Market gains for 4th day, Nifty settles above 17,500, rupee hits fresh record low

19 Oct 2022 , 03:51 PM

The domestic equity benchmarks ended with minor gains on Wednesday, extending gains for the fourth trading session. Oil & gas, FMCG and financial services shares advanced while IT, metal and PSU bank stocks declined. The Nifty opened higher and hit the days high of 17,607.60 in the mid-morning trade. It briefly slipped into the negative terrain to hit the days low of 17,472.85 in late trade. However, the index bounced back and managed to close with minor gains. As per provisional closing data, the barometer index, the S&P BSE Sensex, rose 146.59 points or 0.25% to 59,107.19. The Nifty 50 index gained 25.30 points or 0.14% to 17,512.25. In four consecutive sessions, the Sensex has jumped 3.27% while the Nifty has increased by 2.93%. In the broader market, the S&P BSE Mid-Cap index rose 0.13% while the S&P BSE Small-Cap index shed 0.03%. The market breadth was negative. On the BSE, 1,657 shares rose and 1,760 shares fell. A total of 154 shares were unchanged. Indian Rupee on Wednesday hit a fresh record low against the US dollar. The currency opened at 82.3225 and touched a fresh all time low of 82.96 and is currently trading at 82.90 Further, strong buying from DIIs has completely overwhelmed the selling pressure caused by FII selling. In the past three session, DIIs have bought a total of Rs 5,290 crore worth stocks in the cash market, sharply outperforming the equities sold by FIIs worth Rs 1,537 crore. Buzzing Index: The Nifty Oil & Gas index rose 0.57% to 7,638.80. The index added 2.36% in two trading sessions. Aegis Logistics (up 10.52%), Reliance Industries (up 1.82%), Gujarat Gas (up 0.92%), Adani Total Gas (up 0.92%), Indian Oil Corporation (up 0.52%), Hindustan Petroleum Corporation (up 0.25%), Petronet LNG (up 0.22%) edged higher. On the other hand, Mahanagar Gas (down 1.47%), Bharat Petroleum Corporation (down 1.28%) and Indraprastha Gas (down 0.9%) declined. Stocks in Spotlight: UltraTech Cement rose 1.13%. The cement majors consolidated net profit tumbled 42.47% to Rs 756 crore on 15.78% increase in net sales to Rs 13,596 crore in Q2 September 2022 over Q2 September 2021. In its outlook, the company said that given the governments focus on infrastructure spending and affordable housing, the cement sectors long-term growth potential continues to remain healthy. Demand revival is imminent, especially during the festive season and the January-March peak construction period. Nestle India gained 1.98%. The FMCG major reported 8.3% rise in net profit to Rs 668.34 crore on 18.3% rise in revenue from operations to Rs 4,591 crore in Q3 CY22 over Q3 CY21. Total sales jumped 18.2% year on year to Rs 4,567 crore in Q3 CY22 against Q3 CY21. Domestic sales and export sales for the quarter ended September 2022 increased by 18.3% and 15.7% respectively. Domestic sales growth was broad based with a healthy balance of pricing and volume. In its commodity outlook, the company said that it is witnessing early signs of stability in prices of a few commodities such as edible oils and packaging materials. However, fresh milk, fuels, grains and green coffee costs are expected to remain firm with continued increase in demand and volatility. L&T Technology Services (LTTS) slipped 4.73% after the company reported 3% rise in consolidated net profit to Rs 282.4 crore on a 6.5% rise in revenue to Rs 1,995.1 crore in Q2 FY23 over Q1 FY23. As compared with Q2 FY22, the companys net profit and revenue are higher by 22.8% and 24.1%, respectively. During the quarter, LTTS won $60 million plus deal and a deal with total contract value (TCV) of $10 million. ICICI Lombard General Insurance Company declined 1.08%. The general insurance companys net profit rose 32.2% to Rs 590.53 crore on 18.14% rise in total income to Rs 4,499.03 crore in Q2 FY23 over Q2 FY22. Schaeffler India added 0.02%. The company reported 26.1% jump in net profit to Rs 215.4 crore on a 18.1% increase in net sales to Rs 1,756.43 crore in Q3 September 2022 over Q3 September 2021. Net profit margin in the third quarter stood 12.3% as compared with 11.5% during the corresponding quarter of 2021. KPIT Technologies fell 2.01% after the IT companys consolidated net profit fell 2.28% to Rs 83.48 crore despite of 8.62% increase in revenue from operations to Rs 744.83 crore in Q2 FY23 over Q1 FY23. On a year on year (YoY) basis, the companys net profit surged 28.23% while revenue jumped 26.06% in Q2 FY23. With respect to outlook, KPIT Technologies said that it has increased CC revenue growth to 31%-32%. Reported $ growth will be impacted adversely due to cross currency headwinds. Syngene International jumped 6.58% after the company reported 53% rise in consolidated net profit to Rs 102 crore on a 26% rise in revenue from operations to Rs 768 crore in Q2 FY23 over Q2 FY22. HDFC Asset Management Company rose 1.35% after the AMC reported 6% rise in net profit to Rs 364.13 crore on a marginal rise in total income to Rs 648.93 crore in Q2 FY23 over Q2 FY22. Network18 Media & Investments dropped 6.36% after the media company reported consolidated net loss of Rs 36.49 crore in Q2 September 2022 as against net profit of Rs 39.02 crore in Q2 September 2021. On a consolidated basis, net sales rose 11.65% to Rs 1548.89 crore in Q2 September 2022 over Q2 September 2021. Mahindra CIE Automotive gained 1.88%. The comapny reported 3% rise in consolidated net profit to Rs 171.37 crore on 30.3% rise in revenue from operations to Rs 2,723.15 crore in Q3 calender year (CY) 2022 over Q3 CY 2021. Global Markets: Most of the European shares declined while Asian stocks traded mixed on Wednesday as traders assessed a solid start to the corporate-earnings season that helped extend a rally in US markets. The U.K. reported a rise in the consumer price index to 10.1% in September on Wednesday, matching the 40-year high posted by the Office for National Statistics (ONS) in July. The rate rose in the year to September 2022 as the countrys cost-of-living crisis continues to hammer households and businesses ahead of a tough winter. Inflation unexpectedly dipped to 9.9% in August, down from 10.1% in July, on the back of a fuel price decline. Increasing food, transport and energy prices were the biggest contributing factors to inflation, the ONS said. Wall Street stocks closed higher and Treasury yields dipped on Tuesday as upbeat earnings and better-than-expected factory data stoked a risk-on rally. Production at US factories spiked in September. Manufacturing output rose 0.4% last month, keeping pace with an upwardly revised 0.4% gain in August, the Federal Reserve said on Tuesday. Output increased 4.7% from a year earlier. Powered by Capital Market – Live News