Most Market Roundup : Despite facing consistent selling pressure at higher levels, notable support-based buying was seen around the 24700 zone, which helped cap the downside - Motilal Oswal Wealth Management
• Sensex climbed over 400 points, while the Nifty closed above the 24,800 mark, recovering some of the previous session's losses. This rebound was largely driven by strong buying in capital goods, PSU banks, defense, real estate, and healthcare stocks. Positive corporate earnings, the early arrival of the monsoon, and a mixed trend in global markets also contributed to the market’s upward momentum. The Nifty 500 saw a strong advance-decline ratio of 3:1, reflecting robust investor interest in midcap and smallcap stocks.
• The Nifty gained 129 points, or 0.5%, to end at 24,813, while the Sensex added 410 points, or 0.5%, to close at 81,596. Among individual stocks, JK Tyres and Trident surged 13% each following strong quarterly earnings. Tata Teleservices jumped 19% amid reports that Tata Sons might be compelled to infuse fresh capital into the financially struggling telecom unit, which faces Rs 19,256 crore in adjusted gross revenue (AGR) and other dues to the government.
• After recent losses of 5-7% over the last two sessions driven by good quarterly and hope of government order, the Nifty Defense index rebounded by 3.4%. Stocks such as BEL and Solar Industries rose 5% each, while BDL, GRSE, Data Patterns, and Hindustan Aeronautics posted gains of 3-4%. The Nifty Realty and Pharma indices also recorded gains of 1% and 1.7%, respectively.
Technical Outlook:
• Nifty Index opened on a positive note and witnessed a roller-coaster ride in the first half of the session, with sharp swings of 100–150 points on both sides. However, in the latter part of the day, the index got stuck in a range and moved within a narrow band. Despite facing consistent selling pressure at higher levels, notable support-based buying was seen around the 24700 zone, which helped cap the downside.
• On the daily chart, Nifty formed a small-bodied bullish candle with wicks on both ends, indicating buying interest at lower levels. Now it has to hold above 24700 zones for an up move towards 25000 then 25100 zones while supports have placed at 24700 then 24550 zones
• TCS gets ?2,903-crore add-on order from BSNL for 4G expansion - Company announced that the company has won an add-on Advance Purchase Order (APO) worth ?2,903 crore from state-owned telco Bharat Sanchar Nigam Limited (BSNL) for works related to its 4G mobile network.
• Tata Sons may infuse capital into Tata Tele as AGR dues cross Rs 19,000 cr - Tata Sons, the holding company of the $150 billion Tata Group, may be forced to inject fresh capital into its loss-making telecom arm, Tata Teleservices as the unit stares at Rs 19,256 crore in adjusted gross revenue (AGR) and other dues owed to the Indian government. With a negative net worth of Rs 17,876 crore and steep accumulated losses, Tata Tele is in no position to meet its obligations without support Tata Sons
• Lemon Tree Hotels - Company has opened a new hotel at Arpora in Goa. The 56-room managed hotel, which will be opened in two phases, is the company's fifth property in Goa.
• PCBL arm begins commercial production of polymer manufacturing Unit in Maharashtra - Aquapharm Chemical, a subsidiary of PCBL has begun commercial production of polymer at its Raigad manufacturing facility in Maharashtra The manufacturing facility will produce polymer with a total capacity of about 9.2 kilotons per annum.
• Indigo April Local Passenger Market Share Rises to 64.1% - IndiGo's local passenger market share rose to 64.1% in April from 64% in March. SpiceJet's local passenger market share fell to 2.6% from 3.3%
Global Market Update
• European Market - European stocks fell after gaining for four straight days as investors monitored the outlook for global trade. Inflation in the U.K. spiked to its highest level for more than a year in April. Germany, UK and France Index decline nearly 0.5% each.
• Asian Market - Asia market witnessed mixed bag as concern over geo-political tension in in the Gulf region while US market dropped yesterday after rally in the six trading sessions.
• US Data - Mortgage Application. • Commodity - Brent Crude jumped over 2% to above $66/bbl on Wednesday following reports that Israel may be preparing to strike Iranian nuclear facilities, sparking fresh concerns over potential disruption in the Middle East, a critical oil-producing region.
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