Benchmarks drift higher in early trade; Nifty near 17,700.

The frontline indices were trading with modest gains in early trade. The Nifty traded near the 17,700 level. Barring the Nifty IT index all the other sectoral indices on the NSE were in the green.

The barometer index, the S&P BSE Sensex, was up 213.44 points or 0.36% to 60,059.95. The Nifty 50 index added 76.15 points or 0.43% to 17,700.20.

In the broader market, the S&P BSE Mid-Cap index gained 0.44% while the S&P BSE Small-Cap index rose 0.40%.

The market breadth was strong. On the BSE, 1,871 shares rose and 726 shares fell. A total of 85 shares were unchanged.

Foreign portfolio investors (FPIs) bought shares worth Rs 882.52 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 351.50 crore in the Indian equity market on 10 April, provisional data showed.

Stocks in Spotlight:

State Bank of India (SBI) rose 1.18%. The Executive Committee of the Central Board is scheduled to have a meeting on 18 April 2023 to consider long term fund raising in single / multiple tranches of up to US$2 billion through a public offer and/or private placement of senior unsecured notes in US Dollar or any other convertible foreign currency during the Financial Year 2023-24.

Vedanta added 1.13%. The meeting of board of directors of the company is scheduled on 13 April 2023 to consider and approve the proposal for issuance of Non-Convertible Debentures on a private placement basis.

Bank of Baroda jumped 3.43%. As of 31 March 2023, the total business of the bank crossed Rs. 21 trillion milestone. Total business of the bank grew by 16.8 % YoY to Rs. 21.77 trillion.

Numbers to track:

The yield on India's 10-year benchmark federal paper rose to 7.231 from 7.227 in previous trading session.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 81.99, compared with its close of 82.06 during the previous trading session.

MCX Gold futures for 5 June 2023 settlement added 0.43% to Rs 60,320.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.27% to 102.36.

The United States 10-year bond yield fell 0.39% to 3.402.

In the commodities market, Brent crude for June 2023 settlement added 55 cents or 0.65% to $84.73 a barrel.

Buzzing Index:

The Nifty PSU Bank index gained 2.14% to 3,793.90. The index declined 0.63% in the past trading session.

Punjab & Sind Bank (up 5.19%), Bank of Baroda (up 2.98%), Union Bank of India (up 2.93%), UCO Bank (up 2.81%) and Central Bank of India (up 2.45%), Canara Bank (up 2.15%), Bank of India (up 2.12%), Indian Overseas Bank (up 1.99%), Bank of Maharashtra (up 1.91%) and State Bank of India (up 1.36%) advanced.

Global Markets:

Asian stocks are trading higher on Tuesday as the Bank of Korea held interest rates at 3.5%, in line with expectations. South Korea's central bank held rates for the second consecutive time.

China's consumer inflation in March hit the slowest pace since September 2021, weighed by sluggish food prices, official data showed on Tuesday. The consumer price index (CPI) for the month rose 0.7% year-on-year, compared with the 1.0% gain seen in February, said the National Bureau of Statistics (NBS).

U.S. stocks closed Monday mixed after Labor Department data released last week showed workers remain in high demand, increasing the likelihood of another interest-rate increase by the Federal Reserve.

Investors are eyeing the latest consumer price index and producer price index data - due out Wednesday and Thursday, respectively - which will be key in determining if or when the Fed will pause or put an end to its rate hiking campaign.

Indices end almost flat, Nifty closes above 17,600, realty stocks rally.

The domestic equity barometers ended with tiny gains after a volatile session on Monday, extending gains for the sixth trading session. After opening at 17,634.90, the Nifty 50 index traded with minimal gains for most part of the session, it hit a day's high of 17,694.10 in afternoon trade. However, the index erased most of the gains but managed to settle above 17,600 level. Realty, auto and IT stocks were in demand while banking and financial services shares declined. Investors will keenly monitor corporate earnings for the quarter ended 31 March 2023 scheduled to begin this week.

As per provisional closing data, the barometer index, the S&P BSE Sensex, was up 13.54 points or 0.02% to 59,846.51. The Nifty 50 index added 24.90 points or 0.14% to 17,624.05. In sixth consecutive sessions, the Sensex jumped 3.88% while the Nifty climbed nearly 4%.

In the broader market, the S&P BSE Mid-Cap index gained 0.38% while the S&P BSE Small-Cap index rose 0.16%.

The market breadth was positive. On the BSE, 2,027 shares rose and 1,593 shares fell. A total of 161 shares were unchanged.

Meanwhile, the NSE's India VIX, a gauge of market's expectation of volatility over the near term, surged 4.02% to 12.27.

Skymet expects below normal monsoon for India in 2023:

Private weather forecaster Skymet expects the upcoming June-September monsoon to be 'below normal' to the tune of 94% of the long period average (LPA). In January, Skymet had forecast the monsoon 2023 to be sub-par and now retains the same outlook.

Buzzing Index:

The Nifty Realty index rose 4.29% to 421.35, extending gains for the sixth day in a row. The index surged 13.27% in six trading sessions.

Godrej Properties (up 8.86%), Prestige Estates Projects (up 6.63%), DLF (up 5.88%), Brigade Enterprises (up 3.96%), Sobha (up 3.09%), Macrotech Developers (up 3%), Indiabulls Real Estate (up 2.01%), Oberoi Realty (up 1.21%), Mahindra Lifespace Developers (up 0.88%) and Phoenix Mills (up 0.64%) rallied.

Godrej Properties (GPL) climbed 8.86% after the real estate developer's sales volumes for the quarter grew by 19% QoQ in area terms from 4.42 million square feet (sq. ft) to 5.25 million sq. ft. GPL's sales volumes for the full financial year grew by 40% in area terms from 10.84 million sq. ft. to 15.21 million sq. ft. GPL's cash collections for FY23 grew 41% to Rs 8,991 crore. Q4 FY23 collections stood at Rs 3,822 crore representing QoQ growth of 127% and YoY growth of 52%.

Sobha rallied 3.09% after the company said that its total sales value in Q4 FY23 was Rs 1,463.4 crore, which is higher by 26% as compared with Rs 1,164.2 crore recorded in the corresponding quarter last fiscal. The company's share in the sales value was Rs 1,207.4 crore (up 26% YoY).

Ajmera Realty & Infra India (ARIIL) surged 6.11% after the company announced that its sales value stood at Rs 140 crore in Q4 FY23, registering the growth of 16% as compared with Rs 122 crore in Q4 FY22. Sequentially, sales value rose 10% in Q4 FY23 from Rs 128 crore posted in Q3 FY23.

Stocks in Spotlight:

Tata Motors jumped 5.36%. The Tata Motors Group global wholesales in Q4 FY23, including Jaguar Land Rover (JLR), were at 3,61,361 units, higher by 8%, as compared to Q4 FY22.

Titan Company rose 1.23%. The Tata Group company announced that it witnessed healthy double-digit growth across its key businesses, reporting a revenue growth of 25% year on year (YoY). The rise in the revenue was mainly driven by higher growth contributions from watches & wearables and emerging businesses.

Bajaj Finserv added 0.10%. The company said that Bajaj Allianz Life Insurance Company's total premiums aggregated to Rs 1,676.15 crore for the month of March 2023, up 0.24% YoY. Total premiums in the same period last year were Rs 1,672.18 crore.

Larsen & Toubro (L&T) gained 1.46%. The EPC major said that its hydrocarbon business, L&T Energy Hydrocarbon (LTEH), has secured a significant order under its AdVENT (Advanced Value Engineering and Technology) business vertical. As per L&T classification, the value of the significant project is Rs 1,000 crore to Rs 2,500 crore. The counter hit a 52-week high of Rs 2,319.65 in intraday today.

Oil and Natural Gas Corporation (ONGC) rallied 3.88%. ONGC announced that its board approved the acquisition of 23.04% stake in Mangalore SEZ (MSEZ) from IL&FS for cash consideration of Rs 40.32 crore.

Tata Power Company rose 0.38% after the company said that Asian Development Bank (ADB) has entered into an agreement with its distribution arm Tata Power Delhi Distribution (TPDDL) for subscribing to non-convertible debentures for Rs 150 crore.

Adani Power gained 0.96%. The power utility company announced that the Unit 1 of 800 megawatt (MW) capacity of the 2x800 MW ultra-supercritical power project of Adani Power (Jharkhand) (APJL), situated in Godda district in Jharkhand, has commenced commercial operations.

CreditAccess Grameen added 0.10% after the micro finance lender's disbursements improved to Rs 7,171 crore in Q4 FY23, registering a growth of 24% as against Rs 5,792 crore reported in Q4 FY22. Sequentially, disbursements surged 48% in Q4 FY23 from Rs 4,847 crore posted in Q3 FY23. Assets under management (AUM) jumped 27% to Rs 21,032 crore in the quarter ended 31 March 2023 as compared to Rs 16,599 crore recorded in Q4 FY22 and 18% increase from Rs 17,786 crore in Q3 FY23.

Mahindra & Mahindra Financial Services shed 0.67%. The Reserve Bank of India (RBI) on Thursday (6 April 2023) imposed a monetary penalty of Rs 6.77 crore on Mahindra & Mahindra Financial Services for non-compliance with regulatory norms.

Century Textiles and Industries advanced 2.71% after the company's wholly owned subsidiary, Birla Estate, has entered into the Pune residential real estate market by acquiring 5.76 acres of land in Sangamwadi, Pune. The land was purchased from Sudarshan Chemical Industries (SCIL).

Ethos gained 2.12% after the company said its billing (gross revenue) grew by 30.8% to Rs 242 crore in Q4 FY23 as against Rs 185 crore in Q4 FY22. Ethos said its billing (gross revenue) grew by 36.6% YoY to Rs 918 crore in FY23 as against Rs 672 crore in FY22.

Global Markets:

Asian stocks ended mixed on Monday as some investors returned from a long Easter weekend. Australian and Hong Kong markets remained closed due to a four day Easter holiday till Monday.

The US Stock Market, including the Nasdaq and New York Stock Exchange (NYSE), remained closed on Good Friday.

Investors are in for a busy week of economic data, including the latest consumer price index and producer price index data - due out Wednesday and Thursday, respectively - which will be key in determining if or when the Fed will pause or put an end to its rate hiking campaign.

Employment data for March indicated the labor market remained tight last month. Nonfarm payrolls increased by 236,000 jobs in March, the Labor Department said. Data for February was revised higher to show 326,000 jobs were added instead of 311,000 as previously reported. The unemployment rate dipped to 3.5% from 3.6% in the prior month.

Barometers trade sideways, realty stocks in demand.

The benchmark indices traded near the flat line in morning trade. The Nifty traded a tad above the 17,600 level. Realty stocks rallied for the sixth consecutive trading session.

The barometer index, the S&P BSE Sensex, was down 16.63 points or 0.03% to 59,816.34. The Nifty 50 index added 12.70 points or 0.07% to 17,611.85.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index rose 0.26% while the S&P BSE Small-Cap index gained 0.14%.

The market breadth was positive. On the BSE, 1,924 shares rose and 1,314 shares fell. A total of 167 shares were unchanged.

Foreign portfolio investors (FPIs) bought shares worth Rs 475.81 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 997.08 crore in the Indian equity market on 6 April, provisional data showed.

Buzzing Index:

The Nifty Realty index gained 2.95% to 415.90, extending gains for the sixth straight session. The index surged 11.8% in six trading sessions.

Godrej Properties (up 7.81%), Sobha (up 5.08%), Prestige Estates Projects (up 4.11%), DLF Ltd (up 3.64%), Brigade Enterprises (up 2.86%), Oberoi Realty (up 2.67%), Indiabulls Real Estate (up 2.65%), Macrotech Developers (up 2.55%) and Mahindra Lifespace Developers (up 0.53%) advanced.

Godrej Properties (GPL) jumped 7.81% after the real estate developer's sales volumes for the quarter grew by 19% QoQ in area terms from 4.42 million square feet (sq. ft) to 5.25 million sq. ft. GPL's sales volumes for the full financial year grew by 40% in area terms from 10.84 million sq. ft. to 15.21 million sq. ft. GPL's cash collections for FY23 grew 41% to Rs 8,991 crore. Q4 FY23 collections stood at Rs 3,822 crore representing QoQ growth of 127% and YoY growth of 52%.

Sobha rallied 5.08% after the company said that its total sales value in Q4 FY23 was Rs 1,463.4 crore, which is higher by 26% as compared with Rs 1,164.2 crore recorded in the corresponding quarter last fiscal. The company's share in the sales value was Rs 1,207.4 crore (up 26% YoY).

Stocks in Spotlight:

CreditAccess Grameen gained 3.51% after the micro finance lender's disbursements improved to Rs 7,171 crore in Q4 FY23, registering a growth of 24% as against Rs 5,792 crore reported in Q4 FY22. Sequentially, disbursements surged 48% in Q4 FY23 from Rs 4,847 crore posted in Q3 FY23. Assets under management (AUM) jumped 27% to Rs 21,032 crore in the quarter ended 31 March 2023 as compared to Rs 16,599 crore recorded in Q4 FY22 and 18% increase from Rs 17,786 crore in Q3 FY23.

Mahindra & Mahindra Financial Services shed 0.67%. The Reserve Bank of India (RBI) on Thursday (6 April 2023) imposed a monetary penalty of Rs 6.77 crore on Mahindra & Mahindra Financial Services for non-compliance with regulatory norms.

Alkem Laboratories added 0.55%. The pharmaceutical compnay said that the US FDA had conducted a good manufacturing practices (GMP) and pre-approval inspection at the company's API manufacturing facility located at Ankleshwar, Gujarat, from 03 April 2023 to 07 April 2023.

Numbers to Track:

The yield on India's 10-year benchmark federal paper rose to 7.220 from 7.219 in previous trading session.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 81.8150, compared with its close of 82.02 during the previous trading session.

MCX Gold futures for 5 June 2023 settlement fell 0.84% to Rs 60,001.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.9% to 102.18.

The United States 10-year bond yield declined 0.27% to 3.374.

In the commodities market, Brent crude for June 2023 settlement shed 20 cents or 0.23% to $84.92 a barrel.

Global Markets:

Asian stocks were trading mixed on Monday as some investors returned from a long Easter weekend. Australian and Hong Kong markets remained closed due to a four day Easter holiday till Monday.

The US Stock Market, including the Nasdaq and New York Stock Exchange (NYSE), remained closed on Good Friday.

Investors are in for a busy week of economic data, including the latest consumer price index and producer price index data - due out Wednesday and Thursday, respectively - which will be key in determining if or when the Fed will pause or put an end to its rate hiking campaign.

Employment data for March indicated the labor market remained tight last month. Nonfarm payrolls increased by 236,000 jobs in March, the Labor Department said. Data for February was revised higher to show 326,000 jobs were added instead of 311,000 as previously reported. The unemployment rate dipped to 3.5% from 3.6% in the prior month.

Market rally for 5th day, Nifty near 17,600, VIX drops 5%.

The benchmark indices reversed early losses and settled with decent gains on Thursday, rising for the fifth trading session. The Nifty ended near the 17,600 level, reversing from the day's low of 17,502.85 in the morning trade. Realty, auto and healthcare stocks were in demand while IT, FMCG and consumer durables shares declined. Trading was volatile due to expiry of weekly index options on the NSE.

As per provisional closing data, the barometer index, the S&P BSE Sensex, was up 143.66 points or 0.24% to 59,832.97. The Nifty 50 index added 42.10 points or 0.24% to 17,599.15. Both the indices surged 3.8% in five sessions.

The broader market outperformed the benchmark indices. The S&P BSE Mid-Cap index gained 0.71% while the S&P BSE Small-Cap index rose 0.70%.

The market breadth was strong. On the BSE, 2,387 shares rose and 1,139 shares fell. A total of 110 shares were unchanged.

The NSE's India VIX, a gauge of market's expectation of volatility over the near term, tumbled 4.95% to 11.80.

The domestic stock market will remain shut on Friday, 7 April 2023 on account of Good Friday.

RBI monetary policy:

RBI's Monetary Policy Committee (MPC) at its meeting today (April 6, 2023) decided to keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 6.50%.

The standing deposit facility (SDF) rate remains unchanged at 6.25% and the marginal standing facility (MSF) rate and the Bank Rate at 6.75%.

All members of the MPC unanimously voted to keep the policy repo rate unchanged. The MPC also decided to remain focused on withdrawal of accommodation to ensure that inflation progressively aligns with the target, while supporting growth.

These decisions are in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4% within a band of +/- 2%, while supporting growth.

Assuming an annual average crude oil price (Indian basket) of $85 per barrel and a normal monsoon, CPI inflation is projected at 5.2% for 2023-24 (vs. 5.3% projected in the previous meeting), with Q1 at 5.1%, Q2 at 5.4%, Q3 at 5.4% and Q4 at 5.2%, and risks evenly balanced.

Real GDP growth for 2023-24 is projected at 6.5% (vs. 6.4% projected in the previous meeting) with Q1:2023-24 at 7.8%; Q2 at 6.2%; Q3 at 6.1%; and Q4 at 5.9%, with risks evenly balanced.

IPO Update:

The initial public offer (IPO) of Avalon Technologies received bids for 2.51 crore shares as against 1.14 crore shares on offer, according to stock exchange data at 15:36 IST on Thursday (6 April 2023). The issue was subscribed 2.19 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 Realty index rose 2.84% to 404, extending gains for the fifth day in a row. The index surged 8.6% in five trading session

Godrej Properties (up 6.31%), DLF (up 4.35%), Oberoi Realty (up 3.94%), Mahindra Lifespace Developers (up 2.6%), Sobha (up 2.01%), Macrotech Developers (up 1%), Brigade Enterprises (up 0.79%), Prestige Estates Projects (up 0.77%), Indiabulls Real Estate (up 0.74%) advanced.

Macrotech Developers gained 1%. The realty major said that the it had achieved pre-sales of Rs 3,025 crore in Q4 FY23, recording a decline of 12% on a YoY basis. The real estate developer's pre-sales in the same period last year were Rs 3,456 crore. Collections stood at Rs 2,933 crore, up 3% on a YoY basis in Q4 FY23 and Rs 10,606 crore for FY23 up 23% on a YoY basis.

Stocks in Spotlight:

Tata Steel added 0.14%. The steel major's India business reported 5.1% rise in crude steel production to 5.15 million tons in Q4 FY23 as compared with 4.90 million tons posted in Q4 FY22. On quarter on quarter basis, crude steel production increased 3% from 5 million tons in Q3 FY23.

Infosys shed 0.04%. The IT major announced that it has extended its collaboration with LexisNexis, a data and analytics company, to provide end-to-end information services across their range of content, enterprise, and product applications.

Hero MotoCorp declined 0.20%. The 2-wheeler maker launched a voluntary retirement scheme (VRS) for its staff. The VRS has been designed in line with the vision to make the organization agile and 'Future-ready', consolidating roles and reducing layers to increase empowerment and agility.

Dabur India fell 3.91%. The FMCG major announced that its India business is expected to report mid-single digit revenue growth however, the International business is expected to deliver high single-digit growth in constant currency in Q4 FY23. Overall, Dabur's consolidated revenue is expected to post mid-single digit growth during the quater.

Avenue Supermarts slipped 4.52%. The company's standalone revenue from operations for the quarter ended 31 March 2023 stood at Rs 10,337.12 crore as compared to Rs 8,606.09 crore in the quarter ended 31 March 2022.

Kalyan Jewellers India declined 1.36%. The company said that it continued to see strong operating momentum in its business in the recently concluded quarter despite the sharp rise in gold prices during the second half of the quarter. The company recorded consolidated revenue growth of approximately 17% in Q4 FY23.

Cholamandalam Investment and Finance Company jumped 7.42% after the company's disbursements surged 65% year on year (YoY) to approximately Rs 21,020 crore in Q4 FY23. The company had recorded disbursements of Rs 12,718 crore in Q4 FY22.

Ujjivan Small Finance Bank skid 0.11% after the bank announced that its total deposits aggregated to Rs 25,481 crore as of 31 March 2023, a growth of around 39% over Rs 18,292 crore as of 31 March 2022. On a sequential basis, the bank's deposits have increased by 10%. Total depoits amounted to Rs 23,203 crore as of 31 December 2022.

KEC International rallied 3.23% after the company announced that it has secured new orders of Rs 1,213 crore across its various businesses. In the transmission & distribution (T&D) business, the company has secured orders for T&D projects in India, SAARC, Middle East, East Asia Pacific and Americas. The Civil business of KEC has bagged an order in the urban infra segment in India. The company's Cables business has secured orders for various types of cables in India and overseas.

Equitas Small Finance Bank surged 6.40% after its gross advances surged 36% to Rs 28,061 crore as on 31 March 2023 as against Rs 20,597 crore as on 31 March 2022.

Punjab & Sind Bank gained 1.34% after the bank's gross advances increased by 15.85% to Rs 81,544 crore as on 31 March 2023 as against Rs 70,387 crore as on 31 March 2022. The bank's total business stood at Rs 1,91,212 crore as on 31 March 2023, registering a growth of 10.83% from Rs 1,72,524 crore recorded in the same period last year.

Global Markets:

European markets advanced while Asian stocks ended mixed on Thursday as Wall Street digested the latest ADP private payrolls report, which showed slowing job growth in March.

China's service sector activity continued to expand in March, according to the latest Caixin services purchasing managers' index that rose to 57.8. The reading marks the fourth month of acceleration and above the 50-point mark that separates growth from contraction.

It also reached the highest reading since November 2020. The increase in activity was supported by a sustained and sharper rise in new business, Caixin said in its release.

Private company hiring fell sharply in March and was well below expectations, according to a report from payroll processing firm ADP. Payrolls rose by just 145,000 for the month, down from 261,000 in February and below the Dow Jones estimate for 210,000.

Losses in financial activities, profession and business services and manufacturing pushed the total lower. Leisure and hospitality, trade, transportation and utilities and construction led hiring.

US stocks ended mixed on Wednesday as investors look towards OPEC+ production cuts and inflation impact of the same with uncertainty still looming for the global economy.

 

Key barometers hit fresh intraday high; European markets edged higher.

The key equity benchmarks hit fresh intraday high in afternoon trade. The Nifty traded tad above the 17,600 level. Financials, metals and pharma stocks led the gains while IT, FMCG and consumer durable stocks lagged behind. Markets in Europe traded in the green while their Asian peers traded in a mixed manner today.

The barometer index, the S&P BSE Sensex, was up 151.7 points or 0.25% to 59,841.01. The Nifty 50 index added 49.50 points or 0.28% to 17,606.55.

In the broader market, the S&P BSE Mid-Cap index rose 0.75% while the S&P BSE Small-Cap index gained 0.68%.

The market breadth was strong. On the BSE, 2,311 shares rose and 1,087 shares fell. A total of 122 shares were unchanged.

RBI Monetary Policy:

RBI's Monetary Policy Committee (MPC) at its meeting today (April 6, 2023) decided to keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 6.50%.

The standing deposit facility (SDF) rate remains unchanged at 6.25% and the marginal standing facility (MSF) rate and the Bank Rate at 6.75%.

All members of the MPC unanimously voted to keep the policy repo rate unchanged. The MPC also decided to remain focused on withdrawal of accommodation to ensure that inflation progressively aligns with the target, while supporting growth.

These decisions are in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4% within a band of +/- 2%, while supporting growth.

Assuming an annual average crude oil price (Indian basket) of $85 per barrel and a normal monsoon, CPI inflation is projected at 5.2% for 2023-24 (vs. 5.3% projected in the previous meeting), with Q1 at 5.1%, Q2 at 5.4%, Q3 at 5.4% and Q4 at 5.2%, and risks evenly balanced.

Real GDP growth for 2023-24 is projected at 6.5% (vs. 6.4% projected in the previous meeting) with Q1:2023-24 at 7.8%; Q2 at 6.2%; Q3 at 6.1%; and Q4 at 5.9%, with risks evenly balanced.

Stocks in Spotlight:

Tata Steel shed 0.14%. Tata Steel India achieved highest ever annual crude steel production of about 19.9 million tons, with a growth of 4% YoY by debottlenecking across sites and ramp up of Neelachal Ispat Nigam Limited. In 4QFY23, crude steel production was up 3% QoQ and stood at around 5.15 million tons.

Avenue Supermarts slipped 3.83%. The company's standalone revenue from operations for the quarter ended 31 March 2023 stood at Rs 10,337.12 crore as compared to Rs 8,606.09 crore in the quarter ended 31 March 2022.

Hero MotoCorp lost 0.39%. The 2-wheeler maker launched a voluntary retirement scheme (VRS) for its staff. The VRS has been designed in line with the vision to make the organization agile and 'Future-ready', consolidating roles and reducing layers to increase empowerment and agility.

Infosys was down 0.09%. The IT major announced that it has extended its collaboration with LexisNexis, a data and analytics company, to provide end-to-end information services across their range of content, enterprise, and product applications.

Dabur slipped 3.39%. The FMCG major announced that its India business is expected to report mid-single digit revenue growth however, the International business is expected to deliver high single-digit growth in constant currency in Q4 FY23. Overall, Dabur's consolidated revenue is expected to post mid-single digit growth during the quater.

Global Markets:

European markets advanced while Asian stocks traded mixed on Thursday as Wall Street digested the latest ADP private payrolls report, which showed slowing job growth in March.

China's service sector activity continued to expand in March, according to the latest Caixin services purchasing managers' index that rose to 57.8. The reading marks the fourth month of acceleration and above the 50-point mark that separates growth from contraction.

It also reached the highest reading since November 2020. The increase in activity was supported by a sustained and sharper rise in new business, Caixin said in its release.

Private company hiring fell sharply in March and was well below expectations, according to a report from payroll processing firm ADP. Payrolls rose by just 145,000 for the month, down from 261,000 in February and below the Dow Jones estimate for 210,000.

Losses in financial activities, profession and business services and manufacturing pushed the total lower. Leisure and hospitality, trade, transportation and utilities and construction led hiring.

US stocks ended mixed on Wednesday as investors look towards OPEC+ production cuts and inflation impact of the same with uncertainty still looming for the global economy.

Nifty above 17,550 mark, RBI keeps repo rate unchanged at 6.50%.

The headline equity indices reversed losses in morning trade after the Reserve Bank of India (RBI) kept the repo rate unchanged after its monetary policy decision. The Nifty traded above the 17,550 mark. PSU bank, realty and media stocks were in demand while consumer durables, FMCG and IT scrips declined.

The barometer index, the S&P BSE Sensex, was up 92.86 points or 0.16% to 59,782.17. The Nifty 50 index added 26.05 points or 0.15% to 17,583.1

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index rose 0.41% while the S&P BSE Small-Cap index gained 0.52%.

The market breadth was strong. On the BSE, 2,173 shares rose and 925 shares fell. A total of 126 shares were unchanged.

RBI Monetary Policy:

The Reserve Bank of India (RBI) monetary policy committee (MPC) has voted unanimously to keep the repo rate unchanged at 6.5%.

The MPC also decided by a majority of five out of six members to remain focused on 'withdrawal of accommodation' to ensure that inflation progressively aligns with the target while supporting growth.

He also clarified that the decision to pause on rate is for this meeting only. Monetary Policy Committee will not hesitate to take any action in future, said the RBI governor.

RBI Governor Shaktikanta Das raised 2023-24 GDP growth forecast to 6.5% from 6.4% previously.

Meanwhile, 2023-24 CPI inflation forecast was lowered to 5.2% from 5.3% previously.

While we have kept the policy rate unchanged, this decision was taken based on our assessment of the macroeconomic and financial conditions with reference to information available upto today. Our job is not yet finished and war against inflation has to continue until durable decline in inflation closer to target is seen, said Das.

Das added that the present policy rate can still be regarded as accommodative. He said RBI will continue to adopt a nuanced and agile approach to liquidity management, said Governor Shaktikanta Das. The central bank will remain flexible in meeting productive requirements of the economy, as well as use two-way operations as may be necessary.

Buzzing Index:

The Nifty PSU Bank index gained 1.05% to 3,764.80. The index declined 0.79% in the past trading session.

Bank of Maharashtra (up 2.92%), Punjab & Sind Bank (up 2.5%), Indian Overseas Bank (up 2.19%), UCO Bank (up 1.97%), Indian Bank (up 1.71%), State Bank of India (up 1.54%), Canara Bank (up 1.39%), Punjab National Bank (up 1.28%), Central Bank of India (up 1.21%) and Union Bank of India (up 1.19%) advanced.

Numbers to Track:

The yield on India's 10-year benchmark federal paper rose to 7.280from 7.273 in previous trading session.

In the foreign exchange market, the rupee edged slightly lower against the dollar. The partially convertible rupee was hovering at 82.91, compared with its close of 81.9050 during the previous trading session.

MCX Gold futures for 5 June 2023 settlement declined 0.43% to Rs 60,592.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.15 to 102.01.

The United States 10-year bond yield advanced 0.27% to 3.296.

In the commodities market, Brent crude for June 2023 settlement fell 82 cents or 0.96% to $84.17 a barrel.

Stocks in Spotlight:

Tata Steel added 0.14%. The steel major's India business reported 5.1% rise in crude steel production to 5.15 million tons in Q4 FY23 as compared with 4.90 million tons posted in Q4 FY22. On quarter on quarter basis, crude steel production increased 3% from 5 million tons in Q3 FY23.

Ujjivan Small Finance Bank rallied 4.33% after the bank announced that its total deposits aggregated to Rs 25,481 crore as of 31 March 2023, a growth of around 39% over Rs 18,292 crore as of 31 March 2022. On a sequential basis, the bank's deposits have increased by 10%. Total depoits amounted to Rs 23,203 crore as of 31 December 2022.

KEC International gained 1.26% after the company announced that it has secured new orders of Rs 1,213 crore across its various businesses. In the transmission & distribution (T&D) business, the company has secured orders for T&D projects in India, SAARC, Middle East, East Asia Pacific and Americas. The Civil business of KEC has bagged an order in the urban infra segment in India. The company's Cables business has secured orders for various types of cables in India and overseas.

Global Markets:

Asian stocks were trading lower on Thursday as Wall Street digested the latest ADP private payrolls report, which showed slowing job growth in March.

US stocks ended mixed on Wednesday as investors look towards OPEC+ production cuts and inflation impact of the same with uncertainty still looming for the global economy.

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.