PremiumThe Indian stock market ended lower on Friday as the Union Budget failed to bring delight to the investors.
Sensex closed at 39,513.39 tanking 394.67 points, or 0.99%, while Nifty settled at 11,811.15 plunging 135.60 points, or 1.14%.
During the intra-day trade, the Sensex had hit the 40,000 mark and Nifty edged closer to 12,000-level. But soon during the Budget speech, the equity indices gave up all the gains.
Nifty Metal and Realty were most affected among sectors.
Shares of NBFC gained after the government announced more powers to Reserve Bank of India (RBI) to supervise the sector. The PSU Bank stocks also rose. However, most of the sectors trades in the red zone.
Meanwhile, the broader market also extended loss as both the BSE Midcap and Smallcap indices fell 1.39% and 1.36% respectively.
Yes Bank was the worst performer among stocks plunging 8.36%. Other losing stocks were NTPC, Vedanta, Mahindra and Mahindra and Sun Pharma shredding as much as 4.81%.
Globally, Asian shares hovered near two-month highs on Friday, holding recent gains as investors awaited US employment data, a key release that could make or break market expectations about aggressive policy easing by the Federal Reserve.
The MSCI's broadest index of Asia-Pacific shares outside Japan was set for its fifth straight weekly rise. World stocks and bonds have rallied since June on hopes global central banks will keep policy easy to support growth.
Investors worldwide are waiting for US non-farm payrolls, due later in the day, which is expected to have jumped by 160,000 in June compared with 75,000 in May.
Sensex closed at 39,513.39 tanking 394.67 points, or 0.99%, while Nifty settled at 11,811.15 plunging 135.60 points, or 1.14%.
After picking stake in Eveready on Thursday, shares of Yes Bank plunged 8.62% at ₹87.95 on NSE.
Nifty Metal is down 3.96% with SAIL plunging 8.19% in the block.
Shares of Sate Bank of India (SBI) had hit its 52-week high of ₹373.40 after the government announced ₹70,000 crore recapitalisation for PSU Banks.
The stock is trading at ₹372.40 rising 1.39% on BSE.
Shares of jewelers tumbled after finance minister Nirmala Sitharaman in the Union Budget announced its proposal to raise import tax on gold to 12.5% from 10%.
Titan slid 3%, Tribhovandas Bhimji Zaveri 5%, PC Jeweller 4%, Thangamayil Jewellery Ltd fell 3%.
Non banking finance companies (NBFC) surged after finance minister Nirmala Sitharaman said in the Union budget that the government will give more powers to RBI to supervise NBFCs.
GIC Housing Finance rose 5%, L&T Finance 4%, Indiabulls Housing Finance 3%, M&M Finance 2.7%, Can Fin Home 2.2%, Edelweiss Capital 2.2%, LIC Housing Finance 2%, PNB Housing 2%, JM Financial 1.7%.
All the sectors compiled on NSE trades in red with Nifty Realty being the most affected one, falling 2%.
Public sector banks surged after finance minister Nirmala Sitharaman said that the government will provide PSU Banks banks ₹70,000 crore boost for credit improvement.
PSU Bank Index rose 1%. Central Bank of India 2.2%, Bank of Baroda 1.8%, Oriental Bank of Commerce 1.4%, Canara Bank 1.3%, State Bank of India 1%, Bank of India 1%, Allahabad Bank 0.8%, Indian Bank 0.7%, Syndicate Bank 0.6%.
Shares of realty companies were down despite thrust on affordable housing in the Union Budget. Realty Index fell over 1% in noon trade on Friday. Among stocks, Oberoi Realty fell 3.3%, Prestige Estate 2.2%, Sunteck declined 2.1%, DLF 1%, Indiabulls Real Estate 0.5%.
BSE Midcap and Smallcap indices trades in the red zone with each losing 0.30% and 0.38% respectively.
Shares of SpiceJet Ltd rose 1.3% while GMR Infra gains 4% after Finance Minister Sitharaman says it is right time for India to enter aircraft financing and leasing activities, during presentation of federal budget for fiscal year 2020.
Shares of the roadmakers gained after the government plans to carry out comprehensive restructuring of highways programme. IRB Infra rose 3% to ₹98.70, Dilip Buildcon gained 2.9% to ₹498.95.
"Interoperability of RBI depositories and Sebi depositories necessary for seamlesss transfer of treasury bills," says Finance Minister.
1) Contemplating organising global investor meet in India
2) Global investor meet to attract FII, FPIs, sovereign funds, pension funds
3) FPIs to be allowed to invest in REITs, InVits
4) To merge NRI portfolio route with FPI route
5) To allow FPIs, FIIs to invest in debt papers of NBFCs
1) Finance Ministry have asked Sebi to raise minimum public shareholding cap to 35% from 25%
2) To ease Know your customer (KYC) norms for foreign portfolio investors (FPI)
3) To create electronic fund raising platform to list social enterprises, voluntary organisations
4) FDI inflows have remained robust despite global headwinds
5) FPIs inflow in 2018-19 remain was at $683 billion rising 6%
6) "Propose to set up social-stock exchange to list social enterprises and voluntary organisation under Sebi," said Finance Minister
7) Finance Minister said to improve inter-probability of platforms between Reserve Bank of India (RBI), Sebi
"From $1.85 trillion dollars in 2014, the economy has reached $2.7 trillion; we can very well reach $5 trillion by 2025," Finance Minister Nirmala Sitharaman says.
Indian economy is now at sixth position in the world from 11th in 2014.
The Cabinet approves Union Budget 2019 which will be shortly delivered by the Finance Minister Nirmala Sitharaman.
Sensex lost slips from 40,000-mark at 39,915.96 trading almost flat while the broader Nifty holds 11,900-mark at 11,941.00 losing 5.75 points, or 0.05%.
IndusInd Bank, Larsen and Toubro, Kotak Mahindra Bank, Asian Paints and HDFC are the most contributing stocks on Sensex rising as much as 0.83%.
"Markets have been building optimism that Budget can elicit economic resurgence which is at five-year low. If Budget can offer fiscal breather and solution to continuous corporate defaults, markets will greatly welcome. Business sentiment is precariously poised, and Budget provides great opportunity for new finance minister to rebuild consumption and investment confidence. Further, as its first budget of Ms. Nirmala Sitharaman, it helps market participants to discern her thought process for the forthcoming five years of policy-making. Further, as US and China have embroiled in a trade war, the budget can build-up on Indian advantage to increase exports."
Indian markets gained for the fourth consecutive sessions as investors awaits key key budget which will be presented by finance minister Nirmala Sitharaman due later on Friday.
At 9.30 am, the S&P BSE Sensex index rose 0.30% to 40,026.50, while the NSE Nifty 50 gained 0.13% to at 11980.45 points. After 11 June, Sensex touched 40,000-mark today.
Sensex nears 40,000-mark in the pre-open session at 39,981.58 rising 73.52 points, or 0.18%, while the broader Nifty opened at 11,946.75 rising 30 points, or 0.25%.
Eveready Industries: Yes Bank acquired 9.47% stake in the company.
Maruti Suzuki: Probe ordered by Competition Commission against the company
Usha Martin: The company had completed the transfer of the operative iron-ore mine and coal mine under development to Tata Sponge Iron.
GMR Group: The company sold entire stake of 47.62% in GMR Chattisgarh Energy to Adani Power.
Sobha: The total sales for Q1FY20 stood at ₹778 crore. Sales volume rose 11% on year.
SGX Nifty closed at 11,992 rising 12 points, or 0.10%, indicating a positive opening for the Indian indices.
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