Closing bell: Sensex recoups losses to end 84 points higher at 37,481.12, Nifty above 11,100; Reliance Power rallies 19 percent and RInfra 12 percent.

Affle India IPO subscribed 2.38 times so far on final day of bidding

The initial public offer of mobile marketing company Affle India was subscribed 2.38 times so far on the final day of bidding on Wednesday.

The Rs 459-crore IPO received bids for 80,28,040 shares against the total issue size of 33,78,021 shares, as per NSE data till 1.45 pm.

The initial public offer of Affle India was subscribed 81 per cent on the second day of bidding on Tuesday.

The IPO consists of a fresh issue of Rs 90 crore and an offer for sale of 49,53,020 equity shares, including anchor portion of 27,72,483 equity shares.

Price range for the offer has been fixed at Rs 740-745 per share.

Affle India on Friday raised about Rs 206.55 crore from 15 anchor investors.

Indian equities head for worst July since 2002

The Indian equities declined, headed for their steepest fall for the month of July in 17 years.

The benchmark S&P BSE Sensex dropped 0.4 per cent to 37,250.82 as of 9:39 AM in Mumbai, extending its decline this month to 5.4 per cent. The NSE Nifty 50 Index retreated by the same magnitude and is down 6.3 per cent in July.

Weak global cues, the slowing of the economy and consumption, a new Union budget that failed to provide stimulus and raised taxes on the rich and an ongoing credit crisis among non-bank finance lenders have roiled investor sentiment.

The key equity indexes have now slumped at least 7.5 per cent from their all-time high closes in June. Read more here

Slowing growth fuels demand for yellow metal as safe heaven

Gold bulls are betting there’s more to the metals rally than rates.

Bullion is on its way to a third straight monthly gain, trading near a six-year high as central banks signal easier monetary policy. The Federal Reserve is expected to cut U.S. interest rates by a quarter percentage point on Wednesday. Gold analysts and traders are looking for affirmation from Fed Chairman Jerome Powell that further reductions are in store to justify the run-up, with some saying the precious metal may have gotten ahead of itself. Read the full report here

Nifty top gainers/losers at 2.35 pm

Hero MotoCorp rises on hopes of demand revival

The shares of Hero MotoCorp has risen as much as 4.9 percent to ₹2,369.9, mark sharpest intra-day gain in nearly three weeks.

Amid an industry-wide slump in demand, Jefferies says the two-wheeler maker posted an in-line first quarter performance, and its management sounded hopeful of a retail recovery in first half

A brokerage says Hero's first quarter earnings before interest, tax, depreciation, & amortization (EBITDA) at ₹1,158 crore and EBITDA margin at 14.4 percent were largely in line with estimates, as a miss in gross margin was offset by low costs.

Nifty Call: Go long if allies above 11,130

Taking bearish cues from the Asian markets, the Sensex and the Nifty started the session on a negative note. The Nikkei 225 has declined 0.8 per cent to 21,521 and Hang Seng index has slumped 1.3 per cent to 27,777 levels in today's session.

After initial decline, the Sensex and the Nifty began to recover from the intra-day low but have failed to sustain the recovery. The market breadth of the Nifty index is in break-even. Read more technicals here

Reliance Nippon Life AMC: Sell in open offer

Reliance Nippon Life Asset Management (RNAM) that had fallen out of favour with investors, has rallied over 45 per cent since February this year, post Nippon Life Insurance’s (JV partner) announcement of acquiring additional stake in the asset management company (AMC). Expectations of the deal happening at a much higher valuation than the market price of RNAM (in February), had buoyed the stock.

In May, Nippon Life signed an agreement with Reliance Capital to increase its stake in the AMC to 75 per cent at Rs 230 per share. As per SEBI takeover norms, Nippon Life has made an open offer to existing shareholders at Rs 230 per share (open until 5th August). The current stock price at Rs 227 is near about the open offer price, after the steep rally since February. Click here to read the recommendation

Moody's rating cut stifles Yes Bank's ability to raise fresh capital

Yes Bank’s credit rating has been cut for the second time this year by the local unit of Moody’s Investors Service, stifling the lenders ability to boost capital buffers that have shrunk to near the lowest allowed by regulators.

The downgrade comes even as the bank’s share price has fallen 53 per cent this year. Read more here

Axis Bank sees worst day in over 10 months on higher provisioning for NPAs

Axis Bank Ltd , the fourth-biggest bank by assets, fell as much as 7 percent to ₹657.8 rupees, the biggest daily percent loss since September 21, 2018.

The bank had posted June-quarter profit of ₹1,370 crore ($198.95 million), missing the estimates of ₹1,917 crore.

The first quarter-profit after tax was below consensus estimates on account of higher-than-expected provisions, says Citi. It had also reduced the price target PT to ₹900 from ₹980.

Read also: Higher provisioning weighs on earnings of Axis Bank

The provisions and contingencies increased 14.3 percent to ₹3,815 crore , while gross slippages rose 11 percent to ₹47.98 crore. Axis Bank executive also said domestic growth remains weak, as automobile and capex growth are soft.

According to Morgan Stanley, the slippages in corporate and retail were higher than expected but should be lower in the second quarter.

The Jefferies has cut the price target to ₹885 from ₹910.

Up to the last close, the stock had risen 15 percent this year, while ICICI Bank which posted Q1 profit on Saturday, is up 18 percent.

NSE may bounce into 11,068-11,143 range

The NSE index is likely to rise to a range of 11,068.38-11,142.82. This range is identified as the 7% and 14.6% Fibonacci retracement on the downtrend from July 5 high of 11,981.75 to the low of 10,999.4 hits earlier on Wednesday.

Index's wave pattern suggests that it may have completed wave iii of a five wave downtrend and a bounce into the 11,068.38 to 11,142.82 range is likely. The current wave iv has the potential to move up to a resistance at 11,374.66.

The index has its nearest resistance at 11,053.3, the 50% Fibonacci retracement level on the uptrend from the Oct. 26, 2018 low to the June 3, 2019 high. On the downside, if the index decisively breaks below the psychological level of 11,000, then it may fall to a support at 10,805.56

Coffee Day Enterprises hits lower circuit after founder confirmed dead

The shares of Coffee Day Enterprises fell by 19.98 percent daily limit to a record low of ₹122.75. It has hit a record low for the second straight session.

The authorities said on Wednesday they have recovered the body of the founder and largest shareholder V.G. Siddhartha from a river in Mangaluru.

Read also: Body of Café Coffee Day founder VG Siddhartha found

The stock had plunged 20 percent on Tuesday, after Siddhartha went missing on Monday. Up to the last close, stock down is 45 percent this year.

Gujarat Gas sees best day in over six months after profit spikes

Shares of Gujarat Gas Ltd rose as much as 12 per cent to Rs 182.95, post their biggest intra-day percentage gain since January 15.

The gas distribution company posted 93 per cent surge in the consolidated profit for the June-quarter. It surged to Rs 234 crore ($33.97 million).

The total income was up 44 per cent to Rs 2671.

Citi raises price target to Rs 265 from Rs 230.

Around 1.5 million shares change hands during first half an hour of trade versus the 30-day average of 1.12 million shares.

Up to last close, stock had risen 22 per cent this year, while Indraprastha Gas Ltd up 12.2 per cent.

Jindal Steel completes delivery of 1.26 lakh tonne rail order 

Jindal Steel and Power Ltd (JSPL) on Wednesday said it has completed delivery of its 1.26 lakh tonne rail order from the Indian Railways.

In July last year, JSPL had received from the national transporter an order of about one lakh tonne rails, which was later extended by over 26,000 tonnes.

Read also: Jindal Steel completes first-ever rail order ahead of schedule

“In a boost to Indian Railways, JSPL has successfully executed the first-ever rail order to Indian Railways on July 29, 2019. JSPL has supplied 1,26,604 tonnes of long rails to Indian Railways in record time ahead of schedule. Out of this total quantities, JSPL supplied 97,400 tonnes of long rails on April 22, 2019,” the company informed the exchanges.

The total value of the order was ₹ 732 crore, the company said.

JSPL further said it has recently won a ₹ 665 crore order from Rail Vikas Nigam Ltd (RVNL), an arm of the Ministry of Railways, to supply 89,042 tonnes of UIC 60 kg IRS T-12 880 grade 13 meter rails for its upcoming projects.

Read more: Jindal Steel bags ₹ 665 cr rail order from RVNL

“JSPL is also expecting orders of a minimum volume of 2 lakh tonnes per annum of 13/26 metre rails from Rail Vikas Nigam Limited (RVNL) and IRCON International Limited,” it added.

The railways had invited the global tender for procuring around 4.87 lakh metric tonnes of rails to meet the shortfall in supply from the Steel Authority of India Limited (SAIL).

Rupee falls 9 paise to 68.94 vs USD in early trade

The rupee tumbled 9 paise to trade at 68.94 against the US dollar in early trade on Wednesday amid unabated foreign fund outflows and rising crude oil prices.

The rupee opened weak at 68.89 at the interbank forex market and slipped further to 68.94, showing a decline of 9 paise against its previous close.

The domestic unit had settled at 68.85 against the US dollar on Tuesday.

Update: Equity benchmark BSE Sensex declined over 150 points in early trade on Wednesday as investors looked cautious amid dampened hopes for a breakthrough in the US-China trade talks.

Most investors preferred to stay on the sidelines ahead of the US Federal Reserve’s meeting, traders said.

At 10.15 am, the 30-share index was trading 139.41 points or 0.37 per cent lower at 37,257.83; and the broader Nifty also fell 36.90 points or 0.33 per cent to 11,048.50.

Higher provisioning weighs on earnings of Axis Bank

On the face of it, near doubling of net profit, stable bad loans, and healthy growth in domestic loans for Axis Bank in the latest June quarter offer comfort to investors. After the deterioration in the bank’s asset quality between FY16 and FY18, the gradual improvement over the past four to five quarters has been heartening. Read detailed analysis here

Oil prices rise for fifth day after US stocks decline

Oil prices rose for a fifth day on Wednesday, buoyed by a bigger than expected drop in US inventories and as investors awaited a widely expected cut in interest rates by the Federal Reserve, the first in more than 10 years.

Brent crude was up 33 cents, or 0.5 per cent, at $65.05 a barrel by 0044 GMT. US West Texas Intermediate crude gained 28 cents, or 0.5per cent, to $58.33 a barrel. Read more here

Broker's call: Eris Lifesciences (Buy)

AnandRathi

Eris Lifesciences (Buy)

CMP: ₹399.45

Target: ₹614

Steady Q1 revenue growth. Driven by 10 per cent revenue growth in its base business and about 16 per cent in Strides (its acquired business), Eris’ Q1 revenue growth was about 9.4 per cent y/y, to ₹270 crore. Its chronic and sub-chronic therapies brought about 84 per cent to revenue and grew about 14 per cent y-o-y (versus 8.9 per cent IPM), while acute therapy revenue grew 6.3 per cent y-o-y (versus 6.7 per cent IPM), per AIOCD June 2019. Eris retains its focus on high-growth chronic therapies and specialty acute therapies (complementing its chronic range). Read more on the recommendation here

Broker's call: JSW Steel (Buy)

Some key points of Q1: a) Consolidated revenue for Q1 FY20 came in at ₹19,812 crore (down 11.4 per cent y-o-y), fall in

revenue was primarily on account of around 11 per cent fall in domestic steel prices.

Standalone steel volume for the quarter was at 3.75 mt (down 2.1 per cent y-o-y) and realisation was at ₹46 664/t (down 5.76 per cent). Coated products business did volume of 0.45 mt (up 4.7 per cent y-o-y) and realisation was at ₹66,444/t (down 5.7 per cent y-o-y). Read more here

What to Watch: HDFC Bank, Honeywell, others to go ex-dividend

A host of companies’ shares will turn ex-dividend on Wednesday.

Investors wishing to get the payout from these firms need to own them by Wednesday. Among these are Albert David (₹6), Bhagiradha Chemicals (₹2), Bharat Forge (₹2.50), Blue Star (₹10), Britannia (₹15), Centum Electronics (₹4), DCM Shriram (₹6), Emami Paper (₹1.20), Foseco (₹8), HDFC Bank (₹5), Honeywell (₹45), MRF (₹54), Pfizer (₹22.50), Ratnamani Metals (₹9) and VST TIllers (₹15).

It's weak start for benchmark indicies on Wednesday tracking Asian peers as the latest round of US-China trade talks began with a threat from President Donald Trump.

At 09:16 sm, the Sensex is down 141 points at 37,256.24, while Nifty down 65.75 points at 11,019.65.

Tech Mahindra, Axis Bank, BPCL, Hindalco and ONGC are trading lower, while on the other hand Sun Pharma Hero Motocorp, IndiaBulls Housing, Maruti and Yes Bank are among major gainers.

Among sectors, except auto all other sectors are trading lower.

Given below are supports and resistances for Nifty 50 futures and seven key stocks that can help in your intra-day trading:

₹2253 • HDFC Bank

₹792 • Infosys

₹269 • ITC

₹138 • ONGC

₹1180 • Reliance Ind.

₹327 • SBI

₹2179 • TCS

11095 • Nifty 50 Futures

S1, S2 : Support 1 & 2; R1, R2: Resistance 1 & 2.

Today's Pick - Engineers India (₹95.3): Sell

Investors with a short-term horizon can sell the stock of Engineers India at current levels. The stock has been in a long-term downtrend since encountering a key resistance at ₹206 in December 2017. Medium- as well as short-term trends are down for the stock. Read more on the technical call here

Tech stocks pull Wall Street lower on Trump trade warning

Wall Street lost ground on Tuesday after a warning from President Donald Trump to China amid ongoing trade negotiations pressured technology shares, while investors looked to an expected Federal Reserve interest rate cut at the conclusion of its monetary policy meeting.

The three major U.S. stock indexes concluded the session in the red, pressured by technology and consumer discretionary stocks.

As trade talks between the world's two biggest economies continued in Shanghai on Tuesday, Trump warned China against trying to wait out his first term in office to finalize a deal. Read more on US stocks here

Asian markets slip to 6-week low

Asian shares fell on Wednesday to a six-week trough, rattled by fresh trade war concerns following threats from President Donald Trump to Beijing, while increasing worries about a ‘no-deal’ Brexit kept the pound under pressure.

Later in the day, the US Federal Reserve is widely expected to cut interest rates for the first time since the financial crisis more than a decade ago. The expected easing has supported risk asset prices worldwide.

MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.7per cent to the lowest since June 19, while Japan's Nikkei declined by 1per cent. Read more here

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