Sensex, Nifty Post New Highs Despite Sluggish Start

The benchmark Indian stock indices Sensex and the Nifty opened slightly weak Monday morning, and despite recovering to post fresh record highs and then falling again, moved into positive territory subsequently amid stock specific activity.

Weakness in Asian markets amid disappointing retail sales and industrial data out of China, and profit taking at some key counters contribute to the subdued trend in the market.

However, upbeat earnings updates support sentiment. Investors are awaiting wholesale price inflation data for the month of July.

The BSE Sensex is up 33.33 points or 0.06 percent at 55,470.62, after rising to a new high of 55,518.95. The National Stock Exchange’s Nifty index, which dropped to 16,480.75 after advancing to a high of 16,550.75, is down 9.55 points or 0.06 percent at 16,519.55.

The Indian market had ended on a strong note on Friday with the benchmark indices Sensex and the Nifty posting fresh record highs after data showed a pick-up in manufacturing activity in June and a dip in retail inflation in July.

The Sensex jumped as much as 593.31 points, or 1.08 percent, to settle at 55,437.29, while the broader NSE Nifty index ended at 16,529.10, up 164.70 points, or 1.01 percent, from its previous close.

Tata Steel is rising 1.3 percent. Mahindra & Mahindra, Tata Consultancy Services, Axis Bank, Nestle India and Bajaj Finserv are up 0.5 to 0.8 percent.

Bajaj Auto, Power Grid Corporation and Maruti Suzuki are down 1.1 to 1.6 percent. Titan Industries, Asian Paints, UltraTech Cement, IndusInd Bank and Dr Reddy’s Laboratories are also weak.

Hindalco, Shree Cement, JSW Steel, Coal India and UPL are also down in negative territory.

ONGC said it posted a net profit of Rs 4,335 crore in the first-quarter of the current financial year, compared to net profit of Rs 497 crore in the corresponding quarter of the previous fiscal. The stock is gaining nearly 0.5 percent.

Glenmark Pharmaceuticals Ltd. reported a 21 percent jump in net profit to Rs 306 crore in the first quarter, up from Rs 254 crore in the year-ago quarter. The stock is down marginally.

JK Cement shares are down marginally. The company said its net profit soared to Rs 190.08 crore in the April-June 2021 quarter, fro Rs 49.94 crore a year-ago.

Apollo Hospitals Enterprise Limited shares are gaining over 6% after the company reported consolidated net profit of Rs 489 crore for the first quarter ended June 30, 2021, as against net loss of Rs 208 crore in the April-June quarter last year.

Amara Raja Batteries is down more than 1 percent despite reporting a 99 percent in first-quarter net profit. NBCC shares are also down sharply despite reporting a three-fold jump in first-quarter earnings.

Devyani International made a strong debut, gaining more than 51 percent, listing at Rs 141. Shares of Krsnaa Diagnotics are up nearly 8 percent on debut. Exxaro Tiles (up 5 percent) is also faring well, while Windlas Biotech is down more than 5 percent.