Home >Markets >Stock Markets >Markets may consolidate as global peers rally; Yes Bank, Bajaj Finance in focus
A surge in cases in coronavirus cases have dimmed hopes for an economic recovery anytime soon and this dented equities. (Photo: Mint)
A surge in cases in coronavirus cases have dimmed hopes for an economic recovery anytime soon and this dented equities. (Photo: Mint)

Markets may consolidate as global peers rally; Yes Bank, Bajaj Finance in focus

  • On Wall Street, the Dow Jones Industrial Average rose 1.78%, the S&P 500 gained 1.59% and the Nasdaq Composite 2.21%
  • Emerging market stocks rose 2.65%; MSCI's broadest index of Asia-Pacific shares outside Japan closed 2.46% higher Monday

MUMBAI: Indian stock markets are likely to consolidate on Tuesday, with the SGX Nifty down 0.46% indicating a subdued start for the domestic benchmark indices.

On Monday, the BSE Sensex had ended at 36,487.28, up 465.86 points or 1.29%. The Nifty closed at 10,763.65, up 156.30 or 1.47%.

Asian markets rose on Tuesday as investors weighed growing expectations of an economic rebound in China and a resurgent US services industry, brushing off worries about a spike in US.coronavirus cases.

Bullish sentiment for the Chinese economy had propelled the yuan on Monday to its best day against the dollar since December, while an index of blue-chip Chinese shares soared to its highest in five years.

Stocks also rallied on a sharp rebound in US services industry activity in June, almost returning to pre-pandemic levels, even as new coronavirus cases surged in several states, forcing some restaurants and bars to close again in a setback to the budding recovery.

On the Wall Street, the Dow Jones Industrial Average rose 1.78%, the S&P 500 gained 1.59% and the Nasdaq Composite 2.21%.

Emerging market stocks rose 2.65% while MSCI's broadest index of Asia-Pacific shares outside Japan closed 2.46% higher on Monday.

Back home, troubled private sector lender Yes Bank Ltd may sell a big chunk of its wholesale loan book to its lead investor, State Bank of India (SBI), to shore up liquidity.

Consumer durables financier Bajaj Finance Ltd on Monday said it may consider additional accelerated provisioning for covid-19 in the first quarter of FY21 to strengthen its balance sheet. In the March quarter of FY20, Bajaj Finance had set aside 900 crore as provisions for covid-19, leading to a 19.4%% year-on-year (y-o-y) decline in consolidated net profit to 948.1 crore.

Shriram Transport Finance Company (STFC) on Monday said the company's securities issuance committee has approved the rights issue of equity shares to the promoters and promoter group to raise up to 1,500 crore.

Adani Transmission said it will buy from Kalpataru Power Transmission a transmission subsidiary for an enterprise value of 1,286 crore.

Among commodities, gold edged towards an almost eight-year high hit last week as the spike in coronavirus cases kept safety demand elevated, although the rally in stocks and strong US services sector data limited the metal's advance.

US gold futures settled up 0.2% at $1,793.50 per ounce.

Brent crude settled up 30 cents at $43.10 a barrel, while US West Texas Intermediate crude fell 2 cents to settle at $40.63.

Reuters contributed to the story.

Subscribe to newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Click here to read the Mint ePaperLivemint.com is now on Telegram. Join Livemint channel in your Telegram and stay updated

Close
×
My Reads Logout