Stock Market News and Analysis:
Equity Indices traded with a negative bias as across the broad selling pressure weighed in. Bank Nifty & Nifty index closed at intraday lows as the indices gave a thumbs down to the Union Budget. Nifty settled at 11661.85, down by 300.25 points and for coming session its key support is at 11500 while on The higher side its resistance is at 11850
Headlines for the day:
• Computer Hardware shares rose up after budget proposes Rs6,000 crore for The Bharat Net Programe.
• Insurance shares tanked lower after govt proposes LIC IPO
• Hospital shares rose up after FM allocated Rs 69,000 crore for the healthcare sector.
• Maruti Suzuki India sold a total of 154,123 units in Jan 2020, up 1.6% yoy. The company's sales for Mini and Compact segment stood at 110,225 units, rose 11.4% yoy in January 2020 as against 98,931 units in January 2019.
• ITC Limited share prices rose up after the company reported a 29% jump in its Dec quarter standalone net profit at Rs4,141.9 crore. The revenue stood at Rs12,012 crore, a growth of 5.1% yoy. In the FMCG segment, revenues shot up by 6.1% in Q3 December 2019 over Q3 December 2018, on a comparable basis amidst a continued slowdown in the FMCG industry.
• Tech Mahindra Limited will acquire 70% stake in Cerium Systems for Rs245 crore. The company will acquire the remaining 30% stake over the next two years subject financial performance of the target company.
• Vedanta Limited will acquire Ferro Alloys Corporation Ltd. for Rs280 crore. The target company is in the business of producing Ferroalloys and owns a Ferrochrome plant with capacity of 72,000 TPA, two operational chrome mines and 100 MW of Captive Power Plant through its subsidiary—Facor Power.
• Cholamandalam Investment & Finance Board approved the closure of Qualified Institutional Placement issue. The company approved the issue price at Rs320 per share, which is at a discount of 2.3% to closing prices on January 31, aggregating to Rs 900 crore.
• Divis’s Lab Limited informed post-market that the company's Unit-II at Village Chippada, Bheemunipatnam District, Andhra Pradesh has had an inspection by the US Food & Drug Administration.
• Mahindra & Mahindra Limited.’s (M&M) Farm Equipment Sector announced its tractor sales numbers for Jan. 2020. Domestic sales in Jan 2020 were at 22,329 units, as against 20,948 units during January 2019. Total tractor sales during January 2020 were at 23,116 units, as against 22,212 units for the same period last year. Exports for the month stood at 787 units.
Calls for Tomorrow:
• CALL: SELL AMBUJACEM EQ BELOW 193.50 TARGETS 191.55/189.60/187.70 SL 195.45
Description: Stock settled near its immediate support on daily chart and settled with bearishly. Hence rally is expected below the mentioned level.
• CALL: SELL STAR EQ BELOW 434.20 TARGETS 429.85/425.50/421.15 SL 438.55.
Description: Stock witnessing correction from higher levels and settled near its immediate support with bearishly bias on daily chart. Hence breakout is expected ahead.