Index trend and stocks in action July 29, 2016
Indian benchmark indices got off to an optimistic start, shrugging the listless sentiments prevailing in Asian markets as Federal Reserve left the door open for a US interest rate hike this year. However, the first half was pretty much range bound. But fireworks were seen in the second half of the session as the index closed near day’s high. Nifty registered a new high and surpassed the high of ‘Spinning top’ candle which was formed as on July 27, 2016. Now going forward the trend will be in the favour of the bulls, however, it’s likely to face resistance in the zone of 8700-8720. On the downside, the level of 8620 will act as a support as it is 78.6 per cent retracement level of entire down move from higher levels of 9119.20. Major support for Nifty is placed at levels of 8570.
Eicher Motors: Eicher Motors has reported a 58.61 per cent jump in consolidated net profit to Rs 376.29 crore for the quarter ended June 30, 2016. The company gained on the revenue front as well as the profit front due to better cost management and lower input costs. Royal Enfield continued to surprise the markets on the positive side with a 38 per cent growth in volume numbers in the first quarter.
UCO Bank: RBI has imposed a Rs 1 crore penalty on UCO Bank for flouting its instructions relating to opening of current accounts and providing bill discounting facilities to account holders without any borrowing facility, consequently leading to ‘siphoning off of funds’.
IDBI Bank: Public sector IDBI Bank has reduced its base rate or minimum lending rate to 9.65 per cent per annum from 9.75 per cent per annum earlier.
Kesoram Industries: BK Birla Group’s flagship company Kesoram Industries has lined up a Rs 600-crore capital expenditure plan in the ongoing fiscal year, which will help company take forward its restricting agenda. Of the planned capex, Rs 350 crore will be spent on the tyre business, while the cement business will attract an investment of Rs 250 crore.
JP Associates: Debt laden infrastructure firm JP Associates said it has failed to pay a total of Rs 36.25 crore in principal installment and interest for NCDs. The principal and interest that became due for payment on April 25, 2016 in respect of 11.75 per cent NCDs, still remains unpaid.
Gulf Oil Lubricants: Gulf Oil Lubricants will focus on passenger automotive segment and plans to invest Rs 150 crore in its new plant in Chennai.
Adani Port: Adani Port has started building the country’s first transhipment port, conceived 25 years ago, and the government will construct another $4billion facility to create a shipping hub rivalling Chinese facilities in the region.