Sensex rebounds 457 points; Nifty above 14,500

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After falling over 1.8% in the previous trading session benchmark equity indices opened with a gap up on Tuesday as investors cheered the government’s decision to vaccinate everyone above 18 years of age against Covid-19 from May 1. In the opening session, Sensex jumped 457 points or 0.95% at 48,407, while the broader market index Nifty was trading at 14,505 surging 146 points or 1.02%.

28 out of 30 Sensex stocks opened in the green. Bajaj Finance, Dr Reddy’s, Bajaj Finserv, M&M & Ultratech Cement were the top gainers on Sensex. On the downside, HCL Tech & Tech Mahindra were trading with losses.

Market breadth was strong as 1,465 shares advanced compared to 227 stocks declined and 525 scrips remained unchanged. On the sectoral front, all major indices were trading in the green. Nifty Auto and Nifty Metal surged over 1.70% while Nifty Bank and Nifty Pharma rallied around 1.5%. Nifty Realty index soared 1.15%, Nifty FMCG rose 0.66% and Nifty IT was trading with marginal gains of 0.07%.

The broader market outperformed the benchmark indices as BSE MidCap and BSE SmallCap rallied 1.74% and 1.49% respectively.

Earnings today:

Nestle India, Swaraj Engines, Network18 Media & Investments, Tata Steel Long Products, TV18 Broadcast, Welspun Investments and Commercials, Narendra Investments (Delhi), and Chandrima Mercantiles are set to release their quarterly numbers.

Stocks in spotlight:

ACC’s consolidated net profit surged 74.2% to Rs 563 crore on a 22.7% increase in net sales to Rs 4,213 crore in Q1 FY21 over Q1 FY20. Cement sales volume jumped 21.49% to 7.97 million tonnes in Q1 FY21 as against 6.56 million tonnes in Q1 FY20. The sale of ready mix concrete dropped 10.75% to 0.83 million cubic metres in Q1 FY21 compared with 0.93 million cubic metres in Q1 FY20.

On a consolidated basis, the cement major’s EBITDA jumped 46.75% to Rs 860 crore in Q1 FY21 as against Rs 586 crore in Q1 FY20. EBITDA margin improved to 20.4% in Q1 FY21 as compared to 17.1% in Q1 FY20. Operating EBIT soared 67.13% to Rs 717 crore in Q1 FY21 as against Rs 429 crore in Q1 FY20.

ICICI Bank on April 24, 2021, will also consider fundraising by way of issuance of debt securities including non-convertible debentures/bonds/notes/offshore certificate of deposits in single/multiple tranches in any currency through public/private placement.

Zensar Technologies has completed the process merger of the US-based 100% step-down subsidiaries (Merging Entities) into Zensar Technologies Inc., the USA, a material wholly-owned subsidiary of the company. The requisite filing process of merger applications, with respective local authorities/states, has been completed and with the effective date of the merger being April 1, 2021, the process is completed.

Tech Mahindra informed that the Investment Committee of the Board of Directors of the Company has approved the proposal to acquire 100% equity shares in DigitalOnUs, Inc. (DigitalOnUs) directly and indirectly through its wholly-owned subsidiary viz. Tech Mahindra (Americas) Inc.

ICICI Prudential Life Insurance Company reported a sharp fall in consolidated profit to Rs 62.51 crore in Q4FY21 against Rs 178.73 crore in Q4FY20. CRISIL’s consolidated total income for the quarter ended March 31, 2021, was up 11% to Rs 508.7 crore, compared with Rs 458.2 crore in the corresponding quarter of the previous year. Profit after tax for the quarter ended March 31, 2021, was Rs 83.5 crore, compared with Rs 88.1 crore in the corresponding quarter of the previous year.

Heranba Industries has received consent to establish (CTE) from the Gujarat Pollution Control Board (GPCB) for manufacturing of pesticides, intermediates, fungicides, herbicides and insecticides (Products) at its Plot situated at Plot No. C-195 and C-196 in the Saykha Industrial Estate, within the village limits of Saykha, Taluka- Vagra, Dist. Bharuch (Saykha Plot).

Future Enterprises’ board of directors has approved a resolution plan to restructure the existing secured financial debt from the bankers of the Company (Existing Debt), as permitted under the Resolution Framework for COVID 19 related Stress announced by the Reserve Bank of India vide circular dated August 6, 2020 (COVID Resolution Framework). The said resolution plan, which remains subject to the approval of the Expert Committee (under the chairmanship of the K. V. Karnath) constituted by the Reserve Bank of India, has been approved by the lenders to the Existing Debt. The board of directors of the company at its meeting held on April 19, 2021, has approved the same.

Amarjothi Spinning Mills approved the sale of the land admeasuring 3 acres and 88.50 cents to AFCM Wind Farms for Rs 16 lakh.

Global markets:

Overseas, Asian stocks are trading mostly lower on Tuesday as China kept its benchmark lending rate unchanged.

On the economic data front, China kept its benchmark lending rate for corporate and household loans steady for the 12th straight month at its April fixing on Tuesday, matching market expectations. The one-year loan prime rate (LPR) was kept at 3.85%. The five-year LPR remained at 4.65%.

U.S. stocks slipped from record levels to start the week on Monday as weakness in the technology sector weighed on the broader market.

On the coronavirus front, White House chief medical advisor Dr. Anthony Fauci said he expects the U.S. will resume administration of the Johnson & Johnson vaccine. The Food and Drug Administration asked states last week to temporarily halt using the single-dose vaccine “out of an abundance of caution” after six women developed a rare blood-clotting disorder.