Sensex ends near day's high, Nifty soars 1% led by IT, energy stocks13 min read . Updated: 26 Jun 2020, 03:51 PM IST
- Gains on the Sensex were led by Infosys, TCS
- On Nifty, 28 stocks advanced and 21 fell. On was unchanged
Welcome to Mint live blog. Track this space for latest news and updates.
Snapping two days of losses, benchmark indices near the day's high on Friday in choppy trade.
At close, the Sensex was up 329.17 points or 0.94% at 35,171.27, while the Nifty was up 94.10 points or 0.91% at 10383. About 1629 shares have advanced, 1040 shares declined, and 141 shares are unchanged.
BPCL, Infosys, TCS, IOC and IndusInd Bank were among major gainers on the Nifty, while losers included Bharti Infratel, Bajaj Finance, ITC, Tata Motors and Kotak Mahindra Bank.
Among sectors, barring FMCG and pharma, other indices ended in the green. BSE Midcap and Smallcap indices ended marginally higher.
Reserve Bank of India (RBI) board has deliberated on the current economic situation and evolving challenges posed by the coronavirus pandemic. The board has discussed RBI's activities during July 2019-June 2020 and also discussed budget for next accounting year, other policy and operational matters, reported CNBC-TV18.
It has changed its accounting year to April-March from July-June
Swedish fashion retailer H&M tipped into loss as sales declined in the wake of the coronavirus pandemic and ensuing lockdowns.
H&M had warned in April it would swing into a loss in the three months through May.
Pretax loss was 6.5 billion crowns ($695 million) against a year-earlier profit of 5.9 billion.
H&M said sales so far in June were down 25% in local currencies. It had on June 15 reported a 50% drop in second-quarter sales as measures to slow the covid-19 pandemic slammed the sector.
Sterlite Power has acquired Vapi II North Lakhimpur Transmission Limited (VNLTL), a special purpose vehicle from PFC Consulting Limited, the company said in a press release.
European stocks inched higher on Friday, propped up by positive company updates, although investors remained cautious about a resurgence in US coronavirus cases and its impact on the global economy.
The pan-European STOXX 600 index was up 0.4%, with technology, industrial and media companies leading sectoral gains.
The blue-chip FTSE 100 was up 0.7%, with BP Plc and Royal Dutch Shell Plc among the biggest boosts. The mid-cap FTSE 250 added 0.4%.
Former Reserve Bank of India deputy governor SS Mundra has said one-time loan restructuring is needed, but mid-to-end August may be a better time to assess restructuring, CNBC TV18 reported.
Most Nifty sectoral indices were weak, with Nifty FMGC the worst hit.
UCO Bank reported a net profit of ₹17 crore for the March quarter compared with a loss of ₹1,550 in the year-ago period. Net NPA declined sequentially to 5.5% from 6.3%. Gross NPA was at 16.8% vs 19.5% quarter ago.
Launching the tma Nirbhar Uttar Pradesh Rojgar Yojana virtually, Prime Minister Narendra Modi on Friday said the state will generate 1.25 crore jobs, especially in rural areas under the small scale industries. This follows the return of lakhs of migrant labourers to the state after the pandemic and the ensuing lockdown led to job losses in urban centres.
Modi said investors from India and abroad were looking at Uttar Pradesh as a destination to setup businesses.
CBI carrying out searches at premises of Ratul Puri, others in Delhi-NCR in connection with ₹787 crore alleged bank fraud in Punjab National Bank, Press Trust of India reported.
Citigroup has said rural demand has been showing signs of supporting India’s economy, with bumper crops, a favourable monsoon and government handouts helping villages outpace recovery in urban areas, Bloomberg reported.
Oil prices rose on Friday, extending gains, on optimism about a recovery in fuel demand worldwide, despite a surge in coronavirus cases and signs of a revival in US crude production, Reuters reported.
US West Texas Intermediate (WTI) crude futures gained 25 cents, or 0.7%, to $38.97. Brent crude futures rose 32 cents, or 0.8%, to $41.37 and were also heading for a small decline for the week.
Marks for the pending class 10, 12 exams, which have been cancelled because of the pandemic, will be awarded on basis of marks scored by a student in his or her best performing subjects, according to Central Board of Secondary Education (CBSE)'s four-point assessment scheme, Press Trust of India reported.
The board notified the scheme after receiving a nod from the Supreme Court which was hearing a petition by a group of parents who had demanded the pending exams scheduled in July 1-15 be cancelled given the rise in coronavirus cases.
The crucial southwest monsoon has covered the entire country on Friday after advancing into remaining parts of Rajasthan, Haryana and Punjab, the India Meteorological Department said in a post on Twitter.
Nifty rollovers on Thursday, expiry day, stood at 71.6%, higher than the three-month average of 69.7% but lower than previous month’s 75.7%, as per provisional data.
The rupee was strong against the dollar today, having touched an intra-day high of 75.44 per dollar. At 1215pm, the unit traded at 75.46.
“Today, rupee opened with a positive note due to weakness in dollar and coupled with life time increase in Indian forex reserves. However, cut in global growth forecast may curb the sharp appreciation in Indian rupee. For intraday trading, rupee has a strong support at 75.30 levels and resistance at 76.00 levels. We recommend sell in USDINR around 75.70 - 75.80, with the stop-loss of 76.00 and for the target of 75.30 levels. We expect appreciation in Indian rupee," said Anuj Gupta, deputy vice-president, Commodities and Currencies Research, Angel Broking Ltd.
Ashok Leyland Ltd has reported a 57% year-on-year in its standalone revenue from operations at ₹3,838 crore for the March quarter due to a steep fall in sales.
The company posted a loss of ₹57 crore against a net profit of ₹653 crore in the year-ago period.
Benchmark indices erased some early gains but were still 0.6% higher on the day, led by IT, metal and energy stocks.
At 1145am, the Sensex was up 208.43 points or 0.65% at 35,066.91, and the Nifty was up 65.75 points at 10354.65. About 1487 shares rose, 742 shares declined, and 95 shares were unchanged.
Reliance Industries, Bajaj Finance, ITC, SBI and IndusInd Bank were the most active by volumes.
The Indian Railways has cancelled all regular time-tabled passenger services, including mail/express trains, passenger and suburban services till 12 August, given the surge in coronavirus cases across the country, the Railway Board said on Thursday.
Tickets booked for regular time-tabled trains during 1 July-12 August have also been cancelled.
The Indian rupee extended gains and were trading at day's high at 75.49 per dollar amid upbeat domestic equity markets. The unit had opened higher at 75.52 per dollar compared with the previous close of 75.66.
The provident rate for FY20 could be cut to 8.1% from 8.5%, declared in March, CNBC TV18 reported.
The EPFO board will likely meet soon to take a call.
The board of Reserve Bank of India will meet today to discuss the state of the economy, and the banking sector in particular, CNBC TV18 reported. The RBI has granted several relief measures to mitigate the impact of covid-19 pandemic, including a six-month moratorium on loan repayments for all working capital and term loans.
However, there has been a growing clamour for a one-time restructuring of loans as banks fear asset quality stress build-up due to the hit to businesses and individuals alike, the report said.
Shares of oil marketing companies--Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL), and Hindustan Petroleum Corp Lid (HPCL)--were higher in Friday's trade, helped by continuous rise in petrol, diesel prices.
Gold prices in India edged lower today, declining for the third straight day, but losses were moderate as concerns over rising coronavirus cases supported the precious metal's safe-haven appeal.
On the MCX, gold slipped 0.02% to ₹47,930 per 10 gram.
In global markets, spot gold was up 0.1% at $1,763.48 per ounce. So far this week, gold has risen over 1%, with prices touching a near eight-year high of $1,779.06 per ounce earlier this week.
Six US unions representing aviation workers told top lawmakers on Thursday that they would need an $32 billion in payroll aid to keep hundreds of thousands of workers employed through 31 March, as coronavirus cases continue to surge dimming hopes of recovery in air travel.
Under the CARES Act passed earlier this year, the US Congress gave the aviation sector $32 billion to cover six months of payroll through September, hoping that a sharp drop in air travel due to the coronavirus pandemic would subside by October.
Uber Technologies Inc's financial services head Peter Hazlehurst is quitting as the company focuses on rides and food delivery, and ices plans to become a financial services company, Bloomberg News reported.
The Indian rupee opened 14 paise higher at 75.52 per dollar on Friday against previous close of 75.66.
Ratings agency ICRA has said the lack of scale and backward integration in local solar module manufacturing process for a majority of manufacturers is likely to pose constraints in executing orders.
"...Timely implementation of the notified schemes through time bound award of projects and availability of power supply agreements (PSAs) with the ultimate off-takers remains critical. Further, the lack of scale and backward integration in solar module manufacturing process for a majority of module manufacturers are likely to pose constraints," Sabyasachi Majumdar, group head & senior vice president, ICRA , said in a note.
Ajay Piramal controlled Piramal Enterprises Ltd has raised ₹2,590 crore through issuance of debt securities to US-based investment firm Farallon Capital, Mint reported citing a person aware of the development.
Farallon is a San Francisco based multi-asset investment firm with $29 billion in assets under management.
The capital will be used for repayment of existing loans of the group as well as for other purposes, the person said.
The Pentagon has put out a list of 20 companies it says are owned or controlled by China’s military, which might could possibly invite US sanctions on them, news reports have said.
The list put out on Thursday includes companies like Huawei Technologies Co. and Hangzhou Hikvision Digital Technology, the reports said. In letters to addressed to US lawmakers dated 24 June, the Pentagon said it was providing a list of “Communist Chinese military companies operating in the United States."
Diesel price was hiked by 17 paise a litre on Friday, while that of petrol was raised by 21 paise a litre. Petrol prices have are now up a cumulative ₹8.87 a litre while diesel prices have risen ₹10.80 a litre.
In Delhi, where diesel costs more than petrol, both the fuels are now priced above ₹80.
Indian benchmark indices opened higher on Friday, in line with global peers.
At 0917 am, the Sensex was up 266.27 points or 0.8% at 35,108.37, and the Nifty was up 78.60 points at 10,367.50. About 1001 shares have advanced, 213 shares declined, and 41 shares are unchanged.
Indian benchmark indices surged at pre-open, taking cues from global equities. The Sensex reclaimed the 35,000-mark, while Nifty tested 10,400 levels.
About 47 stocks advanced on the Nifty, while gains on the Sensex were led by ONGC and Power Grid.
Hindustan Unilever completes acquisition of VWash from Glenmark Pharmaceuticals, the company informed the exchanges on Friday. This acquisition was announced on March 23, 2020
On Friday, India reported the biggest single-day surge of nearly 18,000 coronavirus cases over the past 24 hours. Total count soared to 4,91,170, while death toll touched 15,300. Delhi recorded 3,390 fresh coronavirus cases, taking its tally to 73,780. Experts say aggressive testing is the reason behind spiralling of cases in Delhi.
Global private equity major The Carlyle Group has emerged as the frontrunner to buy a significant stake in Ajay Piramal-owned Piramal Group’s pharma businesses for close to ₹3,500 crore.
Three people aware of the development confirmed this, adding that the proposed stake sale has attracted bids from several other global investors.
The stake sale, once completed, may value the Piramal Group’s overall pharma business at approximately $2.5 billion.
Sales of diesel vehicles might witness a sharp decline in the coming months as the price of the fuel comes at par with that of petrol, analysts said. Sales of diesel vehicles have slowed over the last few years as the price difference between the two fuels narrowed, ever since diesel price was deregulated in 2014.
US crude futures were last up 1.2% or 46 cents at $39.18 per barrel, and Brent futures rose 1.3% to $41.58 per barrel.
In the Indian equity markets, RIL, Bharti Airtel, Vedanta, Ashok Leyland, Piramal Enterprises will be in focus on Friday.
The SGX Nifty futures were higher in Asian trade indicating a positive start for Indian equities. The index rose 0.4% to 10,271.50.
Asian stocks were largely higher in early deals on Friday, tracking overnight gains in US peers. Investors weighed prospects of additional stimulus against the spike in American coronavirus cases.
Japan’s Topix index advanced 0.8%, Hong Kong’s Hang Seng dipped 0.6%, Australia’s S&P/ASX 200 Index gained 0.7%, and South Korea’s Kospi rose 0.7%.
China was closed. S&P 500 futures were little changed.
Having opened lower, Wall Street’s main indexes closed higher in a volatile trading session on Thursday. But investors remained jittery as the number of new virus cases in the US grew, especially in the west and south.
The Dow Jones Industrial Average rose 299.66 points, or 1.18%, to 25,745.6, the S&P 500 gained 33.43 points, or 1.10%, to 3,083.76 and the Nasdaq Composite added 107.84 points, or 1.09%, to 10,017.00.
Equities had been weak earlier in the session as data released showed that the number of Americans filing claims for unemployment benefits fell less than expected last week.
But the S&P’s financial sector, up 2.7%, stayed strong for the session and was the S&P’s top percentage gainer. Earlier, regulators had unveiled two rules easing restrictions covering large banks with complex trading and investment portfolios.