Sensex, Nifty extend gains; Hero, Bharti Airtel, Sesa slip

10:59am Hero Motocorp block deals

Around 3.5 percent equity (71 lakh shares) of Hero Motocorp changed hands on exchanges through multiple block deals at Rs 2664-2718 apiece.

Currently promoter holds 39.9 percent stake in company.

10:45am Coal auction

Companies participating in the coal block auctions continue to be in focus. The latest results included BALCO winning the Chotia block in Chattisgarh at a price of Rs 3,025 per tonne whose previous owner was Prakash Industries, Jaiprakash Associates winning the Mandla North block, JP Power winning the Amelia North Coal block and OCL Iron & Steel winning Ardhagram coal block.

Brokerages such as JP Morgan say there have been aggressive bids for power and non power so far and expect aggressive bidding for the key Gare Palma coal block.

Jaiprakash Associates rallied 4 percent, Jaiprakash Power Ventures up 11 percent and OCL Iron shot up 17 percent.

10:30am Prime Minister says

Prime Minister Narendra Modi said the government did not want India to be the biggest importer of defence equipment in the world, and vowed to double output of defence manufacturing in the country.

India’s annual defence import bill is roughly USD 20 billion. In contrast, India’s domestic defence production output is around USD 7 billion.

Modi said even a 20-25 percent decrease in defence import can create 2 lakh  jobs in the country. Also, a 25 percent hike in domestic defence output can create 1 lakh skilled jobs, he said.

Modi said the government was keen to expand the role of private sector for Indian defence production and that preference would be given to defence products made locally.

10:00am Market Check

The market extended gains with the Sensex rising 163.37 points to 29299.25 and the Nifty climbing 39.85 points to 8849.20. The broader markets outperformed benchmarks as the BSE Midcap and Smallcap indices gained 0.6 percent and 0.9 percent, respectively.

Two shares advanced for every share declining on the Bombay Stock Exchange.

Predicting the market movement in the short-term is always a challenge and dicey, says Dipen Sheth, head of institutional research at HDFC Securities. But on the brighter side, he says big money has started flowing into domestic mutual funds. He is constructive on the market.

Hero Motocorp fell over 4 percent. According to sources, promoters of the two-wheeler manufacturer will sell 3.5 percent or 70 lakh shares of their 40 percent stake in the company via block deal today. It is learnt that the price band is decided at Rs 2664-2720 per share. Promoters are likely to raise around USD 300 million via the stake sale, say sources.

Bharti Airtel, Sesa Sterlite and Bajaj Auto declined 1-1.8 percent. Tata Motors slipped 0.7 percent as JLR global wholesales declined to 36,527 in January against 38,631 units sold in the year-ago period.

Technology stocks like TCS, Wipro and Infosys were down around 0.4 percent each. However, shares of HDFC, ITC, ICICI Bank, L&T, M&M, HUL, Sun Pharma, NTPC, Tata Power and GAIL gained 1-2.6 percent. More information please visit this site www.bigprofitbuzz.com

Sensex, Nifty consolidate; Sun Pharma, Ranbaxy, Jet rally

10:30am Manufacturing PMI Despite falling from December’s two-year record of 54.5 to 52.9, the headline HSBC India Purchasing Managers’ Index (PMI) remained consistent with a solid improvement in business conditions in January. PMI is a seasonally adjusted indicator designed to give an accurate overview of manufacturing operating conditions. Moreover, the latest expansion was the fifteenth in as many months. Sector data highlighted consumer goods as the best performing of the three market groups for the third month in a row, says HSBC in its report. "Manufacturing activity continued to signal improvement in January, though the rate of growth slipped to a three-month low. The slip can partly be attributed to consolidation after two months of impressive upticks," said Pranjul Bhandari, Chief India Economist at HSBC. "New orders, both from domestic and international sources, also continued to grow, though at a slower pace than in December. New orders were strongest in the consumer goods sector. On the inflation front, growth in input and output prices moderated further due to cheaper commodity prices," he added. "Sluggish growth and falling inflation further reinforces our view that the RBI should deliver upfront rate cuts. We expect the repo rate to be lowered by 75bp in the first half of 2015," said Pranjul. 10:00am Market Check The market remained under pressure amid consolidation following weakness in Asian equities post China data. The Sensex fell 73.99 points to 29108.96 and the Nifty declined 16.30 points at 8792.60. The broader markets outperformed benchmarks with the BSE Midcap and Smallcap indices gaining 0.6 percent each. About 1230 shares have advanced, 708 shares declined, and 195 shares are unchanged. Sun Pharma gained more than 2 percent and Ranbaxy jumped over 3.5 percent to hit record highs. The US Federal Trade Commission approved the pharma major’s plan to buy Ranbaxy on the condition that it divests one antibiotic product to avoid anti-competitive impact in the US market. Torrent Pharma will acquire Ranbaxy's minocycline business in the US. Jet Airways and SpiceJet rallied more than 4 percent as aviation turbine fuel (ATF) is slashed by a steep 11.3 percent which now costs lesser than diesel. The price of ATF, or jet fuel, in Delhi was cut by Rs 5,909.9 per kilolitre, or 11.27 per cent, to Rs 46,513.02 per kl, oil companies announced.More information please visit this site www.bigprofitbuzz.com

Sensex, Nifty stable; SBI up 2%, BHEL weak post Q2 results

The market continues to consolidate. The Sensex is up 65.33 points at 28005.97 and the Nifty is up 21.20 points at 8379.05. About 1513 shares have advanced, 1265 shares declined, and 91 shares are unchanged.

SBI is up 2 percent as its September quarter profit is in-line with estimates at Rs 3100 crore with stable asset quality.

Hindalco, Gail, Coal India, Sesa Sterlite and Tata Steel are top gainers in the Sensex. Among the losers are Cipla, Sun Pharma, Tata Power and Dr Reddy's Labs.

Bhel is down 2 percent as it Q2 margins disappointed at 4.7 percent. Its profits were at Rs125 crore versus a CNBC-TV18 poll of Rs 380 crore.

WPI for the month of October eases to a multi-year low, at 1.77 percent versus 2.38 percent in the previous month. The ease was driven by downward movement in primary articles, manufactured items, and fuel and power. More information please visit this site www.bigprofitbuzz.com

BSE Sensex, Nifty consolidate; Infosys up 1%, SBI slips 2%

1:50 pm Results: FMCG major Marico has reported a 11.7 percent growth in consolidated net profit at Rs 118.3 crore in July-September quarter led by higher revenue growth. Profit in the year-ago period was Rs 105.9 crore.

Consolidated total income from operations grew by 28 percent to Rs 1,431 crore in the quarter ended September 2014 compared to Rs 1,118.4 crore in same quarter last year with volume growth of 7 percent.

"Volume growth in India was 8 percent and 5 percent in International business," said the company in its filing.

1:30 pm Buzzing: Shares of Aurobindo Pharma hit record high at Rs 1043.40 per share, up 4 percent intraday on Friday after it has reported a whopping 58.3 percent growth in consolidated net profit at Rs 372 crore for July-September quarter led by US generics. Profit in the year-ago period was Rs 235 crore.

Consolidated revenue grew by 50.5 percent to Rs 2,881 crore in the quarter ended September 2014 compared to Rs 1,914 crore in the same quarter last year driven largely by US business that reported a 60.7 percent growth during the quarter.

Europe business in July-September quarter increased by 349.3 percent while rest of the world business showed a 67.2 percent growth compared to year-ago period.

The market consolidates with a negative bias. The Sensex is down 104.93 points at 27810.95 and the Nifty is down 23.25 points at 8315.05. About 1281 shares have advanced, 1496 shares declined, and 96 shares are unchanged. 

Dr Reddy's Labs, Axis Bank, Hindalco, Sun Pharma and Infosys are top gainers in the Sensex. Among the losers are Sesa Sterlite, BHEL, GAIL and SBI.

Asian shares edged down on ahead of US employment data later in the session, while the euro wallowed around two-year lows after European Central Bank President Mario Draghi vowed to take more easing steps to spark growth in the euro zone.

Investors were likely to remain cautious ahead of the key US nonfarm payrolls report. Solid gains in employment are projected, and could increase speculation the Federal Reserve could raise US interest rates in the middle of next year. More information please visit this site www.bigprofitbuzz.com

Record high: Sensex gains 300 pts, Nifty above 8250

10:55am Market Check

The 30-share BSE Sensex rose 297.82 points or 1.09 percent to 27644.15 and the Nifty jumped 89.10 points or 1.09 percent to 8258.30. About 1595 shares have advanced, 654 shares declined, and 88 shares are unchanged.

HDFC, Maruti Suzuki, Hero Motocorp, SBI, ONGC, IDFC and HCL Technologies gained 2-2.5 percent.

10:45am Interview

Hindustan Construction Company (HCC) reported second quarter standalone net profit at Rs 6.8 crore versus Rs 31.6 crore in the year-ago period. But the previous year’s profit figure included a big other income figure of Rs 116 crore, which led to a bottomline profit of Rs 31.6 cr for Q2FY14.

Praveen Sood, CFO of HCC says the company is trying to maintain profitability at these levels. He hopes that the next two quarters will be as good as the last six quarters.

He says the profitability margins are coming from efforts to bring down costs. The company is not seeing any major push on the order inflow side and the good margins reported is despite that. Order inflows from the government side has not picked up yet, says Sood. He expects government order inflows to pick up only from next year.

He says: "Realised Rs 400 crore of claims in the last two quarters which helped push margins." He hopes to realise similar claim amounts in the second half of the year.

HCC has Rs 4,000 crore stuck in arbitration. He expects the government to pay its dues in the next few months.

The company is seeing order inflow momentum only in the road sector as of now. But sectors such as hydro and nuclear power saw no pick up in order inflows. Sood hopes to end year with Rs 14500-15000 crore order book position.

10:30am Market Update

The market remained at record high. The Sensex rose 260.01 points or 0.95 percent to 27606.34 and the Nifty jumped 77.60 points or 0.95 percent to 8246.80.

About 1537 shares have advanced, 595 shares declined, and 88 shares are unchanged.

Titan Company, Tech Mahindra, IDFC, SBI, Maruti Suzuki, Bharti Airtel, TCS and Shriram Transport were the most active shares on exchanges.

In the midcap space, Relaxo Footwear, Gujarat Pipavav, Sintex Industries, HCC and SKS Microfinance jumped 5-6 percent while SRF, Responsive Industries, eClerx Services, Hindustan National Glass and FAG Bearings lost 2-4 percent.

10:15am Market Expert

There is a confluence of positives in India right now and that’s the reason things are turning constructive for the Indian market, says Dipen Sheth of HDFC Securities.

In an interview to CNBC-TV18, Sheth says the Nifty is currently in a multi-year, multi-themed, multi-faceted bull run.

On his sectoral prefences, Sheth says he likes special restautants and great fine-dining franchises. He also believes the midcap space has a lot of talented companies that can be invested into right now.

10:00am Market Check

Equity benchmarks continued to trade around their record highs with the Sensex rising 235.50 points to 27581.83 and the Nifty climbing 68.20 points to 8237.40 following strong US cues.

The broader markets too gained momentum with the BSE Midcap and Smallcap indices adding 1 percent each. About three shares advanced for every share declining on the Bombay Stock Exchange.

Technical Analysts Rajat Bose is bullish on the Indian market. He says that Nifty is in an uptrend and it could touch 8,250-8,300 going ahead. He recommends market participants to buy on dips.

Major largecaps like Reliance Industries, Infosys, HDFC, ITC, HDFC Bank, TCS, Larsen and Toubro, ONGC, State Bank of India and Axis Bank gained 1-1.6 percent.

Hero Motocorp, Tata Steel, Wipro, Tata Power, Dr Reddy's Labs, Coal India and Sesa Sterlite too climbed 1-1.6 percent.

However, Bharti Airtel (post Q2 earnings), Hindustan Unilever, ICICI Bank and Hindalco Industries were only losers in the Sensex. More Information please visit this site www.bigprofitbuzz.com

Sensex, Nifty gain ahead of Diwali; SBI, ITC laggards

It's the fourth consecutive session in the green for the market as the Nifty is around 8000 ahead of Diwali.The Sensex is up 178.01 points at 26753.66 and the Nifty is up 54.90 points at 7982.65. About 1478 shares have advanced, 643 shares declined, and 90 shares are unchanged.

Hero, Tata Motors, Bajaj Auto, BHEL and Cipla are top gainers while ONGC, Coal India, Tata Power, SBI and ITC are laggards.

In result reactions Cairn is higher despite Q2 numbers missing estimates. Barclays says it was an in line quarter retaining their overweight stance but prefers ONGC, BPCL and Reliance.

Globally Asia gains on reports of bond purchases by the European central bank. Nikkei also reacts to September trade deficit data that indicated exports hit a 7-month high. The rupee maintains its rising trend for the fourth straight day. More information please visit this site www.bigprofitbuzz.com

Sensex rangebound; DLF, Sesa, SBI, RIL, Axis most active

03:15pm Symphony Q1 earnings 

Air coolers maker Symphony surpassed street expectations on every parameter with the first quarter (July-September) standalone net profit rising 51 percent to Rs 21.6 crore on the back of strong growth in revenue and operational income. Profit in the year-ago period was Rs 14.3 crore.

 According to CNBC-TV18 poll estimates, analysts had expected the company to report profit of Rs 18 crore on revenue of Rs 96 crore for the quarter. 

Net sales grew 42.5 percent to Rs 102.7 crore in the quarter ended September 2014 compared to Rs 72.1 crore in same quarter last year. 

Operating profit or EBITDA climbed 71.4 percent on yearly basis to Rs 23.8 crore and margin expanded by 390 basis points to 23.2 percent during the quarter, which were expected at Rs 19.9 crore and 20.7 percent, respectively. 

02:58pm Brent Crude check

 Brent crude fell to just above USD 88 a barrel in a well-supplied market as expectations faded that OPEC could cut output in an effort to shore up prices. 

The global oil benchmark has declined more than 20 percent from the 2014 high in June as supplies rose and demand slowed in the United States, Europe and China. 

Investors expecting a production cut from OPEC to support prices were disappointed as Saudi Arabia and Kuwait played down the possibility of the Organization of the Petroleum Exporting Countries reducing output. 

OPEC, which produces about 40 percent of the world's crude oil, is due to meet in late November to discuss output targets, reports Reuters. 

02:30pm Interview

Videocon Industries is looking to raise money via its D2H business. The company is planning to launch an initial public offering (IPO) worth Rs 700 crore by January-February 2015, said CMD Venugopal Dhoot, in an interview to CNBC-TV18. The IPO will value company at Rs 5,400 crore. 

The Mumbai-headquartered company currently has a D2H base of around 90 lakh users which is likely to double over the next five years.

The company had earlier in the year sold 10 percent stake in its Mozambique plant to Oil India and ONGC Videsh for nearly Rs 15,000 crore. The board is yet to decide about how to use that money. The company may also look to cut down debt which currently stands at around Rs 22,000 crore. 

Meanwhile, Dhoot says Videocon is likely to focus more on its Brazilian operations as the field there has 10 million barrel of oil and equivalents. He expects oil and gas discovery in Brazil. The Brazilian fields are expected to start production from FY16. 

02:00pm Market Check

Equity benchmarks continued to trade in a tight range with the Nifty consolidating in 7850-7900 band ahead of Maharashtra and Haryana state elections that will be Wednesday. Banks and healthcare stocks supported the market while technology and HDFC twins remained under pressure. 

The Sensex rose 13.94 points to 26398.01 while the Nifty declined 4.15 points to 7880.10. About 1309 shares have advanced, 1466 shares declined, and 107 shares are unchanged.

Shares of Axis Bank, State Bank of India, Bajaj Auto, BHEL, HUL, Hindalco and Tata Power topped the buying list, up 2-3.5 percent followed by Reliance Industries, Bharti Airtel, Gail and Coal India with 1 percent loss. 

However, ITC, HDFC, TCS, Tata Motors, ONGC and Sesa Sterlite fell 1-1.7 percent. 

DLF, BF Utilities, SBI, Sesa Sterlite, Axis Bank, Reliance Industries and Infosys were most active shares on exchanges. 

In the midcap space, Den Networks, BF Utilities, NBCC, ABG Shipyard and Symphony shot up 7-19 percent while Risa International, HCC, Trinity Trade, Jyothy Labs and Hindustan National Glass declined 3-7 percent. More information please visit this site www.bigprofitbuzz.com