Index trend and stocks in action April 07, 2016

After heavy sell-off on Tuesday, the benchmark indices started the session on a flattish note. However, it moved in a narrow range throughout the day. In the end, the market managed to close above the important psychological level of 7600. On the daily time frame, Nifty has formed a small body candle with no upper wick, which indicates Nifty was facing supply at the opening level. Now going forward, the level of 7580 will act as an immediate support for Nifty. If Nifty sustains below this level, expect a sharp correction upto levels of 7500. On the upside, the zone of 7640-7660 will act as an immediate hurdle for the index. Any move above 7640-7660 levels will empower the bulls and it will re-test levels of 7730-7780 on the higher levels.

DR Reddy's Laboratories: Dr Reddy's Laboratories' US arm is recalling 3,342 vials of anti-osteoporosis injection, made by Hyderabad-based Gland Pharma, on account of lack of assurance of sterility. The recall is being carried out by DR Reddy Lab Inc for 5mg/10mL (0.05mg/mL), 100mL single use bottle of Zoledronic Acid, according to information available on the US Food and Drug Administration (FDA) website.

Pfizer: Pfizer has decided to terminate its proposed merger with Allergan. Pfizer had announced this $160 billion merger last year. 

HDFC: HDFC will make an additional one-time provision of Rs 450 crore in the quarter ended March, after it made Rs 1,705 crore on the sale of shares in its life insurance company HDFC Standard Life Insurance as mentioned in its filing to the BSE.

IOC: Union Minister Dharmendra Pradhan said PSU major Indian Oil Corporation was going to spend Rs 20,000 crore for brownfield expansion of its Gujarat refinery.

Diamond Power Infrastructure: Kotak Mahindra Bank has announced that the company’s subsidiary, Kotak Mahindra (International) a foreign portfolio investor (FPI) has acquired 38,68,606 equity shares at Rs 23.65 each aggregating to Rs 9.16 crore, being 6.8 per cent of the paid up capital of Diamond Power Infra.

Punjab National Bank: PNB Housing Finance has raised Rs 500 crore by issuing bonds to World Bank arm IFC for funding its green residential projects.

Andrew Yule: The government cleared conversion of Bank of Baroda’s Rs 29.91 crore loans into equity shares for Andrew Yule, paving the way for disinvestment of the Kolkata-based PSU in the next three months.

Waterbase: Waterbase, a leading manufacturer of high quality shrimp feed in India has employed SAP ECC 6.0 Enterprise Resource Planning (ERP) as a part of its plan to brace operations.