Sensex ends 95 pts lower, small, mid-caps outperform; Voda Idea zooms 27%

All that happened in the markets today

4:01 PM

MARKET COMMENT:: Vinod Nair, Head of Research at Geojit Financial Services

"Markets exhibited volatility and ended flat for the day, switching between gains and losses. However, global markets, especially Europe, were generally positive for the day, anticipating better economic data. Domestically, data emerged that the services sector had contracted for the 6th consecutive month, in spite of the phased reopening of the economy in the last two months. This has led to worries that the comeback, foreseen for the economy, could be long drawn out. Investors advised to remain light and keep booking profits."

3:43 PM

SECTOR WATCH::Nifty Bank slips nearly 1.5%

3:42 PM

MARKET AT CLOSE:: Losers and gainers on the S&P BSE Sensex

3:36 PM

CLOSING BELL

The S&P BSE Sensex ended 95 points, or 0.24 per cent lower at 38,991 levels while the NSE's Nifty ended at 11,527, down 7.5 points, or 0.065 per cent.

3:26 PM

MARKET CHECK:: Top 5 gainers on the BSE at this hour

3:23 PM

At 14%, Indian households among the lowest invested in equities globally

The exposure of Indian households to equity assets in their financial balance sheet is among the lowest in the world at 14 per cent, says the September 2 report by Motilal Oswal Securities. At the other extreme is the US, where the exposure to equities stands at 45.5 per cent, followed by Spain, Canada and China. The report analysed the calendar year 2019 (CY19) data for all countries except China (CY16), Taiwan (CY18) and India (FY19). READ MORE  

3:11 PM

Interest Waiver Case | RBI has to support banks as well; sector is the backbone of the economy, says Mehta

3:10 PM

Interest Waiver Case | The NDMA Act uses the word "may", it is not cast in stone that the govt has to step in, says SG Mehta

3:03 PM

Interest Waiver Case | Moratorium and penal interest cannot go together, says Justice Reddy

>> RBI needs to clarify its position

>> Question is about the demands of compound interest in the meantime

3:00 PM

Interest Waiver Case | SC bench asks SG Mehta to address on the point of NDMA and its action to provide relief.

>> SG Mehta says that the DM Act provides that the government "may" take action. So far, NDMA has deemed it fit for the RBI to adopt supervisory role

3:00 PM

Heatmap: S&P BSE Sensex gainers and losers at this hour

2:58 PM

Interest Waiver Case | Senior Counsel Harish Salve presents arguments for the IBA before SC

>> Banks may come up with the resolution plans; some sectors like the Power sector may evolve their own norms.

>> Common man's problems are different from those of the corporates.

>> If kind of borrowers and the type of borrowing is identified then specified relief can be provided.

>> Individual and industrial problems need to be addressed differently.

2:52 PM

BROKERAGE VIEW:: HDFC Securities on Amara Raja Batteries

RATING: ADD | TARGET PRICE: Rs 780

We initiate on Amara Raja Batteries with an ADD rating. Currently, the company has a nearly 20 per cent market share in the $5 billion lead-acid battery (LAB) segment. We expect it to gain further share as revenues are forecast to grow in double digits over the next 3-5 years (vs. mid-single-digit for the industry). While Amara Raja would benefit from the shift towards the organised segment in the near term, we believe that the advent of new technologies such as lithium-ion will change industry dynamics; though the pace of adoption is expected to be very gradual. Amara Raja’s future technology partnerships (after the exit of Johnson Controls) and its ability to foray into alternative battery chemistries will determine its growth opportunities in the long term.

2:44 PM

Why this may be the best time for Amazon, Verizon to invest in Voda Idea

Does it make business sense for AWS (part of Amazon) and Verizon to buy a stake in cash strapped Vodafone Idea Ltd (VIL)? With the VIL board announcing that it will meet on the 4th to discuss fund raising, there is speculation that it has again renewed talks with Amazon which were suspended earlier till awaiting the SC's verdict in the AGR dues case. READ MORE

2:36 PM

Interest Waiver Case | Mehta says, August 6 circular adequately takes care of the grievances raised by the petitioners

Alert: August 6 circular allowed debt-restructuring

2:35 PM

Vodafone Idea rallies 54% from Tuesday's low ahead of fund raising meet

Shares of Vodafone Idea (VIL) rallied 20 per cent, up for the second straight day, to Rs 11.88 on the BSE on Thursday ahead of its board meeting on Friday to consider fund raising plan. The telecom services provider's stock had ended 11 per cent higher on Wednesday. With the past two day’s surge, the share price of VIL has zoomed 54 per cent from Rs 7.69, touched in intra-day trade on September 1. READ MORE

2:35 PM

Interest Waiver Case | The main grievance of the petitioners is that they have not been given the adequate relief, says Justice Bhushan

>> Asks, whether under DM Act something more has to be done by NDMA and other authorities?

>> Says, other circulars are not under challenge so we are bound by Article 32 jurisdiction.

>> Reiterates that petitioners want sector wise relief.

2:29 PM

Interest Waiver Case | Accounts do not become NPAs on September 1, says SG Mehta

2:21 PM

Interest Waiver Case | The idea of Moratorium was not to waive off interest, says SG Mehta

>> The idea was to defer repayment to ease the burden caused by Covid and lockdown so that business can manage working capital

>> The effort is that those who are affected by Covid-19 and are facing distress get the benefit and those who are defaulters are not able to take benefit

Alert: SG Tushar Mehta represents RBI

2:15 PM

NEWS ALERT :: 15th Finance Commission to meet tomorrow

>> Commission to consider GDP growth, tax buoyancy of the Centre and the States, GST compensation, revenue deficit grant and fiscal consolidation

 

2:09 PM

Interest Waiver Case | SC begins hearing

>>  Supreme Court is considering the question of interest to be charged on interest as well as the powers of the Centre and the NDMA under the Disaster Management Act to provide relief on aspect of loan repayment during Covid-19 pandemic.

>> Solicitor General Tushar Mehta says that steps needed to be taken by the authorities required to take note of following aspects:

 

- Reduction of immediate pressure of payment of installments

- Revival of all possible sectors

- Restructuring of stressed assets

- Banking sector

2:05 PM

Rupee Closing

Rupee ends lower at 73.48 per US dollar vs Wednesday's close of 73.03/$

2:00 PM

MARKET CHECK:: India VIX drops over 3% to 20.46 levels

1:52 PM

European indices trade higher in early deals

1:45 PM

BUZZING STOCK:: Vodafone Idea zooms 18%

1:44 PM

Jubilant FoodWorks rebounds from day's low, hits record high post Q1 results

The stock declined 2 per cent to Rs 2,210 in the early morning trade after the company reported weaker than expected April-June quarter (Q1FY21) earnings with same-store-sales (SSS) falling 61.4 per cent and a net loss of Rs 72.6 crore. The company had clocked net profit of Rs 75 crore in the previous year quarter. Gross margins, however, expanded by 350bps year on year (YoY) on low discounting, reduced input costs and delivery charges. READ MORE  

1:34 PM

Indian private banks to gain market share from PSBs: Fitch Ratings

Private banks' loss-absorption buffers, particularly enhanced capital bases, strengthen their ability to recognise losses upfront with less disruption in their efforts to accelerate market-share gains. However, gains are not likely to immediate as the sector's credit growth is likely to remain subdued. They will only resume meaningfully once a sustained recovery from the pandemic gets underway, Fitch said. READ MORE 

1:29 PM

MARKET CHECK:: Top 5 gainers on the BSE at this hour

1:23 PM

NEWS ALERT :: Tata Power bags order worth Rs 490 cr from MInistry of Defence

1:15 PM

BROKERAGE VIEW:: Emkay Global on Automobiles

We expect volumes to improve in the coming quarters on pent-up demand, better rural sentiment, low interest rates, improvement in finance availability, and a gradual pick-up in business/economic activity. Our top picks are Eicher Motors, Mahindra & Mahindra and Ashok Leyland.