Sensex rises to near 6-month high, Bharti Airtel jumps 8%; midcaps surge4 min read . Updated: 11 Mar 2019, 04:15 PM IST
- Auto, energy, pharma and metal stocks led the gains
- Broader markets also recorded strong gains; BSE midcap index surged 2%
Indian markets jumped sharply today, led by gains in auto, metal, energy and pharma stocks. The Sensex closed 382 points higher at 37,054, its highest close since September 2018, while Nifty jumped 1.2% to 11,171. Lok Sabha election will be held in seven stages starting April 11, the election commission said on Sunday. Some opinion polls suggest an edge for NDA.
"This is part of an election rally and FII (foreign institutional investor) data has been positive," said Anita Gandhi, whole time director of Arihant Capital Markets. Foreign equity investors have so far this year bought Indian equities worth nearly $3 billion.
Broader markets also recorded strong gains with BSE midcap index rising 2% while smallcap index 1.6%.
"Almost all the sectoral indices participated in the rally and the broader indices too showed noticeable buying. The breakout in the benchmark index, after four-month long consolidation phase, has further boosted the sentiment. Nifty has potential of testing 11,300-11,400 zone in near future," said Jayant Manglik, president of retail distribution at Religare Broking.
Shares of SBI jumped 2% after the state-run lender said on Friday it would link savings bank deposits and short-term loans to the repo rate of the Reserve Bank of India from May. Other state-run lenders also rose, with the Nifty PSU bank index up 2.25%.
Gains were also seen across the energy sector. HPCL, BPCL and Indian Oil gained between 3.5% and 5.5%.
Bharti Airtel surged nearly 8% to be among the top Nifty50 gainers. Other top gainers included Bharti Infratel and Eicher Motors, both rising over 4%.
Shares of Jet Airways Ltd rose 2%, after Mint reported that the debt-laden carrier has secured a loan of ₹2,050 crore from Punjab National Bank. (With Reuters Inputs)
Shares of NBCC rose 3.5% to ₹59 after the company informed stocks exchanges that it has secured new works from Raipur SMART City Limited (RSCL) for various infrastructure projects. The total estimated costs of these projects are Rs. 700 crores (approx).
Shares of private sector lender RBL rose as much as 3% to record high of ₹658.9 amid a spurt in volumes. Nearly 47 lakh shares changed hands on NSE so far during the day.
Shares of RITES were up 2% at ₹261. The company announced an interim dividend of ₹4/share. The company also fixed 19 March, 2019 as the record date for the purpose of payment of dividend.
Shares of SBI were up 2% at ₹287 in afternoon trade. SBI said on Friday that it would link savings bank deposits and short term loans to the repo rate of the Reserve Bank of India from May. But the bank said it was exempting savings account holders with balances up to ₹1 lakh and borrowers with an overdraft limit of up to ₹1 lakh from the plan. SBI is the first Indian bank to link deposit and short term loans with repo rate. In a note Kotak Institutional Equities said: “Prima-facie, a variable interest rate is a positive outcome as it lowers NIM volatility as banks have one less variable to worry about, but the impact of this move would be well understood once we establish savings behavior during various rate cycles and reaction from competitors."
Drug firm Unichem Laboratories Monday said the US health regulator has concluded inspection of its Ghaziabad facility without making any observations. The US Food and Drug Administration (USFDA) conducted inspection of the company's Ghaziabad facility from March 3-8, 2019, and it has been successfully concluded without any USFDA form 483 issued, Unichem Laboratories said in a BSE filing. Shares of Unichem Laboratories Ltd were trading 2% higher at ₹201 on BSE.
Nalco had announced dividend of ₹4.5/share with 12 March as record date. Shares were trading at ₹54.05 on NSE, off its day's low of ₹52.05.
Shares of Dilip Buildcon surged 7% to ₹598 after company said that it has has received letter of acceptance for EPC project valued at ₹480.06 crore by the National Highways Authority of India.
Sadbhav Infrastructure Project Ltd surged 7% to ₹100 after Economic Times, citing sources, reported that Canada Pension Plan Investment Board (CPPIB) is in advanced talks to acquire 12 operating road assets of Sadbhav Infrastructure Project Ltd (SIPL), in a deal worth $400-500 million ( ₹3,000 crore).
Jet Airways India Ltd rose 4% to ₹250 after Mint reported that the company has secured fresh credit facilities of ₹2,050 crore from state-run Punjab National Bank (PNB) that could provide a temporary lifeline to the cash-strapped airline. The Mumbai-based airline has raised foreign currency term loans worth ₹1,100 crore and a non-fund based credit facility of ₹950 crore from PNB.
Indian rupee edged higher against US dollar, tracking gains of its Asian peers and ahead of key consumer price inflation (CPI) data. Rupee was trading at 69.98 a dollar, up from its previous close of 70.15. The home currency opened at 70.01 a dollar and touched a high of 69.94.
Saudi oil minister Khalid al-Falih said on Sunday it would be too early to change OPEC+ output policy at the group's meeting in April and that China and the U.S. would lead healthy global demand for oil this year.
The Organization of the Petroleum Exporting Countries and its allies such as Russia - known as the OPEC+ alliance - will meet in Vienna on April 17-18, with another gathering scheduled for June 25-26.
Falih said the group was unlikely to change its output policy in April and if required would make adjustments in June.
State Bank of India (SBI) on Friday linked its interest rate on savings account with balance above ₹1 lakh and short-term loans to Reserve Bank of India's (RBI) repo rate, effective 1 May 2019. This means that savings account interest rates and interest rate on a few loans will change as and when the regulator changes its repo rate.
Asian shares struggled today after US employment data raised doubts about the strength of the global economy, while investor jitters ahead of crucial Brexit votes in the UK parliament this week weighed on the pound. The U.S. economy created only 20,000 jobs in February, the weakest reading since September 2017.
MSCI's broadest index of Asia-Pacific shares outside Japan was little changed from Friday's three-week low, with broad weakness offset by small gains in Chinese shares.
China's blue-chip CSI300 index gained 0.5% after Friday's 4% fall, which was triggered after CITIC Securities issued a rare "sell" rating on a major insurer and by a clampdown on grey-market, margin financing.
Lok Sabha polls will be held in seven stages starting on April 11, the election commission said on Sunday. About 900 million citizens will be eligible to vote, 15 million of them aged between 18 and 19, in a mammoth exercise lasting more than a month, Chief Election Commissioner Sunil Arora said at a press briefing in the capital New Delhi on Sunday.