HDFC Bank, IT stocks push Sensex, Nifty higher on Tuesday; key things from today’s trade

Following a range-bound session today, BSE Sensex and Nifty 50 ended a tad higher for the third consecutive day, mainly due to buying in IT stocks. BSE Sensex ended 113 points or 0.28 per cent up at 40,544, while the broader Nifty 50 index finished just below 11,900, at 11,896. IndusInd Bank, Reliance Industries, HCL Tech, LT and Hindustan Unilever were among the top volume toppers. Index heavyweights such as HDFC Bank, Infosys, HCL Tech, TCS and Asian Paints contributed the most to the indices’ gain today. In the broader market, the S&P BSE MidCap index ended 0.47 per cent higher at 14,775 levels while the S&P BSE SmallCap index ended at 14,896, up 0.3 per cent. “Volatility is expected going forward but the market will maintain its optimism in-line with stock-wise Q2 result, size of the domestic stimulus and global developments,” said Vinod Nair, Head of Research at Geojit Financial Services.

HCL Tech jumps over 4%: HCL Tech was the top Sensex gainer, up 4.19 per cent, followed by Tech Mahindra, Asian Paints, Bharti Airtel, HDFC Bank, Infosys, TCS and Nestle India, among others.

ONGC worst-performing stock: ONGC was the worst-performing stock on BSE Sensex. Power Grid Corporation of India, NTPC, Reliance Industries Ltd (RIL) and HUL were among other losers.

HUL Q2 net profit jumps over 8%: HUL reported an 8.6 per cent on-year rise in net profit at Rs 2,009 crore in the July-September quarter. The company had posted a profit of Rs 1,848 crore in the corresponding period of the preceding year. Sequentially, the company’s profit grew by 6.8 per cent. Total sales (revenue) of the company increased by 16 per cent during the quarter to Rs 11,442 crore.

Nifty Media, Nifty IT indices lead: The trend among sectoral indices was largely positive. Nifty Media and Nifty IT indices were top gainers, rising 1.96 per cent and 1.41 per cent, respectively. On the other hand, Nifty FMCG, Nifty Metal and Nifty PSU Bank indices finished in the negative territory.

Technical take: The markets have entered into a rangebound zone – between 11650 and 12050. “For an impulsive move to trigger, we would need to get past one of these levels on the back of good volumes. Until then traders are advised to maintain caution,” said Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments.