The auto maker said its unlisted subsidiary, VE Commercial Vehicles (VECV), reported 35.2% increase in commercial vehicles (CV) sales to 11,906 units in March 2023 over March 2022.

The company's two-wheeler brand, Royal Enfield, announced that its sales stood at 72,235 units in March 2023, registering 7% growth over March 2022.

Hero MotoCorp rallied 3.53%. Hero MotoCorp sold 519,342 units in March 2023, translating into a double-digit growth of 15% over the corresponding month of 2022, when it had sold 450,154 two-wheelers.

TVS Motor Company rose 0.71%. TVS Motor Company registered a growth of 3% with sales increasing from 307,954 units in March 2022 to 317,152 units in March 2023.

Ashok Leyland gained 1.33%. The commercial vehicles maker reported 19% rise in total vehicle sales to 23,926 units in March 2023 from 20,123 units in March 2022.

Escorts Kubota declined 1.16%. The company announced that its Agri Machinery business in March 2023 sold 10,305 tractors, registering a growth of 2.3% as against 10,074 tractors sold in March 2022.

SML Isuzu was locked in an upper circuit of 20% after the company's total sales grew 59% to 2,169 units in March 2023 compared with 1,363 units sold in March 2022.

Stocks in Spotlight:

UltraTech Cement added 0.23% after the company said that it had recorded 14% increase in consolidated cement sales volume to 31.7 million tons (MT) in Q4 FY23 from 27.7 MT in Q4 FY22. As compared with Q3 FY23, the company's consolidated sales volume has risen by 22%. Sales volume in the previous quarter stood at 25.9 MT.

Steel Authority of India (SAIL) rose 0.99% after the company said it has achieved the best ever annual production during the financial year 2022-23 ending on 31 March 2023. During the period, SAIL recorded 19.409 million tonnes (MT) of hot metal and 18.289 MT crude steel production, a growth of 3.6% and 5.3% respectively over the previous best.

Life Insurance Corporation of India gained 1.94% after the major life insurer announced that Tablesh Pandey has been appointed as the managing director of the corporation effective from 1 April 2023.

Bharat Electronics (BEL) shed 0.60%. The company said that it has achieved a turnover of about Rs 17300 crore during the financial year 2022-23, against the previous year's turnover of Rs. 15,044 crore, thereby registering a growth of 15% on YoY basis. BEL's Order Book as on 1 April 2023, was around Rs 60,500 crore.

Hindustan Aeronautics fell 0.16%. The company said that it has recorded highest-ever revenue from operations of Rs 26,500 crore (provisional and unaudited) in FY23 as against Rs 24,620 crore in FY22, registering a growth of 7.6%. The order book of the company stood at around Rs 82,000 crore at the end of March 2023, after liquidation of the supplies during 2022-23.

APL Apollo Tubes declined 1.98%. The company announced that it had registered sales volume of 649,726 ton in Q4 FY23, up by 18% from 551,723 ton in Q4 FY22. On a sequential basis, the company's sales volume has risen by 7%. Sales volume in Q3 FY23 stood at 605,049 ton. For FY23, the company reported sales volume of 2,279,846 ton compared to 1,754,963 ton in FY22, up 30% YoY.

CSB Bank advanced 3.44% after the bank's total deposits jumped 21.39% to Rs 24,505.81 crore as on 31 March 2023 from Rs 20,188.30 crore as on 31 March 2022.

Dhanlaxmi Bank jumped 4.71% after the bank's gross advances increased by 16.85% to Rs 9,867 crore as on 31 March 2023 from Rs 8,444 crore as on 31 March 2022.

Global Markets:

The Dow Jones futures were up 104 points, indicating a positive opening in the US stock market today.

Markets in Europe and Asia advanced on Monday. Crude oil prices surged after OPEC+ members agreed to cut more than 1 million barrels per day to extend through the end of 2023.

China's Caixin/Markit manufacturing Purchasing Managers' Index for March was 50. The reading for March fell from 51.6 seen in February. China's official PMI for March stood at 51.9.

Japan's factory activity showed a softer contraction in five months. The manufacturing purchasing managers index rose to 49.2% for March, higher than February's figure of 47.7%, based on a private survey.

U.S. stocks rose Friday after the Federal Reserve's preferred inflation gauge showed a cooler-than-expected increase in prices.

The Federal Reserve's preferred inflation gauge climbed at a 0.3% monthly pace in February, marking a slight slowdown from the month before as pricing pressures show signs of gradually easing.

The core personal consumption expenditures price index increased 4.6% in February from a year earlier, the Commerce Department reported Friday, compared to January's 4.7% annual pace.

The benchmark indices traded with modest losses and hit the day's low in mid-morning trade. The Nifty traded below the 17,350 mark after hitting the day's high of 17,428.05 in early trade. Metal index witnessed profit booking after increasing in the past two trading session.

The barometer index, the S&P BSE Sensex, was down 187.6 points or 0.32% to 58,803.92. The Nifty 50 index shed 45.60 points or 0.26% to 17,314.15.

The broader market outperformed the headline indices. The S&P BSE Mid-Cap index added 0.15% while the S&P BSE Small-Cap index gained 0.90%.

The market breadth was strong. On the BSE, 2,479 shares rose and 863 shares fell. A total of 150 shares were unchanged.

The gross GST revenue collected in March 2023 is Rs. 1,60,122 crore. The total gross collection for 2022-23 stands at Rs 18.10 lakh crore. The gross revenues in 2022-23 were 22% higher than that last year. This was the fourth time in the current financial year that the gross GST collection has crossed Rs 1.5 lakh crore, marking the second-highest collection ever.

India Manufacturing PMI:

Although manufacturers were upbeat towards future new orders, they somewhat doubted that inflation would continue to recede. Such worries restricted optimism towards output prospects.

Buzzing Index:

The Nifty Metal index fell 0.81% to 5,452.95. The index witnessed profit booking after advancing 3.14% in two trading sessions.

Adani Enterprises (down 2.13%), JSW Steel (down 1.49%), Hindalco Industries (down 1.28%), APL Apollo Tubes (down 1.28%), Jindal Steel & Power (down 1.19%), Ratnamani Metals & Tubes (down 0.74%), Tata Steel (down 0.33%) edged higher.

On the other hand, Welspun Corp (up 2.37%) ,Vedanta (up 1.84%) and Steel Authority of India (up 0.97%) declined.

Stocks in Spotlight:

Mahindra & Mahindra (M&M) rose 0.79%. The auto major said that its overall auto sales for the month of March 2023 stood at 66,091 vehicles, registering a growth of 21% as against 54,643 vehicles sold in March 2022. On a sequential basis, M&M's total auto sales rose 12.4% in March 2023 as against 58,801 units sold in February 2023.

Life Insurance Corporation of India gained 1.88% after the major life insurer announced that Tablesh Pandey has been appointed as the managing director of the corporation effective from 1 April 2023.

Bharat Electronics (BEL) shed 0.35. The company said that it has achieved a turnover of about Rs 17300 crore during the financial year 2022-23, against the previous year's turnover of Rs. 15,044 crore, thereby registering a growth of 15% on YoY basis. BEL's Order Book as on 1 April 2023, was around Rs 60,500 crore.

Global Markets:

Asian stocks traded mixed on Monday as investors further digested key manufacturing data in the region. Crude oil prices surged after OPEC+ members agreed to cut more than 1 million barrels per day to extend through the end of 2023.

China's Caixin/Markit manufacturing Purchasing Managers' Index for March was 50. The reading for March fell from 51.6 seen in February. China's official PMI for March stood at 51.9.

U.S. stocks rose Friday after the Federal Reserve's preferred inflation gauge showed a cooler-than-expected increase in prices.

The Federal Reserve's preferred inflation gauge climbed at a 0.3% monthly pace in February, marking a slight slowdown from the month before as pricing pressures show signs of gradually easing. The core personal consumption expenditures price index increased 4.6% in February from a year earlier, the Commerce Department reported Friday, compared to January's 4.7% annual pace.

The frontline equity indices extended their upswing and hit fresh intraday highs in mid-afternoon trade. The Nifty traded at the 17,350 level. Auto stocks witnessed buying demand for second consecutive session.

The barometer index, the S&P BSE Sensex, rose 986.27 points or 1.70% to 58,946.36. The Nifty 50 index gained 269.40 points or 1.58% to 17,350.10.

In the broader market, the S&P BSE Mid-Cap index added 1.14% while the S&P BSE Small-Cap index advanced 1.58%.

Buyers outnumbered sellers. On the BSE, 2,530 shares rose and 916 shares fell. A total of 112 shares were unchanged.

Investor sentiment was upbeat as concerns of further banking turmoil receded. However, markets remained cautious following a higher-than-expected German CPI, adding pressure on the European Central Bank to further tighten monetary policy.

Numbers to track:

The yield on India's 10-year benchmark federal paper rose to 7.330 from 7.296 previous trading session.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 82.22, compared with its close of 82.34 during the previous trading session.

MCX Gold futures for 5 April 2023 settlement advanced 0.06% to Rs 59,350.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.31% to 102.47.

The United States 10-year bond yield jumped 0.85% to 3.581.

In the commodities market, Brent crude for May 2023 settlement fell 20 cents or 0.25% to $79.07 a barrel.

Gainers & Losers:

Reliance Industries (up 4.18%), ICICI Bank (up 3.33%), Nestle India (up 2.88%), Infosys (up 2.38%) and Tata Motors (up 2.21%) were the top Nifty gainers.

Sun Pharmaceutical Industries (down 0.56%), Apollo Hospitals Enterprise (down 0.41%), Bajaj Finance (down 0.25%), Titan Company (down 0.24%) and Asian Paints (down 0.16%) were the top Nifty losers.

Reliance Industries (RIL) jumped 4.18%. The company initiated the process of demerging its financial services business.

RIL has convened a meeting of creditors and shareholders on 2 May 2023 to seek their approvals for demerging its financial services business into a separate entity and subsequent listing it on the stock exchanges. The voting will commence on 27 April 2023 and end on 1 May 2023, RIL said in a regulatory update. The conglomerate's board had approved the demerger in November 2022.

At present, Reliance Strategic Investments (RSIL) is a wholly-owned subsidiary of RIL and is an RBI-registered non-deposit-taking systemically important non-banking financial company. Post demerger, RSIL will be rechristened to Jio Financial Services (JFSL).

According to the contours of the deal, RIL will issue one share of the demerged company with a value of Rs 10 each for every one share held in RIL. The appointed date for the demerger is 31 March 2023. Upon the scheme becoming effective, the name of the demerged firm will be changed to JFSL and the new firm will be listed on the Indian bourses.

Buzzing Index:

The Nifty Auto index rose 0.97% to 12,238.90. The index has gained 2.69% in two trading sessions.

Samvardhana Motherson International (up 3.49%), MRF (up 2.56%), Tata Motors (up 2.53%), Bosch (up 2.06%), Hero MotoCorp (up 1.68%), Bharat Forge (up 1.27%), Ashok Leyland (up 1.21%), Sona BLW Precision Forgings (up 0.71%), Mahindra & Mahindra (up 0.68%) and Eicher Motors (up 0.58%) advanced.

On the other hand, TVS Motor Company (down 0.52%), Tube Investments of India (down 0.14%) and Balkrishna Industries (down 0.11%) declined.

Stocks in Spotlight:

Lupin declined 0.92%. The pharmaceutical company on Friday announced that it has received approval from the United States Food and Drug Administration (U.S. FDA) for its abbreviated new drug application (ANDA) for Tenofovir Alafenamide Tablets, 25 mg.

Maharashtra Seamless advanced 2.67%. The company announced that it has received orders from Oil and Natural Gas Corporation (ONGC) with cumulative basic value of Rs 537 crore for supply of seamless casing pipes.

Westlife Foodworld rallied 3.10%. The company informed that the royalty payable by its subsidiary to McDonald's for FY24 will be 4.5%.

Global Markets:

Shares in Europe and Asia advanced on Friday as technology stocks continued to see renewed interest and led gains on Wall Street, with some shaking off concerns of a further banking crisis.

US stocks rose on Thursday as investors are looking towards more clarity from US regulatory agencies on struggling banks and shares of technology and bank stocks mostly remained flat.

President Joe Biden urged federal regulators Thursday to take up a set of reforms to safeguard the banking system, following the failures of Silicon Valley Bank and Signature Bank.

The administration wants regulators to take a range of steps to reinstate safeguards for banks with assets between $100 billion and $250 billion and “strengthen oversight and regulation of larger banks so that we are not in this position again,” the White House said on Thursday.

In major political development, Donald Trump was indicted by a Manhattan grand jury on Thursday in a probe of hush money payments to a porn star during his 2016 campaign — a historic event in American law and politics that is certain to divide an already polarized society and electorate.

The 45th president, the first former Oval Office occupant to be indicted, will be fingerprinted and have his mug shot taken like any criminal defendant when he comes to New York State Supreme Court in Manhattan to face the charges, court officials have reportedly said.

The headline equity indices marched higher and hit a fresh intraday high in early afternoon trade. The Nifty traded above the 17,300 level. Oil & gas shares witnessed bargain hunting after sliding in the past five trading sessions.

The barometer index, the S&P BSE Sensex, was up 806.34 points or 1.39% to 58,766.43. The Nifty 50 index gained 232.75 36points or 1.02% to 17,313.45.

In the broader market, the S&P BSE Mid-Cap index added 1.10% while the S&P BSE Small-Cap index advanced 1.47%.

Buyers outnumbered sellers. On the BSE, 2,523 shares rose and 867 shares fell. A total of 131 shares were unchanged.

Derivatives:

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, tumbled 6.64% to 12.72. The Nifty 27 April 2023 futures were trading at 17,376.40, at a premium of 62.95 points as compared with the spot at 17,313.45.

The Nifty option chain for the 27 April 2023 expiry showed maximum Call OI of 35.8 lakh contracts at the 17,000 strike price. Maximum Put OI of 64.5 lakh contracts were seen at 17,000 strike price.

Buzzing Index:

The Nifty Oil & Gas index rose 1.78% to 7,151.85. The index witnessed bargain buying after sliding 2.12% in five trading session.

Reliance Industries (up 3.6%), Petronet LNG (up 1.85%), Indian Oil Corporation (up 1.37%), Bharat Petroleum Corporation (up 1.22%), Hindustan Petroleum Corporation (up 1.17%) Oil & Natural Gas Corpn (up 1.07%), GAIL (India) (up 0.28%), Castrol India (up 0.18%), Aegis Logistics (up 0.17%) edged higher.

On the other hand, Oil India (down 2.38%), Gujarat Gas (down 1.29%) and Gujarat State Petronet (down 0.72%) declined.

Reliance Industries (RIL) rallied 3.6%. The company initiated the process of demerging its financial services business.

Stocks in Spotlight:

Tata Power Company gained 2.59% after the company said that its board has approved the re-appointment of Dr. Praveer Sinha as the CEO & managing director (MD) of the company for a period of four years effective from 1 May 2023 to 30 April 2027.

Hindustan Aeronautics (HAL) rose 2.73% after the company said that it has received income tax refund order worth Rs 790.66 crore from the Office of Joint Commissioner of Income Tax (OSD) for the assessment years 2013-14 & 2014-15.

Garden Reach Shipbuilders & Engineers jumped 5.85% after the company said that it has signed a contract with the Ministry of Defence (MoD) for construction of four next generation offshore patrol vessels (NGOPV) for Rs 3,500 crore. The first vessel is to be delivered within 44 months from contract signing and subsequent vessels at six months intervals.

Global Markets:

Asian stocks traded higher on Friday as technology stocks continued to see renewed interest and led gains on Wall Street, with some shaking off concerns of a further banking crisis.

US stocks rose on Thursday as investors are looking towards more clarity from US regulatory agencies on struggling banks and shares of technology and bank stocks mostly remained flat.

President Joe Biden urged federal regulators Thursday to take up a set of reforms to safeguard the banking system, following the failures of Silicon Valley Bank and Signature Bank.

The key equity indices traded with decent gains in afternoon trade. The Nifty traded above the 17,000 level after hitting the day's low of 16,940.60 early afternoon trade. Barring the Nifty Oil & Gas index, all the sectoral indices on the NSE were in the green.

The barometer index, the S&P BSE Sensex, was up 156.73 points or 0.27% to 57,770.45. The Nifty 50 index added 64.80 points or 0.38% to 17,016.50.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index rose 0.90% while the S&P BSE Small-Cap index gained 1.02%.

The market breadth was positive. On the BSE, 1,998 shares rose and 1,404 shares fell. A total of 133 shares were unchanged.

Trading could be volatile today as traders roll over positions in the F&O segment from the near month March series to April series. The March 2023 F&O contracts will expire today, 29 March 2023.

The domestic stock market will remain shut on Thursday, 30 March 2023 on account of Ram Navami.

Gainers & Losers:

Adani Enterprises (up 8.22%), Adani Ports and Special Economic Zone (up 6.40%), Eicher Motors (up 2.24%), Bajaj Auto (up 2.06%) and UltraTech Cement (up 1.90%) were the top Nifty gainers.

Reliance Industries (down 1.02%), UPL (down 0.87%), Bharti Airtel (down 0.87%), BPCL (down 0.47%) and Power Grid Corporation of India (down 0.43%) were the top Nifty losers.

Stocks in Spotlight:

Vedanta gained 2.52%. The diversified minerals company on Tuesday announced that its board has approved the fifth interim dividend of Rs 20.50 per equity share. The dividend will lead to a total payout of Rs 7,621 crore to shareholders. The record date for the same has been fixed on Friday, 7 April 2023.

Meanwhie, the mining company said that Ajay Goel has resigned from the position of acting chief financial officer (CFO) with effect from 9 April 2023, to pursue career outside the group. The company will announce the details of the successor in due course, Vedanta stated.

Larsen & Toubro (L&T) added 0.13%. The EPC major said that its Minerals & Metals (M&M) business has secured 'large' orders from the Vedanta Group. As per L&T classification, the value of the large project is Rs 2,500 crore to Rs 5,000 crore.

Separately , the EPC major on Tuesday announced that it has issued and allotted 2 lakh rated, listed, unsecured, redeemable non-convertible debentures (NCDs) of Rs 1 lakh each aggregating to Rs 2,000 crore, which will mature on 28 April 2028. The coupon rate on the NCD is fixed at 7.725%.

Jindal Stainless (JSL) rose 0.02%. JSL entered into a collaboration agreement with New Yaking Pte. Ltd. for the investment in, development, construction and operation of a Nickel Pig Iron (NPI) smelter facility located in an industrial park in Halmahera Islands, Indonesia. JSL will acquire a 49% equity interest for a consideration of around $157 million.

G R Infraprojects advanced 2.76%. The company has received letter of acceptance (LoA) for a project 'construction of tunnel work & allied works of Khurda - Bolangir new rail line project in east coast railway'. The estimated project is worth Rs 587.59 crore.

NHPC shed 0.41%. The power generation company on Tuesday announced that its board has approved raising of debt upto Rs 5,600 crore during financial year 2023-24 via corporate bonds and/or raising of term loans or external commercial borrowings.

Global Markets:

Markets in Europe and Asia advanced on Wednesday as Alibaba's Hong Kong-listed shares spiked at the open after the Chinese tech giant announced it will split into six business groups.

Australia's monthly inflation pace for February came in at a slower pace at 6.8% compared to the same period a year ago. This is lower than January's figure of 7.4%. Data from the country's statistics bureau revealed that the most significant price rises were in the housing, followed by food and non-alcoholic beverages, then in transport.

US stocks ended slightly lower on Tuesday as investors weighed comments from a top US regulator on struggling banks and sold shares of technology-related names after their recent strong run.

Consumer confidence inched up in March after two straight monthly declines. The Conference Board reported Tuesday that its consumer confidence index rose to 104.2 in March from 103.4 in February. The board said that despite the uptick in confidence, the index remains below 2022's average level of 104.5.