Indian stock market daily morning report (February 04, 2014, Tuesday)
February 4, 2014, Tuesday, 05:18 GMT | 00:18 EST | 09:48 IST | 12:18 SGT
Views on markets today
- Markets ended lower on Monday, amid weak global cues, as weak economic data from China, the world's second largest economy, raised worries that the global growth is still struggling. Further, the US Fed's decision to further taper its monetary stimulus measures also dampened sentiment in emerging markets including India.
The 30-share Sensex ended down 304 points at 20,209 and the 50-share Nifty ended down 87 points at 6001.
- Grasim Industries closed 2.45% down at Rs 2,510.85 on BSE after consolidated net profit fell 39.55% to Rs 331.93 crore on 3.86% rise in total income to Rs 7,226.1- crore in Q3 December 2013 over Q3 December 2012.
- Bajaj Auto closed 3.52% down at Rs 1,835.85 on BSE after the company said its total sales fell 8% to 3.1- lakh units in January 2014 over January 2013.
- TVS Motor Company closed 2.58% up at Rs 79.50 on BSE after the company said its total sales rose 6% to 186,313 units in January 2014 over January 2013.
- Among the 12 BSE Sectoral Indices only 1 Sector closed in positive while 11 Sector ended the day in negative. Top Gainer: BSE Healthcare up by 1.10%. Top Losers: BSE Metal down by 3.06% and BSE Realty by 2.09%.
Market breadth was negative at ~0.76 as investors sold large cap stocks. On provisional basis, FII's sold Rs 7.35bn worth of Indian equities and DII's sold Rs 0.70bn worth of equities.
Economic and Corporate Developments
- India's manufacturing activities in January grew highest in the current financial year so far, showed widely-tracked HSBC purchasing managers' index. Coincidentally, inflation, particularly in raw material front, also rose, justifying the stance taken by the Reserve Bank of India to raise repo rate by 25 basis points.
At 51.4 points, PMI rose from 50.7 in December. The latest reading was the highest since March, 2013. Fifty is a reading which separates contraction (below 50 points) from expansion (above 50 points).
In fact, policy makers in India are hoping for recovery in the fourth quarter of the current financial year, after larger economic growth declined 4.6% in the first half against 5.3% in the corresponding period of the previous financial year. The economy had grown a decade low of 4.5% in 2012-13.
- Mahindra & Mahindra closed 0.61% down at Rs 885.00 on BSE after the company said its total auto sales declined 13.77% to 42,685 units in January 2014 over January 2013.
- IDBI Bank closed 1.89% down at Rs 54.40 on BSE after net profit declined 75.05% to Rs 103.96 crore on 1.12% growth in total income to Rs 7,149.8- crore in Q3 December 2013 over Q3 December 2012.
- Sobha Developers closed 2.19% up at Rs 273.05 on BSE after net profit rose 10.46% to Rs 58.10 crore on 26.48% increase in total income to Rs 545.50 crore in Q3 December 2013 over Q3 December 2012.
- ING Vysya Bank closed 3.16% down at Rs 511.00 on BSE after net profit rose 3.08% to Rs 167.34 crore on 4.37% growth in total income to Rs 1,487.85 crore in Q3 December 2013 over Q3 December 2012.
- Lanco Infratech surged 3.35%, in the opening trade to Rs 7.41 on BSE after the company said its board of directors proposed to obtain shareholders' nod for issue of equity shares to the promoters of the company on preferential basis as a part of CDR package.
- Oberoi Realty closed 6.58% down at Rs 190.90 on BSE after consolidated net profit fell 49.4% to Rs 68.06 crore on 40.7% decline in net sales to Rs 169 crore in Q3 December 2013 over Q3 December 2012.
- Berger Paints India rose 2.43%, in the opening trade, to Rs 209.05 on BSE after consolidated net profit rose 7.1% to Rs 82.30 crore on 11.9% growth in net sales and other operating income to Rs 1029.80 crore in Q3 December 2013 over Q3 December 2012.
- Indraprastha Gas closed 7.13% up at Rs 265.20 on BSE on reports the price of compressed natural gas was slashed by Rs 15 per kg and the price of piped natural gas was cut by Rs 5 per kg in Delhi.
- Ashok Leyland closed 3.34% down at Rs 15.90 on BSE after the company said its total sales declined 26% to 7,847 units in January 2014 over January 2013.
- Lupin closed 4.52% up at Rs 921.90 on BSE after net profit rose 42.03% to Rs 476.13 crore on 20.84% increase in total income to Rs 3,054.41 crore in Q3 December 2013 over Q3 December 2012.
- Petron Engineering Construction closed 8.24% up at Rs 92 on BSE after the firm said it has secured a contract worth Rs 99.76 crore from VISA Power, Kolkata, for execution of civil job at VISA Raigarh thermal power plant, Chhattisgarh.
- Magma Fincorp closed 2.55% down at Rs 65.05 on BSE after consolidated net profit declined 3.3% to Rs 35.24 crore on 20.2% growth in total income to Rs 535.57 crore in Q3 December 2013 over Q3 December 2012.