Closing bell: Sensex plunges 505 points dragged by Reliance, HDFC twins; Nifty ends at 11,377
12 min read.Updated: 17 Sep 2018, 04:58 PM ISTNirav Vyas
BSE Sensex closed 505.13 points down at 37,585.51, while the Nifty 50 settled 137.45 points lower at 11,377.75. Here are the highlights from the markets
Mumbai: BSE Sensex fell over 500 points on Monday dragged mainly by heavy losses in financial stocks such as HDFC. The broader Nifty 50 slipped below the 11,400 level. The rupee weakened against the dollar despite the government measures. Over the weekend, the government announced several steps to prop up capital inflows and to curb “non-essential” imports, while sticking to its fiscal deficit targets. Moreover, continued selloffs in global markets also added pressure. European shares followed Asian counterparts lower as investors grappled with the latest US threat to announce a new round of tariffs on Chinese goods in the latest escalation of their trade conflict. The dollar slipped after Friday’s gains and emerging-market currencies declined. Meanwhile, FIIs purchased shares worth Rs 1,090.56 crore on Friday on net basis, while DIIs bought equities worth Rs 115.14 crore. Here are the highlights from the markets:
17 Sep 2018, 03:35:00 PM IST
Closing bell: Sensex, Nifty fall over 1%
BSE Sensex closed lower by 505.13 points, or 1.33%, to 37,585.51, while the Nifty 50 fell 137.45 points, or 1.19%, to close at 11,377.75. Meanwhile, BSE MidCap and SmallCap were down 0.76% and 0.05%, respectively.Sixteen out of 19 sectoral indices on BSE declined with finance losing most at 1.44% followed by energy 1.30% and energy 1.20%. On the other hand, realty gained 1.36%. Power and utilities also ended with gains.BPCL, HPCL, TCS, Tech Mahindra and Power Gird were among the top gainers, whereas Sun Pharma, HDFC, Tata Motors, Bajaj Finance and Titan were among the major losers.
17 Sep 2018, 03:20:00 PM IST
Gold prices rise today, silver follows
Gold prices rose by Rs 180 to Rs 31,600 per 10 gram on Monday, largely driven by a firm trend overseas amid increased buying by local jewellers. Silver followed suit and shot up by Rs 180 to Rs 37,680 per kg backed by increased offtake by industrial units and coin makers. Read more
17 Sep 2018, 03:10:00 PM IST
Ircon IPO subscribed 20% so far on Day 1
As of 3pm, Ircon IPO received bids for 2,020,620 shares against the total issue size of 9,905,157. The Ircon IPO opened for subscription today and will close on 19 September. The IPO has a price band of Rs 470-475 per equity share. At the higher end of the price band, the shares are estimated to fetch over Rs 470 crore. Read more
17 Sep 2018, 03:00:00 PM IST
IT stocks gain as rupee weakens
Shares of IT companies traded higher as the rupee continues to fall against the US dollar. At 2pm, the rupee was trading at 72.48 a dollar, down 0.87% from its previous close of 71.86. The currency opened at 72.49 a dollar, touching a high 72.41 and a low 72.69. The Nifty IT Index rose 0.45% led by Oracle Financial Services, which gained over 6%. Tata Elxsi, Infibeam, Mindtree and Tech Mahindra added over 1%.
17 Sep 2018, 02:48:00 PM IST
Supreme Court lifts ban on sale of Saridon and 2 other drugs
The Supreme Court today lifted ban on sale of Saridon and two other drugs, news agency Reuters reported, citing TV channels. The government had last week banned 328 combination drugs in a blow to both domestic and foreign pharmaceutical firms. The health ministry said that the board had found there was “no therapeutic justification for the ingredients contained in 328 FDCs and that these FDCs may involve risk to human beings”. Read more
17 Sep 2018, 02:43:00 PM IST
Oil prices up as Iran sanctions raise supply concerns
Oil prices rose as investors focused on the impact of US sanctions on Iran despite assurances by Washington that Saudi Arabia, Russia and the United States could together raise output fast enough to offset falling supplies. Brent crude oil was up 45 cents a barrel at $78.54. US light crude was up 45 cents at $69.44. Reuters
17 Sep 2018, 02:28:00 PM IST
Indraprastha Gas recovers on approval for city gas licence
Indraprastha Gas shares rose 1.19% to Rs 275.25 after the company said that it has received a letter from the Petroleum and Natural Gas Regulatory Board authorizing the company for developing city gas distribution network in Meerut, Muzaffarnagar and Shamli districts.
17 Sep 2018, 02:10:00 PM IST
Rupee trades lower against dollar
The Indian rupee weakened against the US dollar, tracking the losses from Asian currency market, even as the government announced several measures to defend the currency. At 2pm, the rupee was trading at 72.48 a dollar, down 0.87% from its previous close of 71.86. The currency opened at 72.49 a dollar, touching a high 72.41 and a low 72.69. The 10-year bond yield stood at 8.141%, from its Friday’s close of 8.127%. Bond yields and prices move in opposite directions.
17 Sep 2018, 01:55:00 PM IST
Accelya Kale Solutions rise 2%
Accelya Kale Solutions shares added 1.84% to Rs 1015 per share after the company said that Alaska Airlines has selected the company’s integrated suite of financial solutions.
17 Sep 2018, 01:37:00 PM IST
Tata Elxsi shares gain on tie up with Ayla Networks
Tata Elxsi shares rose 1.36% to Rs 1365.60 after the company announced partnership with Ayla Networks to deliver IoT services to communications service providers
17 Sep 2018, 01:16:00 PM IST
European stock markets drop at open
Europe’s main stock markets dropped at the open, with London’s benchmark FTSE 100 index down 0.2% to 7,290.31 points. In the eurozone, Frankfurt’s DAX 30 shed 0.6% to 12,056.38 points and the Paris CAC 40 lost 0.2% to 5,344.55, compared with Friday’s closing levels. AFPStocks in Asia fell with emerging-market currencies after the latest US move to place a further tranche of tariffs on Chinese goods and amid signs some central banks are struggling to stabilize their currencies. The dollar maintained gains. Read more
17 Sep 2018, 12:50:00 PM IST
Is 72 the right level of rupee vs dollar? It seems so
A greater attention to shrinking India’s current account deficit and fiscal health will do the trick for rupee. And the onus for this is on the government, not RBI
A greater attention to shrinking India's current account deficit and fiscal health will do the trick for rupee. And the onus for this is on the government, not RBI. https://t.co/wh3kEght9K
RCI Industries & Technologies Ltd said it has received two purchase orders from Ordnance Factory Katni (MP), Ministry of Defence, for supply of 100 MT (approx) CR GM Strips. Shares rose 6.58% to Rs 93.90.
17 Sep 2018, 12:10:00 PM IST
Ircon IPO opens: Key things to know before you invest
The government is selling a 10% stake, or 0.99 crore shares, through the Ircon IPO, which has a price band of Rs 470-475 per equity share. The IPO will close on 19 September.
Ircon is selling 0.99 crore shares at a price band of Rs 470-475 per equity share in the IPO, which will close for subscription on 19 September. https://t.co/nsX2vjMqEH
Stocks Watch: Sadhana Nitrochem gains on stock split proposal
Shares of Sadhana Nitrochem Ltd gained 5% to Rs 1300.25 per share as the board is meeting on 24 September to consider stock split.Shares of Kwarlity lost 4.88% to Rs 19.50 per share after its QIP issue opened on 14 September.
17 Sep 2018, 11:25:00 AM IST
Redington India approves Rs 139 crore share buyback
Redington India shares traded 1.30% lower at Rs 110.30, after hitting 1.9% high of Rs 113.90. The company’s board of directors approved a buyback proposal for purchase up to 11,120,000 equity shares at a price of Rs 125 per share for an aggregate amount of up to Rs 139 crore.
17 Sep 2018, 11:05:00 AM IST
What brokers say about government’s measures to tackle rupee fall, CAD
The government late on Friday outlined a series of measures aimed at stemming a steep decline in the rupee. India will take measures to cut down “non-necessary” imports, ease overseas borrowing norms for manufacturing sector and relax rules around banks raising masala bonds, or rupee-denominated overseas bonds.Citi says the government’s intent to address structural current account deficit (CAD) problem is right policy path. It says identification of non-essential imports and barriers to be imposed will naturally take some time. Citi adds it will not be surprised if USD/INR tries to test earlier high as a knee-jerk reaction. It believes October hike still possible but with a lower probability.Morgan Stanley says these policy measures could be followed by other such measures in the future, and expects RBI to increase rates in its October meeting.HSBC says policy action will need to get sequencing right in order to be effective. The brokerage expects a 50bps rate hike in the fourth quarter. Budget math is looking rather tight given shortfalls in YTD GST revenues, lower than budgeted growth in direct tax collections and challenging disinvestment targets, notes HSBC. It further adds expenditure cuts and revenue mobilization elsewhere in the budget math may eventually be needed. Reuters
17 Sep 2018, 10:45:00 AM IST
Stock movement: Balrampur Chini Mills, Sadhana Nitrochem gain
Shares of Balrampur Chini Mills Ltd gained as much as 9.54% to Rs 97.05 after Norges Bank sold 1.9 million shares, and Aequitas Investment sold 1.17m shares, according to NSE.Kwarlity Ltd lost 4.88% to Rs 19.50 per share after it’s QIP issue opened on Sept 14.Sadhana Nitrochem Ltd gained 5% to Rs 1300.25 per share as the board meeting on September 24 to consider stock split.
17 Sep 2018, 10:25:00 AM IST
Glenmark Pharma shares gain on drug approval
Glenmark Pharmaceuticals Ltd shares traded 1.75% up at Rs 703 after the company said it has received USFDA approval for Estradiol Vaginal Inserts USP, 10 mcg, the generic version of VAGIFEM1, 10 mcg, of Novo Nordisk Inc.
17 Sep 2018, 10:08:00 AM IST
Market update: Sensex, Nifty extend losses
BSE Sensex opened 62.83 points lower at 38,027.81, and fell as much as 373 points to a low of 37,716.99. NSE’s Nifty 50 opened at 11,464.95, down 50.25 points from the previous session and fell as much as 114 points to a low of 11,401.20.At 10am, BSE Sensex traded lower by 356.85 points, or 0.94%, to 37,733.79, while the Nifty 50 fell 102.90 points, or 0.89%, to 11,412.30. BSE MidCap and SmallCap were down 0.49% and 0.16%, respectively.Fifteen out of 19 sectoral indices on BSE traded lower with finance and bankex losing most at 1.21% and 1.13%, respectively. Healthcare, IT, realty and teck advanced.On the Sensex basket, 29 shares traded lower, while only 2 stocks, Wipro and Mahindra advanced. HDFC, SBI, Hindustan Unilever and HDFC Bank were among the top losers.On Nifty 50, 39 shares declined, while 11 stocks gained. Wipro, Dr. Reddy’s Labs, Tech Mahindra and HCL Tech were among the top gainers, whereas Titan, HDFC, Bajaj Finance and SBI were among the major losers.
17 Sep 2018, 09:47:00 AM IST
Govt fires first salvo to defend rupee
The government and RBI are keeping their powder dry and the measures announced over the weekend are merely a first salvo
The government and RBI are keeping their powder dry and the measures announced over the weekend are merely a first salvo. https://t.co/LuVM8sVAhT
Banking stocks traded lower with the Nifty Bank Index falling over 1%. Bank of Baroda fell 1.86%, Axis Bank down 1.84%, Punjab National Bank (PNB) 1.81%, State Bank of India (SBI) 1.69% and Yes Bank 1.27%.
17 Sep 2018, 09:24:00 AM IST
Infosys shares gain on Fluido acquisition
Infosys shares rose as much as 0.65% to Rs 740. The company has agreed to spend $76 million to buy Fluido, a Salesforce consulting partner in the Nordics in Europe, marking the second acquisition under chief executive officer (CEO) Salil Parekh, who took over nine months ago.
17 Sep 2018, 09:20:00 AM IST
Rupee weakens against dollar
The Indian rupee weakened against the US dollar, tracking the losses from Asian currency market, even as the government announced several measures to defend the currency. At 09.08am, the rupee was trading at 72.65 a dollar, down 1.09% from its previous close of 71.86. The currency opened at 72.49 a dollar, touching a high 72.49 and a low 72.65. The 10-year bond yield stood at 8.162%, from its Friday’s close of 8.127%. Bond yields and prices move in opposite directions.
17 Sep 2018, 09:07:00 AM IST
Goldman Sachs says Sensex, Nifty’s world-beating rally is over
Goldman Sachs Group Inc. has called time on the world-beating surge in Indian stocks. India’s benchmark indices—Sensex and Nifty—looks less favourable amid elevated valuations, a potential slowdown in economic growth and upcoming elections, according to Goldman Sachs analysts, who cut India to the equivalent of a hold rating from buy.“The risk reward for Indian equities is less favourable,” the analysts, including Sunil Koul, wrote in a report dated 16 September. “The key reasons for our less optimistic view include, among others, stretched valuations, multiple macro headwinds in the near term and election event risk.” Read more
17 Sep 2018, 08:53:00 AM IST
Ircon IPO opens for subscription today
Ircon International IPO, which opens for subscription today, has a price band ₹ 470-475 apiece. As a part of its disinvestment plans, the government is selling around 10% stake in Ircon to raise around ₹ 467 crore.
Oil: Global oil prices eased in early Asian trading on concerns that US is poised to impose additional tariffs on China, outweighing supply fears from upcoming sanctions on Iran. Brent crude oil futures dipped 16 cents, or 0.2% to $77.93 a barrel. US WTI futures fell 20 cents or 0.3%, to $68.79 a barrel.Gold: Global gold prices were little changed, after falling 0.6% in the previous session, as investors remained cautious on reports that US is set impose a new round of tariffs on Chinese imports. Spot gold was flat at $1,193 an ounce as of 0039 GMT. * Bullion fell last week for a third straight week. * U.S. gold futures were down 0.2 percent at $1,198.20.Metals: Base metals prices fell sharply in early Asian trade on reports that US tariffs on $200 billion of Chinese goods could be imposed immediately. The news has left investors fearing that demand for industrial metals will soften. Three-month copper on the London Metal Exchange fell as much as 1.9% to $5,861.50 a tonne. LME nickel tumbled as much as 3.2% overnight to $12,250 a tonne, before trimming losses to around 2%. Only Shanghai tin was in positive territory, inching up 0.1%. Reuters
17 Sep 2018, 08:32:00 AM IST
Opening bell: Cues to look out for before trading today
■ Asian markets opened lower amid reports the US is about to announce a new round of tariffs on Chinese imports setting the stage for possible reprisals by China, reports Reuters. Over the weekend, US stocks closed little changed.■ Canadian investor Brookfield is set to buy East West Pipeline Ltd, earlier known as Reliance Gas Transportation Infrastructure Ltd, for an enterprise valuation of Rs 14,000 crore ($2 billion), reports The Economic Times.■ Troubled infrastructure finance group IL&FS is seeking government and regulatory intervention after its key shareholders did not offer an immediate credit facility to stave off mounting debt defaults, reports The Times of India.■ Infosys has agreed to spend $76 million to buy Fluido, a Salesforce consulting partner in the Nordics in Europe, marking the second acquisition under chief executive officer Salil Parekh.■ DLF is working towards making its housing business debt free by March next year and the cash flow from sales of completed inventories worth around Rs14,000 crore would be utilised to fund new projects, reports PTI.■ BPCL Ltd, which owns Bina Refinery in an equal JV with Oman Oil Company, has shelved its IPO plans for the company as “it generates enough cash” to complete the ongoing expansion and as also “because Kuwaiti Petroleum is keen to pick up a stake”, says a senior official, reports PTI.■ Arvind Ltd is planning to invest Rs 500 crore per annum for the next 4-5 years with an aim to double its revenue from its textiles business to Rs 12,000 crore, reports PTI. According to the report, the company is in the process of de-merging its brands and engineering businesses into separate entities.■ The GVK and GMR groups are in final stages of selling-in separate deals-stake in holdings companies that operate Mumbai and Delhi airports, reports The Economic Times.■ Vedanta Ltd may have to fork out a few million dollars more to get an extension as the operator for its oil and gas producing asset in Barmer, Rajasthan, reports The Hindu Business Line.■ Rising crude oil prices have upset the government’s estimate for cooking fuel subsidy for this financial year, reports Business Standard. Based on the current prices the subsidy on these products may touch Rs 414.78 billion, against the targeted Rs 249.32 billion, the report adds. R. Sree Ram/MintWith inputs from Reuters