SGX Nifty Indicates Muted Opening; Eicher Motors and SBI to Announce Results Today

At 8:10 am IST, SGX Nifty Futures was trading at 17,967, compared with Nifty’s close of 17,888, Tuesday.

Market Pulse: Confirmed Uptrend

Distribution Day Count:

Nifty50: Five Nifty Midcap100: Four Nifty Smallcap100: Seven

Global stock markets: Dow 30, +0.4%; Nasdaq, +0.3%; S&P 500, +0.4%; Nikkei, -0.4%; Kospi, -1.1%; Shanghai Composite, -0.1%.

Yesterday, Nifty started the session with mild gains of around 40 points and, within the first five minutes, made the day’s high of 18,012. It quickly succumbed to profit booking and turned negative. Trading was highly volatile and in negative territory for most of the session. There was a mixed reaction on the sectoral front. Nifty Realty (+3.6%) continues to be the top gainer, followed by Nifty PSU Bank (+2.4%).

Yesterday's session will be considered a distribution day as the fall is more than 0.2% on volume higher than that of session the previous day. Thus, the distribution day count has increased to five. However, two distribution days will expire today and in the next trading session. If the market succumbs to selling pressure and breaches its 50-DMA, we may change the market status to an Uptrend Under Pressure. Reducing exposure to stocks breaking below their 21- or 50-DMA on higher volume is important.

Results Today: Eicher Motors, State Bank Of India, Bata India, Dcm Shriram Cons. (Nse), Gujarat State Petronet, Grindwell Norton and others

Key News

P&G.Hygiene & Hlth.Care announced Q2FY22 results, Revenue grew 4.8% y/y to Rs. 1,058.3 Crore, EBITDA de grew 10.9% and margins contracted 500 bps y/y to 28.5%. PAT decreased 14% y/y to Rs. 218.3 Crore.

Bharti Airtel’s Q2 FY22 results beat estimates. Revenue increased 5.5% q/q, EBITDA increased 4.7% q/q, and margins expanded 40bps q/q. PAT increased 59.7% q/q to Rs 1,134 crore.

Radico Khaitan (Nse) announced Q2 FY22 results. Revenue grew 12.5% y/y to Rs 709 crore. PAT de-grew 2.2% y/y, and margin contracted 130bps to 15.7%