Sensex closes 50 points up on global cues, Nifty50 settles at 7,436; SpiceJet gains, IndiGo falls

The BSE Sensex and NSE Nifty pared some of their gains on Monday in late hour of trade and closed on a flat note on account of selling in frontline blue chip stocks taking cues from European counterparts. The sentiments also came under pressure after Moody’s poll stated that the greatest challenge facing the Indian economy is exposure to external shocks such as interest rate hike in the US and slowdown in China and the risk has risen since last year. Sensex closed 50.29 points up at 24,485.95, while Nifty 50 index settled 13.70 points up at 7,436.15.

In the 50-share index, Cairn India, Tata Steel, Sun Pharma, ICICI Bank and Ambuja Cements gained between 1.80 per cent and 5.20 per cent. On the other hand, Larsen & Toubro, GAIL, Hero MotoCorp, Tata Motors, Adani Ports slid between 1.65 per cent and 2.70 per cent.

Among the sectoral indices in the BSE, the Metal index gained the most — 1.58 per cent, followed by the Consumer Durables index (up 1.34 per cent), Healthcare index (up 0.97 per cent), Realty index (up 0.50 per cent). On the other hand, Capital Goods index and Auto index slid 0.90 per cent and 0.69 per cent, respectively.

Gaurav Jain, director, Hem Securities, said, “Indices opened the week on a green note supported by global markets which zoomed on expectation of stimulus by European Central Bank (ECB). However, trimmed gains following correction in European peers and crude oil prices. Indices continued to be volatile on account of expiry of derivative contracts ahead.”

There were lots of result announcements that kept markets buzzing through the day, HDFC Bank gained nearly one per cent as its third quarter earnings matched expectations and profit increased 20 per cent year-on-year to Rs 3,357 crore during the quarter, supported by operating profit, net interest income and other income despite higher tax cost.

Spice Jet surged over 11 per cent after the company reported net profit for the fourth consecutive quarter during weekend. The company posted a net profit of Rs.238.39 crore in the December quarter, against a net loss of Rs.275.02 crore in the year-ago period.

In a big surprise, Cairn India surged over 5 per cent even as the company posted a 99 per cent YoY drop in net profit to Rs 9 crore in the December quarter, as a host of brokerages retained their ratings on the stock.

Asian equity markets ended in green on Monday, as oil prices rose above $32 a barrel after the onset of a massive snowstorm on the US East Coast and Chinese shares began the week on a firm note amid indications that the Chinese government will hold the yuan steady for long. Investors also took heart from a rally on Wall Street Friday that helped US stocks notch their first week of gains in a month.

Japan shares ended higher after a sharp rebound in crude oil prices helped global market sentiment, despite a firmer yen and the latest trade figures showing exports falling for a third straight month.