Equity indices extended gains with the BSE Sensex surging by over 325 points, or 0.88 percent, to trade at 37,446.51 at 11.10 am. The NSE Nifty traded at 11,331.05, higher by 96.70 points, or 0.86 percent. Midcaps under perform frontline indexes. The Nifty MidCap traded higher by 0.21 percent, while the BSE MidCap rose 0.40 percent. Yes Bank shares recovered from the day's low to trade lower by nearly 20 percent to Rs 256. Other laggards include Infosys, Tech Mahindra, Vodafone Idea, Hindustan Unilever, Sun Pharma and TCS, declining by up to 1.46 percent. Axis Bank, Bharti Infratel, ICICI Bank, HPCL, Tata Steel, M&M and SBI were top gainers, rising by up to 3.79 percent. Among sectoral indices on the BSE, IT, Teck and Realty traded weak.

Shares of Jet Airways (India) Ltd, the country’s biggest full-service airline, fall as much 7.1 percent to Rs 225.85 rupees, lowest since October 2014. Income tax officials were conducting a survey at its premises, the company said on Thursday, but it did not elaborate further. Separately, over two dozen passengers on one of its flight were treated for minor injuries on Thursday after their plane lost cabin pressure and was forced to turn back, aviation authorities said. Jet said the flight’s cockpit crew had been taken off scheduled duties until investigation was completed. The airline’s woes continue as it battles rising costs and pay dispute with its pilots. More than 3.4 million shares change hands, compared with 30-day average of 7.8 million share. Up to Wednesday’s close, stock had declined over 70 percent this year. 

The BSE Sensex jumped over 157 points, or 0.42 percent, to start at 37,278.89 in the opening trade. At 9.16 am, the 30-share BSE index surged higher by 175 points, or 0.47 percent, to trade at 37,296.25. The NSE Nifty50 also started higher at 11,271.30, rising by 36.95 points, or 0.33 percent. The 50-share broader NSE index also rose further by nearly 71 points, or 0.47 percent to trade at 11,305.20. Yes Bank shares plunged 30 percent as CEO Rana Kapoor to exit on January 31, 2019. HDFC twins, Reliance, ITC and bank stocks lifted indexes.

Edelweiss Securities: 
Development w.r.t Rana Kapoor is negative for the bank.
It also creates uncertainty w.r.t rationale for RBI’s reluctance
Maintains BUY, target cut to Rs 375 from Rs 450/share.

Jefferies: 
BUY call, target cut to Rs 365 from Rs 445/share.
CET 1 is low but we do not see a material growth slowdown.
We do have questions, but we are not panicking.
It remains to be seen whether Rana Kapoor manages to get board seat.

Macquarie:
Timeframe of 4 months to find a new head is too short.
Board may look within the bank to find a replacement.
Rajat Monga may be frontrunner for the role.
Pralay Mondal may also be considered for the MD & CEO post.
Too early to comment if RBI would deny him board seat as well.
Co will remain under pressure.
Maintains OUTPERFORM, target at Rs 425/share.

Nomura on currency:
Reports indicated that RBI studying the use of FX swaps for oil companies.
This measure, if implemented, would have only a short-lived positive impact.
It would represent a step-up in official actions against ` depreciation.
Global conditions remain challenging amid rising oil prices. 
Maintain a cautious view on rupee.

Deutsche Bank on currency:
Option of announcing a NRI deposit scheme remains.
NRI deposit scheme may not be used before other measures are tried.
Import duty hikes and swap window for OMCs seem more reasonable.
Expect RBI to do its part by raising policy rate in October.
RBI may changing the monetary stance to hawkish.
Expect RBI to hike again in December 2018 and April 2019 by 25 bps each.

Macquarie on USL: 
The company has taken a price cut in Mcdowell’s no.1 by 6 percent in Maharashtra.
Maintains UNDERPERFORM rating, target at Rs 443/share.
Price cut a longer term positive from a market share perspective. 
Underperform rating is mainly based on significantly lower margin estimates. 
FY19 EBITDA will be impacted by 3 percent.

Jefferies on Graphite India:
Maintains BUY call, target at Rs 1,415/share.
KSPCB inspected company’s Bengaluru facility post protest by locals.
Even if facility is shut down, company’s production volumes won’t be impacted.
Graphitisation at Nasik can be restarted.

CIMB on NMDC:
Believe there could be mining disruption in Odisha. 
Some mine leases expire on March 31, 2020 in Odisha. 
Co set to benefit from the likely mining disruption in Odisha.
Global ore prices to remain stable, sentimental positive for the company.
Maintains ADD rating, target raised to Rs 161 from Rs 151/share.

Nomura on Coal India:
Healthy interim dividend in Q4 & OFS within 12 months look probable.
Outlay for a share buyback in FY19 would be capped at Rs 2,920 crore.
Maintains BUY call, target at Rs 320/share.