Latest news and updates

05th Dec, 2018

Nifty closes below 10,800 mark; Metal top sectoral loser

Published on: 3:31 pm

  • Equity benchmark indices closed on a higher level on Wednesday.
  • Sensex closed at 35,884 levels down by 250 points, while Nifty closed at 10,782 levels down by 87 points.
  • The indian rupee is trading at 70.56 per dollar stronger by 14 paise from its opening rate.
  • All Nifty sectoral indices bleed red except the IT which is marginally up by 0.04%.

FY19 GDP growth target maintained at 7.4%: RBI

Published on: 3:25 pm

  • Turning to growth projections, the Reserve Bank of India, after its Monetary Policy Meet (MPC) on Wednesday said, "Although Q2 growth was lower than that projected in the October policy, GDP growth in H1 has been broadly along the lines of the April policy when for the year as a whole GDP growth was projected at 7.4%."
  • Going forward, lower rabi sowing may adversely affect agriculture and hence rural demand. Financial market volatility, slowing global demand, and rising trade tensions pose a negative risk to exports. Read more

RBI cuts inflation forecast to 2.7%-3.2% for H2FY19

Published on: 3:09 pm

  • Indian inflation is projected at 2.7-3.2% in H2FY19 and 3.8-4.2% in H1FY20 with risks tilted to the upside, as per the latest statement from the RBI.
  • The projected inflation path remains unchanged after adjusting for the HRA impact of central government employees as this impact dissipates completely from December 2018 onwards, the Reserve Bank of India said after its fifth and last monetary policy committee (MPC) meet of the year. Read more

Sensex, Nifty extend losses; RBI keeps repo rate unchanged at 6.50%

Published on: 2:59 pm

  • Equity benchmark indices extended its losses in afternoon sesssion on Wednesday after the Reserve Bank of India (RBI) held the repo rate steady at 6.5% in its fifth bi-monthly policy review of 2018-19 today.
  • The Sensex was trading 267 points at 35,865 levels, while the Nifty dropped 93 points at 10,776 levels, below its key level of 10,800. Read more

Hotel Leela on a losing streak: down 5%

Published on: 2:46 pm

  • Shares of Hotel Leela were down 5% on second consecutive day as there is no further development and clarity on Minor International acquiring a major stake in the company.
  • Shares of Hotel Leela also nosedived 10% intraday on Friday (30 November, 2018) after doubling in the previous week on the news that a consortium comprising Thailand’s Minor International (Minor) and Trinity White City Ventures planned to invest ~Rs2,500cr (or $350mn) in Hotel Leela Venture. Read more

Repo rate unchanged at 6.50%; "calibrated tightening" stance maintained

Published on: 2:31 pm

  • The Reserve Bank of India (RBI) held the repo rate steady at 6.5% in its fifth bi-monthly policy review of 2018-19 today. This is largely in line with economists' expectations.
  • All six members of the MPC, which is headed by RBI Governor Urjit Patel, voted in favour of keeping the repo rate unchanged. Five of them voted in favour of keeping the stance unchanged as well, while 1 member voted to change it to 'neutral'. Read more

Bharat Forge hits 52-week-low as Class 8 truck orders decline in Nov

Published on: 2:25 pm

  • Shares of Bharat Forge (BFL) hit a fresh 52-week low on the NSE at Rs525.55 on the NSE after Class 8 truck orders fell sharply in November.
  • Total sales of North America trucks for November declined by 15% at 27,900 units compared to the same period last year and marks the lowest sales since September 2017, as per media reports. The orders compared to those in the previous month were down 36%. Read more

Allegations of insider trading overshadow Sun Pharma; stock falls ~5%

Published on: 2:19 pm

  • Shares of pharma major Sun Pharmaceuticals were trading ~5% lower on Wednesday after a news report claimed that Securities Exchange Board of India (Sebi) is planning to reopen the insider trading probe pertaining to the Ranbaxy acquisition.
  • Sun Pharma shares had closed 3% lower on Tuesday as well. Read more

Rate-sensitive stocks drop ahead of RBI policy meet outcome

Published on: 2:04 pm

  • Shares of rate-sensitive stocks were trading lower on the NSE ahead of the outcome of the RBI Monetary Policy Committee policy meet.
  • The Nifty Auto index declined 1.8% led by Bharat ForgeMotherson Sumi and Tata Motors. These were followed by M&M, Ashok Leyland, Maruti, and Apollo Tyres.
  • The Nifty Bank index is also trading lower by 0.54% at 26,548.75. IDFC Bank, IndusInd Bank, Kotak Mahindra Bank, ICICI Bank, and Yes Bank were trading lower in the range of 2.5%-1%, respectively. Read more

Sensex, Nifty down ahead of RBI policy meet outcome

Published on: 1:39 pm

  • Equity benchmark indices were trading in the red on Wednesday with investors waiting for the Reserve Bank of India’s (RBI) monetary policy meet outcome.
  • The Sensex was 226 points down at 35,908 levels, while the Nifty dropped 76 points at 10,793 levels, marginally below its key level of 10,800.
  • All sectoral indices on the Nifty were trading in the red except the Nifty IT index. The Nifty Metal Index was leading the losers’ group by declining 3% followed by Nifty Auto and Media indices, which dropped ~2% each.
  • Among shares, Hindalco, Tata Steel, Vedanta, Tata Motors, and Coal India have lost the most on the NSE, conversely Tech Mahindra, HCL Tech, Bharti Infratel, and HDFC gained the most.

USFDA completes inspection of Lupin's Mandideep location; Stock dips 2%

Published on: 1:24 pm

  • Pharma major Lupin announced the completion of USFDA inspections carried out at its Mandideep location. Lupin’s Mandideep location houses the company’s cardiovascular “Pril” API facilities, Cephalosporin API facilities and Cephalosporin Solid Oral Dosage Form facility, as per BSE filing.
  • These inspections were carried out between November 26 and December 4, 2018.
  • The inspection at Unit-2, the Cardiovascular “Pril” API facilities closed with 4 observations, the company added. Read more

China swings to trade action as ‘Tariff Man’ Trump increases pressure

Published on: 1:08 pm

  • China has swung into action to start delivering on the trade commitments that led to its weekend truce with the US, even as uncertainty over what was agreed lingers.
  • Beijing will start to quickly implement specific items where there is a consensus with the US and will push forward on trade negotiations within the 90-day "timetable and road map," the Ministry of Commerce said in a statement on Wednesday morning in China. Read more

Nifty Metal slips 3% on doubt over US-China trade truce

Published on: 12:21 pm

  • Tracking global cues, the Nifty Metal index slipped 3% on Wednesday amid doubt over the likely truce in the trade war between the US and China. Shares of Jindal SteelSAILHindalco, and NMDC led the drop on the index.
  • The fall in the Metal index can be attributed to an uncertainty over a successful trade deal between the US and China. The uncertainty arose after US President Donald Trump on Tuesday warned that he would revert to tariffs if both the sides failed to solve their disputes. Read more

ONGC receives $32mn from Petroleos de Venezuela

Published on: 11:49 am

  • ONGC has received a payment of $32mn from Petroleos de Venezuela (PDVSA) as part of a settlement of outstanding dividend payments. ONGC said it now hopes that the Venezuelan state-oil firm will be regular in making further payments.
  • In 2016, PDVSA and ONGC Videsh had signed a deal where the latter would get the proceeds from the sale of 17,000 barrels per day of oil to settle outstanding dividend payments of $537mn. PDVSA paid about $90mn but failed to pay the rest.

Shankara Building stock collapse ends; up ~4%

Published on: 11:48 am

  • Shares of Shankara Building Products gained ~4% after losing 10% each in the previous two trading sessions on weak guidance on retail margins.
  • Shankara Building, which has lost around 80% of its market value in the past one year due to high valuation and weak earnings growth, expects more turmoil as it focuses on competition and improving its balance sheet. Read more

Paper stocks gain as government imposes anti-dumping duty

Published on: 11:42 am

  • Shares of Paper companies gained on Wednesday after the Government of India imposed anti-dumping duty (ADD) on uncoated copier paper imported from Indonesia, Thailand, and Singapore.
  • The ADD is for a period of three years to protect the interest of domestic companies against low-cost shipments. Read more

Alembic Pharma gets USFDA nod for Candesartan Cilexetil Tablets

Published on: 11:27 am

  • Alembic Pharmaceuticals has received an approval from the United States Food and Drug Administration (USFDA) for its Candesartan Cilexetil tablets USP, 4 mg, 8 mg, and 16 mg. Reacting to this news, shares of the company gained 2% in Wednesday’s morning.
  • The approved Abbreviated New Drug Application (ANDA) is "therapeutically equivalent to the reference listed drug product, Atacand Tablets, 4 mg, 8 mg, and 16 mg, of ANI Pharmaceuticals, Irie," the company said in a press note to the exchanges on Wednesday. Read more

Rupee opens lower ahead of RBI policy decision

Published on: 11:10 am

  • he Indian rupee opened lower by 17 paise down at 70.67/$ on increased demand for the American currency from importers ahead of RBI's monetary policy decision.
  • The yields on the 10-year government bonds fell 0.11% to 7.57%. Read more

HCL Technologies-Barclays expand partnership for digital development

Published on: 10:59 am

HCL Technologies has announced an expansion of its strategic relationship with Barclays. In addition to HCL being named as Barclays’ preferred partner for IT infrastructure services, the two companies will commit to building the partnership globally, with particular opportunities regarding digital workplace services. Read more

India Nikkei Services PMI at 53.7 in Nov as business sentiment strengthens

Published on: 10:58 am

  • The seasonally adjusted Nikkei India Services Business Activity Index rose in November 53.7 vs. 52.2 in October, signalling a solid upturn in output that was the strongest since July.
  • The firm highlighted greater client numbers, favourable market conditions and sales growth as factors boosting activity. Information & Communication led the increases in both business activity and new work, while Real Estate & Business Services was the only category to not see expansion, a monthly survey said.
  • November saw India’s economy spring back to life, as manufacturers and service providers registered stronger increases in business activity amid an upsurge in demand. Read more

Prakash Industries slips 6% after ED’s probe in coal scam case

Published on: 10:50 am

  • Shares of Prakash Industries were trading ~6% down in the morning session on Wednesday after PTI reported that the Enforcement Directorate (ED) has attached properties of the company in the coal scam case.
  • As per the report, a law enforcement agency on Tuesday has attached assets worth Rs117cr of the company under Prevention of Money Laundering Act (PMLA) in an ongoing investigation related to the coal blocks allocation scam case. Read more

Tata Motors downgraded to BB- by S&P

Published on: 10:27 am

  • S&P Global Ratings on Tuesday downgraded the credit rating of Tata Motors and its unit Jaguar Land Rover Automotive Plc (JLR), citing weaker than expected profitability at JLR.
  • S&P cut its rating on Tata Motors’ issuer credit and senior unsecured notes to ‘BB-’ from ‘BB’. The ratings remain on negative watch, reflecting the uncertainties for JLR from a fast-approaching Brexit deadline, S&P said.
  • Tata Motors Ltd is currently trading at Rs171.35 down by Rs4.35 or 2.48% from its previous closing of Rs175.70 on the BSE.

Force Motors stock slips 1%; SCV and LCV production at 1,130 units in Nov

Published on: 10:24 am

  • Shares of Force Motors slipped in the morning trade as the company has reported the production, sales and export of the products manufactured for the month of November 2018.
  • The company’s production of Small Commercial Vehicles (SCV) and Light Commercial Vehicles (LCV) stood at 1,130 units and Utility Vehicles (UV), Sports Utility Vehicles (SUV) and Tractors stood at 912 units, as per BSE filing. Read more

Sensex falls over 180 points; Grasim, Tata Motors stocks drop

Published on: 10:22 am

  • Equity benchmark indices slipped in the morning trade tracking weak global clues ahead of fifth RBI Monetary Policy Committee meeting. The Sensex slipped below 36,000-mark as heavy selling pressure was witnessed in Infosys, TCS, Reliance Industries, and HDFC Bank. The Sensex dipped 183 points to 35,950, while the Nifty fell 69 points to 10,801.
  • Volatility index India VIX down 1.22% to 17.88.
  • The most active stocks were Sun Pharma, Yes Bank, Indiabulls HF, HDFC, Bharat Forge, and RCOM.

Nifty slips below 10,800 mark ahead of RBI policy; Tata Motors drops 2%

Published on: 9:47 am

  • Equity benchmark indices opened lower on Wednesday tracking weak global clues ahead of fifth RBI Monetary Policy Committee meeting. The Sensex slipped below 36,000-mark as heavy selling pressure was witnessed in Infosys, TCS, Reliance Industries, and HDFC Bank.
  • The Sensex dipped 259 points to 35,875, while the Nifty fell 82 points to 10,787. The Nifty Midcap was lower by 0.64% and Nifty Bank index also slipped by 161 points. Read more

RBI policy meet today; focus on liquidity

Published on: 9:40 am

  • The Reserve Bank of India’s six-member monetary policy committee (MPC) is all set to announce their fifth bi-monthly meeting outcome on Wednesday. 
  • Market participants are widely expecting the committee, headed by RBI Governor Urjit Patel, to maintain status quo. With this, investors are focusing more on the central bank of India’s stance on the current liquidity situation. Read more

Nifty opens near 10,800 mark; all nifty sectoral indices lose

Published on: 9:20 am

  • Equity benchmark indices opened on a lower level on Wednesday.
  • Sensex is trading at 36,036 levels down by 100 points, while Nifty is trading at 10,814 levels down by 55 points.
  • The indian rupee is trading at 70.7 per dollar which is equal to its opening rate.
  • All Nifty sectoral indices are in red with Metal and Realty indices leading with ~1%.

Share Market Update: 3 Stocks that have formed a bearish candlestick pattern

Published on: 8:53 am

  • Candlesticks are the most popular chart choice among traders as compared to line chart, bar chart and the point & figure chart. It has gained popularity among the traders as it conveys a wide range of trading information in one go in a highly visual way.
  • Candlesticks tend to form patterns which are interpreted by traders to identify a continuation or reversal of the existing trend. It is also used to spot short-term trading opportunities. Different traders make use of candlestick charts differently. Candlestick patterns should be used in conjunction with the prevailing trend. Read more

Asian markets trade in red after Wall Street meltdown

Published on: 8:39 am

  • Asian stock markets sank in a sea of red on Wednesday after an overnight plunge on Wall Street as investors worried about a potential economic slowdown and the state of the US-China trade war.
  • After days of silence on Saturday’s agreement between Trump and President Xi Jinping, China’s Commerce Ministry said that trade negotiations will proceed based on a timetable and that the country will implement specific items as soon as possible. For his part, Trump tweeted that there will be a “real deal” with China, or none at all. Read more

Bulk deal

Published on: 8:38 am

  • Supershakti Metaliks Ltd: Asia Investment Corp Mauritius bought 60,000 shares, or ~1% equity, at Rs407 a share.
  • AVG Logistics: Sixth Sense India opportunities fund acquired 1.71lakh shares at Rs75.19 each. 

Lupin and Ajanta Pharma get final approval for gRapaflo

Published on: 8:35 am

Indian companies LupinAjanta pharma and Macleods (private company) have received final USFDA approval for Silodosin which is used by men to treat the symptoms of an enlarged prostate. Silodosin relaxes the muscles in the prostate and the bladder. The drug is sold under the brand Rapaflo by Allergan. Read more

Kesoram Industries to spin off tyre business into listed unit

Published on: 8:34 am

  • Kesoram Industries Ltd, a flagship company of the B.K. Birla Group of Companies, said that its board to spin-off its Tyre Business (Birla Tyres) by demerging this Undertaking as per the "demerger" provisions in the Income Tax Act,1961 into a Resulting Company, Birla Tyres Ltd (BTL).
  • The announcement was made after market hours.
  • Upon grant of the requisite approvals, BTL will also become a listed company with its shareholding pattern mirroring Kesoram, as per BSE filing. Read here

Asian markets trade in red after Wall Street meltdown

Published on: 8:30 am

  • Asian stock markets sank in a sea of red on Wednesday after an overnight plunge on Wall Street as investors worried about a potential economic slowdown and the state of the US-China trade war.
  • Elsewhere in Asia, Japan's Nikkei 225 slipped 0.76% in morning trade while the Topix shed 0.81%. The losses were also seen in South Korea, where the Kospi declined by 0.83%. The Hang Seng index in Hong Kong also fell by 1.4%. Read here

Kridhan Infra’s arm bags order worth Rs105cr

Published on: 8:29 am

  • Kridhan Infra’s associate company Vijay Nirman Company Private Limited has received an order worth Rs105cr, the company said in a press note to the exchanges on Tuesday after market hours.
  • An order has been bagged to construct major and minor bridges, etc. for Package-4 of the Mumbai-Nagpur Super Communication Expressway in Maharashtra. The project is expected to be completed over a period of 12 months.

SGX Nifty indicates negative opening for markets ahead of RBI monetary policy meet

Published on: 8:16 am

  • SGX Nifty is at 10870, down 43 points. For today, we expect higher volatility as weak global cues see fear dominate early trade. Metals, banks and industrial stocks would be under pressure with FMCG and IT seeing safe haven buying.
  • On Tuesday, Nifty saw a flat session with the index closing down 15 points as banks saw selling pressure.
  • The markets would react negatively to the overnight huge selloff in the US coupled with the Reserve Bank India’s (RBI) meeting today on interest rates. Read here

Top stocks in focus today: Tata Motors, Kesoram Industries, Lupin, REC, Banking stocks

Published on: 8:08 am

  • Banking stocks in focus today ahead of the RBI policy.
  • Kesoram Industries board said it was demerging its tyre business. Birla Tyres will issue 1:1 equity share to Kesoram Industries at nominal value of Rs10 per share.
  • Tata Motors stock in focus today as S&P downgraded Jaguar Land Rover to ‘BB-’ from ‘BB’, Rating remain on watch ‘Negative’, due to weaker profitability. Read more

FII Data

Published on: 8:04 am

FII/DII Data: In yesterday’s trading session FIIs sold 55cr stock in the cash market whereas DIIs sold 521cr worth of stock. In the derivative market, FIIs bought 37cr of Index futures and bought 747cr worth of Index options. In the Stock futures segment, FIIs sold 399cr worth of stock futures and sold 168cr stock options.

FII View: FIIs created marginally bearish positions in the derivative segment in yesterday’s trading session which is deduced by the fact that they created 1,833 net short contracts in Index Futures, while simultaneously creating 5,878 long contracts in Index Put Options.

FII OI
(in000's)
% Chg % Chg
Since Expiry
Long/
Short Ratio
Long/Short
 Since Expiry
Index Long 156 4 12 1.1 1.0
Index Short 145 6 10
Index Call Long 227 4 18 2.4 0.8
Index Call Short 95 (0) 49
Index Put Long 305 2 21 2.3 0.9

What not to miss today

Published on: 7:53 am

  • Markets to open negative; Nifty support @10750, resistance 10870.
  • FIIs sold 55cr (cash), bought 37cr in Index Futures.
  • RBI monetary policy today; status quo expected.
  • US, Asian markets in the red on fears of economic slowdown. Read more.

Derivative Watch

Published on: 7:28 am

  • Nifty IT index futures added fresh long positions as open interest soared higher.
  • Bank Nifty and Nifty out of the money call and put options witnessed short selling for the second day in a row as markets remained rangebound throughout the day.
  • RCOM 20CE was the most active contract, adding fresh open interest to the tune of 17%, consisting mainly of long positions.
  • Equitas and Ujjivan added fresh long positions, while Bosch added fresh short positions.

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