Oct 06

Daily Market Commentary : 5th Oct. 2016

Indian equities snapped their three-day winning streak; the market was weighed down on profit-booking particularly in IT, banking and technology stocks. Nifty closed with aloss of 25 points at 8,743. It opened at 8,806, while BSE Sensex ended with a loss of 114 points at 28,221.

On the global front, Asian stocks traded firm with the Hong Kong’s Hang Seng and Nikkei 225 each advancing 0.5%. Mainland Chinese markets remained closed for the National Day holiday.

European stocks are trading soft as markets digest hawkish comments from US Federal Reserve officials. The CAC 40, DAX and FTSE 100 each have slipped 0.48%.

HDFC slipped 0.61% to Rs.1,421. The company announced that income from dividend rose 7.3% yoy to Rs.456 cr in Q2FY2017.

Adani Transmission rallied 7.4% to Rs.43.05 on the BSE. Reliance Infrastructure said it has signed a binding term sheet with Adani Transmission for a sale of 100% stake in its transmission assets.

Alembic Pharmaceuticals zoomed 3% on the BSE. The company’s Formulation Facility located at Panelav has received Establishment Inspection Report (EIR) from US Food & Drug Administration (USFDA) for the inspection carried out in March, 2016.

ICICI Bank ended lower by 1% at Rs.255 on the BSE. ICICI Bank announced a 0.05% reduction in its marginal cost of funds-based lending rate to 9.05%.

Bharat Forge erased morning losses and closed marginally higher on the BSE. A media report stated that its class 8 truck orders in U.S. fell by 27% to 13,800 units in September 2016.

NBCC gained 1.4% to Rs.280 after the company received orders worth Rs.1,117 cr in September. The company said the order includes a Rs.440 cr hospital construction contract from the Labour Ministry and a Rs.270 cr contract for construction of the University Grants Commission building complex.

Punjab & Sind Bank slipped 0.5% after the bank said it will raise Rs.500 cr by issuing Basel III-compliant bonds through a private placement.

Bhushan Steel advanced 1%. The company said its shareholders have approved the company’s proposal to raise up to Rs.1,155 cr through issue of redeemable cumulative preference shares.

Jubilant Life Sciences slipped 0.41% to Rs.645.The company announced that its wholly own subsidiary Jubilant Pharma Ltd, through one of its units Jubilant DraxImage Inc. Montreal Canada (JDI), has received approval from TGA, Australia for Lyophilized kit for the preparation of Technetium 99m Macro-Aggregated Albumin (MAA) Injection.

The rupee was trading down by 9 paise at 66.54 per US dollar

Out of 1,406 stocks traded on the NSE, 574 declined and 777 advanced today.

Top 5 Nifty Gainers: GAIL (2.72%), Reliance Ind. (2.32%), BHEL (1.68%), ONGC (1.67%) and Hind. Unilever (1.07%).

Top 5 Nifty Losers: Axis Bank (-1.19%), Infosys Ltd. (-0.69%), Adani Ports & Sez (-0.32%), Wipro (-0.29%) and Coal India (-0.20%)

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