Share market highlights: Sensex ends 561 points down, Nifty below 11,450; Bajaj Finance, M&M top losers

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Updated:Jul 19, 2019 3:54:58 pm

Share market highlights: After opening higher on Friday, Sensex and Nifty pared gains and extended losses in the afternoon trade, logging its biggest intra-day fall in the fiscal year.

RIL shares are trading flat ahead of Q1 results scheduled to be reported today.

Share market highlights: After opening higher on Friday, Sensex and Nifty pared gains and extended losses in the afternoon trade, logging its biggest intra-day fall in the fiscal year. The Sensex ended 560 points down at 38,337.01 while the Nifty ended below the 11,450-mark. Bajaj Finance, Tech Mahindra, Tata Motors, M&M shares are among the biggest losers shedding up to 5%. RIL shares ended flat ahead of Q1 results scheduled to be reported today. Asian stocks gained and the dollar sagged on Friday after a top Federal Reserve official all but cemented expectations of a US interest rate cut later this month. New York Fed President John Williams said on Thursday that policymakers need to add stimulus early to deal with too-low inflation when interest rates are near zero and cannot wait for economic disaster to unfold, in a speech read as a strong argument in favor of quick action. The comments by Williams made it a virtual certainty the Fed would opt to cut interest rates by 25 basis points (bps) at its July 30-31 policy meeting and also fueled expectations of an even deeper 50 bp reduction, Reuters reported. We bring to you LIVE updates. 

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Highlights

    15:53 (IST)19 Jul 2019
    BSE live: Sensex ends 561 points down, Nifty below 11,450; Bajaj Finance, M&M top losers

    After opening higher on Friday, Sensex and Nifty pared gains and extended losses in the afternoon trade, logging its biggest intra-day fall in the fiscal year. The Sensex ended 560 points down at 38,337.01 while the Nifty ended below the 11,450-mark. Bajaj Finance, Tech Mahindra, Tata Motors, M&M shares are among the biggest losers shedding up to 5%. RIL shares ended flat ahead of Q1 results scheduled to be reported today. A look at heatmap.

    15:12 (IST)19 Jul 2019
    Reliance Jio pips Bharti Airtel to become India’s 2nd largest mobile operator in May, Highlights of TRAI data

    Reliance Jio, the newest entrant in the telecom sector, has piped Bharti Airtel to become the second-largest mobile operator with 32.29 crore subscribers and 27.80 per cent market share in May, according to regulator TRAI’s data. The move assumes significance as Reliance Jio stormed into the highly-competitive telecom sector in September 2016 with its disruptive voice and data offerings, while Bharti Airtel had launched its services way back in 1995. As per the latest data released by Telecom Regulatory Authority of India (TRAI), Vodafone Idea – born last year from the merger of older operators Vodafone India and Idea Cellular – continues to be the largest operator with 38.75 crore consumers and 33.36 per cent market share in the wireless segment as on May 31, 2019.

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    14:36 (IST)19 Jul 2019
    50 years of bank nationalisation: Good so far, but these problems remain

    On this day, 50 years back, fourteen major lenders that accounted for 85 per cent of bank deposits were nationalised under the then Prime Minister Indira Gandhi-led government. The financial expertise which began the midnight of July 19, 1969 was followed up with nationalisation of six more banks in 1980. The government of the time driving the nationalisation of banks with a core objective of boosting priority sectors at a time when the large businesses dominated credit profiles. The government also believed that the lenders were not being able to support its socio-economic objectives and hence, should expand its control over them.

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    13:57 (IST)19 Jul 2019
    BSE live: Sensex down over 500 points, Nifty below 11,450; Bajaj Finance, IndusInd Bank top losers

    After opening higher on Friday, Sensex and Nifty pared gains and extended losses in the afternoon trade. The Sensex is down over 520 points to 38,378.32 while the Nifty is trading below the 11,450-mark. Bajaj Finance, Tech Mahindra, Tata Motors, M&M shares are among the biggest losers shedding up to 5%. RIL shares are trading flat ahead of Q1 results scheduled to be reported today. A look at LIVE heatmap. 

    13:38 (IST)19 Jul 2019
    ACC shares surge 5% on 1QFY20 results; should you buy or sell stock?

    Shares of cement manufacturer ACC soared 5 per cent after it posted stellar results for Apr-Jun. Shares of ACC soared 5 per cent to Rs 1,647.30 per share on BSE. Today, the shares had opened at Rs 1,596.20 per share against the previous close of Rs 15,67.20 per share. ACC reported 38.61 per cent rise in its consolidated net profit at Rs 455.68 crore for the first quarter of FY 20. Total revenue of the company grew 7.83 per cent Rs 4,149.82 crore year-on-year in Apr-Jun. Going by the company’s robust results, analysts have recommended BUY on ACC stock. 

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    12:41 (IST)19 Jul 2019
    Govt must revisit GDP methodology: Here’s Arvind Subramanian’s 4-point rebuttal to critics

    Standing firmly by his research which raised doubts over India’s GDP growth, former chief economic advisor (CEA) Arvind Subramanian has yet again raised questions over consistency between projected growth and other macro indicators. In a new research paper, the noted economist has countered the arguments against his earlier research by arguing that even after a series of shocks hitting the economy between 2011-2016,  the GDP growth fell just marginally to 6.9 per cent from 7.7 per cent. It’s not possible that the adverse macro shocks had such a minor impact on GDP growth, he argued in his new paper — Validating India’s GDP Growth Estimates. The most important task for the government now is to revisit the GDP methodology, he added.

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    12:14 (IST)19 Jul 2019
    Gold prices hit all-time high as Sensex, Nifty drag; wait before you jump into BUY

    Gold prices hit an all-time high on Friday in India amid fall in Indian headline indices – Sensex and Nifty and stronger rupee. According to analysts, gold is trading higher on the back of expectations that the US Federal Reserve will come out with rate cuts in the upcoming policy owing to global slowdown concerns. The sentiment is bullish on the precious metal, however, the analysts recommend caution since prices have rallied sharply without any pause. Gold prices today hit an all-time high of Rs 35,409 per 10 gram on MCX. 

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    11:41 (IST)19 Jul 2019
    It’s raining jobs at NITI Aayog; check eligibility, other requirements

    India’s premier government think tank NITI Aayog is looking for candidates for four different positions, it announced on Thursday. Inviting applications from professionals in Behavioural Economics and Frontier tech, the vacancies are open for the positions of Senior Specialist/Specialist and Associate/Senior Associate. While the candidates selected for Behavioural Economics will help the government to innovate, transform and impact the sector, applicants selected for Frontier Tech will help the government fulfil its vision of “AI for all”, Industry 4.0 and Blockchain government, NITI Aayog said.

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    11:17 (IST)19 Jul 2019
    BSE live: Sensex extends losses, Nifty below 11,500; Bajaj Finance, Tata Motors shares down

    After opening higher on Friday, Sensex and Nifty pared gains and extended losses in the late morning trade. The Sensex is down 316 points to 38,581.34 while the Nifty is trading below the 11,500-mark. Bajaj Finance, Tech Mahindra, Tata Motors, M&M shares are among the biggest losers shedding up to 5%. RIL shares are trading flat ahead of Q1 results scheduled to be reported today. A look at LIVE Sensex heatmap.

    10:54 (IST)19 Jul 2019
    CPSE ETF sixth tranche opens for retail investors; should you invest?

    The sixth tranche of CPSE ETF through which the Narendra Modi-led government looks to raise up to Rs 10,000 crore opens for retail investors today. The issue is part of the Modi government's mega disinvestment programme to raise a record Rs 1.05 lakh crore in 2019-20, or about Rs 20,000 crore more than it collected in the previous fiscal. In a bid to woo investors, an upfront discount of 3% is also being given. Even as investors mull whether to invest or stay away from the public offer, experts say that while the valuations are attractive, there are better opportunities available. The CPSE ETF tracks shares of 11 Central Public Sector Enterprises (CPSEs) -- ONGC, NTPC, Coal India, IOC, Rural Electrification Corp, Power Finance Corp, Bharat Electronics, Oil India, NBCC India, NLC India and SJVN. Stock market experts points out that the fund is highly concentrated.

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    09:54 (IST)19 Jul 2019
    Make in India: Only half of country’s 268 cellphone makers stay afloat

    The government has put out, on various occasions, very different numbers to show how successful the Make-in-India policy has been when it comes to mobile phone manufacturing locally. In its 2017-18 report, the ministry of electronics and information technology (MeitY) put it at 120 units making mobiles and components (59 were making only handsets); in February 2019, however, the National Policy on Electronics (NPE 2019) said there were 268 units for mobile handsets and components that had been set up in the last 3-4 years. In December 2018, the prime minister went with the first estimate and spoke of 120 mobile makers. In the Interim Budget on February 1, the finance minister used the 268 number, and said this was a big jump from just two units earlier.

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    09:34 (IST)19 Jul 2019
    BSE Live: Sensex up 82 points, Nifty above 11,600; TCS, HCL Tech shares jump

    Share market LIVE: The headline indices Sensex and Nifty opened higher on Friday morning, tracking positive global cues. The Sensex is up 80 points to 38,978.68 while the Nifty is trading above the 11,600-mark. TCS, HCL Tech shares were among the biggest gainers in Sensex, gaining more than 1% each. ONGC, Yes Bank, M&M were the biggest losers, shedding up to 2.5%. RIL shares are trading flat ahead of Q1 results scheduled to be reported today. A look at LIVE Sensex heatmap.

    09:02 (IST)19 Jul 2019
    Jet Airways insolvency: Of Rs 25,000 crore claims filed, Rs 8,400 crore admitted so far

    The interim resolution professional (IRP) for Jet Airways has received claims worth Rs 24,887.93 crore against the grounded airline till July 4, according to the list of creditors uploaded on the company’s website.  Of these claims, the IRP has so far admitted claims worth Rs 8,462.78 crore and rejected claims of over Rs 1,380 crore. Claims worth over Rs 15,000 crore are pending verification. Domestic banks and financial institutions have claimed over Rs 6,441 crore, while foreign banks have claimed around Rs 1,569 crore. Claims of workmen and employees stood at Rs 443.56 crore. Operational creditors, other than workmen and employees, have submitted claims worth Rs 12,373.59 crore. These claims are yet to be verified by the IRP.

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    09:01 (IST)19 Jul 2019
    Andhra government’s notice to Greenko on power tariff cut stayed

    The Appellate Tribunal for Electricity (Aptel) has stayed till August 28 a notice issued by the Andhra Pradesh government to three Greenko Energy group companies asking them to reduce their solar power tariff from Rs 4.50 to Rs 2.44 per unit. “The Appellate Tribunal for Electricity has stayed the notice issued by distribution power utility of Andhra Pradesh to three Greenko Energy group firms asking for a drastic reduction in solar power tariff. The tribunal has stayed these orders till the next hearing on August 28,’’ said a company statement. The company also hinted that power which is given for Rs 2.44 per unit in Rajasthan, cannot be provided at the same rate in Andhra Pradesh.

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    08:57 (IST)19 Jul 2019
    IndiGo crisis: InterGlobe Aviation board meet today amid protestors spat

    The board of Interglobe Aviation, which runs IndiGo, is set to meet on Friday amid a bitter feud between promoters Rakesh Gangwal and Rahul Bhatia over control of the country’s largest domestic carrier. The meet is expected to be a stormy affair with Gangwal, who has raised issues of corporate governance violations by the board, being present at the meeting. According to sources, the board could discuss expanding its composition and including a woman independent director, a mandatory requirement as per the Sebi norms, when it meets to approve results for the April-June quarter. The board, headed by former Sebi chairman M Damodaran, is likely to quiz Gangwal on his allegations of corporate governance lapses by Bhatia and Interglobe Enterprises, controlled by him.

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    08:56 (IST)19 Jul 2019
    FPI tax stays; no threat of investor flight, says FM Nirmala Sitharaman

    Finance minister Nirmala Sitharaman on Thursday declined to remove or relax the applicability of the new surcharge on the super rich on foreign portfolio investors (FPIs), but advised those staring at an increase in tax outflows to shift to the corporate structure where the Budget hasn’t made any change in tax treatment. Tax experts, however, said such a shift by FPIs using the trust structure would have been easier if the government had given them a one-time waiver from capital gains tax. Since many of these ‘Trust FPIs’ may also have considerable unrealised gains, the tax cost of conversion could dissuade them, the experts warned. 

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    08:52 (IST)19 Jul 2019
    IL&FS effect? CARE Ratings sends MD Rajesh Mokashi on leave

    Infrastructure Leasing and Financial Services (IL&FS) has completed the first phase of the forensic audit which has evaluated the role of its credit rating agencies (CRAs) in rating various debt instruments that helped excessive borrowings that eventually led to defaults. The report prepared by Grant Thornton has been shared with relevant stakeholders, sector experts and legal teams for their opinion, IL&FS said in a statement. According to sources, the forensic report was sent to CARE Ratings on Wednesday night and it could have been instrumental in sending the rating agency’s CEO and MD Rajesh Mokashi on “leave”. CARE on Wednesday announced it has asked Mokashi to go on leave pending completion of complaint received by the Securities and Exchange Board of India (Sebi). The rating agency has appointed executive director TN Arun Kumar as an interim CEO.

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    08:51 (IST)19 Jul 2019
    CDPQ set to acquire 3 of Essel’s road projects for Rs 3,500 crore

    Canada’s CDPQ (Caisse de dépôt et placement du Québec) is expected to shortly close a transaction for three road projects of Essel Highways, a subsidiary of Essel Infraprojects, for an enterprise value of around Rs 3,500 crore, according to sources. Essel Highways, which was established in 2007, has 17 operational road projects with more than 4,400 lane km across six states. The three projects that are up for sale include two state highways of Lebad-Jaora in Madhya Pradesh and Essel Dichpally Tollway in Telangana, and a national highway project, Essel Devanahalli Tollway, in Bengaluru.

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    08:45 (IST)19 Jul 2019
    Centre to states: Waive road tax and permit requirement for EVs

    The Centre has pulled up the states for not exempting the electric vehicles (EVs) from the requirement of passenger transport permit and waiving off the road tax, saying this acts as a barrier against the proliferation of EVs. The government has given time till August 31 for states to adopt the measures and submit the action taken to promote the eco-friendly vehicles. In a letter to the states, Abhay Damle, joint secretary at the ministry of road transport and highways, stressed on the need to formulate preferential policies for adoption of EVs through incentives like land allotment for charging infrastructure, mandating charging points in malls, housing societies and office complexes. Other incentives as advised by the Centre include waiver of toll charges and parking fee as well as priority parking slots.

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    08:43 (IST)19 Jul 2019
    Oil rises after US Navy destroys Iranian drone

    Oil prices rose more than 1% on Friday after the U.S. Navy destroyed an Iranian drone in the Strait of Hormuz, a major chokepoint for global crude flows, again raising tensions in the Middle East. Brent crude futures were up 82 cents, or 1.3%, at $62.75 by 0100 GMT. They closed down 2.7% on Thursday, falling for a fourth day. West Texas Intermediate crude futures firmed 61 cents, or 1.1%, at 55.91. They fell 2.6% in the previous session. The United States said on Thursday that a U.S. Navy ship had “destroyed” an Iranian drone in the Strait of Hormuz after the aircraft threatened the vessel, but Iran said it had no information about losing a drone.

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    08:42 (IST)19 Jul 2019
    Gold hits 6-year peak on US rate cut prospect, Middle East tensions

    Gold prices rose to their highest in more than six years on Friday, supported by fresh tensions in the Middle East and comments from a top Federal Reserve official that cemented expectations of an interest rate cut. Spot gold hit $1,452.60 an ounce in early trade, its highest since May 2013, before easing to be down 0.2% at $1,442.71 as of 0117 GMT. The metal has gained 1.8% so far this week, on track for a second consecutive weekly gain. U.S. gold futures jumped 1% to $1,441.90 an ounce.

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    08:41 (IST)19 Jul 2019
    Dollar under pressure after Fed fuels bets on large rate cut

    The dollar was on the defensive on Friday after Federal Reserve officials bolstered expectations of an aggressive rate cut this month to address weakening price pressures. At a central banking conference on Thursday, New York Fed President John Williams argued for pre-emptive measures to avoid having to deal with too low inflation and interest rates. Although a New York Fed representative subsequently said Williams’ comments were academic and not about immediate policy direction, investors still took his remarks along with separate comments from Fed Vice Chair Richard Clarida as a dovish signal from the central bank. The dollar stood at 107.42 yen, up 0.15% in early trade, having hit a three-week low of 107.21 on Thursday while the euro also slipped 0.15% to $1.12555 from $1.1282. On the week, the dollar is down 0.4% versus the yen and almost flat on the euro.

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    08:40 (IST)19 Jul 2019
    Asia stocks gain, dollar sags as Fed reinforces rate cut expectations

    Asian stocks gained and the dollar sagged on Friday after a top Federal Reserve official all but cemented expectations of a U.S. interest rate cut later this month. New York Fed President John Williams said on Thursday that policymakers need to add stimulus early to deal with too-low inflation when interest rates are near zero and cannot wait for economic disaster to unfold, in a speech read as a strong argument in favour of quick action. The comments by Williams made it a virtual certainty the Fed would opt to cut interest rates by 25 basis points (bps) at its July 30-31 policy meeting and also fuelled expectations of an even deeper 50 bp reduction.

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    08:39 (IST)19 Jul 2019
    Wall Street rises as Fed’s Williams cements rate-cut expectations

    U.S. stocks moved higher on Thursday after a slow start as comments from New York Fed President John Williams helped cement expectations for an interest rate cut from the U.S. central bank at the end of the month. Williams said that when rates and inflation are low, policymakers cannot afford to keep their “powder dry” and wait for potential economic problems to materialize. “He’s toeing the party line at the Fed, basically implying that an insurance rate cut is the right thing to do for the economy at this point in time,” said Chris Zaccarelli, chief investment officer at Independent Advisor Alliance in Charlotte, North Carolina. Before Williams’ comments, stocks had been lower as shares of Netflix Inc tumbled 10.3% after the company’s quarterly results, which missed targets for new subscribers overseas.

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