On February 6, 2024, Indian benchmark indices, the Sensex and Nifty 50, closed positively, with the Sensex gaining 454.67 points (0.63%) to reach 72,186.09, and the Nifty 50 rising by 157.70 points (0.72%) to close at 21,929.40.
The uptick was primarily attributed to IT and oil and gas stocks. The surge came amidst growing expectations of a soft landing for the US economy.
Investors closely monitor the three-day Reserve Bank of India (RBI) monetary policy meeting, which started today.
You may also like: In Nirmala Sitharaman budget 2024: What it means for you
Impact on the stock market
Nifty IT led gains, rising by 2.92%, followed by Nifty Oil & Gas (+2.67%), Nifty Auto (+1.47%), Nifty Metal (+1.59%), Nifty Pharma (+1.07%), and Nifty Realty (+0.41%).
However, Nifty Bank (-0.29%), Nifty FMCG (-0.16%), Nifty Private Bank (-0.49%), and Nifty PSU Bank (-0.39%) ended lower.
| Sector/Index | Performance |
| Information Technology | 2.92% |
| Healthcare | 1.19% |
| Oil & Gas | 2.67% |
| Realty | 0.41% |
| PSU Banks | -0.39% |
Top gainers today
| Company | Price | Change (%age) |
| BPCL | 609.30 | 6.01% |
| HDFC Life | 592.75 | 5.22% |
| HCL Tech | 1,623.75 | 4.40% |
| TCS | 4,136.00 | 4.09% |
| Maruti Suzuki | 10,844.85 | 3.99% |
Top losers today
| Company | Price | Change (%age) |
| Power Grid Corp | 274.25 | -3.06% |
| Britannia | 5,007.05 | -2.29% |
| IndusInd Bank | 1,511.40 | -1.72% |
| ITC | 431.40 | -1.52% |
| Kotak Mahindra | 1,787.00 | -1.18% |
Market aftermath: Impact on stocks
Tata Group hits ₹ 30 lakh crore market cap milestone
Tata Group’s market capitalisation surpassed Rs 30 lakh crore on February 6, a first for an Indian conglomerate.
Notable gains were seen in Tata Consultancy Services (up over 9%), Tata Motors (up over 20%), Tata Power (up 18%), and Indian Hotels (up 16%) in 2024. However, Tejas Network, Tata Elxsi, and Tata Chemicals dropped over 10%.
TCS reached a market cap of Rs 15 lakh crore, with a $8.1 billion deal win in Q3FY24, driving confidence in long-term growth.
Zydus Life eyes second buyback hits 52-week high
Zydus Lifesciences surges over 6% to reach a 52-week high of ₹ 809.20 as the board plans to discuss a share buyback proposal on February 9.
If approved, this marks the second buyback, following one in June 2022. Quarterly results for October-December will also be unveiled on the same day. Analysts anticipate EBITDA margins to rise by 250 basis points to 22.5% due to a better mix favouring high-value products.
Also Read: Meta Q4 results: Earnings highlights & strategic insights!
Bharti Airtel shares soar over 3% on robust Q3 results
Bharti Airtel’s share price surged over 3% following robust Q3 results, with a consolidated net profit of ₹2,442.2 crore, up 54% YoY.
Quarterly revenue stood at ₹37,900 crore, a 5.9% YoY increase, driven by strong India operations with ₹27,811 crore in revenue, up 11.4% YoY. ARPU(Average Revenue Per Unit) rose to ₹208, an 8% increase. Consolidated EBITDA reached ₹20,044 crore, with a 52.9% margin, up 94 bps YoY.
Varun beverages surge 3.34% post-Q4 results
Varun Beverages (VBL) saw its stock rise by 3.34% after robust Q4 results. The company exhibited strong performance with a 76% YoY increase in Q4 2023 profit after tax (PAT) to ₹143.80 crore and a 21% YoY revenue growth to ₹2,667.70 crore.
EBITDA surged 37% YoY to ₹419 crore, with a margin of 15.3%. VBL also proposed a final dividend of ₹1.25 per equity share for FY2023.
Also Read: Why is Paytm’s share price falling? How will this impact you?
Oil prices stable amid Blinken’s Middle East visit
India’s Russian oil imports hit a 12-month low in January, dropping to 1.2 million barrels per day from 1.32 million in December and 1.62 million barrels per day in November 2023.
Conversely, Iraq’s oil supply to India rose to 1.1 million bpd in January from 985,000 bpd in the previous month. Meanwhile, Saudi Arabia’s supply decreased to 659,000 bpd from 668,000 bpd in December.
In other news, oil prices remained stable as U.S. Secretary of State Antony Blinken visited the Middle East to discuss a potential ceasefire. Brent crude was at $77.97 per barrel, and WTI was at $72.75.
Conclusion
In today’s market, the Indian indices closed positively, with the Sensex and Nifty 50 making significant gains.
The surge was fueled by IT and oil and gas stocks amid anticipation of a soft landing for the US economy. Investors await the outcome of the ongoing RBI monetary policy meeting.
Stay tuned for more such updates on StockGro!
