Closing bell: Sensex falls 139 points; Nifty ends below 11,500; RIL, HUL top losers
11 min read.Updated: 05 Sep 2018, 05:30 PM ISTNirav Vyas
BSE Sensex closed 139.61 points down at 38,018.31, while the Nifty 50 ended 43.35 points lower at 11,476.95. Here are the highlights from the markets
Mumbai: BSE Sensex and NSE’s Nifty 50 declined for the sixth straight session on Wednesday dragged by market heavyweight Reliance Industries and banking stocks. However, a rebound in metal stocks in the second half of the session limited losses. Moreover, negative sentiment in global markets also added pressure. World stocks declined for the fourth day in a row as a looming deadline in the US-China trade conflict inflicted fresh losses on emerging markets and kept the dollar near two-week highs. The Indian rupee erased all the morning gains and weakened to a fresh record low against the US dollar on concern over contagion from other emerging markets. Meanwhile, FPIs bought shares worth a net of Rs 32.64 crore on Tuesday, while DIIs sold shares worth a net of Rs 21.41 crore, provisional data showed. Here are the latest highlights from the markets:
05 Sep 2018, 03:33:00 PM IST
Closing bell: Sensex, Nifty fall for sixth straight session
BSE Sensex closed lower by 139.61 points, or 0.37%, to 38,018.31, while the Nifty 50 fell 43.35 points, or 0.38%, to close at 11,476.95. BSE MidCap and SmallCap fell 0.61% and 0.52%, respectively.Among the sectoral indices on BSE, telecom lost most at 2.24% followed by consumer durables, FMCG and capital goods. Metal, healthcar, auto and power gained. Yes Bank, Vedanta, Adani Ports, Wipro and Sun Pharma were among the top gainers, while Hindustan Unilever, Kotak Bank, Bharti Airtel, Titan and Reliance Industries were among the major losers.
05 Sep 2018, 03:13:00 PM IST
BEL enters Rs 9,000 crore deal
Bharat Electronics Ltd said that it has entered into contracts worth about Rs 9,200 crore with Mazagon Dock Ltd and Garden Reach Shipbuilders and Engineers to supply Long Range Surface-to-Air Missile systems. This is the highest-ever single value order bagged by BEL, added the company. The latest order has pushed the company’s order book above Rs 50,000 crore as of 5 September. BEL shares traded 13.34% down at Rs 94.50.
05 Sep 2018, 03:01:00 PM IST
Green shoots in cement sector may wilt on construction ban in several states
In a blow to real estate companies and cement industry, the Supreme Court of India, in an interim order, has banned all construction activity in the states of Maharashtra, Madhya Pradesh, Uttarakhand and the Union Territory of Chandigarh.
Varroc Engineering shares slip 4% after Q1 results
Varroc Engineering Ltd reported a net profit of Rs 25.83 crore in the quarter ended 30 June, compared to a profit of Rs 10.88 crore a year ago. Revenue from operations stood at Rs 620 crore in the quarter, compared to Rs 509 crore in the same period last year. Varroc shares fell 4.39% to Rs 1,101.
05 Sep 2018, 02:34:00 PM IST
Angel Broking files for Rs 600 crore IPO
Angel Broking Ltd has filed documents for an initial public offering worth up to Rs 600 crore. The IPO comprises a fresh issue of shares by aggregating up to Rs 300 crore, and an offer for sale of shares worth up to Rs 300 crore. ICICI Securities and Edelweiss Financial Services are book running lead managers to the Angel Broking IPO.
05 Sep 2018, 02:13:00 PM IST
RBI intervenes at 71.80 rupees per dollar, say dealers
The Reserve Bank of India (RBI) likely intervened mildly in the forex markets on Wednesday, two traders told Reuters, as the rupee hit a fresh low in line with other emerging market currencies hurt by dollar strength and simmering trade tensions. The RBI is expected to have sold dollars at 71.80 rupees per dollar in the local spot forex market to stem a sharp fall in the Indian currency. Read more
05 Sep 2018, 01:52:00 PM IST
Jefferies starts coverage on Finolex, V Guard with “buy”
Jefferies initiated coverage of Finolex Cables Ltd with a “buy” rating and PT of Rs 690, Havells India Ltd with “hold” and a PT of Rs 745 and V Guard Industries Ltd with a “buy” and PT of Rs 260. The brokerage is bullish on Indian electricals companies, It noted that the sector will benefit from nationwide GST and required billing mechanism called E-Way BillKey emerging trend among electricals is rapid diversification into durables and appliances, which helps de-risk their business models and optimize product mix, said Jefferies. Demand shift to organized segment, govt’s thrust on housing and rural electrification, new product launches, and deeper penetration in rural regions are among key catalysts for electricals companies, according to Jefferies.Shares of Finolex, Havells and V Guard were down between 1.46% and 3.28%. Eight out of 9 analysts covering Finolex rate the stock a “buy”, 11 of 19 have a “buy” rating on V Guard and 27 of 37 rate Havells “buy”. Reuters
05 Sep 2018, 01:40:00 PM IST
Rupee falls further, trades near 72 a dollar
The Indian rupee today plummeted further to a fresh record low against the US dollar on concern over contagion from other emerging markets. This was the sixth consecutive sessions when the currency fell. At 1.15 pm, rupee was trading at 71.92 a dollar, down 0.5% from its Tuesday’s close of 71.57. It opened at 71.45 and touched a low of 71.97. So far this year, the rupee has weakened 11%, while foreign investors have sold $488.60 million and $5.75 billion in equity and debt markets, respectively.
05 Sep 2018, 01:20:00 PM IST
European stock markets drop at open
Europe’s leading stock markets fell at the start of trading on Wednesday, with London’s benchmark FTSE 100 index down 0.3% to 7,432.44 points. In the eurozone, Frankfurt’s DAX 30 index dropped 0.4% to 12,161.65 points and the CAC 40 in Paris shed 0.4% to 5,322.08, compared with the closing levels on Tuesday. AFP
05 Sep 2018, 01:02:00 PM IST
Market update: Sensex, Nifty extend losses
BSE Sensex traded lower by 301.04 points, or 0.77%, to 37,856.88, while the Nifty 50 fell 101.60 points, or 0.88%, to 11,418.70. BSE MidCap and SmallCap fell 1.71% and 1.55%, respectively.All the sectoral indices on BSE traded lower with consumer durables, telecom and realty losing over 2% followed by industrials, consumer goods and energy. Wipro, Bajaj Auto, Yes Bank, ITC and Tech Mahindra were among the top gainers, whereas Titan, Tata Motors, Hindustan Unilever, Kotak Bank and Reliance Industries were among the major losers.
05 Sep 2018, 12:53:00 PM IST
Kirloskar Ferrous shares rise 7% on winning bid
Kirloskar Ferrous Industries Ltd said that it was declared a ‘preferred bidder’ in respect of e-auction of Bharath Mines and Minerals. Shares rose 6.59% to Rs 97.80.
05 Sep 2018, 12:32:00 PM IST
Services growth slows in August on weak demand, rising input prices
India’s dominant services sector expanded at a slower pace last month than in July as weaker demand and rising input costs kept a lid on hiring, a private survey showed on Wednesday. The Nikkei/IHS Markit Services Purchasing Managers’ Index declined to 51.5 in August from a 21-month high of 54.2 in July. The new reading was the lowest since May but remained above the 50-mark that separates growth from contraction for a third straight month. In August, new business expanded at the weakest rate since May, with rising price pressures dragging on overall activity, causing services firms to hire at the slowest pace since November 2017. Read more
05 Sep 2018, 12:00:00 PM IST
Fund manager’s Bollywood-style appeal to RBI as bond yields surge
Investors are pinning their hopes on OMO purchases to support the battered bond market, which has declined in six of eight months this year
Vakrangee ties up with Eko India to offer money transfer service
Vakrangee Ltd said that it has entered into an alliance with Eko India Financial Services Pvt. Ltd for offering domestic money transfer service across India through its Nextgen Vakrangee Kendras. Vakrangee shares were trading 3.69% lower at Rs 39.20.
05 Sep 2018, 11:15:00 AM IST
Rupee erases gains, slumps to record low of 71.79 a dollar
The Indian rupee erased all the morning gains and weakened to a fresh record low against the US dollar on concern over contagion from other emerging markets. This was the sixth consecutive sessions when the currency fell. At 10.55am, the currency was trading at a record low of 71.75 a dollar, down 0.25% from its Tuesday’s close of 71.57. It opened at 71.45 and touched a low of 71.79. So far this year, the rupee has weakened 10.8%, while foreign investors have sold $488.60 million and $5.75 billion in equity and debt markets, respectively.
05 Sep 2018, 11:05:00 AM IST
Thomas Cook shares rise on debt prepayment plan
Thomas Cook India shares rose 1.13% to Rs 250.50 after the company said that it will prepay Rs 67 crore NCDs by 30 September, and plans to reduce the company’s debt further in next three year.
05 Sep 2018, 10:35:00 AM IST
Muthoot Finance shares surge 9%
Muthoot Finance Ltd shares jumped 9.31% to Rs 436.70, in its biggest intraday percent gain since 8 February, after the company’s June-quarter profit increased about 43% to Rs 492 crore. Loan assets in the quarter rose 11% to Rs 27,857 crore.
05 Sep 2018, 10:05:00 AM IST
FMCG: consumption growth robust but are high valuations about to get in touch with reality?
While the sales growth situation looks promising for companies, this needs to trickle down to higher profit growth. About half of most FMCG companies’ sales go towards meeting input costs
FMCG: consumption growth robust but are high valuations about to get in touch with reality? https://t.co/NvJkIKYBWI
Stride Pharma shares gain over 2% on USFDA approval
Stride Pharma Science shares traded 2.30% up at Rs 491.10 after the company said it has received approval from the USFDA for potassium chloride extended release tablets, a generic version of Klor-Con extended release tablets of Upsher-Smith.
05 Sep 2018, 09:30:00 AM IST
Jet Airways shares down over 3% as staff salary delayed
Jet Airways shares fell as much as 3.24% to Rs 263.55 after the Financial Express reported that the company has delayed salary of 20% staff.
05 Sep 2018, 09:22:00 AM IST
Pharma stocks trade higher led by Sun Pharma, Dr Reddy’s
Pharma stocks traded higher. Dr Reddy’s Lab rose 1%, Sun Pharma up 1%, Cadila Healthcare 0.1%, Aurobindo Pharma 0.1%, Piramal Enterprises 0.1%, Gleanmark Pharma 0.7%, Biocon 0.5%, Cipla 0.5%. Sun Pharma Advanced Research Co Ltd rose 5% to Rs 399 after the company issued deadlines for the USFDA to review its two new drugs ‘Xelpros’ and ‘Elepsia’ as November 2018 and January 2019, respectively. The company also said that it will shift its research facility to Vadodara and file a new drug application for its cancer drug ‘Taclantis’ in the fourth quarter of this financial year.
05 Sep 2018, 09:15:00 AM IST
Rupee opens higher against US dollar
The Indian rupee opened marginally higher, tracking mixed Asian currencies after the dollar advanced as risk aversion abated due to robust US economic data. At 9.15am, the rupee was trading at 71.46 a dollar, up 0.14%, from its Tuesday’s close of 71.57. The home currency opened at 71.45 and touched a high and a low of 71.39 and 71.47 a dollar, respectively. So far this year, the rupee has weakened 10.6%, while foreign investors have sold $488.60 million and $5.75 billion in equity and debt markets, respectively.
05 Sep 2018, 09:05:00 AM IST
A whiff of danger in the financial markets
If we have higher GDP growth, we will have a higher current account deficit, which will weaken rupee further, stoke inflation and lead to higher bond yields
If we have higher GDP growth, we will have a higher current account deficit, which will weaken rupee further, stoke inflation and lead to higher bond yields. https://t.co/PU0xe7JZtH
Oil: Oil prices fell, partly reversing a strong jump from the previous day, as the impact of a tropical storm on US Gulf coast production was not as strong as initially expected. US WTI crude futures were at $69.47 per barrel at 7.09am, down 40 cents, or 0.6%, from their last settlement. International Brent crude futures fell 16 cents, or 0.2%, to $78.01 a barrel. Prices jumped the previous day as dozens of US oil and gas platforms in the Gulf of Mexico were shut in anticipation of tropical storm Gordon hitting the region.Gold: Gold prices held near one-week lows touched in the previous session, as global trade tensions and emerging market concerns boosted demand for the US dollar, undermining the metal’s safe haven status. Spot gold was little changed at $1,191.45, after touching a more than one-week low at $1,189.20 on Tuesday. US gold futures were down 0.1% at $1,197.90 an ounce. Gold has lost about 8.5% this year amid rising US interest rates, trade disputes and the Turkish currency crisis, with investors parking their money in the dollar.Metals: Shanghai copper hit its lowest in more than a year overnight and was down for a fifth straight day in early trade, tracking a 2.6% drop in London copper overnight as US-China trade tensions continue to weigh on metals prices. Shanghai nickel fell 1.7%, after hitting its lowest since 24 April overnight, while zinc lost 1.5% and lead slumped 1.7% in early trade.
05 Sep 2018, 08:40:00 AM IST
Opening bell: Cues to look out for before trading today
■ US stocks fell on Tuesday as trade tensions between the US and key partners increased to start off the one of the toughest parts of the year for equity investors. Asia markets were negative in morning action after Wall Street posted losses on its first trading day of the month.■ After months of simmering discontent, the feud between the Singh brothers of the erstwhile Ranbaxy group spilled out into the open with younger sibling Shivinder filing a case of “oppression” against his brother Malvinder Singh and family friend Sunil Godhwani for systematically undermining the interests of Fortis Healthcare Ltd and related firms.■ The Securities and Exchange Board of India (Sebi) defended its stance on new rules for foreign portfolio investors (FPIs), saying warnings of a capital flight were “preposterous” and “highly irresponsible.”■ The Indian rupee touched a fresh record low against US dollar on Tuesday as emerging market currencies declined amid continued concern over trade relations and the turmoil in Argentina and Turkey. ■ Banks Board Bureau has invited applications for the post of managing director and chief executive director of Canara Bank for a three-year term.■ India may be the world’s fastest growing major aviation market, but it is difficult for airlines to make money as excessive taxes and poor infrastructure choke the industry, according to the International Air Transport Association.■ Tata Consultancy Services Ltd’s (TCS) market cap surged past the Rs8 trillion mark for the first time, making it only the second Indian company after Reliance Industries Ltd (RIL) to achieve the milestone.■ The board of Life Insurance Corporation of India is exploring whether to make an open offer to the minority investors of IDBI Bank or seek an exemption from the capital markets regulator.(Harsha Jethmalani/Mint)With inputs from Reuters, agencies