Share market highlights: Sensex ends 10 points up, Nifty above 11,550; Bajaj Finance, Sun Pharma top gainers

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Updated:Jul 09, 2019 3:44:31 pm

Share market highlights: After opening lower, the headline indices-- Sensex and Nifty-- recovered losses in the afternoon trade on Tuesday to close in the green.

sensex, bseThe Sensex emded 10.25 points higher at 38,730.82, while the Nifty closed above the 11,550-mark.

Share market highlights: After opening lower, the headline indices– Sensex and Nifty– recovered losses in the afternoon trade on Tuesday to close in the green. The Sensex emded 10.25 points higher at 38,730.82, while the Nifty closed above the 11,550-mark. Bajaj Finance, Sun Pharma shares were among the biggest gainers, jumping more than 5% each. IT behemolth TCS is all set to report Q1 earnings today, kicking of the results season this quarter. Yesterday, the Sensex and Nifty registered their biggest fall in over 4 years just a session after the presentation of Union Budget 2019, experts say that increased taxes for HNIs, FPIs and FIIs spooked investors, even as valuations remained high. Notably, the 30-share Sensex plunged by more than 900 points to hit the day’s low at 38,605.48, but recovered mildly to settle 793 points down to 38,720.57

The stock market is likely to remain volatile in the coming days. Asian stocks struggled to rebound on Tuesday as investors came to terms with sharply reduced expectations the Federal Reserve will deliver a large interest rate cut at the end of July. Those views were bolstered after solid gains in US jobs for June and pushed down Wall Street for the second straight day. MSCI’s broadest index of Asia-Pacific shares outside Japan ticked up 0.1 percent in early trade, after falling 0.6 percent the previous day. Japan’s Nikkei rose 0.5 percent thanks in part to the yen’s retreat against the dollar, Reuters reported. Back home, shares of IT behemoth TCS will assume focus ahead of Q1 results scheduled to be reported today.

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15:44 (IST)09 Jul 2019
BSE live: Sensex ends 10 points up, Nifty above 11,550; Bajaj Finance, Sun Pharma top gainers

After opening lower, the headline indices-- Sensex and Nifty-- recovered losses in the afternoon trade on Tuesday to close in the green. The Sensex emded 10.25 points higher at 38,730.82, while the Nifty closed above the 11,550-mark. Bajaj Finance, Sun Pharma shares were among the biggest gainers, jumping more than 5% each. IT behemolth TCS is all set to report Q1 earnings today, kicking of the results season this quarter. A look at LIVE Sensex heatmap.

15:19 (IST)09 Jul 2019
TCS share price slumps ahead of Q1 results; here's what to expect from IT giant's earnings

Shares of India's largest IT behemoth slumped in trade on Tuesday, ahead of the firm's Q1 results scheduled to be reported later in the day. TCS share price slumped nearly 4% to hit the day's low at Rs 2,090 on BSE this afternoon. According to experts, the top Indian IT firms are expected to report tepid results as wage hike, stronger Indian rupee and high attrition are likely to weigh. "We expect constant currency revenue growth of 3.2% and cross currency headwinds of 50bps. We expect TCS to post broad-based revenue growth and expect strong deal momentum to continue," Prabhudas Lilladher said in a note. Wage hikes seasonally drag margins in the first quarter of a fiscal. 

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14:39 (IST)09 Jul 2019
Bajaj Finance shares surge over 6% as assets, customers rise, belying NBFC sector troubles

Shares of Bajaj Finance rose more than 6 per cent after it reported stellar growth in its assets under management (AUM) for the first quarter of FY 20 amid challenging situation in the non-banking finance companies or NBFC sector and the fears of a global economic slowdown. Bajaj Finance reported a 41 per cent growth in its AUM by 41 per cent year-on-year basis and by 11.3 per cent on a quarterly basis. The company has also reported an acquisition of 2.5 million new customers. The company’s shares had opened flat on Tuesday morning at Rs 3,414.75 per share.

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14:06 (IST)09 Jul 2019
CEA Subramanian says it’s right time to issue sovereign bonds, but govt must watch for this

Chief Economic Advisor Krishnamurthy Subramanian on Tuesday said that there is no problem in raising funds overseas, provided the issuance of the sovereign is well-managed, TV news channel CNBC TV-18 reported. The government will factor in all ‘risks and returns’ to raise funds through sovereign bonds and possibly the issuance would in the second half of the current financial year,  global news agency Reuters reported citing Chief Economic Adviser Krishnamurthy Subramanian as speaking at an event in Delhi. It’s the right time for India to raise funds through overseas market, CEA also said, adding that tapping into foreign savings to nudge domestic savings.

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13:31 (IST)09 Jul 2019
Rakesh Jhunjhunwala’s favourite shares see worst fall in 6 years after gold prices hit jewellery demand in Q1

Shares of Rakesh Jhunjhunwala’s favourite scrip Titan Company Ltd registered their steppest intra-day fall in over 6 years after the firm said that rising glod prices hit jewellery demand in the first quarter on FY19. Titan Company Ltd shares plunged by more than 14% to hit the day’s low at Rs 1,072.60 on BSE. “The quarter witnessed a tough macro-economic environment with consumption being hit. Very high gold prices particularly in June also impacted growth in the Jewellery industry. Against this background, the Company’s growth particularly in the Jewellery segment was lower than planned even though the gains in market share were sustained,” Titan said in its quarterly update on the exchanges. 

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12:31 (IST)09 Jul 2019
Yogi follows in footsteps of PM Modi, sets $1 trillion target for UP in next three years; key things

Even as Narendra Modi government aims to propel the country to $5-trillion economy within the next few years, Uttar Pradesh plans to follow in the footsteps of centre as it sets $1-trillion target for itself in the next three years, The Indian Express reported. Since every fifth citizen of the country resides in the state, it’s significant for it to achieve the milestone so as to make the national target possible, he added. Without specifying the contours of the plan, Yogi Adityanath, who has just two-and-a-half more years left in his term, said that the state could achieve the target as it has the resources, which if properly used hold the capacity to feed the entire world.

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11:52 (IST)09 Jul 2019
BSE live: Sensex recovers losses, Nifty nears 11,500; Bajaj Finance, Sun Pharma jump 5%

After opening lower, the headline indices-- Sensex and Nifty-- recovered losses in the afternoon trade on Tuesday. The Sensex is down about 12 points to 38,708.28, while the Nifty is nearnig the 11,550-mark. Bajaj Finance, Sun Pharma shares were among the biggest gainers, jumping more than 5% each. A look at LIVE Sensex heatmap. 

11:06 (IST)09 Jul 2019
Hike in surcharge: Markets tank on higher FPI tax

Unless the government rolls back the proposal, foreign portfolio investors (FPIs) will need to pay a higher surcharge on their capital gains. This would result in the effective long-term capital gains tax going up to around 14.25% from about 12%. Similarly, the new effective short-term capital gains tax will be at 21.4 %, up from the current 17.9%. The measure, specified in the Union Budget for 2019-20, could impact at least half the FPIs. Finance minister Nirmala Sitharaman said on Monday, after the customary post-Budget meeting with the Reserve Bank of India board, there was no need for a clarification on whether the higher surcharge would apply to FPIs. Sitharaman said, if needed, she would make a statement in Parliament since it was in session.

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10:31 (IST)09 Jul 2019
Modi govt’s $10 billion external borrowing plan lights up market

Sovereign bonds in India extended the best weekly advance since May after a government official said that the nation could raise as much as $10 billion offshore, a move which may help shift a chunk of the borrowing away from the domestic market. “In terms of risk management I don’t see it exceeding 10-15% of the total borrowing, which makes it roughly about $10 billion,” Economic Affairs Secretary Subhash Garg said in an interview on Saturday. There’s huge appetite overseas for Indian debt, he said.

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10:04 (IST)09 Jul 2019
Budget 2019: Sovereign borrowing plan and its likely impact on local FX and interest rate market

Indian Budget 2019: With politics no longer the overriding consideration, the Modi government has delivered a visionary budget, with a target of creating a $5-trn economy in five years. While there are too many elements to discuss in detail, we will focus on the announced sovereign borrowing plan and the impact it is likely to have on the local FX and interest rate market. There has been talk of a sovereign borrowing for many, many years, but the time has never been right partly because of the tension that prevailed between the government and the RBI. With that tension having eased, at whatever cost to the hallowed “central bank independence”, this excellent initiative has come to life. The first such tranche is scheduled to hit the market as early as September.

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09:27 (IST)09 Jul 2019
BSE live: Sensex down 200 points, Nifty below 11,500; Bajaj Finance, HDFC top losers

The headline stock market indices--Sensex and Nifty--opened lower tracking weak domestic and global cues, and ahead of the earnings season. The Sensex is down about 244 points to 38,477.50, while the Nifty is trading below the 11,500-mark. HDFC, Bajaj Finance shares were among the biggest losers, tanking more than 2% each. Yes Bank, ONGC, Sun Pharma shares were trading higher by upto 2%. IT behemolth TCS is all set to report Q1 earnings today, kicking of the results season this quarter. A look at live Sensex heatmap.

09:12 (IST)09 Jul 2019
Budget 2019: Sitharaman offers an array of tax reliefs to start-up fraternity

Finance minister Nirmala Sitharaman has proposed an array of tax reliefs to the start-up fraternity, which were long awaited. The Angel tax, introduced by the Budget 2012, has been a major concern. It is a tax levied in the hands of an unlisted company that has raised capital at a value exceeding its fair market value, determined as per the valuation methodology prescribed under the Income Tax rules. Excess of such share issue proceeds over and above the fair value is taxable in the hands of the recipient company. Start-ups rely heavily on funding from the angel investors and venture capital groups. Taxation of such investment discourages the investor community from investing in new businesses resulting in driving away the much needed fund-flows.

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09:11 (IST)09 Jul 2019
NCLT sends Siva Industries to insolvency process for Rs 130-crore default

The Chennai bench of the National Company Law Tribunal (NCLT) has ordered the corporate insolvency resolution process (CIRP) against Siva Industries and Holdings, a Siva Group company promoted by serial entrepreneur and former promoter of Aircel C Sivasankaran, admitting a petition filed by IDBI Bank. IDBI Bank had dragged Siva Industries to the NCLT alleging a default of `130.30 crore as on December 31, 2018, and prayed for initiation of the resolution process, in a bid to recover the dues. The bank has pointed out that Siva Industries also failed to discharge duty of a guarantor in respect of the loans given to another group firm Rudhra Pte which defaulted in repaying `79.45 crore, as on October 1, 2018.

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09:06 (IST)09 Jul 2019
Budget 2019 sets direction to achieve high growth target

The Budget has re-emphasised the journey outlined in the Economic Survey to a $5-trillion economy, driven by investments and technology. It has laid out a framework for improving infrastructure with more focus on waterways, aviation and railways, besides an even greater thrust on highways, which will improve Indian business competitiveness. With a huge investment of `50 lakh crore till 2030 for the railways and `100 lakh crore in the next five years for infrastructure, it would need to look at more private sector/PPP involvement to achieve this. In a policy reform measure, the Budget has sought to streamline multiple labour laws into four labour codes. It has also proposed innovative instruments such as joint development of land for building public infrastructure and affordable housing. Almost two crore new affordable houses will be built in rural areas in addition to 1.5 crore already built.

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08:57 (IST)09 Jul 2019
Budget 2019: Boost for rural economy as govt resolves to tackle agricultural issues

At the Centre of everything that we do, we keep gaon, garib aur kisan,” said finance minister Nirmala Sitharaman in her first Budget presentation. As we read the Budget papers in detail, we see a clear focus of the government, and rightly so, on strengthening the tenets of the rural economy, i.e. Bharat. The proposals with regard to the rural economy underline the government’s commitment to wholesome development of the hinterland. While the focus on physical infrastructure building continues along with provision of housing, sanitation facilities and clean fuel, there has also been an equal emphasis on creating sustainable livelihood opportunities.

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08:55 (IST)09 Jul 2019
Carmakers’ revenue growth to take big hit in Q1, says analysts

Automotive OEMs are expected to take a huge hit in their margins as well as revenue growth owing to subdued volumes, increase in discount levels, higher commodity prices and intense competitive environment across the sector, analysts tracking the industry have said. Though there was a moderate price hike of 0.5-1% across products, higher discounting (owing to weak demand) and a slowdown in the global auto market will cast a shadow on the Q1 performance of the companies, they added. “We expect a weak quarter for auto companies. Revenue/Ebitda/net profit for the major companies are likely to decline by 8%/24%/50% year-on-year. Ebitda margin will likely decline by 210 bps y-o-y due to increase in discount levels and negative operating leverage,” Kotak Institutional Equities noted.

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08:52 (IST)09 Jul 2019
Ahead of Air India sale, govt calls for impact study of Jet Airways’ closure

Ahead of the proposed sale of the loss-making Air India, an anxious ministry of civil aviation has called for an impact analysis of the closure of Jet Airways. Ernst & Young (EY), the advisors to the sale, which flopped the first time, has been tasked with assessing the chances of a success in the light of shutdown of Jet Airways. The very poor appetite for Jet Airways surprised the government given the carrier was financially in a far better shape than Air India is today. Jet’s dues at close to Rs 25,000 crore are smaller than Air India’s staggering `58,351 crore. Moreover, it enjoyed the biggest share of international traffic out of India of 13.5% and commanded a local share of 15%.

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08:49 (IST)09 Jul 2019
Gold slips as fading expectations of sharp rate cut lift dollar

Gold prices fell on Tuesday as the dollar held near multi-week highs after investors reduced bets on an aggressive U.S. interest rate cut this month.  Spot gold was down 0.3% at $1,391.65 per ounce at 0118 GMT. U.S. gold futures slipped 0.4% to $1,395.10 an ounce. The dollar index was hovering near a three-week high on Tuesday after investors rolled back expectations for a sharp U.S. rate cut at the end of July. Money market futures are still fully pricing in a 25 basis point cut at the Federal Reserve’s next policy meeting on July 30-31, but have almost priced out a larger 50 basis point reduction.

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08:48 (IST)09 Jul 2019
Oil prices drop as trade tensions stoke economy worries

Oil fell on Tuesday amid worries over the outlook for demand after the latest signs that international trade disputes have been dragging on the global economy, although tensions in the Middle East offered some support to prices. Brent crude futures were down 21 cents, or 0.3%, at $63.90 a barrel by 0022 GMT. They fell 12 cents on Monday. U.S. West Texas Intermediate crude futures were down 20 cents, or 0.4%, at $57.46 a barrel. They rose 15 cents in the previous session. Oil prices are being pressured by ongoing worries about demand as the U.S.-China trade war, heading into its second year, dampens prospects for global economic growth.

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08:47 (IST)09 Jul 2019
Global markets: Asian stocks hobbled by fading expectations for aggressive Fed rate cut

Asian stocks struggled to rebound on Tuesday as investors came to terms with sharply reduced expectations the Federal Reserve will deliver a large interest rate cut at the end of July. Those views were bolstered after solid gains in U.S. jobs for June and pushed down Wall Street for the second straight day. MSCI’s broadest index of Asia-Pacific shares outside Japan ticked up 0.1% in early trade, after falling 0.6% the previous day. Japan’s Nikkei rose 0.5% thanks in part to the yen’s retreat against the dollar. On Wall Street, the S&P 500 lost 0.48% while the Nasdaq Composite dropped 0.78%, led by fall in Apple Inc . Money market futures are still fully pricing in a 25 basis point cut at the Fed’s next policy meeting on July 30-31, but have almost priced out a larger 50 basis point reduction.

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