Stock Market HIGHLIGHTS: Sensex ends 158 pts higher amid wild swings on Budget day but Adani stocks play party pooper
Stock Market Today HIGHLIGHTS: Indian equity benchmarks Sensex and Nifty50 finished a session characterised with wild swings on a mixed note on Wednesday, February 1, as the investor cheer brought by Finance Minister Nirmala Sitharamans Union Budget for 2023-24 was countered by an extended riot in Adani group stocks. The governments last full-year Budget before the general elections in 2024 had an infrastructure focus with a record outlay for railways, a higher defence Budget, and income tax benefits as well as savings-related perks for the common man.
Stock Market Today HIGHLIGHTS: Indian equity benchmarks Sensex and Nifty50 finished a session characterised with wild swings on a mixed note on Wednesday, February 1, as the investor cheer brought by Finance Minister Nirmala Sitharaman's Union Budget for 2023-24 was countered by an extended riot in Adani group stocks. The government's last full-year Budget before the general elections in 2024 had an infrastructure focus with a record outlay for railways, a higher defence Budget, and income tax benefits as well as savings-related perks for the common man.
The Indian economy is estimated to expand seven per cent despite a slowdown across the world, said Sitharaman in her Budget speech. (Follow Zeebiz.com's Budget blog here)
Here are five key things to know about the February 1 Budget session on Dalal Street:
1) The Sensex finished the session with a gain of 158.2 or 0.3 per cent at 59,708.1, having gyrated in a range of 1,956.6 points around the flatline — rising to as high as 60,773.4 and falling to as low as 58,816.8 — during the session. The Nifty50 settled with a loss of 45.9 points or 0.3 per cent at 17,616.3, having recovered more than 250 points from its intraday low.
2) In the 50-scrip Nifty basket, 23 stocks managed to finish the day higher. ICICI Bank, JSW Steel, ITC, Tata Steel, Britannia, Cipla, HDFC Bank,, HDFC, Tata Consumer and Eicher were the top gainers, rising around 1-2 per cent. On the other hand, Adani Enterprises and Adani Ports were the top laggards in the pack, falling 26.7 per cent and 17.7 per cent for the day respectively. Among the other Nifty50 losers were HDFC Life, SBI Life, Bajaj Finserv, SBI, IndusInd, Bharat Petroleum and UPL, closing between 2.3 per cent and 10.8 per cent lower.
3) Among heavyweights, ICICI Bank, the HDFC twins, and ITC were the biggest boosts for the Nifty50, but Adani Enterprises, Adani Ports and SBI were the largest drags.
4) ITC shares managed to hold on to the green after the Budget proposed higher taxes on cigarettes. Other cigarette-related stocks, such as Godfrey Phillips, succumbed to selling pressure.
5) Overall market breadth turned from extremely bullish in the morning to extremely bearish by the end of the day, with an advance-decline ratio of 3:5 at the close as 1,275 stocks rose and 2,266 fell on BSE.
6) Most experts praised the Union Budget for the coming financial year. In an interaction with Zee Business Managing Editor Anil Singhvi, market veteran Madhu Kela said: "It is a dream moment for India. We were not expecting it... The finance minister has delivered much more than the market expected."
7) The rupee ended a volatile session flat at 81.92 against the US dollar, having slumped below the 82 mark during the session.
8) Foreign institutional investors continued to play spoilsport on Dalal Street, taking their net sales of Indian shares to Rs 41,464.7 crore in January, though domestic institutional investors came to the rescue of the bulls, making net purchases of Rs 33,411.9 crore, according to provisional exchange data.
9) European markets began the day stronger, mirroring gains across most of their Asian peers, amid optimism about a slower pace of hikes in benchmark interest rates as investors awaited the outcome of the FOMC's first policy meeting of 2023. The pan-European Stoxx 600 was up 0.3 per cent at the last count, a day after it clocked its best performance January in January, with a gain of 6.7 per cent.
10) S&P 500 futures, however, were down 0.4 per cent, suggesting a weak start ahead on Wall Street.
Catch minute-by-minute market action on the Budget day, market commentary and analysis, a disection of major Budget announcements, expert views, panel discussions, investment as well as trading ideas — and much more — on Zeebiz.com's special blog:
Latest Updates
Here's how Sensex and Nifty50 fared on Budget day
Nifty50 stops near 17,350 on its way down
Earlier in the day, a Budget-triggered rally had brought the 50-scrip headline index within 28 pts of the 18,000 mark.
Sensex nosedives 1,900 pts from day's high as initial Budget cheer fades
Defence stocks under pressure after Budget allocation raised 13%
Stock Change (%) CMP Bharat Electronics -4.5 90.7 Bharat Dynamics -4.9 899.8 Paras Defence -3.9 532.3 Mazagon Dock Ship -6.1 744.6 Hindustan Aeronautics -7.4 2,363.6 Bharat Forge -0.8 868.4 MTAR Tech -2.6 1,692 BEML -8.9 1,401.9 Solar Ind -1 3,963.6 Zen Tech -3.6 194.2 Reliance Infra -1.7 122.9 Reliance Naval -1.4 2.8 No bad news is good news: Basant Maheshwari
In an interaction with Zee Business Managing Editor Anil Singhvi, market veteran Basant Maheshwari calls Budget 2023 the finance minister's best-ever Budget.
No bad news is good news, he says.
Market celebrading absence of a feared hike in LTCG tax on stocks: Geojit's VK Vijayakumar
An excellent Budget for the difficult time: Geojit's VK Vijayakumar
VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, is of the view that the finance minister has presented "an excellent Budget for the difficult time".
"This Budget will make India a brighter spot in the dark global horizon. Fiscal consolidation, with the fiscal deficit target of 5.9 per cent, the massive 33 per cent increase in proposed capital expenditure for FY24, and the tax relief to the middle class while continuing the free food grain distribution for 80 crore people make this an all-encompassing Budget," he says.
Changes in excise duty on cigarettes at a glance
Description Excise duty rate (in rupees per 1,000 sticks) From To Other than filter cigarettes, of length not exceeding 65 mm 200 230 Other than filter cigarettes, of length exceeding 65 mm but not exceeding 70 mm 250 290 Filter cigarettes of length not exceeding 65 mm 440 510 Filter cigarettes of length exceeding 65 mm but not exceeding 70 mm 440 510 Filter cigarettes of length exceeding 70 mm but not exceeding 75 mm 545 630 Other cigarettes 735 850 Cigarettes of tobacco substitutes 600 690 (Source: Budget 2023-24) Increased tax only impacts a section of ITC portfolio: Nirmal Bang's Rahul Arora
In an interaction with Zee Business Managing Editor Anil Singhvi, Rahul Arora, CEO of Nirmal Bang Institutional Equities, explains that the Budget announcement of higher taxes on cigarettes will only impact a section of ITC's portfolio.
"This is not a blanket hike on ITC products," he explains.
ITC shares recover after increased cigarette taxs trigger initial weakness
Government has finally done it, to bring down cigarette smuggling: IDBI Cap's AK Prabhakar
"The government has finally made the move on the duty on cigarettes, as was expected many times in the past few years. The stock is expected to rally anyway... It (duty) is more for the government and less for ITC... The move will discourage smuggling of cigarettes," AK Prabhakar, Head of Research at IDBI Capital Markets, tells Zeebiz.com.
"Fundamentally, the stock remains attractive. It is an attractive buy even at levels like Rs 300," he adds.
ITC will rally anyway despite 16% duty, remains attractive: IDBI Capital's AK Prabhakar
ITC shares drop into the red as Budget 2023 raises custom duty on cigarettes
Budget 2023 hikes basic customs duty on articles made from gold bars
Most of railway-related stocks rise on record capital outlay
The finance minister announced a record capital outlay for the railways at Rs 2.4 lakh crore in the Union Budget for 2023-24, nine times the amount provided in 2013-2014.
Stock Change (%) CMP Rail Vikas Nigam 2 77.7 Ircon International 3.7 62.5 IRCTC 1.1 644 IRFC 0.3 33.2 Texmaco Rail & Engineering -3.8 54.2 Titagarh Wagons -3.3 221.1 Budget 2023 | IRCTC, RVNL, Ircon gain up to 2% as FM announces record rail capital outlay
Budget 2023 | Increased capital outlay for infra; L&T, Shree Cement, IRCTC rise
Finance Minister Nirmala Sitharaman announced enhanced capital expenditure of Rs 10 lakh crore towards the development of infrastructure, 3.3 per cent of the country's GDP.
Infrastructure-focused stocks such as L&T, Shree Cement, IRCTC, Concor, Indian Hotels, Bharti Airtel, DLF and Godrej Properties trade firm in the green.
The Nifty Infrastructure index is holding on to a gain of 0.8 per cent, boosted by L&T, Indian Hotels, Bharti Airtel and Shree Cement. Here are the top gainers in the infrastructure pack at this juncture:
Stock Change (%) CMP INDHOTEL 6.5 320.5 SIEMENS 4.1 3,045.9 SHREECEM 2.8 24,350 LT 2.3 2,172.9 BALKRISIND 2 2,265.2 GAIL 1.8 96.9 IRCTC 1.6 647 APOLLOHOSP 1.6 4,323.1 INDIGO 0 2,123.3 HINDPETRO -0.4 237 IOC -0.4 81.4 BPCL -1 340 ADANIPORTS -2.2 599.3 INDUSTOWER -3.2 148.4 AMBUJACEM -3.9 385.7 ACC -4 1,889.5 Here's a look at the heatmap:
PM Awas housing scheme outlay raised 66%; Nifty Realty up 1%
The Finance Minister earmarks Rs 79,000 crore for the affordable housing scheme in her Budget 2023 speech.The Nifty Realty is up 1.1 per cent, having gained as much as 1.7 per cent earlier in the day.Here's a look at the real estate basket:
Stock Change (%) CMP BRIGADE 3 472.9 LODHA 2.4 1,047.1 SOBHA 1.5 608.9 OBEROIRLTY 1.2 830.6 GODREJPROP 1.1 1,194.3 PHOENIXLTD 1.1 1,383.3 PRESTIGE 0.8 422.6 DLF 0.6 358 IBREALEST 0.1 72.3 SUNTECK -4.4 349.7 Sanjiv Bhasin recommends buying SBI, UltraTech, Bank of Baroda, Concor stocks
In an interaction with Zee Business with Managing Editor Anil Singhvi, Sanjiv Bhasin of IIFL Securities shares three midcap stock picks and two largecap ideas on Budget day:
- IDFC First Bank, target Rs 75
- Concor, target Rs 750
- Ultra Tech, target Rs 7,110.55
- SBI
- Bank of Baroda
Catch more on Sanjiv Bhasin and how he views the market today only on Zeebiz.com
All Adani group stocks in the red; Adani Enterprises, Adani Total worst hit
Stock Change (%) CMP ADANIENT -5.5 2,812.2 ADANIPORTS -3.1 594 ADANIPOWER -5 212.8 ADANITRANS -4.6 1,693 ADANIGREEN -4.6 1,167.9 ATGL -10 1,901.7 AWL -3.5 450.7 ACC -4.5 1,880 AMBUJACEM -5 381.1 Here's a look at the intraday chart of the group's flagship — Adani Enterprises (ADANIENT) — so far:
Borosil Renewables, Chola Investment, Indian Hotels among top BSE 500 gainers
The bourse's broadest index has some 380 gainers at this hour. On the other hand, Adani group stocks such as Adani Total, Adani Enterprises, Adani Transmission and Adani Power are the worst hit in the 500-scrip universe.
ITC shares barely above flatline as Street tracks Budget speech closely
The stock of the cigarettes-to-hotels conglomerate is known to have stages wild moves on the day of Budget presentation in Parliament.
Overall market breadth extremely positive as Finance Minister begins Budget speech
As many as 2,393 stocks are in the green zone and 859 in the red on BSE, translating to an advance-decline ratio of almost 3:1 on the bouse.
Budget 2023 a blueprint for next 25 years: Nirmala Sitharaman in Budget speech
The Indian economy is estimated to expand seven per cent despite a slowdown across the world, the finance minister says.
Catch LIVE updates on Budget 2023 with Zeebiz.com's blog
"This is the first Budget in Amritkal": Nirmala Sitharaman begins Budget speech
Financial, FMCG, IT stocks boost headline indices minutes before Budget speech
Here's a look at the Nifty50 heatmap minutes before Finance Minister Nirmala Sitharaman begins her Budget 2023 speech:
Barring Sun Pharma, M&M, all Sensex stocks in the green
Top gainers are ICICI Bank, Tata Steel, the HDFC twins, PowerGrid and Kotak Mahindra Bank.
Most sectors in the green ahead of Nirmala Sitharaman's Budget speech
Barring the Nifty OIl & Gas, which is down 0.9 per cent, all of NSE's sectoral gauges are holding on to the green.
Should you buy, hold or sell Coal India shares after results, dividend?
Coal India shares slip into the red after a strong start to the day. The CIL stock is trading 0.4 per cent lower at Rs 224 apiece on BSE, having gained as much as 1.7 per cent earlier in the day to Rs 228.8 apiece on the bourse. On Tuesday, the state-run behemoth reported its financial results and announced a dividend payout.
Brokerage calls | What brokerages make of Sun Pharma, CIL, IOC, other stocks today
Goldman Sachs has a ‘sell’ rating on Sun Pharma with a Rs 5 reduction in its target price for the drug maker's stock.
Jefferies has a ‘hold’ on Coal India with a Rs 5 raise in its target price.
Traders' Diary | Buy, sell or hold strategy on IndiGo, Coal India, Dabur, 17 other stocks
Check out which stocks are on analysts Varun Dubey and Kushal Gupta's radar on February 1 — the day Finance Minister Nirmala Sitharaman presents Budget 2023 in Parliament, and what they recommend in cash and derivative segments.
Varun Dubey has Dabur as a fundamental pick for a target of Rs 574 with a stop loss at Rs 552. Kushal Gupta shares a fundamental pick of Ashok Leyland for a target of Rs 155 with a stop loss at Rs 147.
Pre-Budget Stock Picks | Vikas Sethi recommends buying Tech Electric, Stylam Ind
In an interaction with Zee Business Managing Editor Anil Singhvi, Vikas Sethi of Sethi Finmart suggests buying Techno Electric and Stylam Industries before Budget announcements.
Vikas Sethi's pre-Budget picks Stock Target price Stop loss Techno Electric 375 345 Stylam Industries 1,160 1,080 Zen Tech 220 201 Sensex rises over 500 pts in early deals as D-Street awaits Budget announcements
Both headline indices gain as much as 0.9 per cent within the first 10 minutes of trade on Dalal Street, The Sensex rises 517 pts to touch 60,066.9 at its strongest intraday level so far. The Nifty climbs to as high as 17,815.3, up 153.2 points from its previous close.
Here's what the Sensex chart is building up:
Nifty50
Pre-Open Market | Sensex up over 450 pts, Nifty50 above 17,800
In the pre-opening session, the Sensex ends 451.3 points or 0.8 per cent higher at 60,001.2 and the Nifty50 at 17,811.6, up 149.5 points or 0.9 per cent from its previous close.
Budget 2023 | How stock market has fared in the run-up to D-Day in past years
Indian equity benchmarks have mostly suffered minor losses one month prior to the presentation of the Union Budget in Parliament over the past few years, reflecting a loss of risk appetite among investors ahead of the big day.
Sensex and Nifty50 have fared in the run-up to the Budget day in the past years.
Anil Singhvi's market strategy on Budget day
Zee Business Managing Editor Anil Singhvi shares his strategy for the February 1 session on Dalal Street — the day Finance Minister Nirmala Sitharaman presents Budget 2023-24 in Parliament.
Dow Jones, Nasdaq rise up to 1.7% following encouraging US inflation data; Fed rate action, Jerome Powell's remarks in focus
The three main Wall Street indices — the S&P 500, the Dow Jones Industrial Average and the Nasdaq Composite — jumped on Tuesday. A reading on US labour cost encouraged investors about the Fed's ultra hawkish approach to controlling red-hot inflation, a day ahead of the Fed's critical policy decision. The tech stocks-heavy Nasdaq Composite registered its biggest gain in January since 2001.
Here's how the headline gauges fared on January 31:
- S&P 500: up 1.5 per cent
- Dow Jones: up 1.1 per cent
- Nasdaq Composite: up 1.7 per cent
Asian shares in the green after a strong handover from Wall Street; all eyes on FOMC rate decision
Equities in other Asian markets begin February 1 in the green, though cautiously, following a strong session overnight on Wall Street, as signs of a slowdown in US wages supported optimism about an earlier-than-anticipated end to the current cycle of hikes in benchmark interest rates by the Fed.
The FOMC's rate decision is due late on Wednesday.
MSCI's broadest index of Asia Pacific shares outside Japan is up 0.2 per cent.
Here's what some of the major indices in the region look like at this hour:
- Japan's Nikkei 225: up 0.2 per cent
- China's Shanghai Composite: flat
- South Korea's KOSPI: up 0.6 per cent
- Hong Kong's Hang Seng: down 0.6 per cent
- Singapore's Straits Times: flat
Sensex, Nifty50 inched higher on Budget eve as Economic Survey pegged GDP growth
HIGHLIGHTS: Indian equity benchmarks Sensex and Nifty50 inched higher on Tuesday, extending gains to a second straight day, a day before the presentation of Union Budget 2023 in Parliament by Finance Minister Nirmala Sitharaman. On Tuesday, the Economic Survey — tabled by the finance minister in Parliament on January 31 — projected the country's GDP to expand 6.5 per cent in the year ending March 2024, helping India retain its position as the fastest-growing major economy despite the extraordinary set of challenges across the globe.
Both headline indices finished the day 0.1 per cent higher. The Sensex gained 49.5 points to end at 59,549.9, having gyrated in a 683-point range around the flatline during the session. The Nifty50 settled at 17,662.2, up 13.2 points from its previous close, after moving broadly in the 17,500-17,750 band in intraday trade.
Read more on the January 31 session
Catch latest updates on Economic Survey 2022-23 and Union Budget 2023-24 here
SGX Nifty futures indicate gap-up start for Sensex, Nifty50 on Budget day
Singapore Exchange (SGX) Nifty futures — an early indicator of the Nifty50 index — is holding on to a gain of 103.5 points or 0.6 per cent to 17,855.5 at this hour, having risen as much as 146 points or 0.8 per cent to 17,898 earlier in the day.
Catch latest updates on Economic Survey 2022-23 and Union Budget 2023-24 here
Good morning! Welcome to Zeebiz.com's market blog on February 1 — the day Finance Minister Nirmala Sitharaman reveals what's in store in her Budget 2023-24
Follow this space through the day to get hold of LIVE action on Dalal Street — and what the bulls and the bears make of Finance Minister Nirmala Sitharaman's Budget announcements, LIVE market commentary, the views of Zee Business Managing Editor Anil Singhvi and other experts, investment and trading ideas, and much more.
HAve a great day ahead as you grasp every bit of detail of what the Finance Minister has in store for the economy, the market and the common man in her Budget for 2023-24. Happy investing, and happy trading!
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