Robust auto sales data kept the momentum going for Indian equity markets despite fears of trade war loom large on markets across the globe. However, trading activity remains thin across the globe as many markets remain shut.
Indian markets started FY19 on a robust note with the S&P BSE Sensex rallying by nearly 300 points and Nifty50 reclaimed 10200 towards the close of the trade.
Robust auto sales data kept the momentum going for Indian equity markets despite fears of trade war loom large on markets across the globe. However, trading activity remains thin across the globe as many markets remain shut.
Markets in Australia, Hong Kong, Britain, and Germany remained shut on Monday while the U.S. market will resume trading.
China has increased tariffs by up to 25 percent on 128 U.S. products including frozen pork, wine and certain fruits and nuts, escalating a spat between the world’s biggest economies in response to U.S. duties on imports of aluminium and steel.
The S&P BSE Sensex reclaimed Mount 33K and closed 286 points higher or 0.87 percent at 33,255. It hit an intraday low of 32,997.88 and a high of 33289.34 in trade today.
The Nifty50 reclaimed its crucial resistance level of 10,200 and its 200-days moving average placed at 10,182. The index closed 98 points higher or 0.97 percent at 10,211.80.
Top Nifty gainers include names like Cipla (up 5.6%), Lupin (5.61%), Kotak Mahindra Bank (up 4.6%), Adani Ports (up 4.4%), Tata Motors (up 3.7%) etc. among others.
Top Nifty losers include stocks like ICICI Bank (down 5.9%), IOC (down 3.4%), Axis Bank (down 2.2%), Coal India Ltd (down 2%), Hindalco Industries (down 1.5%) etc. among others.
Sectorally, pharma, auto, capital goods stock huge buying interest while banks, PSU, and oil & gas stocks declined.
Stocks in news:
TVS Motor Company: The stock rose 7.3% after the two-wheeler maker reported robust growth in March sales number. The company recorded sales growth of 27 percent increasing at 3,26,659 units in March 2018 from 2,56,341 units in March 2017.
ICICI Bank: The Enforcement Directorate and Income Tax Department have turned their focus on ICICI Bank-Videocon loan case and are in the process of collection relevant files and papers from the Reserve Bank of India and Securities and Exchange Board of India. The stock slipped nearly 6%.
Sandhar Technologies Ltd: Shares of Sandhar Technologies Ltd which opened 4% higher on stock market debut on Monday pared its gains and closed 2.8% lower at Rs322.55.
Can Fin Homes: Shares of Can Fin Homes slipped 11.30 percent after the state-run lender Canara Bank on Saturday said it has called off the divestment process of its entire stake in the housing finance company. In a filing to BSE, the bank said it has cancelled the process as the quotes it received were not in tune with the valuation it had arrived at.
Navkar Corporation Ltd: Navkar Corporation share price rallied 13 percent after getting approval from NCLT for the amalgamation of Navkar Terminals with the company.
Hero MotoCorp Ltd: Hero MotoCorp share price rallied nearly 3 percent after the company reported highest ever sales recorded in the financial year 2017-18. The world's largest two-wheeler manufacturer announced the landmark 75 lakh unit sales of motorcycles and scooters in a financial year – a feat recoded for the first time ever in the two-wheeler industry.
Axis Bank Ltd: Reserve Bank of India (RBI) has asked Axis Bank’s board to reconsider the fourth term accorded to Chief Executive Officer (CEO) Shikha Sharma, The Economic Times reported. The stock closed 2.2% lower at Rs498.20.
Global Update:
Asian stocks ended the first session of the June quarter on a weaker note as markets reversed gains seen earlier in the day. Markets also digested new tariffs on US goods announced by China on Monday. Japan's Nikkei, China's Shanghai Composite, Australia's ASX 200 and South Korea's Kospi ended down 0.10-0.5 percent.
Oil prices lifted by a drop in drilling activity in the United States as well as by expectations that Washington could re-introduce sanctions against Iran.
US WTI crude futures were at USD 65.17 a barrel, up 0.35 percent, from their previous settlement. Brent crude futures were at USD 69.74 per barrel, up 0.58 percent.