Closing Bell: Sensex sheds 792 points, Nifty dips 2.6 percent##Closing Bell: Sensex sheds 792 points, Nifty dips 2.6 percent
The BSE Sensex shed 792 points, or 2.25 percent, to end at 34,377, while the NSE Nifty50 dipped 283 points, or 2.67 percent, to settle at 10,316. Benchmark indexes saw the biggest ever weekly fall in absolute terms. For the week, Nifty shed 614 points, while the Sensex dropped 1,850 points. After a tepid opening, indexes remained under pressure for much of the day as shares of oil marketing companies tanked on absorbing excise duty cut in retail fuel prices. Both Sensex and Nifty extended losses after the RBI kept repo rate unchanged, triggering a sharp fall in the Indian rupee, which breached the 74 per dollar mark against the US currency. Broader markets mirrored frontline indexes in terms of decline. Both midcaps fell more than 2.6 percent. Only Nifty IT ended in the green after rupee's sharp fall, while all bank shares except IndusInd and HDFC settled negative. Shares of three oil marketing companies, IOC, HPCL and BPCL tanked over 17 percent each and the Oil & Gas sector turned out to be the worst performing sector today. ONGC shares fell 14.5 percent. Market breadth stands in favour of declines with 7 shares falling against 2 advances.
Nifty PSU Bank tanks more as RBI leaves repo rate unchanged##Nifty PSU Bank tanks more as RBI leaves repo rate unchanged
The Nifty PSU Bank index fell further into red after the RBI's monetary policy committee left the repo rate unchanged at 6.50 percent against the market expectation of a 25-basis-point hike. The Nifty Bank index also erased its gains after the outcome of RBI's policy meet. The Nifty PSU Bank index followed the sell-off in the broader market where benchmark indices Sensex and Nifty 50 shed nearly 2 percent each. Shares of Indian Bank, Central Bank of India, Bank of Baroda, State Bank of India, Canara Bank, Oriental Bank of Commerce and Union Bank fell 1.5-3.2 percent. At 3.09 pm, Nifty Bank index was down by 234 points, or nearly a percent, at 24,5548. The Sensex traded at 34,481.86, plunging by 687.30 points, or 1.95% percent, while the Nifty traded at 10,357.75, sharply down by 241.50 points, or 2.28 percent.
RBI Monetary Policy Committee keeps repo rate unchaged at 6.50%##RBI Monetary Policy Committee keeps repo rate unchaged at 6.50%
The Reserve Bank of India (RBI) on Friday surprised everyone by keeping repo rate unchanged at 6.50 percent and the reverse repo rate at 6.25 percent. The RBI Monetary Policy Committee said its decision is consistent with the stance of calibrated tightening of monetary policy to achieve the medium-term 4 percent CPI target. The CPI inflation has been projected at 4 percent in Q2FY19, 3.9-4.5 percent in H2 and 4.8 percent in Q1FY20.
Sensex, Nifty recover mildly ahead of RBI monetary policy decision##Sensex, Nifty recover mildly ahead of RBI monetary policy decision
The BSE Sensex traded at 34,762.73, lower by 406.43 points, or 1.16 percent, while the NSE Nifty50 was at 10,421.90, down by 177.35 points, or 1.67 percent ahead of the crucial October Monetary Policy Committee meeting today.
Rate-sensitive sectors fall ahead of RBI MPC meet outcome##Rate-sensitive sectors fall ahead of RBI MPC meet outcome
Shares of banks, real estate and automobile companies fell today due to fears that the RBI could hike interest rates by more than 25 basis points or change its stance from 'neutral' to 'hawkish', dealers said. Most market participants said that a 25-bps hike in rates has been factored in by the market, but any signal of multiple rate hikes would be negative for equities. The sharp fall in the rupee against the dollar and rising crude oil prices are likely to prompt the RBI to raise rates at its monetary policy meeting later today. Demand for loans, houses and automobiles is usually seen taking a hit because of higher interest rates. The Nifty Auto, Nifty Realty and the Nifty PSU Bank indices were down more than 2 percent each. (Cogencis)
Indiabulls Housing up 14% in 4 days after sharp fall, selling continues in D-street##Indiabulls Housing up 14% in 4 days after sharp fall, selling continues in D-street
Shares of Indiabulls Housing Finance jumped 14 percent so far during its four straight session of gains after the stock saw a sharp 26 percent knock in the past two weeks. Sentiment for the stock improved as concerns over liquidity eased following the RBI's measures. Also, investor sentiment was revived after the government took control of the crisis-ridden IL&FS. The housing finance company's shares had tanked in the past two weeks due to concern over high borrowing costs, and liquidity of NBFCs in general. Shares of Indiabulls Housing Finance were up 2.4 percent at Rs 973.80. Meanwhile, there is no respite in selling in equity market. Benchmark indexes dipped further with the Sensex plunging 485 points, or 1.38 percent, to trade at 34,684, while the Nifty plummetted 1.71 percent, or 181 points, at 10,418.
Emami near 4-year low on concern over low winter demand, Sensex, Nifty extend losses##Emami near 4-year low on concern over low winter demand, Sensex, Nifty extend losses
Shares of Emami hit a near four-year low of Rs 415 on demand concerns. Emami's management told CNBC-TV18 that they are the market leaders for all their products, and that consumer demand remains good. At 1.23 pm, the shares were down 8.76 percent at Rs 432.25. Equity indexes continue to trade lower. The NSE Nifty50 dipped 178 points, or 1.68 percent, to Rs 10,419. The BSE Sensex plunged 463 points, or 1.32 percent, to trade at 34,706.
Bajaj Auto shares hit 52-week low, Nifty50 dips 1.6%##Bajaj Auto shares hit 52-week low, Nifty50 dips 1.6%
Shares of Bajaj Auto Ltd fell as much as 3.74 percent to Rs 2,557.7, lowest since January 2, 2017. Bajaj Auto shares traded at Rs2,574.20, lower by 3.12 percent at 12.33 pm. BSE Auto index fell 1.71 percent, while Nifty Auto tanked 1.76 percent. Meanwhile, benchmark indexes slumped more with the NSE Nifty50 traded lower by 172 points, or 1.62 percent, at 10,427. The BSE Sensex traded at 34,716, plunging by 428 points, or 1.22 percent.
Market update: Sensex, Nifty extend losses ahead of RBI MPC outcome##Market update: Sensex, Nifty extend losses ahead of RBI MPC outcome
The BSE Sensex extended losses, falling by more than a percent, or by 368 points, to trade at 34,801, while the NSE Nifty50 dipped 1.35 percent, or 143 points, to trade at 10,456. Apart from public sector oil marketing companies and refiners, Hindalco shares dipped 4.5 percent, Reliance down by 3.7 percent, Vedanta traded lower by 3.46 percent, M&M also went down by 3.24 percent. Coal India shares lost 2.63 percent. Gainers include Titan, IndusInd Bank, Bharti Infratel, Infosys, HCL Technologies, Kotak Mahindra Bank, PowerGrid Corp, TCS, rising by up to 4.2 percent.
Mangalam Maloo’s quick take on why Titan shares have surged 5% today##Mangalam Maloo’s quick take on why Titan shares have surged 5% today
Titan stock gains 5% as the company released its Q2 update on the exchanges last evening. Titan management seemed upbeat about the Jewellery segment performance in Q2 after a relatively soft Q1. They did lay out the challenges faced by the industry in the quarter: Lesser number of wedding dates, increase in Gold prices, tightening of the credit to the industry, subdued consumer demand etc. But the company said, their jewellery business has done well despite these challenges.
Titan attributed the following to good growth in the Jewellery Biz:
1) Gains in market share on the back of exciting new collection launches
2) Extended diamond studded activation
On Other Segments here’s what they had to say:
Watches: Strong growth momentum of the Watch division continues
Eyewear: Growth muted as there was activation last year in the quarter
Market Outlook: Latest study seems to indicate a sense of optimism in the outlook of the economy in general, employment and household income.