KEY HIGHLIGHTS
Rupee Strengthens Against US Dollar
-The local currency strengthened by 3 paise to close at 83.50 against the US dollar.
-It closed at 83.53 on Wednesday.
Source: Bloomberg
Nifty Records Highest Closing On Weekly Expiry Day: Closing Bell
Benchmark equity indices extended their record rally in the second consecutive session but ended little changed from Wednesday as gains in tech shares were offset by losses in HDFC Bank.
Intraday, the Nifty rose as much as 0.47% to hit its record of 24,401 and the Sensex gained 0.51% to hit its all-time high of 80,392.64.
Both the indices recorded their highest close for second day. The Nifty ended at 24302.15, up 0.06% or 15.65 and the Sensex closed up by 0.08% or 62.87 points at 80049.67.
"From the past couple of days, it seems that the Index is finding it difficult to hold higher levels and bearish divergence in RSI indicates weakening of momentum," said Aditya Gaggar, director of Progressive Shares. "The immediate support is placed at 24,150 while on the higher side, 24,400 will be considered as resistance."
Shares of ICICI Bank Ltd., Infosys Ltd., Tata Consultancy Services Ltd., Tata Motors Ltd., and HCL Tech Ltd. contributed the most to the gains.
While those of HDFC Bank Ltd., Larsen & Toubro Ltd., Bajaj Finance Ltd., Adani Enterprises Ltd., and UltraTech Cement Ltd. weighed on the Nifty.
Most sectoral indices closed higher with Nifty IT and Nifty Pharma leading.
Market breadth was skewed in favour of buyers. Around 2,186 stocks rose, 1,741 stocks declined, and 94 remained unchanged on BSE.
Broader markets outperformed benchmark indices. The S&P BSE Midcap and Smallcap ended 0.60% and 0.62% higher, respectively.
On BSE, 16 sectors advanced, and four declined out of 20. The S&P BSE Healthcare rose the most, and the S&P BSE Consumer Durables declined the most.
Galaxy Surfactants Jumps 10%
Optiemus Infracom Unit Launches Drones
Unit Optiemus Unmanned Systems launches drones for agricultural and mapping applications
To train around 6,000 pilots & manage a fleet of 5,000 drones by 2025-end
Co to invest Rs 140 crore in this project, target service revenue of Rs 600-900 crore by 2025-end
Source: Exchange filing
Equitas Small Finance Bank Q1 Update
Q1 total deposits up 35.4% at Rs 37,524 crore (YoY)
Q1 gross advances up 17.8% Rs 34,872 crore (YoY)
Q1 CASA up 9.7% at Rs 11,724 crore (YoY)
Q1 CASA ratio at 31% vs 32% (QoQ)
Source: Exchange Filing
Zydus Life Gets Nod For Azilsartan Medoxomil Tablets
Gets tentative US FDA approval for Azilsartan Medoxomil tablets
Source: Exchange filing
Most European Markets Open Higher
Bank Of Maharashtra Business Update
Q1 total business up 13.4% at Rs 4.76 lakh crore (YoY)
Q1 total deposits up 9.4% at Rs 2.67 lakh crore (YoY)
Q1 CASA deposits up 7.1% at Rs 1.33 lakh crore (YoY)
Q1 gross advances up 19% at Rs 2.09 lakh crore (YoY)
Q1 CASA ratio at 49.86% vs 52.73% (QoQ)
Source: Exchange Filing
JLR UK Sales In June
Total sales rose 5.3% to 6,421 units
Jaguar sales rose 20% to 1,175 units
Land Rover sales rose 13.2% to 5,246 units
Source: SMMT
Dr Reddy's Hits Lifetime High
The stock has gained 2.7% in the last three days.
Nifty, Sensex Off Record Highs As Financial Services Stocks Weighs: Midday Market Update
India's benchmark stock indices were trading off record highs during midday on Thursday, tracking losses in financial services such as HDFC Bank Ltd. and Bajaj Finance Ltd.
At 12:11 a.m., the NSE Nifty 50 was trading 50.10 points, or 0.21%, higher at 24,336.60, and the S&P BSE Sensex gained 161.84 points, or 0.20%, to trade at 80,148.63.
The Nifty 50 hit a record high of 24,401.00, and the Sensex touched a fresh high of 80,392.64 during the opening trade.
The overall trend is positive with a broad-based rally across sectors, said Aamar Deo Singh, senior vice president of Angel One. "What was actually holding back was HDFC Bank, which has the highest weight on the index. Now, that has taken off significantly. Subsequently, Reliance Industries Ltd. and IT stocks also experienced gains. Till the time the trend changes on heavyweight indices, buy on dips. The Nifty 50 has good support around 24,000–24,100."
HDFC Bank Ltd., Bajaj Finance Ltd., Axis Bank Ltd., UltraTech Cement Ltd., and Adani Enterprises Ltd. were weighing on the Nifty 50.
ICICI Bank Ltd., Infosys Ltd., Reliance Industries Ltd., Tata Consultancy Services Ltd., and HCL Technologies Ltd. were contributing to the index.
On the NSE, eight sectors advanced and four declined. The NSE Nifty IT emerged as the top-performing sector with a gain of over 1.23%. The NSE Nifty Media was the worst performing sector.
Broader markets outperformed benchmarks, with the S&P BSE Midcap and Smallcap rising 0.45% and 0.53%, respectively, during midday on Thursday.
On BSE, 17 sectors advanced and three declined. The S&P BSE IT index was leading the gains. Meanwhile, the S&P BSE Financial Services emerged as the worst performer.
Market breadth was skewed in favour of buyers. Around 2,153 stocks advanced, 1,622 stocks declined, and 120 remained unchanged on BSE.
Mazagon Dock Hits Life High On Getting Navratna Status
The stock rose after it was granted the 'Navratna' status on June 26. The Department of Public Enterprises has approved the proposal in a letter dated June 25, according to an exchange filing.
Mazagon's stock jumped as much as 9.82% during the day to a life high of Rs 5144.8 per share on the NSE. It was trading 9.77% higher at Rs 5142.2 per share, compared to a 0.26% advance in the benchmark Nifty at 1:03 pm.
The share price has risen 300% in the last 12 months and 125% on the year-to-date basis. The total traded volume so far in the day stood at 2.9 times its 30-day average. The relative strength index was at 79.
Three out of the four analysts tracking Mazagon have a 'buy' rating on the stock and one suggests a 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 82%.
Indegene Falls After Citi Initiates Coverage With 'Sell'
Indegene Ltd. shares fell nearly 2% after wealth manager Citi initiated coverage on the stock with a 'sell' rating. It has set a target price of Rs 510 apiece, implying a potential downside of 7.1% from the previous close.
Sun Pharma Gets European Body Nod For Nidlegy
European Medicines Agency validates marketing authorisation for Nidlegy
Source: Exchange Filing
Max Estates Arm Gets Nod To Buy Additional Floor Area
Arm gets approval for purchase of additional floor area ratio for residential project in Noida
Source: Exchange Filing
Lloyds Metals Approves Issuing Convertible Warrants
Board approves issuing convertible warrants aggregating to `2,960 cr via preferential allotment
Source: Exchange Filing
IDFC Board Declares Dividend
Board declares interim dividend of Rs 1/share
Source: Exchange Filing
Kotak Institutional Equities Upgrades Lupin To 'Add'
Double upgrades to 'add' from sell
Price target raised to Rs 1,805; 11% upside from last closing price
Believes co has bunch of products lined up; will ensure remarkable year for cos US sales in FY26.
Expects cos robust US sales trajectory to continue amid stable US generics pricing environment
Myrbetriq and Tolvaptan to make next fiscal remarkable; Tolvaptan expected to be launched in Q1FY26.
Expects $106 million from Tolvaptan in FY26 will be much above Street’s estimates
Expects US sales to grow at 12% to $914 million in FY25 and 11% to $1,013 million in FY26
Inox Wind Jumps Over 15%
Shares of Inox Wind Ltd. surged over 15% on Thursday after it completed fund infusion worth Rs 900 crore by the founder.
Dalmia Bharat Arm Commences Operations At Andhra Pradesh Plant
Arm Dalmia Cement commences commercial production at 1 MTPA Andhra Pradesh plant
Co's total cement manufacturing capacity now stands at 46.6 MTPA
Source: Exchange Filing
ITD Cementation Falls To One-Week Low As Promoter Mulls Offloading Stake
Shares of ITD Cementation India Ltd. fell to the lowest level in one week as its promoter is considering to divest stakes in the company.
Italian Thai Development Public Co., who owns 46.64% stakes in the ITD Cementations, is exploring possibilities of divesting investment. However, the talks are in preliminary stage, and no definite decision has not reached yet, the company said in an exchange filing on Wednesday
IT Stocks Rise
All constituents of the Nifty IT but Tech Mahindra and LTIMindtree were trading higher. The index rose for sixth consecutive session and has added 6.6% in this rally.
JSW Steel Hits Lifetime High
The stock has risen 1.93% this week and 12.8% in the last 30 days. At 10:21 a.m., it erased losses to trade 0.1% lower at Rs 949.40, compared to 0.33% rise in the Nifty 50.
Cello World Rises As The Company Launches QIP
Shares of Cello world surged nearly 7% on Wednesday after the company launched its QIP for Rs. 737.3 crores. The company has announced the indicative issue price for its new shares at Rs 852 per share. This price represents an 11.4% discount to the closing price of Rs 896.09 per share as on Tuesday.
Pricing Details
Indicative Issue Price: Rs 852 per share
Discount: 11.4% off the previous closing price of Rs 896.09
Floor Price: Rs 896.09 per equity share
Cochin Shipyard Hits Lifetime High
Cochin Shipyard Ltd. jumped 8.35% to Rs 2,639.90, the highest level since its listing on Aug 11, 2007. It pared gains to trade 6.15% higher at Rs 2,586.20 as of 09:56 a.m., compared to 0.40% advance in the NSE Nifty 50 index.
It has risen 824.30% in 12 months, and 282.58 on year-to-date basis.
Total traded volume so far in the day stood at 2.3 times its 30-day average. The relative strength index was at 77.42.
Out of six analysts tracking the company, three maintain a 'buy' rating, two recommend a 'hold' and one suggests 'sell', according to Bloomberg data. The average 12-month analysts' consensus price target implies a downside of 22.7%.
Wipro Rises For Sixth Consecutive Session To Hit 26-Month High
The stock has risen 9% in its six-day rally and gained 14.6% year-to-date.
Vedanta Shares Rise On Strong Business Update For June Quarter
Shares of Vedanta Ltd. rose on Thursday after the mining company posted a 10% jump in the production of saleable steel or finished products in the first quarter of the current financial year.
Production of cast metal aluminum went up 3% year-on-year to 596 kilo tonnes. The production of alumina at the Lanjigarh refinery was at 539 KT, up 36% YoY, driven by new capacity, the Anil Agarwal-owned company told the exchanges in its business update.
Vedanta's stock rose as much as 1.49% during the day to Rs 470.8 apiece on the NSE. It was trading 0.86% higher at Rs 467.9 apiece, compared to a 0.3% advance in the benchmark Nifty at 9:32 a.m.
The share price has risen 68% in the last 12 months and 80% on a year-to-date basis. The relative strength index was at 58.
Eight out of the 13 analysts tracking the company have a 'buy' rating on the stock, four recommend 'hold' and one suggests 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential upside of 1.3%.
Brigade Enterprises Rises After Acquiring Housing Project In Bangalore
Shares of Brigade Enterprises went up nearly 4.5% at market open following its announcement of a joint development residential project in Bengaluru with a gross development value of Rs 1,100 crore.
Brigade Enterprises stock rose as much as 4.45% during the day to Rs 1429 apiece on the NSE. It was trading 2.99% higher at Rs 1408.95 apiece, compared to a 0.27% advance/decline in the benchmark NSE Nifty 50 as of 9:28 a.m.
It has risen 147.74% in the last 12 months and 57.01% on a year-to-date basis. The relative strength index was at 61.81.
Thirteen out of the 14 analysts tracking Brigade Enterprises have a 'buy' rating on the stock and one suggests a 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 1.5%.
Indices That Hit Lifetime Highs
Persistent Systems Hits Life High On Acquisition News
Persistent Systems Ltd. scaled a fresh high on Thursday as the company acquired US-based firm Starfish Associates to deepen its reach in contact centres and unified communication space.
Sectoral Indices That Also Hit All-Time Highs
Nifty, Sensex Open At New Records As ICICI Bank, RIL Lead: Opening Bell
Benchmark equity indices continued its record run to open at their lifetime highs as ICICI Bank, Reliance, and Infosys contributed the most to the gains.
At 9:27, a.m., the Nifty was at 24353.00, up 0.27% and the Sensex was at 80,230, up by 0.29%.
"The higher range consolidation and then a strong move continued for the last few weeks moving the support range higher to 24,000 levels," said Vikas Jain, senior research analyst at Reliance Securities. RSI continues to move higher above the averages and retest of the higher range and we expect some volatility in the last one hour of trade with respect to the expiry.
Shares of ICICI Bank, Reliance Industries, Infosys, TCS, and Mahindra & Mahindra contributed the most to the gains.
While those of HDFC Bank, Hindustan Unilever Ltd., Shriram Finance Ltd., Cipla Ltd., and State Bank Of India Ltd. capped the upside.
All sectoral indices were higher at open with Nifty IT leading.
Broader indices outperformed with the S&P BSE Midcap gaining 0.27% and S&P BSE Smallcap was 0.45% higher.
Market breadth was skewed in the favour of buyers. Around 2,050 stocks rose on the BSE, 859 fell, and 102 remain unchanged.
Yield On The 10-Year Bond Opens Flat
The yield on the 10-year bond opened flat at 6.98%.
It closed at 6.99% on Thursday.
Source: Cogencis
Rupee Opens Flat Against US Dollar
The local currency opened flat against the US Dollar at 83.54.
It closed at 83.53 on Wednesday.
Source: Congencis
Bain & Co. On How India Eats
Food services market in India expected to grow at 10%–12% CAGR
Indian food and service market at Rs 4-5 lakh crore at present
Food services market in India to reach Rs 9–10 lakh crore by 2030
Online food delivery is estimated to grow at 18% CAGR reaching Rs 2.12 lakh crore over 7 years
Online food to contribute 20% to the overall food services market by 2030.
Penetration to rise from 12% in 2023 to 20% by 2030.
Addressable customer base to reach 450 million by 2030 amidst urbanization and rising affluence
China has four times the number of restaurants per million urban population, as compared to India
70% of food services consumption as of 2023 is concentrated in the top 50 cities
Incremental growth is expected to come from other tier 2 cities as well
Gen-Z and younger cohorts comprise 40% of consumption
Each customer, on average, orders more than 3 cuisines from over 6 restaurants
Indian food services market is expected to expand by 110 million
Indian food services growing from the current 320–340 million to approximately 430–450 million by 2030
Eating out for Indian consumers with an average of 5 times per month, which is expected to increase to 7–8 times by 2030
QSRs. are expected to grow 40% faster than the overall market from 2023 to 2030.
Oriana Power Gets Order Worth Rs 151 Crore
Gets order worth Rs 151 crore for 25 MWp solar power plant
Source: Exchange Filing
Motilal Oswal On ITC
Reiterates BUY with target of Rs 500 (upside 17%)
Company is looking to grow beyond macro recovery
Implementing new initiatives and expanding its product portfolio
Steady macro government initiatives to help ITC sustain volume growth
Management is hopeful for positive steps by the govt in budget
Company can achieve low to mid-single digit cigarette volume growth
Mid to high single-digit EBIT growth in the medium term
Initiatives by the govt will drive rural consumption
ITC’s FMCG business has outperformed peers
Growth outlook is positive for the FMGC business in near term
Paper business is seeing weakness
Agri business remains volatile due to curbs on agri commodity trading
Budget will be a key monitorable for taxes on cigarette and overall consumption boost
Citi Initiates Coverage On Indegene With 'Sell'
Price target of Rs 510;downside 7.1%
Expects the co to benefit from accelerated digitalization of life sciences industry and mining opportunities in existing marquee clients
Expects EBIT margin to remain stable in FY25E and FY26E
Current valuations appear to be pricing in the positives.
Citi On Wipro
Maintains Sell, target Rs.455, downside: 15.5%
Sees multiple risks to high investor expectations going into 1QFY25
Sees a slow recovery ahead flat revenue yoy in FY25
The sharp price movement factors possibility of small positive qoq guidance in 2QFY25
1Q deal TCV will likely be healthy given the $500 million deal already announced
CV is lumpy and overall TCV TTM trends have been sluggish
Management churn could impact revenue growth in the medium term
Cello World Approves QIP Open On July 3
Approves opening of QIP on July 3
Approves floor price for QIP issue at `896.09/share
Source: Exchange Filing
KFin Tech Completes Disinvestment Of Fintech Products & Solutions
Completes disinvestment of entire 20.95% stake in Fintech Products and Solutions
Source: Exchange Filing
Inox Wind Completes Founder's Fund Infusion
Completes fund infusion worth Rs 900 crore by founder
To use funds to completely pare external term debt
Source: Exchange Filing
Fed Minutes Of June 11-12 Meeting In Washington
Fed awaits `additional information' to gain confidence to cut
Vast majority saw economic growth as `gradually cooling'
Several say unemployment may rise if demand weakens
Fed officials saw `modest further progress' on inflation goal
Several on Fed say hike might be warranted if infl. persists
May's CPI provided more evidence of inflation progress
Many officials concerned by lower-income family strains
Unemployment to `edge down' over rest of 2024, 2025
Source: Bloomberg
Global Cues
U.S. Dollar Index at 105.27
U.S. 10-year bond yield at 4.36%
Brent crude down 0.46% at $86.94 per barrel
Nymex crude down 0.46% at $83.49 per barrel
GIFT Nifty was up 21 or 0.09% at 24,464.50 as of 7:26 a.m.
Bitcoin was down 1.11% at $58,884.38
F&O Cues
Nifty July futures up by 0.68% to 24,350 at a premium of 63.5 points.
Nifty July futures open interest down by 0.85%.
Nifty Bank July futures up by 1.39% to 53,091 at a premium of 2.4 points.
Nifty Bank July futures open interest up by 13.73%.
Nifty Options July 4 Expiry: Maximum Call open interest at 25,000 and Maximum Put open interest at 24,000.
Bank Nifty Options July 10 Expiry: Maximum Call Open Interest at 55,000 and Maximum Put open interest at 53,000.
Securities in ban period: India Cements, Hindustan Copper.
Trading Tweaks
Price band Changes from 10% to 5%: Zen Technologies.
Price band Changes from 20% to 10%: Allied Digital Services, GM Breweries.
Ex/record Dividend: Tide Water Oil, Tata Power, Solar Industries, SKF India, Balaji Amines.
Ex/record AGM: Vedanta, Laurus Labs, Solar Industries India, Balaji Amines.
Ex/record Buyback: eClerx Services.
Moved in short-term Framework: DCX Systems, JK Paper, Nirman Agri Genetics.
Moved out short-term Framework: Cellecor Gadgets, Exicom Tele-Systems, Omaxe.
Bulk Deals
Ideaforge Technology: Think India Opportunities Master Fund LP sold 2.23 lakh shares (0.52%) at Rs 796.6 apiece.
Yatharth Hospital & Trauma Care Services: Plutus Wealth Management sold 25 lakh shares (2.91%) at Rs 405.07 apiece, while ICICI Prudential Mutual Fund bought 20 lakh shares (2.32%) at Rs 405 apiece.
IPO Offering
Emcure Pharmaceuticals: The public issue was subscribed to 1.32 times on day 1. The bids were led by institutional investors (0.07 times), non-institutional investors (2.71 times), retail investors (1.39 times).
Bansal Wire Industries: The public issue was subscribed to times 1.76 on day 1. The bids were led by institutional investors (0.01 times), non-institutional investors (2.44 times), retail investors (2.47 times).
Stocks to Watch
Bajaj Finance: The company reported new loans grew by 10% year-on-year to 10.97 million, AUM grew by 31% year-on-year to 3.54 lakh crore, and deposit book at up 26% year-on-year at 62,750 crores for the end of Q1 FY25.
Vedanta: The company reported aluminum production up 3% year-on-year at 596 kt, while Saleable zinc production up 1% year-on-year at 262 kt, Saleable steel production up 10% year-on-year at 356 kt, YoY, Overall power sales at 4,791 MU, up 13% YoY for the end of Q1 FY25.
Brigade Enterprises: The company signed a joint development agreement for a 1.2 million sq ft residential project in Bengaluru. The project is to be spread over 8 acres, with a Gross Development Value of Rs 1,100 crore.
L&T Finance: The company reported Portfolio realisation at 95%, Retail disbursements up 33% year-on-year at Rs 14,830 crore, and Retail loan book up 31% year-on-year at Rs 84,440 crore.
Suryoday Small Finance Bank: The bank reported gross advances up 42% year-on-year at Rs 9,037 crore, deposits up 42% year-on-year at Rs 8,137 crore, CASA ratio at 17.7% vs 20.1% QoQ, while GNPA at 2.67% vs 2.80% QoQ.
Tata Steel: The company received NCLT's nod for the merger of Angul Energy into itself.
Bandhan Bank: The bank reported loans and advances at Rs up 21.8% year-on-year at Rs 1.03 lakh crore, deposits at Rs up 22.8% year-on-year at Rs 1.08 lakh crore, While CASA ratio at 36.0% vs 37.1% QoQ for the end of Q1 FY25.
GE T&D: The company received a €64 million order from France's Grid Solutions for the supply of high-voltage products.
Cochin Shipyard: The government appointed Jose VJ as Director of Finance for 3 years.
Persistent Systems: The company acquired a 100% stake in US-based software company Starfish Associates for $20.7 million.
Marico: The company partnered with Kaya to handle sales of its science-based personal care products.
ITD Cementation: Promoter Italian Thai Development Public Company is exploring the potential divestment of its investment in the company.
Indiabulls Real Estate: The company changed its name to Equinox India Developments effective from July 8 following approvals from stock exchanges.
Cello World: The company launched a qualified institutional placement to raise up to Rs 800 crore.
Carysil: The company raised Rs 125 crore via QIP and allotted 15.7 lakh shares at Rs 796 per share.
Zee Media Corporation: The Ministry of Corporate Affairs approved the incorporation of a new subsidiary called Pinews Digital. Pinews to carry out business of mainstream media, through Hyper Local App, driven by AI.
GIFT Nifty Trades Above 24,500
The GIFT Nifty was trading 19.5 points or 0.08% higher at 24,463 as of 7:07 a.m.
Asia-Pacific markets rose on Thursday, mirroring similar overnight moves on Wall Street as US economic data and Federal Reserve's June policy meeting minutes supported traders' rate cuts hopes.
The Nikkei 225 was trading 115.84 points or 0.29% higher at 40,696.60, and the S&P ASX 200 was trading 73.60 points or 0.95% higher at 7,813.50 as of 06:54 a.m.
US stocks rose on Wednesday, with the Nasdaq composite scaling a fresh high. The Nasdaq Composite settled 0.88% higher. The S&P 500 ended 0.51% higher, while Dow Jones Industrial Average closed 0.06% lower.
Brent crude was trading 0.50% lower at $86.99 a barrel. Gold rose 0.22% to $2,361.43 an ounce.
Indian benchmarks settled at fresh closing highs on Wednesday, tracking sharp gains in heavyweight HDFC Bank Ltd. and ICICI Bank Ltd.
The NSE Nifty 50 settled 162.65 points, or 0.67%, higher at 24,286.50, and the S&P BSE Sensex ended 545.34 points, or 0.69%, up at 79,986.80.
Overseas investors turned net buyers on Wednesday after three days of selling. Foreign portfolio investors mopped up stocks worth Rs 5,483.6 crore, while domestic institutional investors turned net sellers after three sessions and offloaded equities worth Rs 924.4 crore, according to provisional data from the National Stock Exchange.
The Indian currency weakened 3 paise to close at Rs 83.53 against the US dollar.
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