First Published: IST
Indian shares closed with strong gains on Friday led primarily by largecap stocks of Reliance Industries, HDFC twins, ITC, TCS, SBI and others along with Bharti Airtel. Yes Bank, Maruti Suzuki, Tata Steel were among major laggards. Broader markets underperformed with the Nifty MidCap ending lower by 0.35 percent. In currency market, rupee traded stronger against the US dollar. Here are the main highlights from the stock market today:
Sensex heatmap at close: Bharti Airtel ends 10% up, Yes Bank down over 7%##Sensex heatmap at close: Bharti Airtel ends 10% up, Yes Bank down over 7%
Closing Bell: Sensex jumps 196 points, Nifty ends above 10,680##Closing Bell: Sensex jumps 196 points, Nifty ends above 10,680
The BSE Sensex ended 196 points higher, or 0.56 percent, to settle at 35,457, while the NSE Nifty50 closed at 10,682, rising 65.50 points, or 0.62 percent. The Nifty MidCap ended lower by 0.35 percent, while the BSE MidCap was flat. Shares of Bharti Airtel ended 9.3 percent higher. Other major gainers were HCL Technologies, Eicher Motors, Grasim, Reliance Industries, Hero MotoCorp, SBI, HDFC, rising by up to 3.38 percent. Among losers, Yes Bank dipped the most, settling lower by 7.21 percent. Indibulls Housing Finance also slipped nearly 5 percent. JSW Steel, Tata Steel, Indian Oil Corp., Maruti Suzuki, ONGC and Axis Bank were other losers, falling by up to 2.47 percent.
Market update: Sensex, Nifty sustain gains ahead of close##Market update: Sensex, Nifty sustain gains ahead of close
Indian shares have largely sustained gains ahead of the closing trade led by Reliance Industries, HDFC twins, Bharti Airtel, SBI, Tata Consultancy Services and ITC. Yes Bank and Infosys along with Maruti Suzuki and ICICI Bank have capped gains. The Sensex traded at 35,443, higher by 183 points, or 0.52 percent at 3.05 pm, while the Nifty was at 10,668, gaining 52 points, or 0.49 percent.
Deepak Fertilisers hits 2-year low as tax department raids premises##Deepak Fertilisers hits 2-year low as tax department raids premises
Shares of Deepak Fertilisers & Petrochemicals Corp fell nearly 4 percent to a two-year low of Rs 175.5 after the company said officials from the income tax department were carrying out a search operation at its office premises and plants. The company said the search operations at its premises began on Thursday and were continuing at the time of disclosure to stock exchanges. Income tax officials are surveying the premises for proof of income that the tax department believes has not been declared by the company. (Cogencis)
Rupee trading at day's high of 71.72 against the US dollar##Rupee trading at day's high of 71.72 against the US dollar
Vodafone Idea up 14% on equity, asset monetisation plan##Vodafone Idea up 14% on equity, asset monetisation plan
Shares of Vodafone Idea surged over 14 percent in heavy volumes as its equity raising and asset monetisation plan is seen bringing some relief in a tough telecom sector environment. Motilal Oswal Securities said Vodafone Idea has a tough task with a debt size of Rs 1.1 trillion, but equity funding of Rs 250 billion, along with tower sale value of Rs 53.7 billion, will up total cash in its books to Rs 440 billion to support capital expenditure and interest payments for 10-12 quarters. Vodafone Idea is also exploring sale of fibre network of over 156,000 km. Edelweiss Securities said all these plans would help company with a war chest to hold on to its market share. Motilal Oswal Securities has set the price target on shares of the company at at Rs 50, while Edelweiss Securities's price target for the stock is Rs 40. At 2 pm, shares of Vodafone Idea traded 12.47% higher at Rs 41.50 with over 53 million shares traded. So far in 2018, shares of Vodafone Idea were down 61 percent. (Cogencis)
Housing finance companies down on liquidity risk worries##Housing finance companies down on liquidity risk worries
Shares of private sector housing finance companies were sharply down on worries over liquidity risks in the real estate sector due to stressed situation of many developers, said dealers. Shares of Indiabulls Housing Finance were down 4.8 percent at Rs 766.40, and the company's market capitalisation is the lowest in the Nifty 50 stocks. Shares of Indiabulls Housing are now down 12 percent from Tuesday. Among other shares, those of Dewan Housing Finance Corp. were down 4.6 percent at Rs 233, LIC Housing Finance down 2.2 percent at Rs 455.85, PNB Housing Finance down 0.1 percent at Rs 999.90, and Housing and Urban Development Corp. was 0.5 percent lower at Rs 44.25.
Crude gains in trade as OPEC plans production cut in December##Crude gains in trade as OPEC plans production cut in December
DHFL shares under pressure, NBFC issues NCDs worth Rs 1500 crore##DHFL shares under pressure, NBFC issues NCDs worth Rs 1500 crore
Dewan Housing Finance ltd issues NCDs worth Rs 1,500 crore at a coupon of 9.92 percent with maturity in 2028. Shares traded at Rs 237.70, down by 2.72 percent on the NSE. Meanwhile, the Nifty traded at 10,656, higher by 39 points, or 0.37 percent at 11.46 am, while the Sensex surged 128 points, or 0.36 percent, to 35,389.
Venus Remedies surges on Elores phase-3 trial success##Venus Remedies surges on Elores phase-3 trial success
Shares of Venus Remedies hit their 20 percent upper circuit of Rs 48.35 after the company announced positive top-line results in the phase-3 clinical trials for its flagship product Elores. Elores is a patented critical care antibiotic combination targeting unmet medical needs in anti-microbial resistance space. Elores was launched in three Latin American markets and is scheduled to be introduced in Saudi Arabia on November 23, the company said in a filing to the stock exchanges. (Cogencis)
Nigel Dsouza explains why Page Industries has lost $1.5 billion in market capitalization in the past 75 days##Nigel Dsouza explains why Page Industries has lost $1.5 billion in market capitalization in the past 75 days
Page industries has lost $1.5 billion in market capitalization in the past 75 days. The management has given a revenue growth guidance of 20 percent over the next 20 years, margins between 21 and 22 percent while return on equity is expected to remain above 50 percent. The second quarter ended September 30, 2018 was disappointing as revenues were up only 10 percent – weakest in over a decade. Pure earnings grew 10 percent, significantly lower than the estimated 30 percent growth. Credit Suisse said the ‘slowdown In Male Innerwear a serious concern’ and cut estimates between five and 12 percent over FY19 and FY21 period.
Jet Air shares volatile, Tata Sons likely stake buy deal eyed##Jet Air shares volatile, Tata Sons likely stake buy deal eyed
Shares of Jet Airways India were up 7 percent at Rs 343.90 after swinging between losses and gains. Investors reacted to a slew of news related to a likely stake purchase in the beleaguered airline by Tata Sons. Jet Air shares fell as much as 5 percent earlier today after a report on CNBC-TV18 said that no formal announcement of a stake purchase in the airline by Tata Sons is expected today. Market participants were hopeful that Tata Sons would announce a deal soon, especially after a report said the government was keen on the Ratan Tata-led group rescuing the airline. Another report said Tata group's acquisition of Jet Air would hinge on the airline's founder Naresh Goyal relinquishing his seat on the board even if he holds a minority stake in the cash-strapped carrier. Shares of the airline had jumped 24 percent on Thursday on news of Tata Sons buying stake. (Cogencis)
Market update: Sensex, Nifty extend gains led by Reliance Industries, HDFC twins, ITC##Market update: Sensex, Nifty extend gains led by Reliance Industries, HDFC twins, ITC
The BSE Sensex surged 238 points, or 0.67 percent, to trade at 35,498 at 10.08 am, while the Nifty traded at 10,676, up by 60 points, or 0.56 percent. Benchmark indexes surged higher on gains in Reliance Industries, HDFC twins, Tata Consultancy Services, IC, ICICI Bank, Bharti Airtel, L&T. Infosys, Yes Bank and ONGC dragged indexes. Midcaps, however, lagged behind limiting gains. The Nifty MidCap was trading higher by just 0.13 percent, while the BSE MidCap gained by 0.32 percent.
Yes Bank shares falls 4% on OP Bhatt's resignation##Yes Bank shares falls 4% on OP Bhatt's resignation
Shares of Yes Bank are down over 4 percent in the morning trade as investors reacted to the news of OP Bhatt resigning from CEO & MD’s search panel. The stock has touched an intraday high of Rs 201.90 and an intraday low of Rs 196.65. Former SBI chairman O P Bhatt has resigned from the panel set up by Yes Bank to find a successor to its MD and CEO Rana Kapoor. Bhatt was an external expert on the Search and Selection Committee (S&SC), resigned with "immediate effect."
HCL Technologies, Sun Pharma, Bharti Infratel among top index gainers##HCL Technologies, Sun Pharma, Bharti Infratel among top index gainers
Opening Bell: Sensex, Nifty start higher on positive cues, midcaps underperform##Opening Bell: Sensex, Nifty start higher on positive cues, midcaps underperform
The Sensex jumped 97 points, or 0.27 percent, to start at 35,357 in initial trade, while the Nifty surged to 10,640, rising by 24 points, or 0.22 percent. Midcaps underperformed with the Nifty MidCap mildly higher by 0.05 percent. The Nifty Bank too was marginally up, while shares of HCL Technologies, Bharti Infratel, Sun Pharma, Cipla and Grasim shares moved higher by up to nearly 2 percent in early trade. Yes Bank shares were down by 4 percent as OP Bhatt resigned, while shares of oil marketing companies dipped by 2 percent on reports that the government may sell stake.
Pre-open market update: Sensex, Nifty set for green start##Pre-open market update: Sensex, Nifty set for green start
The Sensex jumped 138 points, or 0.39 percent, to 35,399 in the pre-open trade at 9.08 am, while the Nifty settled at 10,644, up by 27 points, or 0.26 percent. Midcaps are, however, lagging behind with the Nifty MidCap marginally up by 0.15 percent, while the BSE MidCap is up by 0.09 percent.
Rupee opens flat at 71.99 against the US dollar##Rupee opens flat at 71.99 against the US dollar
The Indian rupee opened flat at 71.99 against the US dollar on Friday. The home currency had closed at 71.98 on Thursday against the greenback. The 10-year government bond yield opened unchanged at 7.76 percent.
Here’s how brokerages rate buzzing stocks##Here’s how brokerages rate buzzing stocks
Jefferies on GAIL:
Near term is challenging, but a solid medium-term outlook.
Will buy the weakness in the stock price.
Crude supply surplus may ease if Opec cuts and long-dated HH is still soft.
Petchem EBIT may rise as could gas transmission if HBJ/GREP tariffs rise.
Valuations modest at 10.5x Adj FY19e P/E.
Maintains BUY call, target at Rs 450/share.
HSBC on Zee Entertainment:
Upgrades to HOLD from REDUCE, target at Rs 460/share.
Promoter’s divestment proposal reflects acceptance of changing industry dynamics.
Divestment move removes our concerns over co’s tech capabilities.
Upside risks include a high valuation for the stake from the current level.
Downside risks include the sale of the stake failing to materialize.
Deutsche Bank on Eicher Motors:
BUY call, target at Rs 28,000/share.
Enfield expands its addressable market even as Jawa enters its territory.
Twins may not add significantly to volumes but important for long-term business.
See a FY18-21E EPS CAGR of 17 percent.
Forecast Royal Enfield sale of 8.7 Lakh units in FY19.
Kotak Institutional Equity on UBL:
Operating performance continues to surprise.
Q2 earnings print was healthy across the board.
Volume resurgence and favourable regulatory environment key drivers of growth.
Stock prices in sustenance of positives render risk-rewards neutral at best.
Raise EPS estimates by 8-16 percent.
Maintains REDUCE call, target raised to Rs 1,260 from Rs 1,040/share.
Jet Airways shares jump 25% on Thursday after reports of likely deal with Tata Group##Jet Airways shares jump 25% on Thursday after reports of likely deal with Tata Group
Shares of cash-strapped Jet Airways jumped nearly 25 percent to hit an intra-day high of Rs 321. At 3.07 pm, the stock traded at Rs 321, higher by 24.54 percent on the BSE. The stock has been gaining for the last three days and has risen nearly 24 percent during the period. For the year, the stock has declined by nearly 62 percent. Read more
HDFC Bank's Bhaskar Panda expects rupee to trade below 72 mark against the US dollar##HDFC Bank's Bhaskar Panda expects rupee to trade below 72 mark against the US dollar
Top stocks to watch out for on November 16: Infosys, Yes Bank, Jet Airways, IDFC Bank##Top stocks to watch out for on November 16: Infosys, Yes Bank, Jet Airways, IDFC Bank
Infosys: India's second largest IT services major Infosys on Thursday said its board has approved the appointment of Jayesh Sanghrajka as an interim chief financial officer (CFO) with effect from November 17, 2018.
Jet Airways: Tata Sons Ltd is in pursuit of a controlling stake of debt-laden Jet Airways. Tata Sons board will likely discuss the Jet Airways acquisition plan on Friday and if the board approves, the proposed deal may "move quickly", sources told CNBC-TV18.
Yes Bank: The bank on Thursday said OP Bhatt has tendered his resignation from his duties as an external expert of the search and selection committee for the new CEO, with immediate effect citing that there may be a potential conflict of interest.
IDFC Bank: Domestic ratings agency ICRA has downgraded the long-term ratings of the youngest private sector lender IDFC Bank on profitability concerns.
Bharti Infratel, Vodafone Idea: Bharti Infratel is likely to buy the fibre assets of Vodafone Idea (VIL), The Economic Times reported.
HDFC: The housing finance company is likely to raise up to $1 billion through its maiden dollar bond sale which may hit the market in January, The Economic Times reported.
Brexit, US-China trade war concerns among major global cues##Brexit, US-China trade war concerns among major global cues
Markets: The fate of Brexit and UK leadership continued to hang in the balance, dominating the market’s attention. Meanwhile, the trade war crept back into the picture with collective news suggesting that we will kick some of the US and China’s differences down the road until at least February. This most likely helped equities bounce in late NY trading. Equities close: Dow +0.83 percent, SPX +1.06 percent, Nasdaq +1.72 percent. DXY continues to fail tests of the 97.60/70 region.
Brexit concerns: Various cabinet minister resigned – most importantly, Brexit secretary Rabb also stepped down – in the early European session. This was followed by the market seeing a string of no-confidence letters against PM Theresa May from Conservative MPs and a formal leadership challenge announcement from Jacob Rees-Mogg. We still don't know if there would be a no-confidence vote or not. Theresa May appeared at the London close just as determined to lead the UK as ever. She defended her Brexit position as the best that could be done for Britain now. The tone of her speech suggested to investors that those opposing her in her own party still lacked the 48 letters required to formally call the confidence vote.
The numbers which could seal May's fate: Should Theresa May’s opposition reaches the magic number of ’48’ – i.e. the number letters required from UK Conservative lawmakers to trigger a confidence vote - it is still not clear that May's opponents would have enough votes (158) to officially get her out.
News on trade: An FT article was cited as a potential source for the markets to move higher. It said - "One US executive briefed on the talks said the White House National Economic Council (NEC), which co-ordinates economic policy, was exploring options that could lead to a trade truce but that core issues remained intractable" Furthermore, as a matter of good will, "One person familiar with the situation said Robert Lighthizer, US trade representative, had told some industry executives the next tranche of levies was already on hold."
Fed's review of tools: The Fed also surprised by launching a review of “the strategies, tools, and communication practices it uses to pursue its congressionally-assigned mandate of maximum employment and price stability” for 2019. A research conference, June 4-5, will be a part of this effort.
10 things you need to know before the opening bell##10 things you need to know before the opening bell
Asia: MSCI's broadest index of Asia-Pacific shares outside Japan was ahead 0.26 percent in early trade, while Japan's Nikkei added 0.2 percent.
Wall Street: The Dow Jones Industrial Average rose 208.77 points, or 0.83 percent, to 25,289.27 and the Nasdaq Composite added 122.64 points, or 1.72 percent, to 7,259.03. The benchmark S&P 500 index gained 28.62 points, or 1.06 percent, to 2,730.2, snapping five days of losses.
Crude Oil Prices: Oil prices regained a little composure after their recent drubbing, helped by a decline in US fuel stockpiles and the possibility of a cut in OPEC output. US crude was trading up 3 cents at $56.49. Brent crude was yet to trade but had ended Thursday up 58 cents at $66.70 a barrel.
Infosys appoints Jayesh Sanghrajka as interim CFO##Infosys appoints Jayesh Sanghrajka as interim CFO
India's second largest IT services major, Infosys, on Thursday said its board has approved appointment of Jayesh Sanghrajka as interim chief financial officer (CFO) with effect from November 17, 2018. The board is in the process of selecting the next CFO, Infosys said in a filing to BSE and NSE. The current CFO, MD Ranganath, will step down on November 16, 2018. Read more
Here is what Citi has to say on global macros, India trade data##Here is what Citi has to say on global macros, India trade data
OP Bhatt resigns from Yes Bank CEO selection committee citing conflict of interest##OP Bhatt resigns from Yes Bank CEO selection committee citing conflict of interest
Yes Bank, the fourth largest private sector bank, on Thursday said OP Bhatt has tendered his resignation from his duties as an external expert of the search and selection committee with immediate effect citing that there may be a potential conflict of interest. Read more
Fitch Ratings: India stands at BBB- with stable outlook##Fitch Ratings: India stands at BBB- with stable outlook
Fitch Ratings, one of the three internationally recognized statistical rating organisations, has affirmed India's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BBB-' with a stable outlook.
"India's ratings balance a strong medium-term growth outlook and favourable external balances relative to peers with weak fiscal finances, a fragile financial sector and some lagging structural factors," the agency said in a statement. Read more
Here’s a set of market data to help you guide in trade today##Here’s a set of market data to help you guide in trade today
FII Net Buy 2043 Cr in Cash Market (6078-4035); FII Volumes Higher Due to Kotak Block Deal
DII Net Sell 165 Cr in Cash Mkt (3285-3450)
FIIs Net Buy 2301 Cr in F&O
Date: November 15, 2018
FIIs in F&O
FII Net Buy 419 Cr in Index Futures, OI +15310 contracts
FII Net Buy 2238 Cr in Index Options, OI -4767 contracts
FII Net Sell 568 Cr in Stock Futures, OI +14541 contracts
Date: November 15, 2018
Nifty Spot closed at 10616.7 up by 40.4 points.
India VIX closed at 18.4550 down by 1.97 percent
New in Ban: ADANIENT
Still in Ban: ADANIPOWER, JETAIRWAYS
Nifty OI -0.3 percent; sheds 74100 shares
Nifty Nov Futures trading at 13.85 pts premium v/s 28.7 pts premium
Nifty Bank OI +11 percent; adds 1.55 lk shares
Nifty PCR rose to 1.61 from 1.57
NOV SERIES: MAX OI at 10000 Put & 11000 Call
10400 Put Adds 3.2 lk shares, Prm at 53 vs 66
10600 Put Adds 2.8 lk shares, Prm at 109 vs 130
10600 Call Sheds 1.45 lk shares, Prm at 141 vs 134
10700 Call Adds 1.98 lk shares, Prm at 88 vs 84
MFSL +9 percent
OI -1.6 percent, Short Covering
UJJIVAN +8 percent
OI +13.5 percent, Fresh Longs
APOLLOHOSP +7 percent
OI +114 percent, Fresh Longs
GODFRYPHLP +5 percent
OI +7.3 percent, Fresh Longs
IDEA -11 percent
OI +4.3 percent, Fresh Shorts
YESBANK -7 percent
OI +4.6 percent, Fresh Shorts
MOTHERSUMI -7 percent
OI +17.2 percent, Fresh Shorts