Indices shrug-off trade war fears; Sensex ends 83 pts up at 35,658 levels

The benchmark indices pared most of their day’s gains to end marginally higher on Friday tracking recovery in the global markets.

The S&P BSE Sensex ended at 35,658, up 83 points while the broader Nifty50 index settled at 10,773, up 23 points.

Among sectoral indices, the Nifty Auto index settled over 1% led by rise in the stocks of Ashok Leyland, Hero MotoCorp and Tata Motors.

The rupee recovered 21 paise from intra-day low of 69.03 to trade at 68.82 against the US dollar in late morning deals. As the US is set to impose tariffs on Chinese goods today and sustained foreign capital outflows pressured the sentiment, the rupee fell sharply to 69.03 a dollar before quoting 68.82. The rupee moved in range between 68.82 and 69.03.

Shares of paint company Asian Paints, fast moving consumer goods (FMCG) firm Hindustan Unilever (HUL) and information technology giant Tata Consultancy Services (TCS) from the Sensex have hit their respective new highs on the BSE on Friday. Thus far in the current calendar year 2018, these three stocks have outperformed the market by gaining in the range of 15% to 39%, as compared to 4.5% rise in the S&P BSE Sensex.

Shares of Den Networks and Hathway Cable & Datacom fell more than 5% for the second straight session after the Reliance Industries’s (RIL) chairman Mukesh Ambani on Thursday announced the launch of Jio’s fibre to home or fixed line broadband services called Jio GigaFiber. Hathway Cable & Datacom dipped 10% to Rs 18.55, extending its previous day’s 15% fall on the BSE. Meanwhile, Den Networks has slipped 7% to Rs 62.20, after falling 11% yesterday. Both these stocks are trading at their respective 52-week lows on the BSE.

Shares of real estate firm Sobha rallied 6% to Rs 507 on the BSE in early morning trade after the company said sales bookings for the first quarter of FY19 increased by 22% to Rs 7.62 billion as compared to corresponding quarter last year on higher volumes.

The Titan Company’s stock shed about 5.6 per cent in trade on Thursday, after the company indicated jewellery segment sales in the June quarter (after several quarters of strong growth) would be weak and below the company’s own targets. The management said the sector had gone through a soft patch during the first five months of this calendar year, as seen in a 39 per cent decline of gold import by volume.

Auto component maker Varroc Engineering made a decent debut on Friday, listing at Rs 1,032 on BSE, a 6.72% premium over its issue price of Rs 967. On NSE, the scrip got listed at Rs 1,015, up 4.96%.

After a strong performance in 2017-18, investors have given a thumbs-up to RBL Bank’s move to hike stake to 100 per cent from the current 60.5 per cent in Swadhaar Finserve, which offers services in underbanked areas. Since the announcement on June 28, RBL’s stock has gained about five per cent, outperforming the 0.4 per cent rise in the Nifty Bank index.

Here are some picks from the week gone by.

Company: Godrej Industries CMP: 589.00 Mastermind

Company: Wipro Ltd. CMP: 262.45 Mastermind

Company: Tata Global CMP: 266.20 Mastermind

Company: Bharti Airtel CMP: 362.40 Mastermind

Company: Sun TV Network CMP: 791.85 Mastermind

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