Benchmark indices trimmed gains in afternoon trade, tracking a weak opening in European shares. The Nifty index was trading near the crucial 11,000 level. The barometer index, the S&P BSE Sensex, rose 606.97 points or 1.66% at 37,160.57. The Nifty 50 index gained 181.50 points or 1.68% at 10,987.05.
Infosys (up 2.70%), TCS (up 3.60%) and ICICI Bank (up 2.56%) were the major index movers.
The broader market underperformed the benchmark indices. The S&P BSE Mid-Cap index rose 1.30%. The S&P BSE Small-Cap index gained 1.33%.
Buyers outpaced sellers. On the BSE, 1,603 shares rose and 658 shares fell. A total of 175 shares were unchanged. In Nifty 50 index, 45 stocks advanced while 5 stocks declined.
Foreign portfolio investors (FPIs) sold shares worth Rs 1,885.69 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 188.64 crore in the Indian equity market on 24 September 2020, provisional data showed.
Total COVID-19 confirmed cases worldwide stood at 3,22,34,685 with 9,83,042 deaths. India reported 9,70,116 active cases of COVID-19 infection and 92,290 deaths while 47,56,164 patients have been discharged, according to the data from the Ministry of Health and Family Welfare, Government of India.
The Central Government has suspended the operation of the Insolvency and Bankruptcy Code (IBC) by another three months. In exercise of the powers conferred by section 10A of the Insolvency and Bankruptcy Code, 2016, the Government has extended the suspension of sections 7, 9 and 10 of the IBC for a further period of three months, the Finance Ministry stated. Extension of suspension of sections 7,9,10 of the IBC reinforces the Government's commitment to protecting businesses. It also gives companies breathing time to recover from financial stress, according to the Finance Ministry.
Gainers & Losers:
Bharti Airtel (up 5.70%), HCL Technologies (up 5.24%), IndusInd Bank (up 4.50%), Adani Ports & Special Economic Zones (up 4.45%) and Cipla (up 4.44%) were major gainers in Nifty 50 index.
SBI Life Insurance Company (down 1.49%), Bharat Petroleum Corporation (down 0.94%), Kotak Mahindra Bank (down 0.33%) and HDFC Life Insurance Company (down 0.24%) were major losers in Nifty 50 index.
Stocks in Spotlight:
Dr Reddy's Laboratories gained 1.91% after the drug major announced the launch of Dexmedetomidine Hydrochloride Sodium Chloride Injection in US markets. The injection is a therapeutic equivalent generic version of Precedex approved by the United States Food and Drug Administration (USFDA). It is an anxiety reducing, sedative, and pain medication. According to IQVIA Health, the Precedex in 0.9% Sodium Chloride Injection brand and generic market had US sales of approximately $210 million for the most recent twelve months ending in June 2020.
Zee Entertainment Enterprises (ZEEL) advanced 2.50%. On Thursday, 24 September 2020, Integrated Core Strategies (Asia) bought 49.63 lakh equity shares (0.51% equity) of ZEEL at Rs 190.53 per share via bulk deal on the NSE.
RITES rose 1.26% after the PSU firm bagged turnkey orders worth Rs 205.85 crore from South Central Railway. RITES in a regulatory filing announced that it has been awarded turnkey contract for construction of Road Over Bridges (ROBs) in replacement of existing level crossings on competition basis from Railway Board amounting to Rs 205.85 crore.
A Memorandum of Understanding (MoU) will be executed between RITES and South Central Railway (SCR) in this regard in due course, the company added. The turnkey contract covers construction of 4 road over bridges in replacement of level crossings in Vijaywada division on Vijaywada-Vishakhapatnam section in Andhra Pradesh.
European stocks opened lower while Asian stocks were on Friday. Coronavirus cases continue to weigh on investor sentiment as the number of reports surge in Europe. The number of daily reported coronavirus cases in the U.K. has jumped by a quarter in the past day.
U.K. Finance Minister Rishi Sunak on Thursday announced a new emergency package of measures to contain unemployment, replacing the country's furlough scheme which is due to expire next month.
U.S. stocks ended positive in choppy trade on Thursday, led by a dogged comeback in the technology sector, having initially sold off on higher-than-expected unemployment claims.
Investors remained uncertain about Washington's ability to pass a stimulus package after Fed officials indicated they expected more fiscal support. Consequently, the fears of a delayed global economic recovery from the novel coronavirus pandemic resurfaced.
Jobless claims in the US rose 4,000 to 870,000 (from 866,000 last week), the Labor Department said Thursday, reflecting that slightly more Americans applied for state unemployment benefits in the week ended Sept. 19 than in the prior week.
Sales in US of new single-family homes in August exceeded an annual rate of 1 million for the first time since 2006. New home sales occurred at a seasonally adjusted, annual rate of 1.011 million (vs 0.965 million in July and up 43% YoY)
As per reports, US lawmakers, which include Treasury Secretary Steven Mnuchin and House Speaker Nancy Pelosi are looking to iron out differences on a fresh round of stimulus to boost the economy. The Democrats could announce a $2.4 trillion stimulus package as early as next week.