Sensex rises 222 pts; broader market underperforms

The headline equity indices continued to trade with decent gains in mid-morning trade. The Nifty hovered near the 25,100 level after hitting the day's low of 25,017.50 in early trade. Financial services shares advanced after declining in the past trading session. Trading could be volatile due to August F&O series expiry today.

At 11:30 IST, the barometer index, the S&P BSE Sensex rose 221.83 points or 0.28% to 82,007.39. The Nifty 50 index added 47.85 points or 0.19% to 25,100.20.

The broader market underperformed the frontline indices. The S&P BSE Mid-Cap index fell 0.46% and the S&P BSE Small-Cap index declined 0.77%.

The market breadth was weak. On the BSE, 1,347 shares rose and 2,407 shares fell. A total of 134 shares were unchanged.

IPO update :

The initial public offer (IPO) of Ecos (India) Mobility & Hospitality received 6,56,73,476 bids for shares as against 1,26,00,000 shares on offer, according to stock exchange data at 11:15 IST on Thursday (29 August 2024). The issue was subscribed 5.21 times.

The issue opened for bidding on 28 August 2024 and it will close on 30 August 2024. The price band of the IPO was fixed between Rs 318 to 334 per share. An investor can bid for a minimum of 44 equity shares and in multiples thereof.

The initial public offer (IPO) of Premier Energies received 40,14,92,883 bids for shares as against 4,46,40,825 shares on offer, according to stock exchange data at 11:15 IST on Thursday (29 August 2024). The issue was subscribed 8.99 times.

The issue opened for bidding on 27 August 2024 and it will close on 29 August 2024. The price band of the IPO was fixed between Rs 427 to 450 per share. An investor can bid for a minimum of 33 equity shares and in multiples thereof.

Buzzing Index :

The Nifty Financial Services index gained 0.40% to 23,615.05. The index shed 0.24% in the past trading session.

Bajaj Finserv (up 2.34%), Bajaj Finance (up 2%), Power Finance Corporation (up 0.82%), Cholamandalam Investment & Finance Company (up 0.68%), REC (up 0.61%), ICICI Bank (up 0.58%), Shriram Finance (up 0.43%), Muthoot Finance (up 0.42%), SBI Life Insurance Company (up 0.39%) and Axis Bank (up 0.38%) advanced.

On the other hand, SBI Cards & Payment Services (down 1.11%), ICICI Lombard General Insurance Company (down 0.54%) and IDFC (down 0.46%) edged lower.

Stocks in Spotlight :

Sonata Software jumped 5.51% after the company announced that it has received a large multi-year, multi-million-dollar IT outsourcing contract from a US-based healthcare and wellness company.

PTC Industries slipped 4.26% after the firm informed that its board has approved the opening of qualified institutional placement (QIP) of equity shares with the floor price of Rs 13,894.42 per share.

NLC India rose 0.71%. The company said that it has signed power usage agreement with Telangana State DISCOMs for supply of 200 MW solar power at a competitive and affordable price under CPSU scheme for 25 years.

Global Markets :

Asian stocks traded mixed on Thursday, mirroring the overnight slump in Nvidia. The AI darling's tepid guidance on revenue and margins fueled concerns about the broader AI sector.

Investors are now keenly awaiting U.S. weekly jobless claims and inflation readings from Germany and Spain. These economic indicators will offer insights into the Federal Reserve's potential rate-cut trajectory beyond September, given its emphasis on the labor market's health.

U.S. stocks experienced a pullback on Wednesday. The Nasdaq Composite shed 1.12%, while the S&P 500 (-0.6%) and Dow Jones Industrial Average (-0.4%) saw more modest losses.

Nvidia's shares plunged as much as 8.5% in after-hours trading following its earnings report. While the company delivered a profit beat and announced a $50 billion buyback, investors were disappointed by the weaker-than-expected outlook for the current quarter's revenue and gross margin.