Indices close the week with 1% gains; Nifty above 10,900

Benchmark indices managed to end the session on a mildly higher note, with the Nifty holding on to 10,900-mark.

Stable global cues along with rise in IT and consumption names helped the bulls put up a tough fight. The market were largely trading around the flat line with bouts of negative moves. The last couple of hours witnessed erasing of losses.

For the week, both the Sensex and Nifty ended 1 percent higher.

Among sectors, pharma was the worst performing sector, dragged by Sun Pharma. Banks, auto, consumption and infrastructure sectors were the other big losers, while the Nifty Midcap lost around a percent.

At the close of market hours, the Sensex was up 12.53 points or 0.03% at 36386.61, and the Nifty up 1.80 points or 0.02% at 10907.00. The market breadth was negative as 888 shares advanced, against a decline of 1633 shares, while 162 shares were unchanged.

Reliance, Kotak Mahindra Bank, and Wipro were the top gainers, while Sun Pharma and Airtel lost the most.

Stocks in the News

Shares of Shilpa Medicare rose half percent after company received US Food and Drug Administration (USFDA) approval for its ANDA, Imatinib Mesylate Tablets, 100 mg and 400 mg.

Analysts at several brokerage firms believe that Reliance Industries’ Q3 performance was largely better than expected, but there was a surprise element in the petchem show. The oil-retail-to-telecom giant reported a better-than-expected 7.7 percent sequential growth in third quarter consolidated net profit at Rs 10,251 crore, driven by other income as well as telecom and retail segments. The stock ended 4 percent higher.

Hindustan Unilever’s Q3 performance was largely in line with estimates, but volume growth has been commendable, analysts at multiple brokerages said in their research notes. Jefferies, in fact, has hiked its target price on the stock from Rs 1,650 to Rs 1,770. The stock ended around half a percent lower.

Shares of Cyient were down around 1.5 percent as investors turned wary of the stock after December quarter results’ announcement. The company’s profit has fallen 27 percent to Rs 92.3 crore, while revenue remain unchanged at Rs 1,187.7 crore quarter on quarter. The company, which was supposed to consider buyback, will do so at a later date.

Shares of Sun Pharmaceuticals plummeted 8.5 percent as investors reacted to a fresh complaint by a whistleblower against the company. According to Moneylife magazine, between 2014 and 2017, Aditya Medisales (AML) has had over Rs 5,800 crore of transactions with Suraksha Realty, controlled by Sun Pharma’s co-promoter, Sudhir Valia. This is as per a new 172-page complaint (with documents) sent by the whistleblower on Sun Pharma to the market regulator, Securities and Exchange Board of India (SEBI).

Shares of AU Small Finance Bank fell 5 percent as investors reacted to the December quarter performance.

Shares of Rallis India fell 5 percent as investors reacted to the results for December quarter.

Larsen & Toubro Infotech reported a fall of 6 percent (quarter-on-quarter) in its net profit for December quarter at Rs 375.5 crore. It had reported a profit of Rs 400.3 crore during the previous quarter. The stock gained a percent.

Global Markets

European stocks were higher after a report of easing tensions between US and China pushed the bulls to buy more. Stoxx 600 was up around 0.8 percent.

Asia Pacific markets were higher on Friday as investors cheered a report saying American officials may be weighing the possibility of easing tariffs on China, in a bid to push forward trade talks.

That optimism lifted shares in the Greater China region: Hong Kong’s Hang Seng index rose 1.14 percent in late-afternoon trade. On the Chinese mainland, the Shanghai composite gained 1.42 percent to 2,596.01 while the Shenzhen composite and the Shenzhen component both advanced.