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3
February 2017
Last
week, we had asked whether bulls are taking charge. The major indices in the
Indian stock markets were on a bullish trend in the budget week as a favourable
reaction to the Finance Minister’s policies. The trends of the major indices in
the course of the week’s trading are given in the table below: The Total Investment & Insurance Solutions
Weekly Indices (The Total
Investment & Insurance Solutions)
Hopes
of budgetary sops and a strong rupee buoyed the Indian equities markets during
the mid-afternoon trade session on Monday. The key indices traded on a
flat-to-positive note on Monday, as buying were witnessed in the telecom,
healthcare and Teck (technology, media and entertainment) stocks. The BSE
market breadth was marginally tilted in favour of the bears -- with 1,349
declines and 1,220 advances. The markets traded in the range-bound territory
ahead of the Union Budget on February 1, pointed out market analysts. Markets
were expecting weak numbers from the corporates following demonetisation.
However, the numbers were better-than-expected. This might be the reason for
the upward trend in the Indian rupee, observed market analysts. However, the
major indices slipped in the later afternoon and the key indices closed in the
red for the day. On the NSE, there were 659 advances, 972 declines and 293
unchanged on Monday. The Total Investment
& Insurance Solutions
Housing
finance major Housing Development Finance Corporation (HDFC) on Monday reported
a rise of 11.88% in its standalone net profit for the third quarter (Q3) of
2016-17. According to the company, its standalone net profit grew to Rs1,701.21
crore during the quarter under review from Rs1,520.51 crore reported for the
like period of last fiscal. The company's standalone total income from
operations (net) rose by 11.95% to Rs8,137.18 crore during the quarter under
review. The company’s shares closed at Rs1,368.90, down 0.13% on the BSE. The Total Investment & Insurance Solutions
The
major indices of the Indian stock markets suffered a correction on Tuesday and
closed 0.70%-0.83% lower than Monday’s close. NSE trading volumes were on the
higher side on Tuesday. On the NSE, on Tuesday, there were 384 advances, 1,243
declines and 283 unchanged. On the BSE, there were 828 advances, 1,897
declines, 220 unchanged. Caution ahead of the presentation of the Union Budget
and negative global cues pulled the Indian equities markets lower on Tuesday.
Selling pressure was witnessed in stocks of IT (information technology), oil
and gas, and healthcare stocks. The Total
Investment & Insurance Solutions
Indian
IT (information technology) stocks tumbled during the mid-afternoon trade
session on Tuesday as the US government introduced a proposed visa reform bill
in the US House of Representatives. The bill spooked investors, as it seeks to
double the minimum wages offered by IT firms in the US. The bill proposes to
raise the minimum salary of an H-1B visa holder to around $130,000 per annum
from the present limit of $60,000 per year. The S&P BSE IT index
plunged by 302.71 points or 3.06% (at 2.15 p.m.). IT majors such as Tata
Consultancy Services (TCS), Infosys, HCL Technologies, Wipro and Tech Mahindra
traded deep in the red. Every 10% hike in H-1B salaries can hurt earnings by
nearly 10%-12% of IT companies, pointed out market analysts. The Total Investment & Insurance Solutions
Dabur
India Ltd. posted a drop of 7.5% in net profit for the October-December
quarter. Net profit fell to Rs293.76 crore from Rs317.58 crore during the same
quarter last year, the company said in a stock exchange filing. Revenue
declined by 6% in the quarter, to Rs1,852.91 crore, compared to Rs1,972.03
crore on a year-on-year basis. Currency fluctuations and rising costs of key
inputs led to a decline in revenue. Earnings before interest, tax, depreciation
and amortisation (EBITDA) were down 11.6% to Rs333.88 crore, compared to
Rs377.81 crore during the third quarter of FY16. EBITDA margin dropped to 18%
as against 19.2% last year. The company’s shares closed at Rs276.00, down 1.39%
on the NSE. The Total Investment & Insurance
Solutions
The
major indices of the Indian stock markets surged on Wednesday on a positive
Budget 2017 and closed with gains of over 1.75% over Tuesday’s close. NSE trading
volumes were on the higher side, making it clear that the budget rally was
broad-based. Positive budgetary announcements, coupled with a strong rupee
lifted the Indian equities markets during the mid-afternoon trade session on
Wednesday. On the BSE, there were 1,931 advances, 898 declines and 103
unchanged. On the NSE, there were 1,029 advances, 359 declines and 57
unchanged.
Automobile
major Maruti Suzuki India on Wednesday reported a surge of 27.10% in its
monthly sales for last month. According to the company, its sales during the
month under review rose to 144,396 units from 113,606 units sold during the
corresponding month last year. For January, the company's domestic sale was up
25.9% to 133,934 units from 106,383 units. Similarly, exports surged by 44.8%
with 10,462 units shipped out, up from 7,223 units sold abroad in January 2016.
Segment-wise, sales of passenger cars rose by 25.7% to 133,768 units against
106,383 units. The sales of utility vehicles have increased by a whopping 101%
to 16,313 units. The off-take in the van segment has increased by 34.9% to
14,179 units. Maruti Suzuki shares closed at Rs6,179.20, up 5.10% on the NSE.
The major indices of the Indian stock markets continued their upmove on
Thursday and closed with small gains of 0.20%-0.30% over Wednesday’s close.
Short
covering, coupled with a marginally strong rupee and hopes of positive
quarterly corporate earnings buoyed the Indian equities markets during the
mid-afternoon trade session on Thursday. However, investors were cautious ahead
of the Reserve Bank of India's (RBI) monetary policy slated for next week, and
the Bank of England's (BoE) interest rate decision later in the day. The
key indices traded in the green on a flat-to-positive note. Buying was witnessed
in consumer durables, healthcare and IT (information technology) stocks. The
BSE market breadth was tilted in favour of the bulls -- with 1,509 advances and
1,138 declines. The Nifty mid-cap and small-cap indices traded in the positive
territory, while the large-cap index traded on a lacklustre note. Asian indices
traded in the negative territory and the Indian rupee continued to trade
positive marginally, as favourable factors for the bulls in the market. On the
NSE, there were 800 advances, 628 declines and 55 unchanged. The Total Investment & Insurance Solutions
Profit
booking at higher levels coupled with negative global cues pulled the Indian
equities markets lower during the mid-afternoon trade session on Friday.
Besides, investors were cautious ahead of the Reserve Bank of India's (RBI)
monetary policy review slated for next week. However, the overall bullish trend
in the post-budget period was sufficient for the major indices not to lose
their gains and the major indices ended flat at the close of trading on Friday.The Total Investment & Insurance Solutions
