Factors Behind the Stock Market Rally, HDFC Bank Q2 Results, and Top Buzzing Stocks Today

Tue, 20 Oct Pre-Open

   Previous Close   

   09:30 am   

   12:30 pm   

   Closing   

Indian share markets ended on a strong note yesterday.

At the closing bell yesterday, the BSE Sensex stood higher by 448 points (up 1.1%).

The NSE Nifty closed higher by 110 points (up 0.9%).

ICICI Bank and Nestle were among the top gainers.

The BSE Mid Cap index ended up by 0.6%.

The BSE Small Cap index ended up by 0.4%.

On the sectoral front, gains were largely seen in the banking sector and finance sector.

Gold prices were trading up by 0.5% at Rs 50,798 per 10 grams at the time of closing stock market hours yesterday.

To know more about gold, visit our YouTube Playlist on gold investing.

Speaking of stock markets, the stock of ITC is a hot potato these days. There are investors who are unhappy with the company's management and wants them to pull up their socks. And then there are investors who believe that we need to be patient and that the company is on the right track.

What should investors do in light of these differences and how HUL's performance in the past could hold the key to ITC's future?

Rahul Shah answers these questions and more in his latest video.

Tune in here to know more:

Top Stocks in Focus Today

Jet Airways will be among the top buzzing stocks today as the company is finally set to make a comeback, with a new owner - Kalrock Capital and Murari Lal Jalan, after it shut down eighteen months ago and became the first airline to be admitted under the insolvency and bankruptcy code (IBC).

As the Committee of Creditors (CoC) has voted for the Kalrock Capital led consortium to revive the airline, with a majority, the resolution professional of Jet Airways will now have to get the plan approved by the National Company Law Tribunal (NCLT). Upon receiving the NCLT approval, they would need to apply to civil aviation ministry and corporate affairs ministry for their approvals, respectively.

Public sector units (PSUs) stocks will also be in focus today as the government had asked PSUs with a stock price higher than the book value to reward shareholders.

Up to 8 companies including Coal India, NTPC, NMDC and Engineers India may consider buyback of shares soon. The government is looking to boost divestment proceeds via buybacks. It has asked public sector units to either buyback shares or spend on capital expenditure.

Market participants will also track Dr. Reddy's Laboratories Ltd share price as according to a statement from one of the vaccine developers, the company and Russia's sovereign wealth fund - Russian Direct Investment Fund (RDIF), have got approval to conduct human clinical trials of their coronavirus vaccine in India.

Top Factors Why Indian Stock Markets Rallied Yesterday

Positive Global Cues: Benchmark indices edged higher yesterday tracking gains in Asian peers which rose on hopes of a new US coronavirus relief deal before the presidential election.

House Speaker Nancy Pelosi said on Sunday that differences remained with President Donald Trump's administration on a wide-ranging coronavirus relief package but that she was optimistic legislation could be pushed through before the presidential election.

China's Economic Recovery: Sentiment also got a boost after a government-appointed panel on October 18 said the COVID-19 pandemic had peaked in India and could be brought under control by early next year with minimal active cases by February-end if protective measures are followed. Media reports also suggested that China's economic recovery quickened in the third quarter even as overall growth missed the forecast.

Coronavirus Vaccine Updates: Boosting overall sentiment, drug maker Pfizer Inc said on Friday it could have a coronavirus vaccine ready in the United States by the end of this year.

Gains in the Banking Sector: Benchmark indices got a boost from banking stocks that rallied yesterday after the Q2FY21 results of HDFC Bank cheered investors. HDFC Bank, the country's largest private sector lender, reported an 18.4% year-on-year (YoY) growth in profit for the September quarter.

HDFC Bank Q2FY21 Results: 18% YoY Growth in Net Profits

In news from the banking sector, HDFC Bank reported a net profit growth of 18% for the September quarter at Rs 75.1 billion, beating analysts' estimates by a wide margin.

That came on the back of strong 18% growth in core income. Margins remained intact and loan growth at 16% trumped that of the industry by a mile.

HDFC Bank's corporate loan book expanded by 26.5% in the September quarter. However, the pain of the pandemic was visible in the retail loan book, which showed one of its lowest growths ever at 5.3%.

Other income rose 9% year-on-year (YoY) to Rs 60.9 billion.

The bank's capital adequacy ratio stood at 19.1% at the end of the second quarter, as compared with 18.9% as on June 30. Unlike other private lenders, HDFC Bank is yet to raise any equity capital this financial year.

HDFC Bank set aside total provisions worth Rs 37 billion, higher than the Rs 27 billion reported last year. In the April-June quarter, the lender had reported provisions worth Rs 38.9 billion.

The bank saw steady growth in total deposits, which rose 20.3% to Rs 12.29 lakh crore.

Total advances grew 15.8% YoY to Rs 10.38 lakh crore as on September 30.

Note that the September quarter will be the last under the leadership of long-time Chief Executive Officer Aditya Puri, who will step down by October-end.

In a separate release, the bank said its board approved the appointment of Sashidhar Jagdishan as MD & CEO for a period of three years from October 27, 2020.

To know what's moving the Indian stock markets today, check out the most recent share market updates here.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary

Top Gainers TodayTop Gainers over 1-WeekTop Gainers over 1-MonthTop Gainers over 1-YearTop Gainers over 3-YrsTop Gainers over 5-YrsTop Losers TodayTop Losers over 1-WeekTop Losers over 1-MonthTop Losers over 1-YearTop Losers over 3-YrsTop Losers over 5-YrsOnly BuyersOnly SellersMost Active StocksMost Popular Stocks52 Week High Stocks52 Week Low Stocks

INDICESBSE (Rs 0 to 1)BSE (Rs 1 to 2)BSE (Rs 2 to 4)BSE (Rs 4 to 10)BSE (Rs 10 to 20)BSE (Above Rs 20)BSE - AllBSE-30BSE-100BSE-200BSE-500BSE AutoBSE BankexBSE Capital GoodsBSE Consumer DurablesBSE FMCGBSE HealthcareBSE ITBSE MetalBSE Oil & GasBSE PSUBSE TeckBSE RealtyBSE PowerBSE A GroupBSE B GroupBSE Mid-CapBSE Small-CapBSE Basic MaterialsBSE Consumer DiscretionaryBSE IndustrialsBSE UtilitiesBSE Sensex 50BSE Sensex Next 50BSE Bharat 22BSE 150 MidCapBSE 250 SmallCapBSE 250 LargeMidCapBSE 400 MidSmallCapBSE AllCapBSE LargeCapBSE SmallCap SelectBSE 100 LargeCap TMCBSE InfraBSE ManufacturingBSE CPSEBSE Private BankBSE Diversified FinancialsBSE MomentumBSE Low VolatilityBSE QualityBSE Enhanced ValueBSE Divident StabilityS&P BSE IPOBSE SMEIPOBSE 100 ESGBSE CarbonexBSE GreenexNSE (Rs 0 to 10)NSE (Rs 10 to 20)NSE (Above Rs 20)NSE - AllNSE-50NSE ITNSE Nifty Midcap 50NSE JR. NiftyNSE Bank NiftyNIFTY Next 50NIFTY 100NIFTY 200NIFTY 500NIFTY MidCap 100NIFTY SmallCap 250NIFTY SmallCap 50NIFTY SmallCap 100NIFTY LargeMidCap 250NIFTY MidSmallCap 400NIFTY AutoNIFTY Consumer DurablesNIFTY FinanceNIFTY FMCGNIFTY MediaNIFTY MetalNIFTY PharmaNIFTY Private BankNIFTY PSU BankNIFTY RealtyNIFTY Oil & GasNIFTY SME EmergeNIFTY CommoditiesNIFTY CPSENIFTY EnergyNIFTY India ConsumptionNIFTY InfraNIFTY MNCNIFTY PSENIFTY Serv SectorNIFTY100 Liquid 15NIFTY Midcap Liquid 15NIFTY Midcap 150 Quality 50NIFTY50 Equal WeightNIFTY100 Equal WeightNIFTY100 Low Volatility 30NIFTY100 Alpha 30NIFTY Alpha 50NIFTY Dividend Opportunities 50NIFTY High Beta 50NIFTY Low Volatility 50NIFTY200 Quality 30NIFTY 500 Value 50NIFTY 100 Quality 30SECTORSAgricultureAirlinesAluminiumAsset Management CompaniesAutomobilesAuto AncillariesBanks (Private)Banks (PSU)BankingCementChemicalsDefenceDiagnosticsDronesEngineeringElectric VehicleElectric Vehicle BatteryEnergy SourcesESGEthanolFertilizersFintechFMCGFoodGreen HydrogenHotelsInfrastructureInsuranceInvestment and FinanceInvITIT (Large)IT (Others)LogisticsMediaMetalMiningIndia's Big Tech StocksIndian PharmaMNC PharmaPSUPaintPaperPlasticPowerRating AgenciesReal EstateREITsRenewable EnergyRetailingSemiconductorShippingSteelSugarSupply ChainTelecomTextilesTravel Support Services

10 results 25 results 50 results 100 results All results

Indian Share Market Update: Top Gainers and Losers