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Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments:
Despite opening down with a gap, the index was quick to bounce from the lows. Until we do not break 17200, the short term trend of the market is positive.
Intra day corrections can be utilized to accumulate long positions for a target of 18050-18100. A closing below 17200 would be the stop.
Vinod Nair, Head of Research at Geojit Financial Services:
Following a sharp fall in western markets, the domestic market witnessed a gap-down opening and extended its losses led by selling in IT, realty and oil & gas shares.
Global markets were wounded by heavy selling as Fed meeting minutes pointed to a faster than expected policy rate hike considering elevated US inflation levels. Investors are also watching the fast spread of covid cases and stricter restrictions being imposed as it would keep the market highly volatile in the coming days.
S Ranganathan, Head of Research at LKP securities:
The day witnessed a gap-down opening on the back of weak global cues and hawkish FOMC minutes which saw the US 10-year yield rising to 1.7%.
Bulls were a bit restrained on the back of rising covid cases and its impact on the fourth quarter corporate performance since it happens to be an important quarter for India Inc. The IT & Oil & Gas Index led the fall today with Cement stocks too witnessing profit taking.
Market Close: Benchmark indices broke the four-day winning streak and ended lower with Nifty below 17800 on the back of weak global cues.
At close, the Sensex was down 621.31 points or 1.03% at 59,601.84, and the Nifty was down 179.40 points or 1% at 17,745.90. About 1798 shares have advanced, 1336 shares declined, and 74 shares are unchanged.
JSW Steel, UltraTech Cement, Tech Mahindra, Shree Cements and Reliance Industries were among the top Nifty losers. Gainers included UPL, IndusInd Bank, Bajaj Auto, Bharti Airtel and Eicher Motors.
Among sectors, except auto and oil & gas, all other sectoral indices ended lower with IT and Realty indices down 1 percent each. The BSE midcap and smallcap indices ended on flat note.
CLSA view on UPL
Brokerage firm CLSA has kept buy call on UPL and raised the target price to Rs 1,100 from Rs 1,060.
The new launch successes are key to achieving goal of 25% EBITDA margin, while transition towards high-value products should drive a P/E rerating.
It raise FY22-24 EPS estimates by 2-3% as it build in spot currency assumptions.
UPL was quoting at Rs 783.75, up Rs 19.10, or 2.50 percent.
Nifty Auto index added 0.5 percent supported by the Bharat Forge, Bajaj Auto, TVS Motor
Jefferies on Thermax
Foreign broking house Jefferies has upgraded Thermax to a buy rating with target at Rs 2,575 per share.
The management focussed on taking a step ahead in improving capital allocation and margin improvement.
Jefferies upgrades FY23-24 EPS by 11-36% to reflect revenue recovery.
Thermax touched a 52-week high of Rs 1,948.55 and was quoting at Rs 1,894, up Rs 54.90, or 2.99 percent.
Manappuram Finance to consider various options for raising funds
Manappuram Finance is considering various options for raising funds through borrowings including by the way of issuance of various debt securities in onshore / offshore securities market by Public Issue, on Private Placement Basis or through issuing Commercial Papers, company said in its press release.
Based on the prevailing market conditions, the Board of Directors / Financial Resources and Management Committee / Debenture Committee of the Board of Directors of the Company may consider and approve issuances of Debt Securities during the month of January, 2022, subject to such terms and conditions including the issue price of debt securities, as the Board / respective Committee may deem fit, it added.
Manappuram Finance was quoting at Rs 166.95, up Rs 0.15, or 0.09 percent.
Market at 3 PMBenchmark indices erased some of the intraday losses but still trading lower with Nifty below 17800.The Sensex was down 576.70 points or 0.96% at 59646.45, and the Nifty was down 167.80 points or 0.94% at 17757.50. About 1834 shares have advanced, 1291 shares declined, and 76 shares are unchanged.
BSE Metal index fell 0.5 percent dragged by the JSW Steel, Tata Steel, APL Apollo
Bajaj Finserv December Business Update
Bajaj Finserv’s subsidiary Bajaj Allianz General Insurance’s gross direct premium for the month of December 2021 was at Rs 1,123.6 crore.
The Bajaj Allianz Life Insurance’s individual single premium was at Rs 22.9 crore and individual non-single premium was at Rs 459.1 crore.
Bajaj Finserv was quoting at Rs 18,046.50, up Rs 63.50, or 0.35 percent on the BSE.