We had mentioned in last week’s closing report that Nifty, Sensex have bucked the weakness, and headed higher. The major indices of the Indian stock markets have been on an upswing since Tuesday, but have not sustained all the gains. On Friday, the market was bearish with losses of around 0.85%-0.96% over Thursday’s close. Over the week, the major indices have closed with small gains. The trends of the major indices in the course of the week’s trading are given in the table below:
Positive global cues and healthy inflow of foreign funds pushed the Indian equity markets to a striking distance of all-time highs by the end of the session on Tuesday as healthy buying was witnessed in all the 19 sub-indices of the BSE, led by stocks of banking, automobile and consumer durables. The BSE market breadth was tilted in favour of the bulls -- with 1,624 advances and 1,126 declines. On the NSE, on Tuesday, there were 938 advances, 524 declines and 60 unchanged. The Indian stock markets were closed on Monday on account of Ganesh Chaturthi.
Reliance Capital, a part of the Anil-Ambani-led group, on Tuesday said it has raised $300 million through private placement of debentures with tenures of 5 and 10 years. "The issue size offered was $ 150 million with an option to retain oversubscription by way of a greenshoe option of up to $150 million). The issue was fully subscribed, including the greenshoe option, and will be listed," the company said in a regulatory filing. The company’s shares closed at Rs558.00, up 2.46% on the BSE.
Profit booking subdued the Indian equity markets on Wednesday, as the key indices closed the day's trade on a flat note. Selling pressure was witnessed in consumer durables, oil and gas, and finance stocks. The BSE market breadth was tilted in favour of the bulls -- with 1,404 advances and 1,356 declines. On the NSE, there were 801 advances, 807 declines and 68 unchanged.
State-run power equipment manufacturer Bharat Heavy Electricals (BHEL) on Wednesday reported a rise of 54.21% in its standalone net profit for the first quarter of 2016-17. The company's Q1 net profit stood at Rs77.77 crore from Rs50.43 crore reported in the corresponding quarter of 2015-16. The company posted a net profit after three consecutive quarters of losses. BHEL’s total income from operations for the quarter under review increased by 28.72% to Rs5,622.46 crore from Rs4,367.70 crore for the corresponding period of last fiscal. Its net sales edged up by 29.03% to Rs5,522.76 crore from Rs4,280.02 crore during the first quarter of 2015-16. According to the company, it has an outstanding order book position of Rs108,000 crore at the end of Q1 2016-17. The company’s shares closed at Rs159.80, up 15.50% on the BSE.
Healthy quarterly results, consistent buying by foreign funds and a rise in global crude oil prices buoyed the Indian equity markets on Thursday. The key indices closed the day's trade in the green as healthy buying was witnessed in stocks of healthcare, automobile and consumer durables. However, gains were capped due to profit booking at higher levels and caution ahead of a key global financial event. The BSE market breadth was tilted in favour of the bulls -- with 1,608 advances and 1,151 declines. On the NSE, on Thursday, there were 905 advances, 552 declines and 68 unchanged.
ICICI Bank on Thursday became the first bank in India to deploy ‘software robots that emulate human action, in its over 200 business processes thereby reducing the response time to customers by up to 60%. "We have re-engineered over 200 business processes which are powered by software robots across various functions of the bank. We plan to more than double the software robots to over 500 by end of this fiscal," Chanda Kochhar, MD and CEO, ICICI Bank, said.
According to the Federal Reserve’s Beige Book released in the afternoon, reports from the twelve Federal Reserve Districts suggest that national economic activity continued to expand at a modest pace on balance during the reporting period of July through late August. "Labour market conditions remained tight in most districts, with moderate payroll growth noted in general. Price increases remained slight overall," said the Beige Book. The Fed has been in focus recently, with investors pondering over when the US central bank will decide to raise interest rates. The Federal Open Market Committee, the Fed's monetary policy arm, is set to meet on September 20-21. On the economic front, the number of job openings increased to 5.9 million on the last business day of July, the US Labour Department reported on Wednesday.
Profit booking, coupled with negative global markets and lower crude oil prices, dragged down the Indian equity markets during the mid-afternoon trade session on Friday. The BSE market breadth was tilted in favour of the bears -- with 1,470 declines and 1,113 advances. Initially on Friday, the benchmark indices opened in the red due to negative Asian markets. Besides, caution ahead of the release of key macro-economic data such as the factory output -- Index of Industrial Production (IIP) -- for July and inflation figures for August weighed heavy on the indices. In addition, depreciation in the rupee's value dampened investors' sentiments. Negative global markets due to ECB's (European Central Bank) decision not to inject more liquidity and profit booking led the equity markets to trade lower, pointed out market analysts.