Nifty ends below 10,800; midcap outperform, auto stocks gain

CNBC

Varroc Engineering stock ends 7% higher: The share price of auto component maker Varroc Engineering closed at Rs 1040.55 on Monday, a gain of 7.6 percent over its issue price of Rs 967 on the BSE.

The stock has touched an intraday high of Rs 1,062 and an intraday low of Rs 1,000.
The Rs 1,955-crore initial public offering was oversubscribed 3.59 times during June 26-28, driven by strong interest from institutional investors.
Market Closing: The market ended on positive note but off day's high on the back of last hour selling with Nifty ended below 10,800 and Sensex above 35,600.
The 30-share BSE Sensex was up 83.31 points at 35,657.86 and the 50-share NSE Nifty rose 22.90 points to 10,772.70.
The market breadth was on advancing side, about 1441 shares have advanced, 1177 shares declined, and 159 shares are unchanged. 
Midcap and smallcap outperform the major indices with 0.5 percent gain.
BEL, Gati, Jain Irrigation, Ashok Leyland, Century Textiles, Adani Enterprises and Sterlite Technologies gained 3-6 percent.  
Dish TV to report Q1 results on July 9: Shares of Dish TV gained 1 percent ahead of its Q1 results on July 9.
A board meeting of the company is to be held on July 09, 2018 to consider, approve and take on record the un-audited financial results for the Q1 and 3 months period ended 30.06.2018 of the FY18-19.
Buzzing: Trigyn Technologies has been appointed as concessionaire by NMSCDCL for the design, development, implementation, operation and maintenance of Smart Parking Solution for On-Street and Off-Street Parking locations in Nashik on PPP model.
The duration is over a period of 10 years effective date of issue of work order.
This project has been initiated under the Smart City Mission by Nashik Municipal Smart City Development Corporation (NMSCDCL).
At 15:17 hrs Trigyn Technologies was quoting at Rs 120.90, up Rs 2, or 1.68 percent. 
Andhra Bank to consider fund raising plan: A meeting of board of directors of the Andhra Bank is scheduled to be held on July 10, 2018 for considering raising of equity by the way of preferential issue, qualified institutional placement (QIP), follow-on-public offer.
At 15:09 hrs Andhra Bank was quoting at Rs 32.40, up Rs 0.95, or 3.02 percent on the BSE.  
Market Check: The market is trading off day's high as some selling pressure seen in the last hour of trade. 
The Sensex up 124.10 points at 35,698.65, and the Nifty up 35.20 points at 10,785. About 1438 shares have advanced, 1064 shares declined, and 156 shares are unchanged. 
Gold Update: Gold prices narrowed losses on Friday as US tariffs on Chinese imports weighed on the greenback, stoking fears of a full-blown trade war between the two leading economies.
China has implemented additional tariffs on some import products from the United States immediately after US tariffs on USD 34 billion in Chinese imports took effect, state media reported.
Spot gold was 0.1 percent lower at USD 1,256.54 an ounce by 0702 GMT, having dropped to USD 1,252.15 earlier in the session.  
PNB invites bids to sell 3 NPA accounts: Punjab National Bank (PNB) has put on sale three non-performing assets to recover Rs 136 crore dues from the borrowers.
"We intend to place these accounts for sale to ARCs/ NBFCs/other banks/FIs on the terms and conditions stipulated in the bank's policy, in line with the regulatory guidelines," PNB said in the invite for expression.
The three non-performing accounts (NPAs) or bad loans that have been put on sale are Gwalior Jhansi Expressways with an outstanding of Rs 55 crore; SVS Buildcon Pvt Ltd Rs 50 crore and Shiva Texfabs Ltd Rs 31.06 crore.
The process of e-bidding for the sale of these accounts will happen on July 7, 2018, the bank said.
Market Check: The market maintained its positive momentum in the afternoon trade following buying seen in auto, realty, energy, infra, FMCG stocks.
The Sensex is up 202.95 points at 35777.50, and the Nifty up 55.20 points at 10805. About 1398 shares have advanced, 1039 shares declined, and 137 shares are unchanged. 
HSBC view on Titan: HSBC has maintained buy rating on Titan Company with a target of Rs 1050 per share.
First quarter is a temporary setback in jewellery growth and investors should stay positive on stock, said HSBC.
At 14:02 hrs Titan Company was quoting at Rs 832.15, down Rs 5.75, or 0.69 percent.
Market Update: The benchmark indices are continue to trade higher in the afternoon session with the help of auto, PSU bank and energy index, which are trading with over 1 percent gain.
About 1352 shares have advanced, 1044 shares declined, and 132 shares are unchanged.
Varroc Engineering, Reliance Industries, Titan, TCS and Yes Bank are the most active shares on NSE.
Jefferies on Telecom: The research house Jefferies has remained cautious on Bharti Airtel and Idea Cellular as it expecting companies ARPU to remain under pressure & cost pressures to increase.
It expect recovery post equilibrium to be gradual.
According to Jefferies, to increase ARPU companies is require to do investment in both capacity & content.
Idea Cellular was quoting at Rs 54.90, up 0.83 percent and Bharti Airtel was quoting at Rs 363.00, down 0.12 percent on the BSE. 
TCS at record high:Tata Consultancy Services created history on Friday as it touched a fresh record high above Rs 1,900 per share, supported by expectations of strong growth in the June quarter and depreciation in the rupee against the dollar.
The IT bellwether hit a fresh record high of Rs 1,916.15 per share on the BSE. The stock has been in an uptrend in 2018, up over 40 percent in the first six months. Indian largest software exporter holds the tag of India’s most valued company with a market capitalisation of Rs 7.2 lakh crore, followed by Reliance Industries, HDFC Bank, ITC, and HDFC.
TCS reported a 5.7 percent sequential rise in net profit in its fourth quarter to Rs 6,904 crore, beating analyst expectations in the March quarter. Revenue for the quarter rose 3.8 percent sequentially to Rs 32,075 crore for the quarter-ended March 31.
Brokerages expect over 3 percent sequential growth for the June quarter, above peers such as Infosys and HCL Technologies  
UBS on HPCL: Shares of Hindustan Petroleum Corporation (HPCL) gained more than 4 percent as research house UBS has maintained buy on the stock with a price target of Rs 460 per share.
It believe that company's current valuation is undemanding and retail fuel earnings to bounce back with price hikes.
At 12:47 hrs Hindustan Petroleum Corporation was quoting at Rs 266.50, up Rs 10.30.   
Buzzing: Dilip Buildcon locked at 5 percent upper circuit on Friday as brokerage house Antique has maintained buy rating with a target of Rs 950 per share.
According to Antique, the stock has lost more than two-fifths of its market cap over the last 3 months.
Management has assertively answered and guided for a brighter future in no uncertain terms, it added.
There were pending buy orders of 33,351 shares, with no sellers available.
Glenmark enters into licensing agreement with Seqirus: Glenmark Pharmaceuticals' subsidiary Glenmark Specialty S.A. has entered into an exclusive licensing agreement with Seqirus Pty. to commercialize Ryaltris in Australia and New Zealand.
Ryaltris (olopatadine hydrochloride (665 mcg) and mometasone furoate (25 mcg)) is a novel, investigational, fixed-dose combination nasal spray of an antihistamine and a steroid, indicated for treatment of symptoms associated with seasonal allergic rhinitis (SAR) in patients over 12 years of age. 
At 12:10 hrs Glenmark Pharma was quoting at Rs 585.15, up Rs 3.50, or 0.60 percent. 
Kotak Securities upgrades Ashok Leyland: Shares of Ashok Leyland surged 6 percent as broking house Kotak Securities has upgraded the stock to buy from add rating with a target of Rs 160 share.
According to Kotak Securities, the slowdown concerns is overdone. It sees EPS CAGR of 21% over FY18-21
Market Check: The market is trading off-day high with Nifty hovering around 10,800 mark and Sensex up more than 100 points.
Vedanta, Tata Steel, Hindalco and SAIL are trading higher with 1-3% gain, while among the auto Tata Motors, Bajaj Auto and Hero Motocorp gained 2-4 percent.
Buzzing: Shares of MEP Infrastructure Developers added nearly 3 percent as company received LoA from NHAI. 
The company has received the LoA (Letter of Acceptance) from NHAI (National Highways Authority of India) for toll collection rights at Paranur fee plaza on NH-45 in the state of Tamil Nadu. 
The operations will commence within 2 days after complying the statutory formalities viz. submission of performance security and signing of contract.
The period of the contract is 1 year.
The contractual amount for the said project is Rs 105.03 crore payable to NHAI on a weekly basis over a period of 1 year.
At 11:35 hrs MEP Infrastructure Developers was quoting at Rs 64.10, up Rs 1.35, or 2.15 percent on the BSE.  
Deutsche Bank on IDFC Bank: Deutsche Bank has maintained sell rating on IDFC Bank and cut target price to Rs 35 from Rs 43 per share.
Deutsche Bank feel that any recovery in RoA/RoEs is still a long time away and expect subdued RoEs of 5-7% over the next 2 years.
It has cut estimates by 67%/20% for FY19/20.   
Market Check: The market is trading at day's high with Sensex up more than 150 points and Nifty trading above 10,800.
The Sensex is up 163.99 points at 35,738.54, and the Nifty up 53 points at 10802.80.
All the sectoral indices are trading positive with auto and energy index up more than 1 percent.   
Metal in focus: Metal stocks are in focus today as US tariffs are set to take effect. Price of metals have already fallen while global markets are readying themselves for new tariffs from US on China worth USD 34 billion worth of goods which does not augur well for the metal space.
In the recent weeks there has been selloffs but it seems things are going from bad to worse. Copper and zinc prices are trading at 11-month lows. Nickel and lead decline nearly a couple of percentage points and they are trading at May lows as well.
Steel and iron ore prices started soft in the Asian markets right now. But the only metal that is trading in the positive is aluminium and that is because China has released statement saying that they will shut down some smelters to ensure environment control and that would lead to some curb in the output.
Crude oil prices also continue to look at the supply concerns. US President Trump on Thursday told Organisation of the Petroleum Exporting Countries (OPEC) to reduce prices now and to increase output substantially.
Crude Update: Oil markets opened cautiously lower on Friday ahead of a raft of import tariffs set to be imposed later in the day by the world's two biggest economies, the United States and China.
International Brent crude oil futures were at $77.18 per barrel at 0043 GMT, down 21 cents, or 0.3 percent, from their last close.
US West Texas Intermediate (WTI) crude futures were down 6 cents, or 0.1 percent, at $72.88 per barrel.  
Varroc Engineering shares list with 5% permium: Auto component maker Varroc Engineering started off trade at Rs 1015 on the first day Friday. The stock price gained 5 percent against the issue price of Rs 967.
At 10:03  hours IST, it was trading at Rs 1012.95, up  4.75 percent on the NSE.
The Rs 1,955-crore initial public offering was oversubscribed 3.59 times during June 26-28, driven by strong interest from institutional investors.
The price band for the issue, which consisted of an offer-for-sale of 2,02,21,730 equity shares by promoter Tarang Jain and existing investors which are Tata Group companies - Tata Capital Financial Services and Omega TC Holdings, was Rs 965-967 per share.
Gold Update: Gold prices nudged lower amid a steady dollar on Friday, with investors bracing for any impact on global markets from a deepening trade conflict between the United States and China.
The United States is due to begin collecting tariffs on USD 34 billion in Chinese goods. US jobs data later in the day was in focus as well.
Spot gold had fallen 0.3 percent to USD 1,253.11 an ounce. US gold futures for August delivery were 0.4-percent lower at USD 1,254.10 an ounce.
Gold prices were being weighed down by a steady dollar, said Helen Lau, analyst at Argonaut Securities.  
Market check: After a flat opening benchmark indices gain some momentum with Nifty holding above 10,750 mark and Sensex is up 60 points.
Reliance Industries, Kotak Mahindra Bank, Infosys, TCS and L&T are the positive contributors to the Sensex. 
Book profits on rallies to 10,800 levels; buy Marico, short Motherson Sumi
Aditya Agarwal Despite the breakdown seen on the charts from 10,700 levels during last week, bulls showed tremendous resilience and rebounded sharply from its support level of 10,550.
Market Opening: The benchmark indices are marginally lower in the opening trade amid weak Asian markets.
The Sensex is up 24.01 points or 0.07% at 35598.56, and the Nifty up 1.70 points or 0.02% at 10751.50. About 371 shares have advanced, 517 shares declined, and 55 shares are unchanged. 
Vedanta, Titan, Hindalco, Tata Steel, UntraTech Cement, ONGC, IndusInd Bank, Maruti Suzuki and HDFC are the major loser in the market. 
Infosys, HCL Tech, IOC, TCS, RIL, are the gainers in the market
Sobha gained 3 percent after reporting better sales numbers.
Delta corp, HEG, Graphte India are trading higher with 1-3 percent gain.
Market Pre-Opening: Benchmark indices are lower in pre-opening trade amid weakness in Asian peers.
The 30-share BSE Sensex fell 31.53 points to 35,543.02 and the 50-share NSE Nifty gained 5.6 points at 10,744.20.
Rupee Update: The Indian rupee opened higher by 7 paise at 68.88 per dollar on Friday versus previous close 68.95.
Rupee closed at record lows in yesterday’s trading session as traders turn cautious of China and US tariff implementation and is expected to open flat against the dollar amid weakness before US tariffs on China take effect and decline in crude oil prices, said Motilal Oswal.
The Trump administration has imposed tariffs on a range of imported goods, including steel and aluminum, to protect domestic industries from what it says is unfair competition from foreign manufacturers. The 25% duty will apply to USD 34 billion worth of Chinese goods, ranging from aircraft to chicken incubators.
The FOMC minutes stated that further gradual increases in the target range for the federal funds rate will be consistent with sustained expansion of economic activity, strong labour market conditions, and inflation near the Committee's symmetric 2% objective over the medium term.
Today, USD-INR pair is expected to trade sideways within narrow range of 68.55-69.20.
Here are stocks that are in the news today:
Apollo Hospitals buys 50% stake in Medics International Lifesciences
Glenmark Pharma gets exclusive licensing agreement with Seqirus
India Infoline Finance raising Rs 325 crore from CDC Group (A UK Govt-owned development finance institution) via rupee denominated Tier II bonds.
Umang Dairies: ICRA has reaffirmed the long term rating of BBB- assigned earlier to the Rs 34 crore line of credit of the company and has also assigned a long-term rating of BBB- to the additional limit of Rs 17 crore. The outlook on the long term rating is stable.
Talwalkars Better Value Fitness: Company made investment in company in India - Zorba Renaissance Private Limited, which is registered with the Registrar of Companies, Chennai.
Varroc Engineering to make stock market debut on July 06
Goldcrest Corporation: Company has fixed July 17 as record date to determine the equity shareholder(s)/eligible equity shareholder(s) of the company who shall be eligible to participate in the buy-back offer.
Berger Paints: Company has signed a shareholders' agreement with Rock Paint Co for the purpose of setting up of a joint venture company in India by the name of 'Berger Rock Paints Private Limited' or any other name as may be approved by the Registrar of Companies. The joint venture company shall be engaged in developing, producing and selling superior automotive refinish paints in India and Nepal.
Phoenix Mills: Island Star Mall Developers (ISMDPL), a strategic investment alliance owned by the company and Canada Pension Plan Investment Board (CPPIB) has now further acquired an additional adjoining land parcel in Wakad, Pune for a consideration of Rs 1.36 crore on July 4.
Ind-Swift Laboratories: There is a minor fire incident at research and development centre of the company located at Mohali, Punjab. There is no loss of life.
Muthoot Finance: Muthoot Money has obtained the mandatory approval from the Reserve Bank of India for change in management/control through acquisition of shares /capital infusion by Muthoot Finance (MFIN) vide Reserve Bank of India letter dated July 3. Board of Directors of MFIN has agreed in principle to acquire shares as well as subscribe to equity shares of MMPL which will result in the change of management / control of MMPL. This was with the intention of further diversifying its business activities.
Capital First: Debenture Committee, on July 10, to consider and approve the private placement of rated, listed, secured / unsecured / subordinate / perpetual, redeemable non-convertible securities in the nature of debentures to be listed on the Debt Market segment of National Stock Exchange of India.
The Nifty50 is likely to open lower on Friday tracking muted trend seen in other Asian markets. The index closed 20 points lower at 10,749 on Thursday.
Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 26.5 points or 0.25 percent. Nifty futures were trading around 10,731-level on the Singaporean Exchange.
Wall Street’s major indexes rose on Thursday as reports that the United States and the European Union may agree to withdraw auto tariffs fostered optimism on international trade relations among investors, said a Reuters report.
Asian share markets were set for a bumpy ride on Friday just hours ahead of a US deadline to impose tariffs on Chinese imports, which has rattled financial markets in recent weeks as investors feared it could trigger a full-blown global trade war, it said.