MARKET WRAP: Indices post biggest 1-day gain in 10 yrs, Sensex up 1,921 pts

All that happened in markets today.

4:09 PM

SECTOR WATCH | Nifty IT index ends in the red

4:08 PM

MARKET AT CLOSE | Gainers and losers on the S&P BSE Sensex

3:40 PM

CLOSING BELL

The S&P BSE Sensex zoomed 1,921 points or 5.32 per cent to end at 38,014.62 while NSE's Nifty50 ended at 11,274.20, up 569 points or 5.32 per cent.

3:22 PM

ALERT | Market cap gain of Rs 6.85 trillion on sharpest single-day rally by benchmark indices

3:06 PM

Glenmark Pharma hits 52-week low in a strong market

2:52 PM

Market check | Sensex trims some gains

2:51 PM

Shaktikanta Das expects growth to pick up from Q2 on govt spending

Reserve Bank governor Shaktikanta Das on Friday exuded confidence that second-quarter GDP numbers will be better than the previous one as the government has started spending again.

 

Attributing the 5 per cent GDP growth in Q1, which is a six-year low and is even lower than that of Pakistans 5.4 per cent, to very low government spending, Das said with the centre opening its coffers again growth should pick up going forward. READ FULL REPORT

RBI Governor Shaktikanta Das

2:46 PM

FM's tax cuts: Prospects of higher govt borrowings spook bond market

The bond yields soared on tax cut announcements by the Union Finance Minister on concerns that fiscal deficit would not likely get contained at 3.3 per cent of the gross domestic product (GDP), and may prompt the government to borrow extra in the later part of this fiscal.

 

The rupee, however, strengthened sharply following cues from the stock market.

 

The yields on the 10-year bond, rose to 6.82 per cent at 12:45 p.m., while the rupee was trading at 70.98 a dollar. The yields had closed at 6.64 per cent on Thursday, while the rupee had closed at 71.32 a dollar. Sensex was trading at 37,901.03 points, up 1,800.56 points. READ MORE

2:42 PM

SECTOR WATCH | IT stocks slip

2:41 PM

NEWS ALERT | Aviation Ministry asks IndiGo to reduce PLF by around 20% on Delhi-Istanbul flight: sources to CNBC TV18

-- To reuce passenger count from 186 to 157 on A320, and from 222 to 173 on A321

Alert: PLF is passenger load factor

       : IndiGo forgot to carry luggage on Delhi-Istanbul flight on Sept 15

2:40 PM

MARKET CHECK

2:37 PM

EXPERT COMMENT :: Dr Suresh Surana, Founder of RSM Astute

The 'Make In India' initiative is set to get a major boost due to the new tax rate of 15 per cent which allows any new domestic company incorporated on or after October 1, 2019 making fresh investment in manufacturing and which start operations on or before March 31, 2023, an option to pay income tax at the rate of 15 per cent. Given the trade war between the US and China and the large Indian domestic market, several multinational companies are looking at alternative manufacturing locations and this move comes at an opportune time to promote India as a manufacturing hub.

2:30 PM

Expert Comment :: Rusmik Oza, Head of Fundamental Research, Kotak Securities

The announcements made by the Finance Minister is very positive for the economy, corporates and stock market. The series of announcement made is most positive for corporates paying full tax. The effective tax after surcharges and cess will come down from ~33% to 25.17%. Companies which want to avail of the lower tax rate will have to forgo exemptions.

Any company paying 33% tax rate will see its earning go up by 12%. Overall, we can see Nifty earnings going up by ~5-6% in FY20 as the effective tax rate was already lower at 26%. Companies paying more than 30% effective tax rate will see upside of anywhere between 12-20% based on the changes in earnings estimate

2:25 PM

EXPERT COMMENT :: Vishal Kampani, MD, JM Financial Group

"The bold and positive move to rationalise the corporate tax structure will kick-start the next big economic upcycle. The new tax rates will help boost corporate earnings during the current fiscal which will lead to the revival of the consumption story. The government has already ensured adequate liquidity to NBFCs, HFCs.  These steps will facilitate higher economic expansion which will lead to higher tax revenue to meet its fiscal targets. The fiscal stimulus combined with the likely wealth effect from a buoyant stock market will take India closer to its dream of a US$5 trillion economy."

2:20 PM

MARKET CHECK | Top losers on the BSE at this hour

2:19 PM

Market check

2:18 PM

Expert Comment :: Porinju Veliyath, Founder & CEO, Equity Intelligence India

All set to Make in India! Thank you PMO India and FM Nirmala Sitharaman for listening to stakeholders and unleashing the Animal Spirits. This restart marks the beginning of the Great Indian Dream! 
 

PS: Dil mange more on Land, Labour, Logistics, Personal Income Tax (42.7% too much) et al.

2:17 PM

EXPERT COMMENT :: Ajay Bodke, CEO, PMS Prabhudas Lilladher

Equity markets would rejoice as the multi-year cycle of earnings downgrade will finally come to an end. A significant valuation re-rating will follow as the market would start building in a virtuous cycle of upgrade in earnings trajectory over the medium-term due to both tax savings and boost in revenues due to perk-up in aggregate demand. The engine of domestic consumption will fire first followed by the investment engine on the  back of corporates regaining their mojo. Incentives announced last week for export sector will also support the third engine of growth i.e. exports. 

2:16 PM

Expert Comment :: Rashesh Shah, chairman & CEO, Edelweiss Fin

2:12 PM

ALERT | Biggest ever single-day gain for Market

2:12 PM

EXPERT COMMENT :: Motilal Oswal

"We do believe that we need fiscal stimulus to get out of this slowdown and monetary policy alone could not do that. Hence this move is very good for the country and markets. This is +ve for all companies - tax rate goes down for cos from 300-1,000 bps!"

2:09 PM

Market check

2:09 PM

The announcements demonstrate our govt is leaving no stone unturned to make India a better place to do business: PM Modi

2:07 PM

NEWS ALERT | The step to cut corporate tax is historic, will attract private investment from across the globe: PM Modi tweets

-- Says, will give a great stimulus to  Make In India, and improve competitiveness of our private sector, create more jobs and result in a win-win for 130 crore Indians.

1:58 PM

NEWS ALERT | Future Supply to issue shares to Nippon Express at Rs 664/Sh

1:57 PM

NEWS ALERT| Dutch & Indian RP agree on common terms of cooperation for Jet Airways' resolution process: CNBC TV18

-- NCLAT observes, Dutch RP to be allowed a seat in the CoC meetings 

-- NCLAT to next hear the case on September 24
 

1:50 PM

Market check

1:49 PM

Expert Comment :: Dharmesh Kant, Head- Retail Research, IndiaNivesh Securities

A very welcome step, the fourth in a row from the Finance Minister bringing down the effective tax rates for companies to 25.17% is a major move that will have a direct impact on the bottomlines of companies. This will ensure a complete new wave of capital investment leading to a higher economic growth.

Provisions that allow new domestic companies making a fresh investment in manufacturing to pay tax at the rate of 15% is a booster for the ‘Make in India’ campaign which will not only encourage investments but also have the desired impact in terms of job creation and a sustainable economic growth. The doing away of MAT for companies opting for the new tax structure is a step in the right direction.

The icing on the cake however, is the abolition of the enhanced surcharge on capital gains arising out of sale of equity shares in a company or a unit of an equity oriented fund or a unit of a business trust liable for securities transaction tax in the hands of an individuals, HUFs, AOPs, BOIs and AJPs as also for any capital gains arising on sale of any security including derivatives in the hands of a foreign portfolio investors will bring back markets to life.

1:42 PM

FM's boosters seen as positive but insufficient to perk up manufacturing

Euphoria in markets knew no bounds on Friday as Finance Minister Nirmala Sitharaman announced a slew of fiscal measures, including cuts in corporation tax rates, to infuse animal spirits in the country’s sagging economy.

The S&P BSE Sensex skyrocketed a whopping 1,955 points or 5.41 per cent in intra-day trading to hit a high of 38,048.93. On the National Stock Exchange (NSE), the benchmark Nifty50 leapfrogged over 530 points, or 5 per cent, to trade at 11,237. At the time of writing of this report, all the 30 constituents on the Sensex were trading in the green, while all but one of the NSE’s components were in the positive territory. READ MORE

 

 

1:33 PM

NEWS ALERT | Himatsingka Seide Board approves total investment of approx. Rs 17.34 cr: BSE filing

-- Investment approved in Atria Wind Power (Basavana Bagewadi) & Atria Wind Power (Chitradurga) Special Purpose Vehicles (SPV's) of Atria Wind Power Limited, Bengaluru