Led by buying in HCL Tech, ICICI Bank, Reliance Industries, and Infosys, the benchmark indices started trading in the green on April 21. The S&P BSE Sensex trading traded 132 points or 0.22 per cent higher at 59,764.32 levels while the NSE's Nifty quoted at 17,651.90 levels, up 27 points, or 0.16 per cent higher. 

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The stock of the moment was Cyient as the scrip jumped over 9 per cent to hit a 52-week high of Rs 1,194.10 on the BSE after a strong set of numbers for the March quarter. The mid-tier IT company on Thursday posted a net profit of Rs 163 crore for the fourth quarter of the fiscal year 2022-23, up  5.5 per cent YoY. The revenue from operations rose 30 per cent YoY to Rs 1,751.4 crore. Further, the company's board has recommended a final dividend of Rs 16 per equity share, on a par value of Rs 5 apiece, for FY23.

The Q4 results season, so far, has been a mixed bag with IT disappointing and banking giving early indications of continuing strength. Broadly, this trend is likely to sustain. But there can be occasional pullbacks in IT from the sharp correction after the Infosys results, says Dr V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

The analyst further added that HCL Tech results have not disappointed and some IT midcaps may beat market expectations. "Even then, a strong and sustainable rebound in IT is difficult, given the weak global cues," Dr V K Vijayakumar said.

The results of RIL today and ICICI Bank tomorrow can have a mild impact on the market. RIL is likely to post good numbers in its Oil and chemicals segment and retail segment. But a sharp spurt in aggregate profitability is unlikely. On the other hand, ICICI Bank is likely to post numbers ahead of market expectations, thereby giving further resilience to Bank Nifty. The Nifty range of 17,600-17,800 is likely to hold in the near term, the market expert added.

Broader market

The second-rung stocks underperformed the frontline indices in the early trade. The S&P BSE MidCap index was trading at 24,871.68 levels, down 0.25 per cent while the S&P BSE SmallCap index quoted at 28,274.49, don 0.13 per cent.

SECTOR WATCH

The S&P BSE Information Technology index was trading at 26,617.32 levels, up 0.32 per cent. Cyient was the top gainer while HCL Tech was trading with 1.68 per cent gains. HCL Tech beat analysts' estimates as its Q4 numbers were better than expected. Telecommunication stocks, too, were trading with decent gains. Vodafone Idea was up nearly 8 per cent as the company on April 20 said that based on the recommendation of the Nomination and Remuneration Committee, the Board of Directors of the Company has appointed Kumar Mangalam Birla, as an Additional Director (Non-Executive and Non-Independent) with effect from April 20, 2023. 

GLOBAL MARKETS

Asian stocks slid toward their worst week in a month-and-a-half on Friday and oil nursed losses, while bonds enjoyed their best bid in weeks as US data and earnings showed signs of weakness, as per a Reuters report. In commodities, oil prices slid by about $2 a barrel to their lowest level since late March on Thursday, dragged lower by fears a possible recession could dent fuel demand and after a rise in US gasoline inventories.