Closing Bell: Sensex, Nifty settle 0.5% lower, Yes Bank, Tata Steel top losers##Closing Bell: Sensex, Nifty settle 0.5% lower, Yes Bank, Tata Steel top losers
The BSE Sensex ended 189 points lower, 0.50 percent, to 37452. The NSE Nifty50 slipped over 59 points, or 0.53 percent, to trade at 11,046. The Nifty MidCap index ended almost a percent lower, while the banking gauge, Nifty Bank, ended 1.14 percent down. Metal and auto sectors were the worst performing indexes, while realty, IT and teck advanced. Yes Bank, Tata Steel, JSW Steel, Vedanta and Coal India were among top Nifty losers, slipping by up to 7.13 percent. HCL Tech, BPCL, Infosys, Bharti Infratel and Eicher Motors gained by up to 2.72 percent.
Insider trading cloud over RBL Bank after Cafe Coffee Day boss' death##Insider trading cloud over RBL Bank after Cafe Coffee Day boss' death
CCD’s VG Siddhartha went missing on July 29 evening and his body was found on July 31. On July 30, the next trading day after the news broke out, 27 employees of RBL Bank sold their shares in the bank. The street had been worried about the bank’s high exposure to the CCD group. RBL Bank stocks on July 30 opened at Rs 448.3 per share and ended the session at Rs 398.2 per share. At a total, 3.72 lakh shares worth Rs 15.72 crore were sold by employees at an average price of Rs 421.94 per share. READ MORE
Media shares gain on hopes of easier FDI norms
Midcaps rebound after 23% correction in a year; these 10 stocks rise 10-26% in 5 days##Midcaps rebound after 23% correction in a year; these 10 stocks rise 10-26% in 5 days
The Nifty Midcap index had fallen over 23 percent in the last 1 year till August 23. However, since finance minister Nirmala Sitharaman announced measures to boost the economy, the index has seen a rise of 3.5 percent in the last 5 sessions. In the 2019 Union Budget, finance minister Nirmala Sitharaman announced a slew of measures that didn't sit well with the markets like an increase in the surcharge for foreign and domestic investors. To revive the weakening economy and bring back foreign investment, the finance minister on August 23 announced a rollback of the surcharge on the FPIs. READ MORE
These 3 small-caps saw substantial stake increase by mutual funds##These 3 small-caps saw substantial stake increase by mutual funds
The stock market has been volatile and continuously under pressure since last two months. but after the government’s announcement on the FPI rollback, investor sentiment has turned positive. Interestingly, in the last one year, mutual funds have invested heavily in small-cap companies despite the Nifty Smallcap 100 index falling about 28 percent. As per the data compiled by Value Research, there are three small-cap stocks wherein the mutual funds have raised their stake more than 5 percent in the last one year. READ MORE
Here’s a quick round-up of what has so far happened in the markets today##Here’s a quick round-up of what has so far happened in the markets today
-In a volatile session, domestic indices extended losses due to uncertainty over a US-China trade deal and concerns over a slowdown in global growth. At 14.12 am, the Nifty50 was at 11015.50, down 90 points or 0.81 percent, while the Sensex was at 37325, down 316 points, or 0.84 percent.
-Shares of Tata Motors rose 2 percent as reports that China would lift limits on individual car purchases sparked hope of a revival in automobile sales in the country, a market that contributes 40 percent to arm Jaguar Land Rover's volumes.
-The Nifty Metal index was the worst performer among sectoral indices, down 2.3 percent, on US-China trade concerns.
-IDBI Bank shares slumped over 9 percent on Wednesday after the private lender's unsecured debt was put on 'CreditWatch with negative implications' by S&P Global Ratings.
Foreign inflows into Indian equities have declined sharply in last 5 years. Here's why##Foreign inflows into Indian equities have declined sharply in last 5 years. Here's why
Foreign portfolio investments in Indian equities have declined sharply to $18 billion in the last five years (2014-2018) from $94 billion in the previous five (2009-2013), a report by IIFL Institutional Equities said. Other emerging markets (EMs) too experienced a drop in foreign flows into equity markets. Foreign portfolio investments into EM equities were affected by the US Fed’s quantitative easing (QE) program, the report stated. The Fed stopped purchasing assets (Treasuries/Mortgage Securities, etc.) from October 2014 and began unwinding QE from October 2017. READ MORE
We had virtually zero sales for 4 months when govt suddenly altered EV policy, says Hero Electric CEO##We had virtually zero sales for 4 months when govt suddenly altered EV policy, says Hero Electric CEO
As India drives its electric vehicle policy through a subsidy programme that encourages local production, its hasty implementation, frequent changes, and unavailability of finance for the vehicles have been weighing on the country’s EV industry. In March, the government announced an outlay of Rs 10,000 crore towards subsidies to incentivise primarily electric two-wheelers and three-wheelers over the next three years, under its FAME – II (Faster Adoption and Manufacturing of Electric Vehicles in India) scheme. READ MORE
Auto, midcap index likely to see 1000-point recovery, says JM Financial’s Gautam Shah##Auto, midcap index likely to see 1000-point recovery, says JM Financial’s Gautam Shah
The auto index is likely to see a 1000-point recovery, said Gautam Shah, director and chief technical analyst at JM Financial, adding that if the sector rebounds, it will be a good sentiment booster. According to Shah, not just auto, but many other sectoral indices too are likely to recover further.
“Not just auto but many of the sectoral indices are trading right at medium-term support and that gives me the confidence that maybe this market has some more recovery before it goes down once again," he said in an interview with CNBC-TV18.
Shah also expects a 1,000-point recovery in the midcap index and said this is a great time to buy midcaps. READ MORE
Asia to be most affected due to trade war, says Mark Mobius##Asia to be most affected due to trade war, says Mark Mobius
Emerging markets fund manager and founder of Mobius Capital Partners LLP, Mark Mobius, on Wednesday said that Asian nations will be most affected by the tariff war between Beijing and Washington as they have China as their major trade partner. “It is not good for emerging markets (EMs) at least in the short-term because there are a lot of adjustments we made and particularly in Asia because most of the Asian nations have their major trade partner as China," said Mobius. However, he said there are some countries that will benefit from manufacturing shifting away from China. "So we have to balance out and look very carefully at who is going to benefit and who is going to be hurt." READ MORE
IDBI Bank shares slump 9% after S&P Global Ratings places it on CreditWatch##IDBI Bank shares slump 9% after S&P Global Ratings places it on CreditWatch
IDBI Bank shares slumped over 9 percent on Wednesday after the private lender's unsecured debt was put on 'CreditWatch with negative implications' by S&P Global Ratings. At 9:45 am, the stock price plunged 8.97 percent to Rs 26.90 per share on the NSE. Intraday, the share price slipped 9.30 percent to Rs 26.80.
The global rating agency in its report said, "We placed the ratings on 'CreditWatch' to reflect the uncertainty regarding IDBI's ability to meet its regulatory capital requirement over the next few months. The bank expects to raise capital from its majority shareholders — LIC [Life Insurance Corporation of India ] and the government of India before September 30, 2019, to meet the shortfall, but the quantum and timing of the capital infusion is uncertain, in our view." READ MORE
Hindustan Unilever shares slip likely on notice from anti-profiteering body##Hindustan Unilever shares slip likely on notice from anti-profiteering body
Hindustan Unilever shares fell over 1 percent to Rs 1,839.40 following reports that the National Anti-Profiteering Authority had issued a show-cause notice to the company, along with other fast moving consumer goods companies. The notices to the companies were issued for not fully passing on the benefits of lower goods and services tax to consumers, ET reported.