Domestic stocks began trading for the day on a firm note as initial trends showed BJP taking huge lead in Karnataka. At 9:28 IST, the barometer index, the S&P BSE Sensex, was up 221.22 points or 0.62% at 35,777.93. The Nifty 50 index was up 60.90 points or 0.56% at 10,867.50.
The S&P BSE Mid-Cap index was up 0.47%, outperforming the Sensex. The S&P BSE Small-Cap index was up 0.66%, underperforming the Sensex
The market breadth, indicating the overall health of the market, was positive. On the BSE, 800 shares rose and 523 shares fell. A total of 37 shares were unchanged.
Hindustan Unilever gained 2.03% after net profit rose 14.20% to Rs 1351 crore on 11.15% rise in net sales to Rs 9003 crore in Q4 March 2018 over Q4 March 2017. The result was announced after market hours yesterday, 14 May 2018.
IT major Wipro rose 0.24%. Wipro Gallagher Solutions (WGS), a Wipro company and a leading provider of loan origination software solutions, and Precision Risk Management Systems, Inc. (PRMS), a leading provider of performance management solutions, announced that they have partnered to deliver advanced mortgage business intelligence (BI) and customer experience management solutions to mortgage lenders.
As a part of this alliance, Wipro will offer its clients a powerful set of dashboard-driven performance management tools, including enterprise reporting, intuitive metrics and Key Performance Indicators (KPI) that focus on identifying potential problems before they progress in efforts to prevent business losses for lenders. The announcement was made after market hours yesterday, 14 May 2018.
Bombay Dyeing & Manufacturing Company rose 3.04% after the company reported net profit of Rs 142 crore Q4 March 2018 compared with net loss of Rs 43.44 crore in Q4 March 2017. Net sales rose 43.97% to Rs 757.76 crore in Q4 March 2018 over Q4 March 2017. The result was announced after market hours yesterday, 14 May 2018.
Honeywell Automation rose 0.09%. Net profit of Honeywell Automation rose 167.02% to Rs 58.37 crore on 8% rise in net sales to Rs 639.76 crore in Q4 March 2018 over Q4 March 2017. The result was announced after market hours yesterday, 14 May 2018.
Allahabad Bank dropped 3.36% after the Reserve Bank of India (RBI) has imposed restrictions on its lending to risky assets and raising high-cost deposits in view of deteriorating financial health. RBI has asked Allahabad Bank to restrict expansion of RWA (risk-weighted assets); to reduce exposure to unrated and high-risk advances; to restrict creation of non-banking assets; (and) to restrict accessing/renewing wholesale/costly deposits. The Kolkata-based bank said its board meeting on 11 May took note of the restrictions. The announcement was made after market hours yesterday, 14 May 2018.
Kaveri Seed Company rose 1.66% after the company said that a meeting of the board of directors will be held on 24 May 2018, to consider a proposal for buyback of equity shares of the company. The announcement was made after market hours yesterday, 14 May 2018.
All eyes are on the outcome of the Karnataka assembly elections. The fate of BJP and Congress, and JDS, hangs in balance as Election Commission has began counting of votes for Karnataka election results. The Karnataka Assembly elections in a single-phase polling were held on Saturday, 12 May 2018. Polling was held in 222 constituencies of the 224-member assembly. Karnataka is one of only three states to be ruled by the Congress.
On the macro front, the all-India general CPI inflation increased to 4.58% in April 2018 (new base 2012=100), compared with 4.28% in March 2018, snapping consistent moderation for last three months. The corresponding provisional inflation rate for rural area was 4.67% and urban area 4.42% in April 2018 as against 4.44% and 4.12% in March 2018. The core CPI inflation increased to 5.80% in April 2018 compared with 5.23% in March 2018. The data was released by the government after market hours yesterday, 14 May 2018.
The cumulative CPI inflation had declined to 3.59% in April-April FY2018 compared with 4.52% in April-April FY2017.
Meanwhile, the President of India, as advised by the Prime Minister, directed reallocation of portfolios amongst the members of the Union Council of Ministers. During the period of indisposition of Arun Jaitley, Minister; the portfolios of Minister of Finance and Minister of Corporate Affairs held by him, be temporarily assigned to Piyush Goyal, in addition to his existing portfolios.
Rajyavardhan Singh Rathore be assigned the independent charge as Minister of State in the Ministry of Information and Broadcasting, in place of Smriti Zubin Irani, presently Minister of Information and Broadcasting.
S.S. Ahluwalia, Minister of State be relieved of the charge of Ministry of Drinking Water & Sanitation and assigned the portfolio of Ministry of State in the Ministry of Electronics & Information Technology. Alphons Kannanthanam, Minister of State be relieved of the charge of Minister of State in the Ministry of Electronics & Information Technology.
Overseas, Asian stocks fell as investors remained cautious about key economic and political risks, while supply concerns kept crude oil prices near 3-1/2-year highs. US stock indexes posted modest gains yesterday, 14 May 2018 and the Dow ended with an eighth gain in a row, extending an uptrend on signs of easing trade tensions between the US and China.