Share market highlights: Sensex ends 793 points down, Nifty neat 11,500 after Budget, sell-off spooks market

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Updated:Jul 08, 2019 3:45:29 pm

Share market highlights: The Sensex and Nifty plunged on Monday, as Asian market sell-off, Budget announcements spooked the street. The Sensex ended 793 points down at 38,720.57, while the Nifty closed near the 11,550-mark.

Sensex, Sensex today, Sensex share, Sensex news, Tata Steel, NTPC , Bajaj Auto, HDFC Bank, Axis Bank, Hero MotoCorp, PowerGrid, Tata Motors, SBI, Yes Bank, Bharti Airtel, Maruti, HCL Tech, HUL, RILThe 30-share index was trading 249.57 points, or 0.63 per cent, higher at 39,644.21 at 0930 hours. (File Photo)

Share market highlights: The Sensex and Nifty plunged on Monday, as Asian market sell-off, Budget announcements spooked the street. The Sensex ended 793 points down at 38,720.57, while the Nifty closed near the 11,550-mark. Bajaj Finance shares plunged more than 8.8% to hit the day’s low at Rs 3,392.04. Shares of India’s largest car-maker Maruti Suzuki plunged more than 5.6% to Rs 6,007.70, after the firm cut production for the 5th consecutive month. Yes Bank shares were among the biggest gainers, jumping 5% to Rs 92.80 in the afternoon trade. ONGC share price closed 5.4% lower at Rs 152.50, emerging among the biggest losers in the Sensex. “Equity markets were expecting some kind of fiscal stimulus from the budget but there has been big disappointment. Housing is the only segment  to get some kind of stimulus,” Rusmik Oza, Head of Research, Kotak Securities said adding that the Nifty may go down to test its 200 DMA placed at 11,105 levels.

The overhang of the Budget is likely to continue in the week in stock markets as the offshoots of certain implementations will be visible in the capital markets, SAMCO Securities said in a note.  Asian shares slipped on Monday as investors wagered on a less aggressive policy easing in the United States, while the Turkish lira held near two-week lows after the country’s president dismissed its central bank governor over the weekend. Global equities have generally been bolstered by expectations that central banks will keep interest rates at or near record lows to boost economic growth. Those expectations were tempered by a US labor report that showed nonfarm payrolls jumped 224,000 in June, beating forecasts for 160,000, in a sign the world’s largest economy still had fire. Asian shares tracked Wall Street, which fell from record highs on Friday, Reuters reported. We bring to you LIVE updates.

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Highlights

    15:41 (IST)08 Jul 2019
    BSE live: Sensex ends 793 points down, Nifty neat 11,500 after Budget, sell-off spooks market

    The Sensex and Nifty plunged on Monday, as Asian market sell-off, Budget announcements spooked the street. The Sensex ended 793 points down at 38,720.57, while the Nifty closed near the 11,550-mark. Bajaj Finance shares plunged more than 8.8% to hit the day's low at Rs 3,392.04. Shares of India's largest car-maker Maruti Suzuki plunged more than 5.6% to Rs 6,007.70, after the firm cut production for the 5th consecutive month. Yes Bank shares were among the biggest gainers, jumping 5% to Rs 92.80 in the afternoon trade. ONGC share price closed 5.4% lower at Rs 152.50, emerging among the biggest losers in the Sensex.

    15:18 (IST)08 Jul 2019
    Facebook’s cryptocurrency Libra has a new challenger — a skeptical Indian govt

    The latest scepticism to Facebook Inc.’s plans for its new cryptocurrency called Libra comes from India as Asia’s third-largest economy is not keen on allowing the digital currency in the country. “Design of the Facebook currency has not been fully explained,” Economic Affairs Secretary Subhash Garg said in an interview in New Delhi on Saturday. “But whatever it is, it would be a private cryptocurrency and that’s not something we have been comfortable with.” Both the government and the central bank have virtually outlawed cryptocurrencies after it barred banks from dealing in them. While the Reserve Bank of India has placed restrictions, the government is drafting a law with stringent penalties on their use.

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    14:45 (IST)08 Jul 2019
    Stock Market Investment: Why doctors may invariably be great stock traders

    When you are dealing with human life, the stakes are indeed high. Imagine the predicament of a doctor who has to rush an unknown patient with failing organs, into the OT; the sword of decision making hanging low over his head. The electrocardiogram may throw up images very similar to a volatile stock market chart of a trading terminal, and while a trader only risks money, the doctor has far more to lose. The stock market carries the impression of uncertainty, ambiguity and risk, thereby making the overall trading environment unfit for the faint-hearted. The same environment, at times worse, is reflected in the medical practitioner’s profession. 

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    14:21 (IST)08 Jul 2019
    BSE Live: Sensex plunges 800 points, Nifty near 11,550 as Asian market sell-off, Union Budget weighs

    The Sensex and Nifty plunged on Monday, as Asian market sell-off, Budget announcements spooked the street. The Sensex is down 800 points to 38,708 while the Nifty is trading near the 11,550-mark. Bajaj Finance share price plunged more than 8.8% to hit the day's low at Rs 3,392.04. Shares of India's largest car-maker Maruti Suzuki plunged more than 5.6% to Rs 6,007.70, after the firm cut production for the 5th consecutive month. A look at LIVE Sensex heatmap.

    13:43 (IST)08 Jul 2019
    Budget 2019: Finance minister does a fine balance for individuals

    Union Budget 2019 India: There was a slew of expectations from Budget 2019. Now the cat is out of the bag. And indeed, it is a house cat, not a jungle cat. Overall the Budget was a staid one with focus on entrepreneurs and rural upliftment. The affordable housing segment got a boost with an additional Rs 1.5 lakh income tax deduction on interest paid on loans for purchase of house up to Rs 45 lahh. This facility is available up to March 31, 2020. This is one policy which will give a fillip to the ailing real estate sector, specifically in tier 2 and tier 3 cities.

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    13:20 (IST)08 Jul 2019
    Budget 2019: Govt has laid foundation for India’s growth and development

    Finance minister Nirmala Sitharaman presented her maiden Budget with encouraging remarks that the Indian economy had reached from $1.85 trillion in FY14 to $2.7 trillion by FY19. The government has set the aspirational target of taking it to $5 trillion by FY25 with considerate focus on three main growth pillars: investments in infrastructure, digital economy and job creation. From an indirect tax standpoint, the FM indicated that indirect tax landscape has significantly changed with the implementation of GST, which subsumed 17 taxes and 13 cesses into one single tax. The teething problems with regard to GST implementation have more or less settled and there is a considerable reduction in tax rates on majority of goods and services in the last two years. Now there has been buoyancy in revenue collections. The GST Council is further aiming towards simplifying GST processes.

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    12:43 (IST)08 Jul 2019
    Budget 2019: Govt loses this much by not levying 1% wealth, inheritance tax from super-rich

    India Budget 2019: While Nirmala Sithraman has shunned the wealth tax in her maiden budget, the same would have garnered lakhs of crores to Indian government even if merely 1% of it were levied from India’s super-rich, says a former Jawaharlal Nehru University professor. “Even a 1 per cent wealth tax on these billionaires would have fetched Rs 5.6 lakh crore,” Prabhat Patnaik, a former economics professor at JNU, New Delhi, wrote in The Indian Express. Couple this with an inheritance tax and that will fetch even more, he added. It was widely expected that Nirmala Sitharaman will propose a wealth tax and inheritance tax in the Union Budget 2019, reinstating the decades-old tax. However, the finance minister instead proposed an additional surcharge of 3% to those earning Rs 2-5 crore and 7% to those earning above Rs 5 crore.

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    12:25 (IST)08 Jul 2019
    Budget 2019: How Nirmala Sitharaman’s maiden budget will boost rural economy through startups, SMEs

    Budget 2019-20: The budget presented by finance minister Nirmala Sitharaman talked about startups and small businesses more than one would have expected. PM Modi government, previous and current, have been in constant dialogue with the industry bodies, associations and members for easing regulatory compliance and other conducive measures to be adopted to boost self-employment particularly in semi-urban and rural areas that are at early stages of being digitally influenced. Hence, the budget spotlighting startups and small businesses seems to be striking the right chords.

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    12:06 (IST)08 Jul 2019
    Massive fall in sugar output next year, but worry not, prices won’t shoot up

    India’s sugar output is expected to fall by a massive 14% in the next sugar year running from October 2019 till September 2020, according to the Indian Sugar Mills Association (ISMA), a report said. However, the same will not have a tremendous impact on sugar prices because of the availability of opening stock. During the sugar season October 2019-September 2020, India will produce 28.2 million tonnes of sugar, a drop of 14.4% on-year, the CARE Ratings report said. This is owing to lower estimates for Maharashtra and Karnataka where the production is expected to slip 34.7% to 7 million tonnes and 19.8% to 3.5 million tonnes, respectively, during the year.

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    11:51 (IST)08 Jul 2019
    Budget 2019 scores brownie points for startups; here’s why industry entrants are lauding it

    Despite many industries and sectors finding Nirmala Sitharaman’s maiden budget just over satisfactory, if there is one sector that has found tremendous push in India Budget 2019, it is startups. With the announcement of an exclusive channel for startups industry and welcome changes in much asked for angel tax exemption, it scored brownie points at least in this segment. Further, the budget has also incentivised women entrepreneurs, thus garnering applause from the industry entrants. Here’s what different startups have to say about the first budget of Narendra Modi 2.0.

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    11:28 (IST)08 Jul 2019
    BSE live: Sensex, Nifty plunge as Asian market sell-off, Budget annoucements weigh

    The Sensex and Nifty plunged on Monday, as Asian market sell-off, Budget announcements spooked the street. The Sensex is down 606 points to 38,907.11 while the Nifty is trading near the 11,650-mark. Shares of India's largest car-maker Maruti Suzuki plunged more than 2.7% to Rs 6,190, after the firm cut production for the 5th consecutive month. Yes Bank shares were among the biggest gainers, jumping 5% to Rs 92.80 in the morning late morning trade. A look at LIVE Sensex heatmap.

    11:21 (IST)08 Jul 2019
    Sensex down 650 points, Nifty near 11,600; Union Budget, global factors spook markets

    The Sensex and Nifty saw a heavy decline in the morning trade on Monday as global factors and Union Budget announcements weighed. The Sensex is down 614 points to 38,897.56, while the Nifty is trading near the 11,600-mark. The stock market reacted to negative announcements from the Budget including HNI tax, buyback tax, increasing public holding to 35% among other annoucements. Further, the street was spooked as stronger jobs data in the US dashed hopes of aggressive rate cuts by the US Fed and geopolitical tensions in West Asia triggered a spike in crude oil prices, driving the rupee lower, noted experts. A look at LIVE Sensex heatmap.

    11:09 (IST)08 Jul 2019
    Budget 2019 scores brownie points for startups; here’s why industry entrants are lauding it

    Union Budget 2019: Despite many industries and sectors finding Nirmala Sitharaman’s maiden budget just over satisfactory, if there is one sector that has found tremendous push in India Budget 2019, it is startups. With the announcement of an exclusive channel for startups industry and welcome changes in much asked for angel tax exemption, it scored brownie points at least in this segment. Further, the budget has also incentivised women entrepreneurs, thus garnering applause from the industry entrants. Here’s what different startups have to say about the first budget of Narendra Modi 2.0.

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    10:53 (IST)08 Jul 2019
    BSE live: Sensex extends losses, Nifty near 11,650; Heromotocorp, ONGC top losers

    After opening lower, Sensex and Nifty extended decline on Monday morning, tracking weak global cues, even as Budget announcements weigh. The Sensex is down 485 points to 39,028.53 while the Nifty is trading near the 11,650-mark. Shares of India's largest car-maker Maruti Suzuki plunged more than 2.7% to Rs 6,190, after the firm cut production for the 5th consecutive month. Yes Bank shares were among the biggest gainers, jumping 5% to Rs 92.80 in the morning late morning trade. A look at LIVE Sensex heatmap.

    10:30 (IST)08 Jul 2019
    Budget 2019: NBFC crisis bottoms out; Govt, RBI watching the situation, says FM Sitharaman

    Budget 2019-20 India: Finance Minister Nirmala Sitharaman Saturday said the NBFC crisis seems to have bottomed out and the government along with the RBI will closely monitor the situation to ensure that the sector comes out of the wood. Sitharaman in her Budget on Friday announced a series of steps to give relief to non-banking financial companies facing cash crunch following the collapse of IL&FS last year. “Largely it (NBFC crisis) has reached a peak in terms of challenges that they are facing. The problem probably is not over yet but it can only plateau rather than worsen … the deteriorating situation is reached its bottom … now it has bottomed out,” she said.

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    10:02 (IST)08 Jul 2019
    Spectrum auctions: Govt hopes to garner a modest Rs 30,000 crore

    The government doesn’t seem to be very optimistic about getting high receipts from spectrum auctions, including 5G, which it plans to hold later this year. Going by the telecom revenue it expects to garner during the current financial year, auction receipts seem to be around only `30,000 crore, which means in terms of actual upfront payment, it will get only around `10,000 crore. This will be much lower than revenues of `65,789 crore (upfront payment: `32,434 crore) it got in 2016 auctions and `1.09 lakh crore (upfront payment: `28,872 crore) in 2015.

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    09:42 (IST)08 Jul 2019
    Asian shares fall as bets off on sharp US rate cuts

    Asian shares fell on Monday after strong US jobs data tempered expectations for a Fed rate cut, while the Turkish lira hovered near two-week lows on worries about central bank independence. Share sentiment was also dampened by US investment bank Morgan Stanley’s decision to reduce its exposure to global equities due to misgivings about the ability of policy easings to offset weaker economic data. Asian shares were broadly weaker on Monday, tracking Wall Street which fell from record highs last week. MSCI’s broadest index of Asia-Pacific shares outside Japan lost more than 1%, with every market in the red. Japan’s Nikkei faltered 0.9%. Chinese shares started lower with the blue-chip index off 1.7% and Hong Kong’s Hang Seng index down 1.5%.

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    09:24 (IST)08 Jul 2019
    BSE live: Sensex down 330 points, Nifty near 11,700; Maruti Suzuki, Yes Bank shares plunge

    The stock markets-- Sensex and Nifty--extended decline on Monday morning, tracking weak global cues, even as Budget announcements weigh. The Sensex is down 370 points to 39,173.34 while the Nifty is trading near the 11,700-mark. Shares of India's largest car-maker Maruti Suzuki plunged more than 2.7% to Rs 6,190, after the firm cut production for the 5th consecutive month. Yes Bank shares tanked more than 2% to Rs 86.70.  A look at LIVE Sensex heatmap.

    08:50 (IST)08 Jul 2019
    Government borrowing abroad is too risky, drop the idea

    Given how resource-constrained the government is, and the fact that higher government borrowing tends to raise interest rates—and, therefore, crowd out private sector borrowers—it is not surprising it is contemplating borrowing abroad; the fact that India’s foreign debt is low makes the move seem relatively risk-free. Last Thursday, the chief economic advisor had suggested India should tap the global markets because money was abundant and, therefore, cheap; and on Friday, the finance minister announced this in the Budget.

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    08:38 (IST)08 Jul 2019
    India Inc Q1 earnings: No sign of green shoots in April-June quarter

    After a dismal 2018-19, during which profits grew a shade under 4%, corporate India is bracing for more pain, as high frequency indicators suggest demand is weaker than ever. Expectations have never been more tempered and the Street will be satisfied if there aren’t too many disappointments. Analysts at Kotak Instituional Equities (KIE) expect net profits for the universe of companies that it tracks to grow by just 1.3% year-on-year; excluding banks, which should report strong numbers due to a helpful base effect, the profits are tipped to fall 6.7% y-o-y. That sums up the mood on the Street.

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    08:36 (IST)08 Jul 2019
    Budget 2019: Income tax benefits for Bharat 22, CPSE ETF will boost retail investor participation

    After the Union Budget presented by FM Nirmala Sitharaman extended the benefit of Section 80C for investments into Central Public Sector Enterprise (CPSE) exchange traded fund (ETF), experts say that the move will boost retail investor participation. FM Nirmala Sitharaman noted that ETFs have proved to be an important investment opportunity for retail investors and has turned out to be a good instrument for Government of India’s divestment programme. “To expand this further, Government will offer an investment option in ETFs on the lines of Equity Linked Savings Scheme (ELSS). This would also encourage long term investment in CPSEs,” she said in her Budget speech.

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    08:35 (IST)08 Jul 2019
    Budget 2019: NBFCs, MSMEs to benefit from lower corporate tax rates; 5 key takeaways for NRI investors

    The finance bill 2019 is now tabled in parliament and the tax proposals show a clear consistent approach followed by the Govt. where measures to promote automation, comprehensive profiling of tax payer information, digitization & deepening quality of Indian capital markets (offshore and onshore) have been given focus. The Government has stuck to its guns in so far as personal tax slabs are concerned with no changes in slabs applicable to individual tax payers. The Government has been prudent in choosing to impose an increased surcharge for mega rich over imposing a new tax in the form of inheritance tax which would require significant bandwidth to administer and create other challenges to the next generation.

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    08:34 (IST)08 Jul 2019
    Budget 2019: Share buyback no longer tax efficient as compared to dividends; how it impacts companies

    After Finance Minister Nirmala Sitharaman introduced an additional tax of 20 per cent on buyback of equity shares by listed companies, share buybacks will no longer remain tax efficient as compared to distributing dividends. Earlier, while distribution of dividends incurred a Dividend Distribuion Tax for firms, and further at the hands of the investors, the tax liability during a share buyback by used to rest only with the investor. The Budget has now introduced 20% tax on distributed income for buyback of equity shares listed on a recognized stock exchange.

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