Indian indices opened at fresh record highs on June 13, with the Nifty surpassing 23,450. The Sensex rose by 379.66 points, or 0.50%, to 76,986.23, while the Nifty increased by 118.00 points, or 0.51%, to 23,441.00. About 2,123 shares advanced, 346 shares declined, and 107 shares remained unchanged.
Major gainers on the Nifty included Nestle, Divis Labs, HDFC Life, Shriram Finance, and LTIMindtree, while HUL, Britannia, Tata Consumer, and ICICI Bank were among the losers.
The FOMC has kept rates unchanged at a 23-year high while hinting at a 1 rate cut scenario in 2024. Key fund rates are kept at 5.25-5.50% for the seventh consecutive policy. This is despite US inflation data coming softer than expected.
Coming to India, its CPI inflation came in at 4.75% in May 2024, easing for the fifth consecutive month and marking the lowest level in 1 year. Further, inflation is now lower than RBI's upper tolerance limit of 6% for the ninth month straight. The market will react to this economic data as well in hopes of early rate cuts from RBI.
LIVE Feed
Jun 13, 2024, 3:24 pm IST
Gold Prices React To Policy Shift By The US Federal Reserve
Thursday (June 13) witnessed a decline in gold prices, influenced by the US Federal Reserve's recent decision during its policy meeting to revise down its projections for interest rate cuts later this year. This adjustment occurred despite indications of easing inflation in May. Correspondingly, US gold futures experienced a more substantial decrease of 1.1% to ,329.50 per ounce. In India, MCX gold futures for the August 5 contract fell by ₹515 or 0.72%, trading at ₹71,455 per 10 grams.
Jun 13, 2024, 2:47 pm IST
Mutual Funds Acquire Shares In Suzlon And Vodafone Idea
Indian mutual funds invested in shares of companies like Suzlon Ltd. and Vodafone Idea Ltd. during May. They opted to sell shares in most public sector undertakings (PSUs) except for State Bank of India (SBI) and HUDCO before the Lok Sabha election results, which were announced on June 4. Suzlon's shares gained attention due to several orders the company secured in the past few weeks. Additionally, the resignation of one of its independent directors also contributed to the focus on Suzlon.
Jun 13, 2024, 2:13 pm IST
L&T Secures Major Offshore Contract Worth Up To ₹5,000 Crore From ONGC For Daman Project
Larsen & Toubro Ltd. (L&T), the engineering giant, announced securing a significant offshore contract from ONGC for its Daman Upside Development Project - Wellhead Platforms & Pipelines (DUDP-WP) along India's West coast. The order falls under the 'large' category, indicating a value ranging from ₹2,500 crore to ₹5,000 crore.The project entails various tasks, including engineering, procurement, construction, installation, and commissioning of four wellhead platforms, a 140-km pipeline, and necessary topside modifications at the Tapti Daman block situated in a western offshore location.
Jun 13, 2024, 12:47 pm IST
Penny Stock Rallies
LIC-backed penny stock in the FMCG sector, Integra Essentia has hit back-to-back 5% upper circuits for a fourth consecutive session on June 13. The stock is trading below Rs 5 and has opened its rights issue in the ratio of 20:119 which will end on June 25. Also, the stock is focused after winning a massive order of Rs 210 million. The FMCG stock has also delivered a 1:1 bonus issue and a 3:1 stock split recently. This week, the stock has surged by 21% so far.
Jun 13, 2024, 12:46 pm IST
HPCL Share Price
One of the much-awaited bonus issues is of a leading oil marketing company with a Maharatna PSU status. It is none other than Hindustan Petroleum Corporation (HPCL). This OMC has announced a bonus issue of 1:2 and its record date is nearing in less than 10 days. Ahead of the bonus shares, HPCL stock is trading below Rs 530 on June 13, and there is potential for further upside. Motilal Oswal is bullish on HPCL and recommended BUY. The PSU stock traded at Rs 529.15 apiece, up by 0.6% on BSE with a market cap of Rs 75,062.49 crore. The stock was nearing its 52-week high of Rs 594.70 apiece and has more than doubled from its 52-week low of Rs 239.25 apiece.
Jun 13, 2024, 12:08 pm IST
Perspective On CPI by Rajani Sinha, Chief Economist, CareEdge Ratings
The CPI inflation moderated further to 4.75% in May, lower than the market expectations. The fuel and light category remained in deflation, while food inflation held steady at 7.9%. Core inflation continued to remain benign and moderated further to 3.1% in May. High inflation in the food basket, especially in specific food categories, including vegetables and pulses, remains a concern. While the outlook for food inflation has brightened due to anticipation of a normal monsoon, the temporal and spatial distribution of monsoon would be critical factors to monitor. Government initiatives on the supply side, such as the Open Market Sale Scheme (OMSS) and export restrictions, will further aid in keeping food prices under check. Aside from the higher food inflation, there is an incremental risk to inflation from the increase in global commodity prices, particularly industrial metals. Since the end of March, industrial metal prices have risen by 9.3%. Globally, food prices are also increasing, with the FAO Food Price Index rising for three consecutive months after moderating throughout CY 2023. This warrants closer attention as the rise in input prices can be passed on to the consumption basket. External risks emerging from ongoing geopolitical tensions also need to be monitored, given the risk they can pose to supply chains and commodity prices. Looking ahead, a favourable base effect is expected to persist until July 2024, helping absorb potential upward risks to price pressures to a certain extent. For FY25, we expect inflation to average 4.8%. If food inflation moderates, we expect the RBI to cut the policy interest rate by a shallow 50 bps in two tranches in the second half of the fiscal year.
Jun 13, 2024, 12:01 pm IST
Perspective On IIP Data by Rajani Sinha, Chief Economist, CareEdge Ratings
“Growth in India’s industrial output moderated to 5% in April from an upwardly revised 5.4% in the previous month. While growth in electricity and mining output accelerated, the manufacturing sector growth moderated constraining the overall IIP performance. Growth in output of infrastructure/construction goods remained healthy rising by 8% supported by upbeat government capex. On the consumption front, a supportive base propped up the growth in output of consumer durables (at 9.8%) while the growth in non-durables output witnessed a contraction of 2.4%. Going forward, a meaningful improvement in the overall consumption scenario remains crucial for the industrial activity. While prospects of good monsoon remain supportive of rural demand, the temporal as well as spatial distribution of monsoon is critical. Also, elevated inflation specifically in the food basket remains a challenge for rural demand revival.”
Jun 13, 2024, 11:46 am IST
CPI Inflation Outlook By Murthy Nagarajan, Head-Fixed Income, Tata Asset Management
CPI inflation at 4.75% is slightly lower than the market expectation of 4.90%. Food inflation continues to run around 8.90% levels. Given strong GDP growth expectation of 7.2% in the current year by RBI, this data may not have any meaningful impact on debt markets. Good and Normal distribution of monsoons in India is required to bring CPI food inflation down as global food prices have started moving up.
Jun 13, 2024, 11:35 am IST
CPI & IIP Data Outlook From Mr. Nish Bhatt, Founder & CEO, Millwood Kane International
"India’s CPI inflation in May 2024 eased to 12-month low of 4.75 per cent, though bit higher than the 4.31 per cent recorded in the year-ago month of May 2023. While India’s industrial production grew 5 per cent in April riding on robust growth of 6.7 percent in mining and 10.2 percent in electricity, over the corresponding month in the previous year. With the government in place and the election anxiety subsiding, inflation should be contained thanks to the favorable monsoon forecast and probable increase in Kharif output. But the uncertainties surrounding High Food Inflation and Crude Oil movements needs to be monitored as it can have adverse impact on household inflationary expectations."
Jun 13, 2024, 11:01 am IST
US Fed Interest Rates Outlook By Mr. Apurva Sheth, Head Of Market Perspectives And Research , SAMCO Securities
US Fed kept interest rates unchanged for seventh time a row at 5.5%. Fed Chief acknowledged modest Progress on inflation as against no progress at all in the last meeting. Markets took this acknowledgement on inflation in a positive stride. The 10 year bond yields also slipped below the October'22 highs of 4.335%. This pushed the markets higher as lower yields benefit corporates and consumers both. Indian markets are also likely to open on a positive note with a gap up around life time highs. There's no surprise as suddenly everything (inflation and even wars) comes under control right before elections. This feel good factor should continue and propel US markets to newer heights as it prepares for elections in November.
Jun 13, 2024, 10:38 am IST
Market Outlook By Mr. Aditya Gaggar, Director Of Progressive Shares
A late reversal from the higher levels restricted the gains to end the session at 23,323. Shooting Star candlestick pattern at the record levels suggests weakening of bullish momentum at the higher end. A firm close above 23,400 is a must to extend the northward journey while on the lower side, support is placed at 23,150. The same comment also stands for BankNifty, i.e., a strong close above 50,300 is a must while 49,600 can be considered as a strong support. Stock-specific buying is likely to continue in the Metal and Pharma segment. Some of the stocks from the Mid and Smallcaps are on the verge of a breakout namely IEX (Rounding Bottom Pattern), JioFin (Falling Channel Pattern), NMDC, and RBL Bank (Trendline Breakout).
Jun 13, 2024, 10:26 am IST
Derivative Outlook By Anand James, Chief Market Strategist,Geojit Financial Services
Nifty weekly contract has highest open interest at 24000 for Calls and 23000 for Puts while monthly contracts have highest open interest at 25000 for Calls and 22000 for Puts. Highest new OI addition was seen at 23400 for Calls and 22800 for Puts in weekly and at 23400 for Calls and 22800 for Puts in monthly contracts. FIIs increased their future index long position holdings by 12.35%, decreased future index shorts by 8.23% and in index options by 3.91% decrease in Call longs, 4.82% increase in Call short, 14.65% decrease in Put longs and 5.49% decrease in Put shorts.
Jun 13, 2024, 10:17 am IST
Nifty Outlook Today By Anand James, Chief Market Strategist,Geojit Financial Services
Yesterday’s declines paused near 23300, but the distribution appeared strong enough to hint at further downside attempts in the coming days. That said, pull back above 23345 could dilute such fears and rekindle upside hopes, though we expect more consolidation before we get back on to the 24130 trajectory, Alternatively, inability to float above 23300 could lend momentum to downsides, aiming 23145.Yesterday’s declines paused near 23300, but the distribution appeared strong enough to hint at further downside attempts in the coming days. That said, pull back above 23345 could dilute such fears and rekindle upside hopes, though we expect more consolidation before we get back on to the 24130 trajectory, Alternatively, inability to float above 23300 could lend momentum to downsides, aiming 23145.
Jun 13, 2024, 10:11 am IST
FX Monitor By Anand James, Chief Market Strategist,Geojit Financial Services
INR: The Indian rupee closed nearly flat on Wednesday at 83.5450 against the U.S. dollar, despite pressure from dollar demand by local oil companies and importers. Probable intervention from the Reserve Bank of India aided the rupee from dropping towards its all-time low. USD: The dollar dropped on Wednesday after May's consumer prices rose less than expected, although losses were trimmed after the Federal Reserve projected only one rate cut this year. The dollar index fell 0.5% to 104.73, after hitting a four-week high of 105.46 on Tuesday. The CPI was flat, missing the anticipated 0.1% gain, which strengthened expectations for two rate cuts in 2024, starting in September. However, the Fed's "dot plot" indicating only one cut clouded this view.
Jun 13, 2024, 10:01 am IST
Amber Enterprises Boosts Stake In IL JIN Electronics With 4.6% Acquisition
Amber Enterprises has recently expanded its footprint in IL JIN Electronics (India) by acquiring an additional 4.6% equity stake. The transaction, finalized on June 12, 2024, involves purchasing shares from Hyun Chul Sim, an existing shareholder of IL JIN. Following this acquisition, Amber Enterprises' ownership in IL JIN Electronics has risen significantly from 85.6% to 90.2%.
Jun 13, 2024, 9:29 am IST
India's Industrial Output Growth Slows To 5% In April
India's industrial output growth slowed to 5% in April, down from 5.4% in March, according to data released by the Ministry of Statistics and Programme Implementation on June 12. In April 2023, the IIP growth rate was 4.6%. The growth rates for the mining, manufacturing, and electricity sectors in April 2024 compared to April 2023 were 6.7%, 3.9%, and 10.2%, respectively. Within manufacturing, the top contributors to growth were basic metals at 8.1%, coke and refined petroleum products at 4.9%, and motor vehicles at 11.4%.
Jun 13, 2024, 9:27 am IST
US Inflation Drops to 3.3% In May, Defying Expectations
US consumer prices remained unchanged in May due to lower gasoline costs, defying expectations of a slight increase. Despite this, inflation likely remains too high for the Federal Reserve to consider cutting interest rates before September, given the persistently strong labor market. The Labor Department's Bureau of Labor Statistics reported on Wednesday that the consumer price index (CPI) held steady after a 0.3% rise in April. Over the past year, the CPI rose 3.3%, following a 3.4% increase in April, against economists' expectations of a 0.1% monthly rise and a 3.4% annual gain. Major retailers like Target have been cutting prices on various goods to attract consumers amid ongoing inflation pressures.
Jun 13, 2024, 9:26 am IST
Dollar Weakens on Soft US Inflation; Yen Stays Fragile Ahead Of BOJ Meeting
Asian currencies strengthened on Thursday against a weakened dollar following softer-than-expected US inflation data. The Yen remained under pressure ahead of a Bank of Japan meeting, while US policymakers indicated that interest rates would remain high. The Euro rose 0.6% overnight, surpassing its 200-day moving average to trade at .0811. The Australian Dollar increased by 0.9% to {live-blog}.6662, and the New Zealand Dollar reached a five-month high above {live-blog}.62 before settling at {live-blog}.6183. The Yen gained approximately 0.2%.
Jun 13, 2024, 9:23 am IST
Market Opens At Record High
Indian indices opened at fresh record highs on June 13, with the Nifty surpassing 23,450. The Sensex rose by 379.66 points, or 0.50%, to 76,986.23, while the Nifty increased by 118.00 points, or 0.51%, to 23,441.00. About 2,123 shares advanced, 346 shares declined, and 107 shares remained unchanged.
Jun 13, 2024, 9:18 am IST
Oil Prices Decline Amid US Growth Concerns & High Crude Supply
Oil prices fell in early trading on Wednesday as investors responded to the US Federal Reserve's decision not to cut interest rates in the near term, along with concerns over ample US crude and fuel stocks. Brent crude futures dropped 14 cents, or 0.17%, to .46 a barrel, while US West Texas Intermediate (WTI) crude futures decreased by 16 cents, or 0.2%, to .34. Both benchmarks had previously gained about 0.8% in the prior session.
Jun 13, 2024, 9:17 am IST
Rupee Opens Higher
Indian Rupee opened marginally higher at 83.52 per US Dollar on Thursday versus Wednesday's close of 83.54.
Jun 13, 2024, 9:14 am IST
Asian Markets Rally Following Fed's Interest Rate Announcement
Asian markets rose on Thursday, with the Taiwan Weighted and Kospi each gaining 1%. This uptick followed the US Federal Reserve's decision to maintain the Federal Funds rate at 5.25% to 5.5% and adjust its "dot plot" to project only one rate cut this year.
Jun 13, 2024, 9:00 am IST
S&P 500 & Nasdaq Hit Record Highs Amid Softer CPI, Fed's Rate Cut Projections
The S&P 500 and Nasdaq posted record closing highs for the third consecutive day on Wednesday, following unexpectedly soft inflation data. However, the indexes closed below their intraday highs as the Federal Reserve projected only one interest rate cut this year.
The Fed's March projections included three quarter-percentage-point reductions, but in a statement at the end of its June 11-12 meeting, it left its policy rate unchanged as anticipated. Stocks were volatile after the news and the press conference with Fed Chair Jerome Powell, with the S&P 500 and Nasdaq trimming gains late in the session and the Dow finishing nearly flat.
Stocks opened higher after the Labor Department reported that the U.S. Consumer Price Index remained unchanged in May due to lower gasoline prices. By the close, the Dow Jones Industrial Average had fallen 35.21 points, or 0.09%, to 38,712.21. The S&P 500 rose 45.71 points, or 0.85%, to 5,421.03, and the Nasdaq Composite advanced 264.89 points, or 1.53%, to 17,608.44.
Jun 13, 2024, 8:19 am IST
Sentiment To Be Driven By 1-Year Low Inflation Print
India's CPI inflation came in at 4.75% in May 2024, easing for the fifth consecutive month and marking the lowest level in 1 year. Further, inflation is now lower than RBI's upper tolerance limit of 6% for the ninth month straight. The market will react to this economic data as well in hopes of early rate cuts from RBI.
Jun 13, 2024, 8:19 am IST
Market To React To Fed Policy Outcomes
The FOMC has kept rates unchanged at a 23-year high while hinting at a 1 rate cut scenario in 2024. Key fund rates are kept at 5.25-5.50% for the seventh consecutive policy. This is despite US inflation data coming softer than expected.
Jun 13, 2024, 8:18 am IST
Market Previous Day
The Nifty 50 index achieved a significant milestone, hitting an intra-day record high of 23,442 points. However, it closed 120 points off that level, ending the session at 23,323, up 58 points. Meanwhile, the Sensex rose by 150 points to close at 76,607. The Nifty Bank index also performed well, gaining 189 points to end at 49,895, despite failing to sustain levels above the 50,000 mark.
Click it and Unblock the Notifications
Sign in with Google