Equity indices end marginally firmer, Sensex settles at 37,350

Nifty closes flat at 11,047

 

3:45 pm

Closing bell

The benchmark indices, the BSE Sensex and the NSE Nifty, closed Friday's session marginally firmer.

The Sensex settled at 37,350, up 38 points or 0.10 per cent firmer, while the Nifty closed at 11,047, up 18 points or 0.17 per cent firmer.

The top gainers on the Sensex were YES Bank, Power Grid, Maruti, IndusInd Bank and Axis Bank, while the laggards were TCS, Vedanta, HCL Tech, HDFC and Reliance.

The BSE index was propped up by gains in the utilities, auto and power sector shares, while the IT, consumer durables and technology sector shares weighed on the benchmark index.

The Sensex dropped over 300 points in early trade, tracking losses in metal, auto, IT and banking stocks.

In the previous session on Wednesday, the 30-share index settled 353.37 points or 0.96 per cent higher at 37,311.53. The NSE Nifty reclaimed the 11,000-mark, jumping 103.55 points or 0.95 per cent to close at 11,029.40.

 

2:50 pm

TRAI releases paper to re-look caps on discounts offered by broadcasters on bouquets

 

Following the implementation of the new regulatory framework for cable and broadcasting services, the Telecom Regulatory Authority of India (TRAI) has issued a consultation paper to re-look at imposing restrictions on discounts offered by broadcasters on channel bouquets.

The regulator on Friday said lack of any caps on discounts offered on bouquets, compared to a-la-carte channel pricing, is being “misused to throttle market discovery of TV channel prices, by giving huge discounts on the bouquets.”

“The tariff declared by the broadcasters under the new regulatory framework shows that bouquets are being offered at a discount of up to 70 per cent of the sum of the a-la-carte rates of pay channels constituting those bouquets,” it added in a statement. Click here to read the full report on TRAI  consultation paper on discounts offered on bouquets.

2:30 pm

Euro drops to two-week low against dollar

 

The euro fell to a two-week low on Friday against the dollar, which extended the gains it made the day before after US retail sales data came out better than expected.

The dollar was on course to end the week up against the euro, the Japanese yen and the Swiss franc as investors returned to riskier assets. A stable offshore Chinese yuan helped improve risk appetite.

The euro was down by 0.2 per cent at $1.108875, the lowest it has been since August 2. Click here to read in full the forex market report.

2:10 pm

Oil rises more than 1 per cent as recession fears recede

 

Crude oil prices rose more than 1 per cent on Friday following two days of declines, buoyed after data showing an increase in retail sales in the US helped dampen concerns about a recession in the world's biggest economy.

Brent crude was up 68 cents, or 1.2 per cent, at $58.91 a barrel at 0650 GMT, after falling 2.1 per cent on Thursday and 3 per cent the previous day.

US crude was up 63 cents, or 1.2 per cent, at $55.10 a barrel, having dropped 1.4 per cent the previous session and 3.3 per cent on Wednesday. Click here to read in full the oil markets report.

1:50 pm

Asian shares take heart amid hopes of stimulus from central banks

File Photo   -  Reuters

 

sian shares found some footing on Friday after a turbulent week as China hinted at more support for its economy, amid growing expectations of aggressive stimulus from all the major central banks.

Sentiment got a lift when China's state planner said Beijing would roll out a plan to boost disposable income, though details were lacking.

A bounce in US and European stock futures also helped, with E-Minis for the S&P 500 and the EUROSTOXX 50 each rising 0.6 per cent. Click here to read in full the Asian share markets report.

1:40 pm

Nifty call: Buy on dips while maintaining stop-loss at 11,025 levels

 

The Sensex and Nifty began the session with a gap-down opening. After an initial decline, the key benchmark indices trimmed their losses and are now trading flat. The Nifty mid- and small-cap indices are also trading flat. The India VIX has gained 1.9 per cent to 16.6 levels. Buying interest is seen in the Nifty bank and auto sector indices, which have gained 0.46 per cent and 0.4 per cent, respectively. However, selling pressure is evident in the Nifty IT, metal and pharma sectors, which have declined about 0.7 to 1 per cent. Click here to read in full the Nifty call report.

12:31 pm

Reliance Capital surges on 4-fold jump in June-quarter profit

 

Shares of non-banking finance company, Reliance Capital, surged as much as 12.1 per cent to their highest since August 7.

The company reported an over four-fold increase in June-quarter profit late on Wednesday, partly helped by a jump in net gain on fair value changes.

Reliance Capital also reported its audited March-quarter results on Wednesday, which had been delayed due to the resignation of auditors PwC in June.

The company posted a narrower March-quarter loss of Rs 2,304 crore, versus a loss of Rs 4,025 crore last year.

The stock has marked its sharpest intra-day jump since June 26; over 21 million shares changed hands by 0617 GMT, against the 30-day average of 20.1 million shares.

Reliance Capital's stock has plunged nearly 80 per cent this year up to last close on Wednesday; the markets were closed on Thursday for a public holiday ($1 = 71.2750 rupees) - Reuters

12:15 pm

Sensex, Nifty off lows at mid-session

The Sensex and Nifty rallied from their morning lows to trade flat at mid-session on Friday.

The Sensex was at 37,318, up 6 points, while the Nifty was at 11,038, up 3 points

The top gainers on the Sensex were YES Bank, Maruti, Bajaj Finance, Axis Bank and IndusInd Bank, while the laggards were TCS, Vedanta, Tech Mahindra, HCL Tech and Reliance.

Among the BSE sectoral indices, utilities gained 1.38 per cent, while auto was up 0.94 per cent, power 0.85 per cent and banking sector shares gained 0.72 per cent.

IT and technology sector shares dragged the index lower losing between 0.85-1 per cent during the session.

12:10 pm

HEG falls after Q1 profit plunge

Shares of HEG Ltd fell as much as 8 per cent to Rs 972.7, the lowest since July 23.

The graphite electrodes maker's June-quarter profit plunged ~70 per cent to Rs 234 crore ($32.79 million). Total revenue fell by 46 per cent to Rs 856 crore. The revenue from graphite business dipped 48 per cent.

Up to last close, the stock is down 73 per cent this year ($1 = 71.3575 rupees) - Reuters

12:05 pm

CESC sees best day in nearly 2 months after Q1 profit jump

Shares of CESC Ltd rose as much as 6.3 per cent to Rs 811.95, their biggest daily percentage gain since May 20.

The electric utility company on Wednesday reported an 18 per cent spike in June-quarter profit to Rs 217 crore ($30.44 million) against Rs 184 crore. Revenue rose 9 per cent to Rs 2,359 crore.

The Q1 profit has beaten Refinitiv estimates of Rs 206 crore.

Up to last close, CESC has gained 14 per cent this year, while peer JSW Energy, which posted a 6.5 per cent jump in Q1 profit on August 6, is down 2 per cent ($1 = 71.2850 rupees). - Reuters

 

11:50 am

Regulator puts in place mechanism to monitor resolution processes

Insolvency regulator IBBI has put in place a mechanism to monitor corporate insolvency resolution processes (CIRP) and the performance of insolvency professionals (IPs) in the country. Click here to read in full the report on regulator's mechanism to monitor resolution processes, insolvency processes.

11:30 am

IDBI Bank hits over 16-year low after bigger Q1 loss

IDBI Bank   -  Bloomberg

Shares of IDBI Bank have fallen as much as 12 per cent to Rs 23.95, the lowest since May 26, 2003.

The state-owned bank on Wednesday posted widened its June-quarter loss of Rs 3,801 crore ($532 mln) against a loss of Rs 2,410 crore a year earlier, due to higher provisioning and lower net interest income.

Provisions rose 21 per cent to Rs 6,332 crore. Net interest margin was at 2.13 per cent versus 2.17 per cent a year ago. Around 3.6 million shares changed hands in early trade versus the 30-day average of 6.2 million shares.

The stock has posted its biggest per cent daily loss since August 24, 2015. Up to last close, the stock down was 55.6 per cent this year ($1 = 71.4450 rupees)

11:00 am

Oil gains after strong US retail sales help ease recession worries

 

Crude oil prices rose on Friday after two days of declines, buoyed following data showing a rise in US retail sales helped ease some concerns about a recession in the world's biggest economy.

Brent crude was up 31 cents, or 0.5 per cent, at $58.54 a barrel at 0047 GMT, after falling 2.1 per cent on Thursday and 3 per cent the previous day. US crude was up 43 cents, or 0.8 per cent, at $54.90 a barrel, having fallen 1.4 per cent the previous session and 3.3 per cent on Wednesday. Click here to read in full the global oil markets report.

10:50 am

Rupee slips 20 paise to 71.47 against $ in early trade

 

The rupee opened on a weak note and fell 20 paise to 71.47 against the US dollar in early trade on Friday amid rising crude oil prices and a cautious opening in domestic equities.

At the Interbank Foreign Exchange, the rupee opened weak at 71.33, then fell to 71.47 against the US dollar, showing a decline of 20 paise over its previous closing. Click here to read in full the rupee report

10:35 am

Dollar holds onto gains, but sentiment remains fragile

 

The dollar held onto gains on Friday after a surge in US retail sales eased concerns about the world's top economy, but traders cautioned against reading too much into one piece of data given the growing risks to the outlook.

The greenback was on course for a weekly gain against safe-haven currencies such as the Japanese yen and the Swiss franc, pointing to some respite for frayed nerves after fears of recession and protests in Hong Kong rattled financial markets. Data showing American consumers continued to splurge in July came as a relief to investors after the US bond market sounded alarms of a recession. Click here to read in full the global forex markets report.

 

10:10 am

Asia stocks nurse losses, bonds hold huge gains

 

Asian shares were heading for weekly losses on Friday as conflicting messages on the US-China trade war only added to worries for the global economy, while talk of aggressive central bank stimulus drove bond yields to fresh lows.

US President Donald Trump said on Thursday he believed China wanted to make a trade deal and that the dispute would be fairly short. Beijing on Thursday vowed to counter the latest tariffs on $300 billion of Chinese goods but called on the United States to meet it halfway on a potential trade deal. Click here to read in full the Asian markets report.

10:00 am

Why LIC-owned IDBI Bank has fallen sharply today

 

Bailing out IDBI Bank has cost Life Insurance Corporation (LIC) very dear. The massive ₹21,624 crore of capital that LIC infused into the ailing bank last fiscal, has been sucked into the bank’s losses.

What’s more, the bank’s bad loan troubles don’t appear to be easing any time soon. In the latest June quarter the bank’s CET 1 (Common Equity Tier-1) ratio and Tier-I ratio has slipped to a precarious 5.9 per cent (as against regulatory requirement of 7.375 per cent) and 6.1 per cent (8.875 per cent) respectively.

The bank will soon have to come knocking on LIC’s door to infuse more capital. Click here to read in full the report that looks into why IDBI Bank has fallen sharply today.

9:50 am

Sensex, Nifty weak in early session

The Sensex and Nifty traded in the red in early session on Friday. The Sensex was trading at 37,148, down 162 points or 0.44 per cent lower, while the Nifty was at 10,976, down 52 points or 0.48 per cent lower.

The top gainers on the Sensex were YES Bank, ITC, Bajaj Finance, ONGC and Axis Bank, while the laggards were Vedanta, Tata Motors, Tata Steel, TCS and Bharti Airtel.

According to an agency report, the Sensex dropped over 300 points in early trade tracking losses in metal, auto, IT and banking stocks.

In the previous session on Wednesday, the 30-share index settled 353.37 points or 0.96 per cent higher at 37,311.53. The broader NSE Nifty reclaimed the 11,000-mark, jumping 103.55 points or 0.95 per cent to close at 11,029.40.

The stock market was closed on Thursday on account of Independence Day.

The report quoting experts said, rising concerns of an economic slowdown, weak earnings and global trade volatility have been weighing on investor sentiment.

On Thursday, Prime Minister Narendra Modi comprehensively reviewed the state of the economy with Finance Minister Nirmala Sitharaman as his government scrambled for solutions to tackle a fast-spreading slowdown in various sectors, which is eroding wealth and causing job losses.

India’s economic growth has slowed to 6.8 per cent in 2018-19 - the slowest pace since 2014-15, consumer confidence is waning and foreign direct investment has plateaued. International trade and currency war is further aggravating the problem.

Meanwhile, foreign portfolio investors bought shares worth a net of Rs 1,614.63 crore on Wednesday, while domestic institutional investors purchased shares worth Rs 1,619.82 crore, provisional data showed.

Elsewhere in Asia, Hang Seng, Shanghai Composite Index and Nikkei were trading on a positive note in their respective late morning sessions, while Kospi slipped in the red.

Bourses on Wall Street ended on a mixed note on Thursday.

On the currency front, the rupee depreciated 16 paise versus the dollar against its previous close to trade at 71.43 in early session.

Brent crude futures, the global oil benchmark, rose 0.86 per cent to trade at 58.73 per barrel. (with inputs from PTI

 

9:50 am

Hero MotoCorp plants to remain shut for 4 days till Aug 18

 

The country’s largest two-wheeler maker, Hero MotoCorp, on Friday said its manufacturing plants have been shut for four days till August 18 as part of an annual routine and also to adjust production in line with the current market demand.

In a regulatory filing, Hero MotoCorp said its manufacturing facilities will be closed from August 15 to 18, 2019. Click here to read in full the report on Hero MotoCorp shuts plants for 4 days.

9:40 am

What to Watch: Shares of HSIL will turn ex-date for demerger

Shares of HSIL will turn ex-date on Monday for the proposed demerger. HSIL will retain the manufacturing of building/consumer products and packaging products, while furniture, furnishings and home decor would be demerged into Somany Home Innovation Ltd. Sales and distribution of building products will be transferred to Brilloca. Post demerger, SHIL will issue one share for each share held in HSIL and would be listed, while Brilloca will continue to be a subsidiary of SHIL.

9:35 am

What to Watch: Indiabulls HF, others to turn ex-dividend

About 20 companies will turn ex-dividend on Monday. Investors wishing to receive the payout need to own these companies’ shares by Friday. Among these are Alkem Labs (₹8/share), Bengal Assam (₹10), CARE Rating (₹3), Concor (₹8.55), HSIL (₹3), Indiabulls Housing Finance (₹8), JK Agri Genetics (₹1.50), Kitex Garments (₹1.5), Indigo (₹5), Page Industries (₹51), Petronet LNG (₹4.5), Power Grid (₹2.50), Sinclairs Hotels (₹6) and VST Industries (₹95).

 

9:25 am

Day Trading Guide for Friday August 16, 2019

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

₹2229 • HDFC Bank

S1

S2

R1

R2

COMMENT

2214

2200

2245

2260

Initiate fresh short positions with a stiff stop-loss only if the stock reverses down from ₹2,245 levels

 

₹774 • Infosys

S1

S2

R1

R2

COMMENT

768

760

780

788

Consider initiating fresh short positions with a fixed stop-loss if the stock falls below ₹768 levels

 

₹248 • ITC

S1

S2

R1

R2

COMMENT

245

242

252

255

Fresh long positions can be initiated with a stiff stop-loss if the stock of ITC rebounds up from ₹245 levels

 

₹126 • ONGC

S1

S2

R1

R2

COMMENT

124

121

130

133

The stock is trading in the oversold territory. Go long with a fixed stop-loss on a strong rally above ₹130 levels

 

₹1288 • Reliance Ind.

S1

S2

R1

R2

COMMENT

1275

1250

1304

1320

Make use of intra-day declines to buy the stock of RIL while retaining a tight stop-loss at ₹1,275 levels

 

₹289 • SBI

S1

S2

R1

R2

COMMENT

283

277

295

302

Fresh short positions can be initiated with a tight stop-loss if the stock declines below ₹283 levels

 

₹2204 • TCS

S1

S2

R1

R2

COMMENT

2182

2160

2225

2245

Consider initiating fresh short positions with a stiff stop-loss if the stock fails to move beyond ₹2,225 levels

 

11028 • Nifty 50 Futures

S1

S2

R1

R2

COMMENT

10975

10925

11080

11130

Initiate fresh long positions with a tight stop-loss only if the contract rallies above 11,080 levels

 

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

9:15 am

Opening bell

The benchmark indices, the BSE Sensex and the NSE Nifty, opened Friday's session in the red.

The Sensex was down 188 points or 0.51 per cent at 37,123, while the Nifty was at 10,989, down 40 points or 0.36 per cent lower.

The markets were shut yesterday.

9:10 am

What to Watch: Precision Camshafts gets order booster from its arm

 

Precision Camshafts on Wednesday said that its stepdown subsidiary MFT Motoren und Fahrzeugtechnik GmbH has bagged contract for supply of over 1.8 lakh sets of machined balancer shaft assemblies from Linamar Antriebstechnik GmbH, Germany, over the life of the program.

The aggregate value of the program is estimated to be €26.02 million (₹208 crore). MFT is a leading supplier of machined components to Volkswagen, Audi, Opel, Westfalia and several others.

9:00 am

Today's Pick: Hexaware Technologies (₹380.2): Buy

The stock of Hexaware Technologies had gained 5 per cent over the last two trading sessions, breaking above a key medium-term resistance at ₹368. This rally gives traders with a short-term perspective an opportunity to buy the stock at current levels.

Following a corrective decline in late June and early July, the stock began to move sideways in a narrow band between ₹345 and ₹368 until recently. With above average volume, the stock had moved out of this range on the upside. Also, the stock had breached its 21- and 50-day moving averages and trades well above these levels. Click here to read in full Today's Pick on Hexaware Technologies.

 

Published on August 16, 2019

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