Barometers end with moderate losses; Realty shares decline

The key equity benchmarks ended with limited losses on Thursday. The Nifty settled below 25,150 level after hitting the day's high of 25,275.45 in early trade. Midsmall healthcare, media and consumer durables shares advanced while realty, auto and oil & gas stocks declined. Trading was volatile due to expiry of weekly index options on the NSE.

As per provisional closing data, the barometer index, the S&P BSE Sensex, declined 151.48 points or 0.18% to 82,201.16. The Nifty 50 index lost 53.60 points or 0.21% to 25,145.10.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index rose 0.27% and the S&P BSE Small-Cap index gained 0.56%.

The S&P BSE Mid-Cap and S&P BSE Small-Cap index hit an all-time high at 49,337.63 and 56,771.39 respectively.

The market breadth was positive. On the BSE, 2,258 shares rose and 1,669 shares fell. A total of 111 shares were unchanged.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, slipped 1.18% to 14.21.

IPO Update:

The initial public offer (IPO) of Sree Tirupati Balajee Agro Trading Company received 8,58,52,440 bids for shares as against 1,43,08,000 shares on offer, according to stock exchange data at 16:48 IST on Thursday (5 September 2024). The issue was subscribed 6 times.

The issue opened for bidding on Thursday (5 September 2024) and it will close on Monday (9 September 2024). The price band of the IPO is fixed between Rs 78 to 83 per share. An investor can bid for a minimum of 180 equity shares and in multiples thereof.

Buzzing Index:

The Nifty Media index rose 0.81% to 2,082.85. The index increased 0.83% in two consecutive trading sessions.

PVR Inox (up 3.59%), Hathway Cable & Datacom (up 1.95%), TV18 Broadcast (up 1.9%), Dish TV India (up 1.35%), Saregama India (up 0.88%) and Network 18 Media & Investments (up 0.04%) advanced.

Stocks in Spotlight:

Godrej Properties fell 1.24%. The company informed that its board has approved the issuance of non-convertible debentures (NCDs) aggregating to Rs 64.60 crore.

RailTel Corporation of India shed 0.36%. The company informed that it has received a work order from Northern Railways for Railway Telecom Project aggregating to Rs 10.92 crore.

PNB Housing Finance declined 1.42% after the company informed that its board is scheduled to meet on 9 September to approve the issuance of non-convertible debentures (NCDs) up to Rs 2,500 crore.

Goldiam International rose 0.49% after the company received purchase orders from large retailers in USA for diamond studded gold jewellery. The said order is worth Rs 70 crore and it is expected to be completed on or before 31 December 2024.

Linde India advanced 3.31% after the firm announced that it has entered into the plant sale agreement with Tata Steel for acquiring their industrial gas supply assets

Premier Energies surged 19.45% after the company received an order from Uttar Pradesh Department of Agriculture for the supply, installation, and commissioning of solar water pumping systems across various districts in the state. The said order is worth Rs 217 crore and it will be completed on or before March 2025.

Suzlon Energy advanced 2.51% after the company announced that it has executed a conveyance deed with OE Business Park (OEBPPL) for the sale of One Earth Property, its corporate office.

Global market:

Most European shares advanced as investors looked ahead to key U.S. economic data. Jobless claims are due out on Thursday, followed by nonfarm payrolls and the unemployment rate on Friday.

Asian stocks traded mixed on Thursday, the investors assessed July pay data out of Japan. Average monthly cash earnings in the country rose 3.6% year-on-year, a softer rise compared to the 4.5% climb seen in June. Investors are looking ahead for other economic data coming from the region include trade data from Australia and Singapore's retail sales numbers.

The US job openings data for July, at 7.67 million, fell below estimates. This marked the lowest level since early 2021, indicating a potential challenge in achieving a soft landing for the world's largest economy. Market participants will closely monitor the upcoming August economic report on Friday, which could further influence the magnitude of rate cuts.

China's economic difficulties intensified as JPMorgan strategists downgraded the country's stock outlook. Citing a challenging economic landscape and heightened volatility surrounding the US election, they lowered their rating from overweight to neutral. In an attempt to stimulate the property market and broader economy, China is considering interest rate cuts on a significant portion of its mortgage debt.

A notable development saw India surpass China as the largest weighting in the MSCI EM investable market index (IMI).

US stock markets experienced a mixed start to September. The S&P 500 and Nasdaq Composite declined for a second consecutive day Wednesday, while the Dow Jones Industrial Average gained slightly. A temporary return to a normal yield curve provided some support to US stocks, easing recession concerns that had previously plagued investors.