Sensex ends almost 150 points lower, Nifty below 11,000; midcaps crack

The Sensex ended lower by 146.52 points or 0.40% at 36373.44, while the Nifty was down 26.00 points or 0.24% at 10982.00. The market breadth was negative as 878 shares advanced, against a decline of 1,689 shares, while 149 shares are unchanged.

Investors looked to cash out of majority of sectoral indices, with major cuts visible among metals, auto and FMCG names. Weakness among midcaps too weighed on the market. The Nifty Midcap index ended over 1 percent lower. 

ONGC, Asian Paints, and Indiabulls Housing were the top gainers on both indices, while metal stocks such as Tata Steel, Vedanta and Hindalco were the top losers. 

Idea tanks 8%: Shares of Idea Cellular fell almost 8 percent on Wednesday afternoon as investors turned wary of the Idea and Vodafone’s decision to pay spectrum dues in a few weeks.

Idea and Vodafone are likely to pay Rs 7,268 crore spectrum dues to the department of telecommunications (DoT) ‘under protest’ in a few weeks, sources told CNBC-TV18.

Further, the report added that the companies could appeal in the Supreme Court against the dues charged by telecom regulator. Currently, the companies have agreed to pay the amount as they do not wish to delay merger process between the two firms.

For the said amount, Idea will give a bank guarantee of Rs 3,342 crore for the one-time spectrum charges. Meanwhile, Vodafone will pay Rs 3,926 crore in cash for non-auctioned airwaves that it holds.  

Market Update: Selling has resumed in the last hour of trade, with the Sensex trading over 100 points lower, while the Nifty is around 11,000-mark. 

The Sensex is down 113.00 points or 0.31% at 36406.96, while the Nifty is down 21.70 points or 0.20% at 10986.30. The market breadth is negative as 739 shares advanced, against a decline of 1,686 shares, while 130 shares were unchanged.

All sectoral indices are trading in the red, with maximum cuts visible among metals, FMCG and auto names. Midcaps, too, are trading weak, with the Nifty Midcap trading down 1 percent. Shares of ONGC, HDFC, and Indiabulls Housing are the top gainers, while Tata Steel, HUL, and Hindalco have lost the most.  

UltraTech Q1: UltraTech Cement started off the financial year 2018-19 on a weak note as profit during the April-June quarter fell 32.9 percent to Rs 598.39 crore due to dismal margin performance.

Bottomline numbers for the quarter ended June 2017 stood at Rs 890.62 crore.

The company had acquired cement plants from Jaiprakash Associates and Jaypee Cement Corporation on June 29, 2017. Hence the figures for the three months ended June 30, 2018 are not comparable with the previous corresponding periods.

Revenue from operations grew by 30.6 percent to Rs 8,655 crore compared to Rs 6,626.45 crore in same period last fiscal. 

Bandhan Bank Q1: Bandhan Bank posted a 47.5% increase in its net profit for the quarter ended June 30, 2018 on the back of higher interest income and stable asset quality. The bank posted profit after tax of Rs 481.71 crore for Q1 compared to Rs 326.56 crore YoY.  

Market Update: Selling in metals, PSU banks and pharmaceuticals, as well as midcaps, dragged indices from the high points of the day and has turned negative now.  

The Sensex is down 59.17 points or 0.16% at 36460.79, while the Nifty is down 7.10 points or 0.06% at 11000.90. The market breadth is negative as 882 shares have advanced, 1,326 shares declined, while 136 shares were unchanged.

ONGC, HDFC Bank, and Indiabulls Housing are the top gainers, while Tata Steel, Vedanta, and Hindalco have lost the most. 

HDFC gain ahead of subsidiary IPO: Housing Development Finance Corporation share price gained 1.2 percent intraday on Wednesday after its subsidiary HDFC Asset Management Company decided to open the initial public offering for subscription next week.

HDFC informed exchanges on Tuesday that the IPO will be open for subscription by anchor investors on July 24 and the IPO will remain open for public from July 25 to July 27, 2018.

After consultation with book running lead managers, the company has fixed price band for the IPO at Rs 1,095-1,100 per share. 

Sun Pharma gets USFDA approval: Sun Pharmaceutical Industries has received approval from the US Food and Drug Administration (USFDA) for Infugem (gemcitabine in 0.9% sodium chloride injection) 10 mg/mL, for intravenous use in a ready-to-administer (RTA) bag. 

This is the first USFDA approval for a product from Sun Pharma’s Halol facility post receipt of establishment inspection report (EIR) in June 2018

At 11:16 hrs Sun Pharmaceutical Industries was quoting at Rs 553.25, up Rs 4.45, or 0.81 percent. 

Buzzing: Shares of Ashok Leyland slipped more than 7 percent intraday Wednesday as research house Macquarie maintained underperform rating on the stock with a target price of Rs 113 post June quarter numbers declared by the company on Tuesday.

According to Macquarie June quarter’s operating income was below estimates, while volume growth drives margin improvement.

Domestic medium and heavy commercial vehicle market share at three-year low.

The stock underperform on near term demand uncertainty, high competitive intensity and expensive valuations, it added.

The company's net profit during the quarter increased more than three-fold to Rs 370 crore compared to Rs 111.2 crore in same period last year despite higher tax cost, backed by revenue as well as operational performance.

Market Update: Benchmark indices have maintained their uptrend in morning trade, with the Sensex rising over 100 points, while the Nifty is above 11,050 as well. The Nifty PSU bank index has extended its correction and is now down over 1 percent, while the Bank Nifty is trading in the green. Metals, too, are witnessing some weakness, down over 1 percent on the index. Midcaps, too, have seen some selling since morning, thereby dragging the indices from opening highs. ONGC, Bajaj Auto and Indiabulls Housing are the top gainers, while Tata Steel, Airtel, Lupin and Hindalco have lost the most. Shares of Sintex Industries soared over 9 percent on Wednesday morning as investors cheered its Q1 results. 

Tendulkar-backed co plans IPO: Sachin Tendulkar-backed virtual sports and entertainment company Smaaash is planning to launch its initial public offering (IPO) to raise Rs 500 crore from the market, according to a report by Mint.

“Smaaash will be raising close to Rs 500 crore through the IPO. The company has appointed a few investment bankers. It is likely to happen by December 2018,” a person aware of the development told the newspaper.

The company is planning to use the cash to fund its inorganic growth initiatives, repay part of its debt and meet its working capital requirements, the report suggests.

Smaaash operates centres for cricket, football, go-karting, bowling and virtual games across 30 centres in the country. The company has one centre in the US and is planning expansion in UAE, Saudi Arabia and Thailand, the report adds.

The stock touched an intraday high of Rs 16.07 and an intraday low of Rs 15.44.

The company reported a rise of 11.5 percent in the net profit for June quarter at Rs 39.1 crore against Rs 35.1 crore reported during the same quarter of last year. 

Its revenues rose 35 percent at Rs 925.3 crore against Rs 687.6 crore year on year. 

Market Update: After opening at a record high, the Sensex is currently off its opening levels, while the Nifty is hovering around 11,050-mark. 

Selling in midcaps is likely to have dragged them from the high points; the Nifty midcap index is trading a quarter of a percent lower. Meanwhile, among sectoral indices, PSU banks and metals are seeing some weakness, while IT and energy sectors are trading in the green. 

Share price of PNB, IOB, Andhra Bank, Corporation Bank and Allahabad Bank reacted positively on the government capital infusion plan. 

IPO Update: Women's apparel maker TCNS Clothing Company raised over Rs 337 crore from the anchor investors, ahead of its initial share-sale tomorrow. The firm sells its products under W, Aurelia and Wishful brands.

TCNS Clothing has allotted 47,14,210 equity shares to 18 anchor investors at Rs 716 per scrip, garnering Rs 337.54 crore, according to a regulatory filing.

Among the anchor investors are Goldman Sachs India Ltd, Auburn Ltd, Fidelity Securities Fund Fidelity Blue Chip Growth Fund, DB International Asia Ltd, ICICI Prudential Life Insurance Company Ltd and UBS Principal Capital Asia Ltd.

PSU banks rally: Share price of PNB, IOB, Andhra Bank, Corporation Bank and Allahabad Bank reacted positively on the government capital infusion plan.

Under the capital infusion plan, these 5 PSU banks will get  Rs 11,336 crore from government as part of its Indradhanush scheme, which was unveiled in 2015.

This is the last tranche of infusion under the scheme.

Of the Rs 11,336 crore, Rs 2,816 crore will be infused in PNB, Rs 2,157 crore in IOB, Rs 2,019 crore in Andhra Bank, Rs 2,555 in Corporation Bank, and Rs 1,790 crore in Allahabad Bank. 

Market Opens: It’s a strong start to the market on Wednesday morning, with the Sensex hitting a fresh record high, rising 200 points, while the Nifty opened above 11,050-mark. 

The Sensex is up 198.95 points or 0.54% at 36718.91, while the Nifty is up 62.50 points or 0.57% at 11070.50. The market breadth is positive as 354 shares have advanced, while 79 shares have declined, and 46 shares are unchanged.

Among sectoral indices, all of them are trading in the green, with strength seen among PSU banks pharmaceuticals, energy and auto names. In the broader market, midcaps are trading higher as well, up over half a percent on the index. 

Rupee update: The Indian rupee opened marginally higher at 68.42 per dollar on Wednesday versus 68.45 yesterday.

Yesterday, rupee broadly consolidated in a range but traded with a slight positive bias despite strength in the dollar against its major crosses. Crude oil came under pressure API after reported a surprise crude oil build of 629,000 barrels of United States crude oil inventories for the week ending July 14 compared to expectations that this week would see a draw in crude oil inventories of 3.62mbpd, said Motilal Oswal.

Crude has been one of the major factor that is supporting the rupee and sustained fall in the same could continue to keep losses capped for the rupee.

Market at pre-open: Pre-opening trades indicate a strong start to the market on Wednesday morning. 

The market breadth is positive as 2 shares advanced, against a decline of 1 share declined, while 2719 shares are unchanged.