Sensex rises 386 pts as rupee recovers; Tata Steel, RIL up 3%

The benchmark indices settled over 1% higher on Friday after the rupee recovered from its all-time low and Asian peers staged a pullback.

The S&P BSE Sensex ended at 35,423, up 386 points while the broader Nifty50 index settled at 10,714, up 125 points.

Among sectoral indices, the Nifty Metal index settled 2.8% higher led by a surge in the shares of Jindal Steel & Power, NMDC and Hindalco Industries. The Nifty PSU Bank index also rose 1.35% led by IDBI Bank, Oriental Bank of Commerce and Syndicate Bank.

On the BSE, the S&P BSE Midcap index rose 1.8% higher on Friday and the S&P BSE Smallcap index ended 1.9% up.

Among individual stocks, Tata Steel was the biggest gainer on S&P BSE Sensex, gaining 3.6% to settle at Rs 567.85. The market heavyweight Reliance Industries also rose 3% to end at Rs 972.95 on Friday.

The rupee, which breached the 69 per dollar mark for the first time on Thursday, recovered tracking a rebound in Asian shares and currencies. The Indian currency had on Thursday breached the 69-mark but covered lost ground to finally close at an all-time low of 68.79 with a fall of 18 paise against the US dollar due to multiple headwinds like weak global cues and concerns related to inflation and fiscal slippage.

IDBI Bank has rallied 12% to Rs 55.85 on the BSE on the back of heavy volumes ahead of the Insurance Regulatory and Development Authority of India (IRDAI) meeting today to consider Life Insurance Corporation’s (LIC’s) proposal to pick up a substantial stake in the bank.

Ultratech Cement rose 0.45% to Rs 3759.70 on BSE after the company said it commissioned the second unit of 1.75 mtpa cement grinding capacity at Dhar in Madhya Pradesh. The announcement was made during trading hours today, 29 June 2018.

Shares of Bhagiradha Chemicals & Industries have rallied 19% to Rs 333 per share on the BSE in intra-day trade, surging 62% from their Wednesday’s low of Rs 206 after Ratnabali Investment Private Limited and Aditya Goenka bought nearly 15% stakes in agrochemicals company through open market.

Shares of Britannia Industries were trading higher for the fifth straight day, hitting a new high of Rs 6,189 per share, up 1.5% on the BSE in intra-day trade on Friday.

Private sector lender ICICI Bank appointed former bureaucrat Girish Chandra Chaturvedi as its non-executive part-time chairman on Friday, media reports said. Chaturvedi is a 1977-batch IAS officer, who retired as the Oil Secretary in January 2013.

Aurobindo Pharma has been in the news and for good reasons. The most recent has been the receipt of an approval for a complex injectable product launch in the US. The approval of anti-bacterial injection, Ertapenem, provides a significant opportunity with limited competition. The approval has also boosted confidence in the company’s injectables portfolio and its US business. Concerns over pricing pressure in the US and FDA inspections at its various manufacturing units had pushed down its stock to 52-week lows in early June.

Shares of Fedders Electric and Engineering (formerly Fedders Lloyd Corporation) are locked in their lower circuit of 10% at Rs 28.85 per share, extending their decline on the BSE in the past five days, after the rating agency CARE Ratings revised the rating of the long and short term bank facilities of the company.

Shares of graphite electrodes manufacturers Graphite India (Rs 840) and HEG (Rs 3,311) are locked in the upper circuit of 5% on the BSE after a foreign brokerage firm initiated an outperform rating on both these stocks.

Here are some picks from the week gone by.

Company: JSW Steel CMP: 326.70 Mastermind

Company: NTPC Ltd. CMP: 159.35 Mastermind

Company: Hexaware Technologies CMP: 458.00 Mastermind

Company: Indian Oil Corporation CMP: 156.00 Mastermind

Company: Indraprastha Gas CMP: 253.05 Mastermind

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