Sensex Falls 580 Points From Day's High To End Lower; M&M And Tata Steel Top Losers
After opening the day at a record high, Indian share markets witnessed volatility in the afternoon session and ended lower.
Benchmark indices erased early gains and turned negative amid a mixed set of macroeconomic data. India's manufacturing PMI stood at 53.2 in August, down from 55.3 in July.
At the closing bell, the BSE Sensex stood lower by 214 points (down 0.4%).
Meanwhile, the NSE Nifty closed lower by 56 points (down 0.3%).
Asian Paints and Tata Motors were among the top gainers today.
Mahindra & Mahindra and Cipla, on the other hand, were among the top losers today.
The SGX Nifty was trading at 17,105, down by 17 points, at the time of writing.
The BSE Mid Cap index and the BSE Small Cap index ended up by 0.9% and 0.2%, respectively.
Sectoral indices ended on a mixed note with stocks in the metal sector, IT sector and finance sector witnessing most of the selling pressure.
Realty stocks, on the other hand, witnessed buying interest.
Shares of Abbott India and Dr Lal Pathlabs hit their respective 52-week highs today.
Asian stock markets ended on a positive note today.
The Hang Seng and the Shanghai Composite ended the day up by 0.6% and 0.7%, respectively. The Nikkei ended up by 1.3% in today's session.
US stock futures are trading on a positive note today with the Dow Futures trading up by 103 points.
The rupee is trading at 73.13 against the US$.
Gold prices for the latest contract on MCX are trading on a flat note today at Rs 47,123 per 10 grams.
In news from the IT sector, Subex was among the top buzzing stocks today.
Subex, a provider of digital security, said it has extended its partnership with telecom operator Robi to upgrade its existing integrated revenue assurance and fraud management (iRAFM) system.
Through this upgrade, Robi will now leverage the artificial intelligence/machine learning (AI/ML) capabilities of Subex's revenue assurance and fraud management solutions to tackle new-age telecom threats in the region and deliver a superior customer experience as it looks to provide services built on 5G.
Robi claims to be one of the largest telecom operators in Bangladesh with over 47 million subscribers and is the first company to launch a 4.5 G service with a network covering 7,400 sites in Bangladesh.
Robi has expanded its strategic partnership with Subex to further strengthen its risk management capabilities to launch innovative 5G services in the region while ensuring the highest quality of service.
Subex said its iRAFM system will help Robi eliminate the complex fraud and security threats brought on by the 5G ecosystem and will provide the necessary scalability to meet expansion requirements that might occur in the future.
Subex share price ended the day up by 0.3% on the BSE.
Moving on to news from the engineering sector...
BHEL Secures Largest Ever Order From NPCIL
The government-owned engineering and manufacturing company Bharat Heavy Electrical (BHEL) announced that it has received the largest ever order worth Rs 108 bn from the Nuclear Power Corporation of India (NPCIL).
According to the company's filing to exchanges, BHEL secured the order worth Rs 108 bn for EPC of Turbine Island for 6 units of 700 megawatts electric (MWe).
The company said the six orders, received from NPCIL on 30 August 2021, envisage the setting up of 4 units of 700 MWe at Gorakhpur, Haryana, and 2 units of 700 MWe at Kaiga, Karnataka.
BHEL is the country's largest power generation equipment manufacturer, falls under the Ministry of Heavy Industries and Public Enterprises, based in New Delhi.
Similarly, NPCIL is responsible for the generation of nuclear power for electricity and is administered by the Department of Atomic Energy (DAE).
BHEL's share price ended the day up by 4.6% on the BSE.
Speaking of public sector undertakings (PSU), have a look at the chart below which shows the performance of the BSE PSU index compared to BSE Sensex over the past few years.
As can be seen from the chart above, over the last decade, Rs 100 invested in the BSE-PSU index would have eroded to Rs 80, compared to almost 3x gains for the Sensex.
Disclosure: Equitymaster Agora Research Private Limited (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research ...
more