Sensex Ends 145 Points Higher, Nifty Holds 18,100; ICICI Bank Rallies 12%
Closing

Sensex Ends 145 Points Higher, Nifty Holds 18,100; ICICI Bank Rallies 12%

Indian share markets witnessed volatile trading activity throughout the day today and ended marginally higher.

Benchmark indices snapped their 4-day losing streak, led by gains in index heavyweights ICICI Bank, ONGC and Axis Bank.

Although broader markets witnessed heavy selling.

At the closing bell, the BSE Sensex stood higher by 145 points (up 0.2%).

Meanwhile, the NSE Nifty closed higher by 11 points (up 0.1%).

ICICI Bank and Axis Bank were among the top gainers today.

BPCL and Bajaj Finserv, on the other hand, were among the top losers today.

The SGX Nifty was trading at 18,198, up by 53 points, at the time of writing.

The BSE Mid Cap index and the BSE Small Cap index ended down by 1.7% and 1.8%, respectively.

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Sectoral indices ended on a mixed note with stocks in the banking sector and finance sector witnessing most of the buying interest.

Realty and auto stocks, on the other hand, witnessed selling pressure.

Shares of Shoppers Stop and KEC International hit their respective 52-week highs today.

Asian stock markets ended on a mixed note today.

The Hang Seng ended on a flat note, while the Shanghai Composite ended up by 0.8%. The Nikkei ended down by 0.7% in today's session.

US stock futures are trading on a flat note today with the Dow Futures trading down by 3 points.

The rupee is trading at 75.08 against the US$.

Gold prices for the latest contract on MCX are trading up by 0.5% at Rs 48,014 per 10 grams.

Speaking of the stock markets, India's #1 trader, Vijay Bhambwani talks about how to know if your stock will fall, in his latest video for Fast Profits Daily.

Tune in to the video below to find out more:

In news from the power sector, Tata Power was among the top buzzing stocks today.

Tata Power, one of the country's largest private-sector integrated companies, now has a network of more than 1000 electric vehicle (EV) charging stations across the country.

This network of 1000 public EV charging stations provides innovative and seamless EV charging experiences for Tata Power's customers across offices, malls, hotels, retail outlets, and places of public access, enabling clean mobility and freedom from range-anxiety.

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In addition, there are close to 10,000 home EV charging points, which make EV charging super-convenient for the vehicle owners.

Tata Power EZ Chargers ecosystem covers the entire value chain of public chargers, captive chargers, bus/ fleet chargers and home chargers.

Starting with the first chargers being installed in Mumbai, Tata Power EV charging points are now present in nearly 180 cities and in multiple State and National highways under various business models and market segments.

The company is planning to have a base of 10,000 charging stations as also to enable whole stretches of highways into e-highways across the length and breadth of the country.

Tata Power has collaborated with original equipment manufacturers (OEMs) to roll out EV charging infrastructure and aims to expand its presence further in many cities of India.

It has partnered with Tata Motors, MG Motors India, Jaguar Land Rover, TVS & more, for developing EV charging infrastructure for their customers and dealers.

Tata Power share price ended the day down by 4.1% on the BSE.

Speaking of EV charging stations, after the government announced the extension of the FAME II scheme, several states like Maharashtra, Gujarat, Rajasthan, and Delhi have announced their own policies for the faster adoption of EVs.

Under the FAME II scheme, 350 new EV charging stations have been installed across the country.

Here's a summary of stations that have been installed in each city.

The government is actively formulating guidelines such as setting EV charging infrastructure by the Ministry of Power, amendment in model building bye-laws (MBBL-2016) for EV charging infrastructure by Ministry of Housing and Urban Affairs, etc.

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Moving on to news from the paints sector...

Asian Paints Under Pressure After Whistle-Blower Flags Related Party Transactions

Asian Paints shares slumped over 4% today after reports said that a whistle-blower has reportedly flagged off related party transactions carried out by the paint maker's promoters that allegedly benefited them at the cost of the company's shareholders.

The whistle-blower informed the market regulator that money to buy a company called Paladin Paints and Chemicals went from Asian Paints but its promoters Ashwin Dani and son Malav now control it in their personal capacity.

The market watchdog has reportedly sought further details from the whistle-blower.

In a clarification to the exchanges, Asian Paints said,

  • The said complaint was investigated in accordance with the company's whistle blower policy, and after undertaking a detailed review of the transactions which were mentioned therein, the said complaint was closed as the enquiry concluded that the transactions were undertaken in compliance with the law, and there was no basis for the allegations made.

Explaining further, the company said that it had entered into a technical consultancy agreement with Jayram Nadkarni, a former employee of Asian Paints and Paladin Paints & Chemicals during the financial year 2005-2006.

Pursuant to this agreement, an upfront consultancy charge of Rs 12 m and a monthly consultancy of Rs 1.2 m for a period of 21 months amounting to Rs 25.2 m was paid to Nadkarni for providing necessary technical consultancy, technology knowledge package and process for manufacturing of resins to the company with respect to the products governed by the agreement, Asian Paints said in the exchange filing.

Asian Paints share price ended the day down by 2% on the BSE.

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


Sensex Trades Marginally Higher, Dow Futures Trade Flat
12:30 pm

Sensex Trades Marginally Higher, Dow Futures Trade Flat

Share markets in India are presently trading marginally higher.

The BSE Sensex is trading up by 218 points, up 0.4%, at 61,039 levels.

Meanwhile, the NSE Nifty is trading up by 39 points.

ICICI Bank and Axis Bank are among the top gainers today. Wipro and Divi's Lab are among the top losers today.

The BSE Mid Cap index is trading down by 1.5%.

The BSE Small Cap index is trading down by 1.6%.

On the sectoral front, stocks from the real estate sector are witnessing most of the selling pressure.

On the other hand, stocks from the banking sector are witnessing most of the buying interest.

US stock futures are trading mixed today.

Nasdaq Futures are trading up by 36 points (up 0.2%) while Dow Futures are trading down by 5 points (flat)

The rupee is trading at 75.03 against the US$.

Gold prices are trading up by 0.3% at Rs 47,921 per 10 grams.

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Gold prices were steady in Indian markets today after cutting gains in the prior session on US Federal Reserve chief Jerome Powell's comment that inflation could ease next year and the central bank was on track to start tapering its stimulus.

On MCX, gold contracts were up 0.2% at Rs 47,898 per 10 grams.

Last week, gold and silver prices were up due to pressure seen in the dollar index. The trend is likely to continue this week as well.

Speaking of the precious yellow metal, how lucrative has gold been as a long-term investment in India?

The chart below shows the annual returns on gold over the last 15 years...

As you can see, barring just two years - 2013 and 2015, gold has delivered positive returns in 13 of the last 15 years.

The recent price volatility in the bullion market has rattled many traders. Even with the recent volatility in prices, gold remains among the best performing commodities this year to combat the fallout from the coronavirus pandemic.

To know more about gold, check out our article on how to invest in gold here: How to Invest in Gold?

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Moving on to stock-specific news...

Among the buzzing stocks today is Federal Bank.

Shares of Federal Bank were up 2% on the exchanges after the bank reported a near 50% jump in net profit for the September 2021 quarter on lower provisions and improvement in asset quality.

The bank's net profit came in at Rs 4.6 bn compared to Rs 3.1 bn in the year-ago period. Provisions fell 54% YoY to Rs 2.5 bn which helped the net profit surge.

The bank's asset quality improved on a sequential basis as the gross non-performing assets ratio came in at 3.24% for the September quarter as compared to 3.50% a quarter ago.

Its net NPA ratio also improved marginally to 1.12% as against 1.23% earlier.

The lender's net interest income, the difference between interest earned and interest expended, rose about 7% at Rs 14.8 bn. Net interest margins also rose to 3.2% from 3.1%.

However, the total income of the bank fell about 3% year on year (YoY) to Rs 38.3 bn from Rs 39.4 bn in the September 2020 quarter.

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How the bank performs in the next quarter remains to be seen. Meanwhile, stay tuned for more updates from this space.

At the time of writing, Federal Bank shares were trading up by 1% on the BSE.

Speaking of the stock markets, India's #1 trader, Vijay Bhambwani talks about how to know if your stock will fall, in his latest video for Fast Profits Daily.

Moving on to news from the smallcap space...

Minda Industries to Hike Stake In Strongsun Renewables

Minda Industries on Saturday announced that its investment committee has approved the second tranche of investment in Strongsun Renewables

The transaction is expected to be completed on or before 6 November 2021.

With this acquisition, Minda Industries will hold a 28.1% stake in the company.

The acquisition of the shares is for availing solar power for its manufacturing units situated at Maharashtra.

Minda Industries is a flagship Company of UNO MINDA Group, which manufactures automobile components for original equipment manufacturers (OEMs).

On a consolidated basis, the company reported a net profit of Rs 299 m in the June 2021 quarter. It had posted a net loss of Rs 1.4 bn in the same period last year.

We will keep you posted on more updates from this space. Stay tuned.

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


Sensex Opens Flat; ICICI Bank Jumps 8% After Reporting Highest Ever Net Profit
09:30 am

Sensex Opens Flat; ICICI Bank Jumps 8% After Reporting Highest Ever Net Profit

Asian share markets are trading on a mixed note today as traders weighed inflation risks, a Covid-19 outbreak in China and earnings prospects for major technology firms.

The Hang Seng is trading on a flat note, while the Shanghai Composite is up 0.4%. The Nikkei is trading lower by 0.8%.

In US stock markets, Wall Street indices ended mixed on Friday as losses for several large technology companies weighed on the market.

The Dow Jones Industrial Average ended higher by 0.2% while the tech-heavy Nasdaq Composite fell 0.8%.

Despite the downbeat finish to the week, all three major indexes posted their third weekly gain in a row.

Back home, Indian share markets have opened on a flat note.

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Market participants will track shares of HDFC AMC, SRF and Tech Mahindra as these companies are scheduled to announce their quarterly results later today.

The BSE Sensex is trading down by 47 points. Meanwhile, the NSE Nifty is trading lower by 25 points.

ICICI Bank and Axis Bank are among the top gainers today. Asian Paints, on the other hand, is among the top losers today.

The BSE Mid Cap index and the BSE Small Cap index have opened lower by 0.9% and 0.6%, respectively.

Sectoral indices are trading mixed with stocks in the banking sector and finance sector witnessing buying interest.

Realty stocks and auto stocks, on the other hand, are trading in red.

Shares of ICICI Bank and IRB Infra hit their 52-week highs today.

The rupee is trading at 74.90 against the US$.

Gold prices are trading up by 0.2% at Rs 47,892 per 10 grams.

Meanwhile, silver prices are trading up by 0.5% at Rs 65,960 per kg.

Crude oil prices rose today with US crude hitting a seven-year high as global supply remained tight amid strong demand worldwide as economies recover from coronavirus pandemic-induced slumps.

Speaking of stock markets, in his latest video for Fast Profits Daily, India's #1 trader, Vijay Bhambwani talks about how to know if your stocks will fall.

In news from the electric vehicles (EV) space, Tata Motors will invest as much as US$2 bn (Rs 150 bn) over the next four years to launch 10 new EVs just as its broader passenger vehicles division hopes to turn around and generate free cash flow by 2022-23.

This segment of Tata Motors was in losses till a few years ago.

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The above announcement by the Tata group company comes within days of private equity firm TPG Rise Climate announcing plans to pump in US$1 bn into Tata Motors's passenger EV division at a valuation of US$9.1 bn.

Shailesh Chandra, president of Tata Motors's passenger vehicles business unit, said the company has a strong product launch plan for electrics, with expectations of 20% sales coming from green powertrains over four to five years.

He added,

  • With just two green products right now (Nexon and Tigor EVs), we are getting bookings of 3,000-3,500 units per month. However, we are able to supply only around 1,000 units.

Last month, the company had said that cumulative sales of EVs had crossed 10,000 units, with main contribution coming from Nexon.

The company recently launched an upgraded Tigor electric sedan and is hoping that demand for EVs will remain strong as central and state governments offer benefits to promote green technologies and vehicle charging network gets dense.

Chandra also said that a large share of SUVs into the company's portfolio, which could go up to 60% in the coming years, will aid profitability.

Tata Motors share price has opened the day down by 2%.

To know more, check out Tata Motors' 2020-21 annual report analysis.

Speaking of EVs, have a look at the chart below which shows the massive opportunity in the two-wheeler EVs.

Here's what lead Smallcap Analyst at Equitymaster, Richa Agarwal wrote about this in a recent edition of Profit Hunter:

  • In the last five years, two-wheeler sales in India were around 2 crore units per year. Now the sector is cyclical and has been in the downturn for some time. So let's consider a moderate 5% growth for the next 10 years.

    By 2030, we are looking at 2-wheeler sales of 3 crore units. Even if one third of this is EV sales, that's 1 crore electric 2-wheelers per year.

    In the last 2 years, average electric 2-wheeler sales were 1.5 lakh units. From 1.5 lakh to 1 crore, that's a 66x opportunity in 2-wheeler EVs.

    This is an annual growth rate of 52% over next 10 years. It's an almost vertical growth opportunity.

As per Richa, this is like a gold rush. But like in any gold rush, the winners will just be a few.

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Moving on to news from the pharma sector, shares of Biocon will be in focus today.

Biocon is planning to enter the US insulin market, which is expected to grow to US$ 29.9 bn by 2025.

Biocon will enter the market with its interchangeable biosimilar product Semglee that has received approvals and via Aspart, that the company is hoping will be approved by the first quarter of 2022.

With the approval of Aspart, Biocon said it will become the first company to receive approvals for two interchangeable insulin drugs in the US, helping it make a strong entry into that market.

The company's executive chairperson Kiran Mazumdar Shaw said,

  • Biocon has demonstrated the ability to take very complex biosimilars to the US market, first with trastuzumab, pegfilgrastim and Semglee, and soon I hope bevacizumab and aspart. To take five products to the US and succeed is not a joke.

Biocon's success in getting US regulators to approve its insulin drugs is an example of the company's growing clout in the biosimilars market, which Mazumdar-Shaw said is a "future-proof" business with more opportunities for growth emerging from it.

With this, Biocon has a first-mover advantage as right now it's the only company from India that has built credibility and has the science plus vertical integration required to get in to the US market.

Biocon share price has opened the day up by 0.6%.

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


SGX Nifty Up 68 Points; Indicates Firm Opening for Indian Stock Markets
SGX Nifty

The SGX Nifty opened on a positive note today.

At 8:10 am, it was trading up by 68 points, or 0.4% higher at 18,212 levels.

Trends on SGX Nifty indicate a firm opening for Indian stock markets.

Asian stock markets are trading on a mixed note today as traders weighed inflation risks, a Covid-19 outbreak in China and earnings prospects for major technology firms.

The Hang Seng is trading on a flat note, while the Shanghai Composite is trading up by 0.2%. The Nikkei is trading down by 1%.

In US stock markets, Wall Street indices capped a choppy day of trading on Friday with an uneven finish for the major stock indexes, as losses for several large technology companies weighed on the market.

The S&P 500 was little changed a day after it set an all-time high, but the 0.1% slip ended its seven-day winning streak.

The Dow Jones Industrial Average notched a 0.2% gain, good enough to eclipse the blue-chip index's previous record high set on 16 August 2021. The tech-heavy Nasdaq composite fell 0.8%.

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Despite the downbeat finish to the week, the three major indexes posted their third weekly gain in a row. Investors have been reviewing corporate earnings over the last two weeks and the mostly solid results have helped stocks generally grind higher.

Remarks on Friday by Federal Reserve Chair Jerome Powell appeared to put traders in a selling mood. Powell said that the supply chain issues that have caused disruptions across the US economy since this summer have gotten worse and will likely keep inflation elevated well into next year.

US stock futures are trading on a negative note today with Dow Futures down by 43 points.

Crude oil prices rose on Monday, extending pre-weekend gains, with US crude hitting a seven-year high as global supply remained tight amid strong demand worldwide as economies recover from coronavirus pandemic-induced slumps.

Back home, Yes Bank and GAIL India will be among the top buzzing stocks today.

In his latest video for Fast Profits Daily, India's #1 trader, Vijay Bhambwani talks about how to know if your stock will fall.

You can watch the video here: How to Know if Your Stock Will Fall

To know the top cues in today's stock market session, check out the pre-open commentary here.

Stay tuned for more updates on Indian stock markets in the upcoming commentary.


India's Largest Green Hydrogen Plant, Nykaa IPO, and Buzzing Stocks Today
Pre-Open

Indias Largest Green Hydrogen Plant, Nykaa IPO, and Buzzing Stocks Today

Indian share markets ended on a negative note on Friday.

Benchmark indices finished lower for the fourth straight session amid volatility and weakness in shares of ITC, Tata Steel and Infosys.

At the closing bell on Friday, the BSE Sensex stood lower by 102 points (down 0.2%).

Meanwhile, the NSE Nifty closed lower by 63 points (down 0.4%).

HDFC and Bajaj Auto were among the top gainers.

Hindalco and Coal India, on the other hand, were among the top losers.

The BSE Mid Cap index and the BSE Small Cap index ended down by 1% and 1.2%, respectively.

Sectoral indices ended on a negative note with stocks in the metal sector, IT sector and healthcare sector witnessing most of the selling pressure.

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Realty stocks, on the other hand, witnessed buying interest.

Shares of HDFC and Shriram Transport hit their respective 52-week highs.

At 8:10 am today, the SGX Nifty was trading up by 68 points, or 0.4% higher at 18,212 levels. Indian share markets are headed for a positive opening today following the positive trend on SGX Nifty.

Gold prices for the latest contract on MCX were trading up by 0.7% at Rs 47,721 per 10 grams at the time of closing stock market hours on Friday.

Speaking of the stock markets, India's #1 trader, Vijay Bhambwani talks about how to know if your stock will fall, in his latest video for Fast Profits Daily.

Tune in to the video below to find out more:

Top Stocks in Focus Today

Among the buzzing stocks today will be Yes Bank.

Private lender YES Bank on Friday reported 74% jump in net profit at Rs 2.3 bn for the quarter ending September 2021. It was Rs 1.3 bn in the year ago period.

Net interest income declined 23% to Rs 15.1 bn against Rs 19.7 bn a year ago.

Total income slipped to Rs 54.3 bn during the July-September period from Rs 58.4 bn in the same quarter last year, the bank said in regulatory filing.

Gross bad loans declined to 14.9% of gross advances as on 30 September 2021. The same stood at 16.9% in the year ago period and 15.6% a quarter ago.

Net non-performing assets (NPAs) or bad loans declined to 5.6% in the quarter under review compared to 5.8% in June quarter.

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The bank has made prudent provisioning of Rs 3.4 bn on a single telecom exposure in the latest quarter.

Biocon share price will also be in focus today.

Shares of Biocon dipped over 7% on Friday after the company's net profit declined 18% for the second quarter ended September 2021.

Biotechnology major Biocon said its consolidated net profit declined to Rs 1.4 bn for the second quarter.

The Bengaluru-based company had reported a net profit of Rs 1.7 bn in the July-September quarter of the previous fiscal.

Revenue from operations, however, increased 5% in the second quarter to Rs 18.4 bn from Rs 17.5 bn in the year ago period.

The company said it has made provisions under exceptional item regarding modification of the optionally convertible debentures of a PE investment in Biocon Biologics, and reversal of services export incentive scheme (SEIS) claims relating to a prior period.

It added that net profit for the second quarter, before such exceptional items, stood at Rs 1.9 bn, up 11% from the year ago period.

Biocon's Executive Chairperson Kiran Mazumdar-Shaw stated,

  • With the waning pandemic and improvements in supply chain conditions, I believe all three business segments, generics, biosimilars and research services, are well positioned for sustained growth in the second half of the financial year 2022.

The company noted that its entry into vaccines and novel antibodies for infectious diseases, which are a natural adjacency to its biosimilars business, will be a future growth driver for its subsidiary Biocon Biologics.

Biocon Biologics and Serum Institute Life Sciences (SILS) have entered into a strategic alliance that provides Biocon Biologics an asset light and accelerated entry into the vaccines segment.

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GAIL to Build India's Largest Green Hydrogen Plant

State-owned GAIL (India) will build India's largest green hydrogen-making plant as it looks to supplement ?its natural gas business with carbon-free fuel.

The company has already floated a global tender to procure an electrolyser.

GAIL chairman and managing director Manoj Jain said it will take 12-14 months to set up the plant. The plant will have a capacity of 10 megawatts (MW), the largest announced so far in the country.

He added,

  • We have on a pilot basis started mixing hydrogen in natural gas in one of the cities. The company is testing for idea mix percentage before scaling it up.

    The hydrogen GAIL plans to produce can be sold to fertiliser units which as per government mandate are required to use hydrogen as fuel.

India's largest gas transporting and marketing company is also looking at newer avenues to boost business including pushing for use of LNG as fuel in long haul trucking. For India to achieve the target of raising the share of natural gas in the energy basket to 15% gas usage by 2030 from the current level of 6.2%, gas consumption has to rise three and half times to 600 million standard cubic meters per day.

The oil and gas industry plans to set up 20 LNG dispensing stations on Golden Quadrilateral by March 2022 and 500-600 outlets in 3-4 years.

The ultimate target is 1,000 LNG stations.

Nykaa IPO to Open on 28 October 2021

FSN E-Commerce Ventures, a digital native consumer technology platform that runs Nykaa and Nykaa Fashion, has decided to launch its initial public offering (IPO) on 28 October 2021. The offer will close on 1 November 2021.

The company plans to raise Rs 53.5 bn through its public issue at the upper price band. The price band has been fixed at Rs 1,085-1,125 a share. FSN E-Commerce Ventures is promoted by Falguni Nayar and backed by private equity firm TPG.

Bids can be made for a minimum of 12 shares and in multiples of 12 shares thereafter. Retail investors can invest a minimum of Rs 13,500 for one lot and a maximum of Rs 1,89,000 for 14 lots

The share allotment will be finalised on 8 November 2021. Trading of shares will commence from 11 November 2021.

The IPO comprises a fresh issue of Rs 6.3 bn and an offer for sale (OFS) of 42 m equity shares by the promoters and investors.

How the IPO sails through remains to be seen. Meanwhile, stay tuned for more updates from this space.

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