Indices give up gains post fall in banks, Nifty just above 9900; midcaps outperform

3:30 pm Market at Close: Volatility gripped the D-Street on Thursday after selling pressure dominated final minutes of trade. This movement led to erasing almost all of its gains by the indices, which were trading with gains of over 100 points on the Sensex, and the Nifty placed comfortably above 9900-mark. Both managed to end the day in the green, but with marginal gains.

The fall was led by sectors such as banks, auto, pharmaceuticals and FMCG stocks, while the sectors that ended in the green included was information technology.

The Sensex ended up 24.57 points at 31795.46, while the Nifty ended higher by 6.8 points at 9904.15. The market breadth was narrow as 1,399 shares advanced against a decline of 1,161 shares, while 138 shares were unchanged.

Infosys and Coal India were the top gainers on both indices, while Cipla, Kotak Mahindra Bank and ACC lost the most.

2:30 pm Cash levels at MFs at 5-month high: According to the data from mutual fund research firm, Morningstar the cash levels as a percentage of mutual funds' domestic equity portfolios rose to 5.6 percent, highest since March.

Cash levels had dropped below 6 percent in March, and shot up post-demonetisation to nearly 6.5 percent in January.
In absolute terms, the cash levels are at a record high of Rs 35,055 crore at the end of July, given the surge in AUMs and strong domestic flows in recent times.

2:15 pm Market Check: The D-Street held on to its gains from the post noon sessions, with the Nifty firmly above 9900-mark.

The Sensex was up 101.04 points at 31871.93, while the Nifty was up 30.75 points at 9928.05. The market breadth in favour of advances, but was narrow as well as 1,414 shares advanced against a decline of 998 shares, while 110 shares were unchanged.

Infosys and Coal India continued to be the top gainers, while Cipla, Adani Ports, and ACC lost the most on both the indices.

1:55 pm Buzzing Stock: Shares of Coal India gained over 5 percent intraday on Thursday after brokerages reiterated positive stance on the stock. Along with this, value buying on the back of decline on Wednesday could have boosted investors' interest in the stock.

Jefferies maintained a hold on the stock, but raised its target to Rs 245 from Rs 237. The brokerage house said that the management commentary indicated that the growth had picked up. Additionally, it said that ASP was bottoming out, but margin concerns

Meanwhile, Motilal Oswal observed that the volume growth in the company was accelerating and based on other such parameters, it revised the target price to Rs 275 with a buy call.

1:35 pm Weight on MSCI index to rise? India's weight in the MSCI Emerging market index is expected to rise in the coming years and the equity market will attract more foreign fund inflows going ahead, says a Morgan Stanley report.

While India ranks among the top three in the emerging market basket in terms of GDP, it barely makes it into the top 15 in terms of index weight.

"We are arguing that as India gains GDP versus the rest of the world, its index weight will rise," Morgan Stanley Investment Management said in a research note.

"As India index weight rises, it will probably attract more non-long-term money, or what we can loosely call 'tourist flows'," the report authored by Ridham Desai and Sheela Rathi said.

1:15 pm Market Check: Sharp gains were seen on the market in the afternoon session as key indices gained over posted strong gains compared to the previous hour.

The Sensex was up 117.04 points at 31887.93, while the Nifty was up 39.40 points at 9936.70. The market breadth was positive, but narrow as 1,429 shares advanced against a decline of 936 shares, while 106 shares were unchanged.

Coal India and Infosys continued to gain the most on both indices, while Cipla, ACC and Tata Motors DVR were the top losers.

PSU banks led the recovery, along with strong movements on metals and IT stocks.

1:00 pm Buzzing Stock: Investors in GMR Infra had a field day as the stock gained nearly 19 percent intraday on Thursday after a Supreme Court ruled a case in its favour.

The apex court upheld an order by the Delhi High Court which allowed the company to use land at Delhi airport for non-aviation or commercial purposes. A government policy in 2016 had barred airports from using such land for non-aeronautical purposes.

It must be noted that GMR Infra now holds 54 percent stake in Delhi International Airport (DIAL). Investors saw this order as a positive move for the company's financials.

12:40 pm Europe opens: Markets in Europe opened lower Thursday as uncertainty surrounding internal U.S. policy continued to weigh on investor sentiment despite lessening tensions from North Korea.

The pan-European Stoxx 600 started the day lower by 0.2 percent following a day of gains Wednesday. All major bourses and all sectors bar telecoms were trading in negative territory.

12:30 pm Higher growth, inflation ahead? Economic growth and inflation are expected to trend higher in the next 6-12 months and the Reserve Bank is likely to stay on a prolonged pause, says a Nomura report.

According to the Japanese financial services major, the MPC minutes suggest low inflation and growth concerns led to policy easing earlier this month, and going ahead the RBI is expected to stay on hold.

With inputs from PTI

12:14 pm Buzzing Stock: Shares of Pennar Industries has touched 52-week high of Rs 58.40, gain 3 percent intraday Thursday as it has bagged orders worth Rs 252 crore.

The company has announced major receipt of orders worth Rs 252 crore across its business units.

At 11:48 hrs Pennar Industries was quoting at Rs 58.20, up Rs 1.50, or 2.65 percent on the BSE.

12:02 pm Market Check: Benchmark indices were trading flat after trading rangebound throughout the morning session, with the Nifty still managing to hold on to 9900-mark.

The Nifty Bank gave up some of its gains in the previous hour, thereby dragging frontline indices lower from its morning highs. Nifty Bank and PSU bank index was down around half a percent, while the BSE Bankex was trading lower as well.

The Sensex was down 0.33 points at 31770.56, while the Nifty was up 6.10 points at 9903.40. The market breadth was positive, but was narrowing as compared to the morning breadth. Around 1,384 shares advanced against a decline of 898 shares while 95 shares were unchanged.

Coal India, Infosys and Vedanta continued to lead the charts, while Hindustan Unilever and Cipla lost the most on both indices.

Meanwhile, in Europe, the markets are forecast to open lower as uncertainty surrounding internal US policy continues to weigh on investor sentiment despite lessening tensions from North Korea.

The FTSE 100 is expected to open 22 points lower at 7,411; the French CAC is seen down 23 points at 5,153; and the German DAX is on track to open 48 points down at 12,215.

11:55 am Regulatory nod: Zydus Cadila has received final approval from the US health regulator to market Telmisartan and hydrochlorothiazide tablets, used in treatment of hypertension.

The company has received final approval from the US Food and Drug Administration (USFDA) to market the drug in the strengths of 40 mg/12.5 mg, 80 mg/25 mg, Zydus Cadila said in a BSE filing.

The company will manufacture the drug at its formulations manufacturing facility in Moraiya, Ahmedabad.

Quoting IMS June 2017 data, the company said the total sales of Telmisartan and hydrochlorothiazide is estimated at USD 66.5 million.

11:30 am FII View: The Indian market on Thursday was seen witnessing some sideways movements after two strong consecutive sessions. Having said that, the Street would have heaved a sigh of relief this week after it saw carnage in the week before this, dragged down largely by a fall in midcaps and smallcaps.

Going forward, where do the markets head from here? Avendus Capital Alternate Strategies believes that the market could consolidate in a narrow range of 9,800-10,000.

''The last couple of weeks showed that there are risks and you can lose money….there is nothing in the market which you can say is an event that could drag the market down, but one must keep an eye on what is happening in the US right now,'' Andrew Holland, CEO, Avendus Capital Alternate Strategies told CNBC-TV18 in an interview.

11:05 am Market Check: Benchmark indices continued to trade rangebound after positive opening, even as experts see this to be a day of sideways movements.

The Sensex was up 60.24 points at 31831.13, while the Nifty was up 26.10 points at 9923.40. The market breadth was positive as 1,510 shares advanced against a decline of 637 shares, while 80 shares were unchanged.

Coal India, Infosys, and Vedanta continued to be the top gainers, while HUL and Cipla saw correction post their rally in the past few sessions. They were the top losers on both indices.

10:55 am Interest rate cut: Shares of HDFC Bank were trading lower by over half a percent even as the lender announced a reduction in interest rates on savings bank accounts.

The bank on Thursday cut interest rates on most of its savings accounts to 3.5 percent from 4 percent.

Customers with savings bank account balance of Rs 50 lakh and above will continue to earn interest at 4 percent per annum, the lender said in a statement.

These shall be effective from August 19, 2017, it told the exchanges in a notification.

10:45 am MF to invest in REIT and InvITs: UTI Mutual Fund has modified the asset allocation pattern for seven of its schemes after the Securities and Exchange Board of India allowed mutual funds to invest in REITs and InvITs, a notice from the fund house said.

The seven schemes are UTI Smart Woman Savings Plan, UTI Retirement Benefit Pension Fund, UTI Children's Career Balanced Plan, UTI Unit Scheme for Charitable & Religious Trust and Registered Societies, UTI Income Opportunities Fund, UTI Medium Term Fund, and UTI Dynamic Bond Fund.

As per the applicable limits set by SEBI, at the mutual fund level, the company will allocate not more than 10 percent of units issued by a single issuer of REIT and InvIT.

10:30 am MF update: Birla Sun Life Mutual Fund renames all legal entities, prefixes 'Aditya', with an immediate effect. The name change will also be applicable for all the scheme names of the fund house.

Subsequently, Birla Sun Life Asset Management Company will be called Aditya Birla AMC, Birla Sun Life Trustee Company to be called Aditya Birla Sun Life Trustee, and Birla Sun Life Mutual Fund as Aditya Birla Sun Life Mutual Fund.

The name change is pursuant to receipt of fresh Certificate of Incorproation from Ministry of Corporate Affairs and SEBI Registration Certificate.

10:07 am Bullion Update: Gold edged up early Thursday, extending gains from the previous session, as the dollar remained subdued after minutes from the Federal Reserve's July meeting hinted at a delay in further rate hikes.

Spot gold was up 0.4 percent at $1,287.21 per ounce by 0110 GMT, after gaining nearly 1 percent the previous day.

U.S. gold futures for December delivery rose 0.8 percent to $1,293.30 per ounce.

The U.S. dollar was on the defensive on Thursday after the minutes from the Federal Reserve's last policy meeting showed policymakers were increasingly wary of recent softness in inflation and could delay a rate hike.

(With inputs from CNBC)

10:02 am Market Check: Equity benchmark indices were trading steady, marginally higher from their opening tick, with the Sensex rising almost one third of a percent. The Nifty managed to hold on to 9900-mark.

The Sensex was up 83.82 points at 31854.71, while the Nifty was up 30.30 points at 9927.60. The market breadth was positive as 1,348 shares advanced against a decline of 437 shares, while 62 shares were unchanged.

Metal stocks continued to gain, but in the broader market, midcaps and smallcaps continued to rise, which aided the rally on D-Street.

Infosys, Coal India and Vedanta gained the most on both indices, while HUL, Kotak Mahindra Bank and Zee Entertainment were the top losers.

9:50 am Forex update: On account of Parsi New Year, forex and money markets will be closed today.

9:30 am Buzzing Stock: Shares of Infosys rose 3.6 percent in the early trade on Thursday as the company announced that it will consider share buyback issue on August 19.

The decision will be taken during a meeting of board of directors of the company on Saturday.

For the same purposes, the company has closing the trading window with immediate effect and the trading window will re-open on August 22, 2017.

If the buyback is approved, any offers to purchase or solicitations of offers to sell will be made pursuant to a tender offer statement on schedule to which will be filed with the US Securities and Exchange Commission by the company.

9:18 am Market Opens: Equity benchmark indices continued its positive momentum from the previous session, with the Nifty climbing above 9900 in the opening tick.

At 09:17 hrs, the Sensex was up 43.94 points at 31814.83, while the Nifty was up 10.95 points at 9908.25. The market breadth was healthy as 519 shares advanced against a decline of 252 shares, while 25 shares were unchanged.

Midcaps continued to gain, while strong movements was seen among metals as well as information technology stocks.

Infosys, HDFC, and Vedanta were the top gainers on both indices, while Bajaj Auto, HUL, Power Grid and Zee Entertainment lost the most.

Asian stocks edged up on Thursday as tensions between the US and North Korea came off the boil, while worries about President Donald Trump's ability to implement his pro-growth agenda and the Federal Reserve's concerns about low US inflation hit the dollar.

MSCI's broadest index of Asia-Pacific shares outside Japan added 0.3 percent in early trade.

Japan's Nikkei slipped 0.1 percent, weighed down by the yen's strength.

South Korean shares advanced 0.1 percent after the leaders of both North Korea and the United States appeared to back off from their heated rhetoric from last week.

Meanwhile, US stocks ended slightly firmer on Wednesday but off the day's highs as worries mounted over President Donald Trump's agenda and minutes from the latest Federal Reserve meeting suggested policymakers are worried about weak inflation.

Indexes lost some ground following Trump's disbanding of two high-profile business advisory councils after two more CEOs resigned from the manufacturing council on Wednesday in response to his comments on weekend violence in Charlottesville, Virginia.