Share Market Live: Sensex, Nifty Extend Rally; IT, Metals, Realty Stocks Gain; FPIs Stay Net Buyers

Overseas Investors in Indian equities stayed net buyers for the second day in a row on Wednesday.

Foreign portfolio investors bought equities worth Rs 372.16 crore, according to data from the National Stock Exchange.

Domestic institutional investors too continued their buying streak of six continuous days and net bought equities worth Rs 926.45 crore.

Institutions net bought Rs 5,650.91 crore worth of equities in December so far, and net sold Rs 9,801.7 crore worth of Indian equities till date in 2022.

The yield on the 10-year bond slipped by 4 basis points to 7.22% on Wednesday.

Source: Bloomberg

The local currency rose by 35 paise to 82.45 on Wednesday, against the greenback.

The rupee had closed at 82.80 on Tuesday.

The Indian benchmark indices held on to steady gains through Wednesday, rising for two consecutive days.

The S&P BSE Sensex ended upwards of 145 points or 0.23% at 62,677.91 points, while the NSE Nifty 50 was 52 points or 0.28% higher at 18,660.30 points.

Hindalco Ltd., JSW Steel Ltd., ONGC Ltd., UPL Ltd., and Eicher Motors Ltd. were the top gainers amongst the NSE Nifty 50 constituents.

Whereas, Nestle India Ltd., ICICI Bank Ltd., Bharti Airtel Ltd., Asian Paints Ltd. and Hindustan Unilever Ltd. were the top laggards of the gauge.

The broader market indices; S&P BSE MidCap and S&P BSE SmallCap outperformed their larger peers, they gained 0.59% and 0.68%, respectively.

Out of the 20 sectoral indices compiled by the BSE, 18 advanced while S&P BSE Fast Moving Consumer Goods and S&P BSE Energy declined.

The market breadth was skewed in favour of the bulls. About 2,037 rose, 1,492 declined and 148 remained unchanged on the BSE.

Source: Bloomberg, Exchanges

• NTPC will issue NCDs worth Rs 500 crore on private placement at a rate of 7.44% annually, with maturity in April 2033.

• The proceeds will be utilized for funding capital expenditure, refinancing of existing loans and other general corporate purposes.

Source: Exchange filing

• The U.S. FDA has issued eight observations after an inspection of the company’s API manufacturing facility at Nanjangud, Karnataka.

• Company will soon announce the action plan on FDA's observations.

Source: Exchange filing

• H.G. Infra Engineering Ltd. has been declared as the L1 bidder by the National Highways Authority of India for Hybrid Annuity Mode Project

• The 34.5 km long, 6-lane 'Greenfield Karnal Ring Road' project will be carried out in Karnal district, Haryana.

• The estimated cost of the project is Rs 743.74 crore, while H.G. Infra Engineering Ltd. bid stands at Rs 997.11 crore.

Source: Exchange filing

• Sula Vineyards IPO was fully subscribed as of 2:06 p.m. on day 3.

• Bidding was led by qualified institutional buyers (2.04 times).

• The offer closes on December 14.

Source: BSE

The shares of Vodafone Idea Ltd. rose 6.96%, as of 1:39 pm on Wednesday. The scrip gained as much as 6.96%, the most in six months since June 21, 2022.

The scrip trades at 4 times its 30-day average volume.

Of the 21 analysts tracking the stock, five maintain 'hold' and 16 suggest to 'sell' the stock.

Source: Bloomberg, Exchange filing

The shares of Axis Bank Ltd. rose 0.29% after touching a new 52-week high of Rs 950.15 earlier on Wednesday.

Axis Bank proposed to raise Rs 12,000 crore through unsecured, non-convertible, Basel III compliant Tier II bonds. The offer comprises of a base issue of up to 1,000 bonds aggregating to Rs. 1,000 crore. A green shoe option of up to 11,000 bonds aggregating to Rs. 11,000 crore.

The scrip trades at 2.7 times its 30-day average volume. Of the 51 analysts tracking the stock, 49 maintain 'buy' and two suggest 'hold'.

Source: Bloomberg, Exchange filing

• Coal India has issued LoAs for seven coal projects to be pursued through the mine developers and operators model.

• The projects have a production capacity of close to 100 million tonne per year cumulatively.

• Coal India is tracking 15 greenfield coal projects through MDOs.

• Company’s investment in MDO projects seen at Rs 20,600 crore.

Source: Exchange filing

The Indian benchmarks traded higher after opening in green on Wednesday ahead of the U.S. Federal Reserve Bank's announcement on interest rate hike.

As of 12:14 pm, the S&P BSE Sensex was up by 240 points or 0.38% at 62,773.72 points, while the NSE Nifty 50 was 80 points or 0.43% higher at 18,687.45 points.

ONGC Ltd., Hindalco Industries Ltd., Eicher Motors Ltd., NTPC Ltd., and JSW Steel Ltd. were the top gainers amongst the NSE Nifty 50 constituents.

Whereas, Nestle India Ltd., Bharti Airtel Ltd., Asian Paints Ltd., ICIC Bank Ltd., and Hindustan Unilever Ltd. were the top laggards in the NSE Nifty 50 gauge.

WPI inflations falls to 5.85% in November 2022 compared to 8.39% in October.

Source: Office of the Economic Adviser

The NSE Nifty Realty Index and its constituents rose in trade on Wednesday, ahead of U.S. Fed's outcome on interest rate hike.

The index was up by 1.49% as of 11:59 pm, with Phoenix Mills Ltd., Indiabulls Real Estate Ltd., DLF Ltd. and Godrej Properties Ltd. leading the rally.

Nine out of 10 realty stocks advanced in the gauge, while Brigade Enterprises Ltd. was the only loser.

Source: Exchange

The NSE Nifty Bank Index scaled a new 52-week high on Wednesday after its previous stroke on Tuesday.

Seven out of the 12 constituents of the NSE Nifty Bank Index advanced, while five declined.

SBI Ltd. surged the most in the gauge, also hitting its 52-week high on Wednesday.

IndusInd Bank Ltd., HDFC Bank Ltd., IDFC First Bank Ltd. and AU Small Finance Bank Ltd. were the gainers of the gauge.

While, PNB Ltd., Bank of Baroda Ltd., Bandhan Bank Ltd., ICICI Bank Ltd. and Federal Bank Ltd. were the losers.

Source: Exchange

• The government has extended the deadline to submit expressions of interest for a stake in IDBI Bank to January 7.

• The earlier date was December 16.

Source: DIPAM notification

• Mahindra & Mahindra Ltd.’s investment of Rs 10,000 crore for an electric vehicles manufacturing plant in Pune has been approved.

• The investment has been approved under Maharashtra Government’s industrial promotion scheme.

• The company will make investments of Rs 10,000 crore over 7-8 years for setting up the facility and production of Mahindra’s EVs.

Source: Exchange filing

The shares of Patel Engineering rose 3.55% as of 11 am on Wednesday as the company considers fundraising via rights issue on December 16.

The stock gained as much as 4.73%, the most since Dec. 9.

The scrip trades at 2.7 times its 30-day average volume.

Source: Bloomberg, Exchange filing

Tata Communications Ltd. will be transferring its non-network internet of things business comprising of device, application, platform and managed services components to its subsidiary, Tata Communications Collaboration Services Pvt. on 'slump sale' basis.

Shares of State Bank of India Ltd. scaled a new 52-week high of Rs 625.8 in trade on Wednesday. As of 10:26 am, the stock was up 1.08%.

Of the 52 analysts tracking the stock, 50 maintain 'buy' and two suggest 'hold' and one recommends 'sell', according to Bloomberg data. The 12-month consensus price target implies an upside of 46%.

Source: Bloomberg

All of the 10 stocks under the NSE Nifty IT Index advanced in trade on Wednesday.

While the index itself was trading at 1.10%, the top gainers of the gauge were L&T Technology Services Ltd., Coforge Ltd., LTIMindtree Ltd. and Pesistent Systems Ltd., all gaining more than 2%.

Source: Exchanges

Shares of One97 Communications Ltd., the parent of Paytm, were volatile in early trade on Wednesday after its board approved a proposal to buy back equity shares worth Rs 850 crore.

Shares of the company, despite rising as much as 1.7% in early trade, erased all early gains to drop as much as 2.77%. The company's plan to buyback shares came under scrutiny from analysts, who termed it as an "attempt to manage the stock price."

Of the 12 analysts tracking Paytm, eight maintain 'buy', three suggest 'hold' and one recommends 'sell', according to Bloomberg data. The 12-month consensus price target implies an upside of 66.2%.

• HDFC Bank will buy a 7.75% stake in Mintoak for Rs 31.14 crore.

• Mintoak is a fintech startup that operates a payments-led platform in India, Kuwait and Mauritius.

• Deal expected to be completed by January 31, 2023.

Source: Exchange filing

The Indian benchmarks opened higher on Wednesday ahead of the U.S. Federal Reserve Bank's announcement on interest rate hike.

The S&P BSE Sensex opened higher by 153 points or 0.24% at 62,685.94 points, while the NSE Nifty 50 opened 63 points or 0.34% higher at 18,671.25 points.

Hindalco Industries Ltd., Eicher Motors Ltd., Power Grid Corp of India Ltd., Wipro Ltd., and Tech Mahindra Ltd. were the top gainers amongst the NSE Nifty 50 constituents.

Whereas, Bharti Airtel Ltd., Nestle India Ltd. and Hindustan Unilever Ltd. were the top laggards in the NSE Nifty 50 gauge.

The broader market indices; S&P BSE MidCap and S&P BSE SmallCap opened on a positive note and traded higher at 0.41% and 0.55%, respectively.

Out of the 19 sectoral indices complied by the BSE, 18 advanced while only S&P BSE Telecommunication declined.

The market breadth was skewed in favour of the bulls. About 1,979 rose, 769 declined and 126 remained unchanged on the BSE.

Source: Bloomberg, Exchanges

• IEX says it is now India’s first carbon-neutral power exchange, using market based tradable instruments to offset its carbon emissions.

• EKI Energy provided advisory and consultancy services in this climate action exercise.

Source: Exchange filing

Yield on the 10-year bond fell 3bps to 7.23% in early trade.

Source: Bloomberg

Indian currency appreciated 20 paise to 82.60 at the open against the greenback on Wednesday. It closed at 82.80 on Tuesday.

Source: Bloomberg

• U.S. Dollar Index at 103.98

• U.S. 10-year bond yield at 3.50% on Friday

• Brent crude up 3.45% to $80.68 per barrel

• Nymex crude at $75.18 per barrel

• SGX Nifty up 0.60% to 18,813.5 as of 8:10 a.m.

• Bitcoin up 0.05% to $17,771.44

• Sula Vineyards: The IPO was subscribed 0.59 times or 59% on its second day. Non-institutional investors subscribed 45% of their respective portion, while the retail basket was subscribed 99%. No bids were placed for the QIB portion.

• Abans Holdings: The IPO was subscribed 28% subscription on the second day. The QIB portion was fully subscribed with bids placed for 1.01 times the reserved basket. The HNIs subscribed 13% of their portion, while the retail portion was subscribed 23%.

• Landmark Cars: The initial share sale saw 17% subscription on the first day. The non-instituitional investors placed bids for 39% of the portion reserved for them, while the retail portion was subscribed 17%. The employees portion was subscribed 1.2 times, and no bids were placed in the QIB basket.

• IIFL Wealth Management: Capital Income Builder bought 30.4 lakh shares (3.42%) at Rs 1,810 apiece, General Atlantic Singapore Fund sold 31.2 lakh shares (3.51%) at Rs 1,810.09 apiece.

• Wheels India: Sundaram Finance Holdings bought 1.39 lakh shares (0.58%), ABI Showatech (India) sold 1.39 lakh shares (0.58%) at Rs 595.3 apiece.

• One97 Communications: The company will buy back up to 1.05 crore shares for up to Rs 850 crore at a maximum Rs 810 apiece.

• HDFC/HDFC Bank: The NBFC received in-principle approval from BSE and National Stock Exchange for transfer of non-convertible debentures to HDFC Bank under the merger deal between the two lenders.

• Yes Bank: The board approved allotment of 361.61 crore equity shares and 255.97 crore warrants to Carlyle Group’s CA Basque Investments and Advent-controlled Verventa Holdings.

• Bank of Baroda: The bank will divest its 98.57% shareholding in Nainital Bank.

• UltraTech Cement: The company commissioned 1.9 MTPA greenfield clinker backed grinding capacity at Pali Cement Works in Rajasthan.

• Adani Transmission: The company incorporated a wholly owned subsidiary Adani Cooling Solutions to carry on district cooling system business.

• Reliance Industries: Heads Up Ventures has entered into a contract with Reliance Retail for sale of its products on the latter’s e-commerce platform.

• TVS Motor Company: The company is planning to launch five Euro-5 compliant two-wheelers in Turkey.

• Patel Engineering: The board of the company will meet on Dec. 16 to consider raising funds through rights issue.

• Piramal Enterprises: The company’s subsidiary Piramal Capital & Housing Finance acquired 100% stake in step down subsidiary PRL Agastya.

• Bayer CropScience: The operations at the company’s crop protection formulations plant in Himmatnagar, Gujarat have been discontinued on directions from Gujarat Pollution Control Board.

• IFB Industries: The board approved infusion of Rs 97 crore in promoter group company IFB Refrigeration.

• Axis Bank: The board has approved raising Rs 12,000 crore via allotment of non-convertible bonds at a coupon rate of 7.88% on a private placement basis.

• Reliance Infrastructure: SIAC levies Rs 1,215 crore charges on the company as an arbitral award after its disputes with Shanghai Electric Group Co Ltd. As per SIAC, the company had allegedly provided loan guarantees for the construction of the Sasan Ultra-Mega Power Project in Madhya Pradesh developed by Reliance Infrastructure. The company is in process of undertaking a detailed review of the award and will initiate as per legal advice.

Stocks in Asia followed equities on Wall Street by rising marginally after US inflation cooled ahead of the Federal Reserve’s policy decision later Wednesday.

Asian markets opened in green on Wednesday with the Japanese Nikkei 225 gaining 0.61%, Hong Kong's Hang Seng up 0.81%, while the Australian ASX rose 0.37%.

At 8:20 a.m., the Singapore-traded SGX Nifty -- an early barometer of India's benchmark Nifty 50 -- rose 0.60% to 18,813.5.

U.S. stocks went through a volatile session on Tuesday. The S&P 500 rose 0.3%, while the tech heavy the Nasdaq 100 was up 0.4%. The yield on 10-year Treasury dropped 12 basis points to 3.50%.

Crude rose 3.6% amid moderation in U.S. inflation and demand returning with China reopening. Gold futures rose 1.4%, while Bitcoin surged 3.1% to trade around $17,700-level.

Domestic benchmark gauges shed losses to end in green on Tuesday after two days of fall, with market breadth in favour of bulls.

Overseas Investors in Indian equities turned net buyers on Tuesday, ending a six-day selling spree. Foreign portfolio investors mopped up equities worth Rs 619.9 crore, according to data from the National Stock Exchange. Domestic institutional investors remained net buyers for the fifth day in a row and net bought equities worth Rs 36.8 crore.

Rupee continued to depreciate against the U.S. dollar in the face of forex outflows ahead of the Fed policy announcement.