MARKET WRAP: Sensex up 1,075 pts, reclaims 39K-mark; Nifty ends at 11,603

All that happened in markets today.

3:54 PM

MARKET COMMENT :: Devang Mehta, Head – Equity Advisory, Centrum Wealth Management

Markets for the second day in a row, after the historic decision to cut corporate tax, witnessed a stellar rally. Lot of buoyancy has come from the fact that these measures will boost the profitability of a number of companies, which will either be used to stimulate demand by lowering prices, payouts to shareholders in the form of dividends or using it for capital expenditure. Along with short covering, a lot of pent up demand to buy good businesses was also visible. Market is also sensing a meaningful rate cut from the RBI in its bimonthly monetary policy due in the first week of October

3:48 PM

Nifty Pharma index slips nearly 2.2%

3:46 PM

Financials among top gainers today

Contribute most to Sensex's gain

3:43 PM

Oracle Financial, Infosys, TCS, Wipro among top IT losers

(Image source: NSE)

3:42 PM

Pharma, IT stocks slip

3:41 PM

Sensex heat map

3:40 PM

CLOSING BELL

The S&P BSE Sensex jumped 1,075 points or 2.83 per cent to end at 39,090.03 while NSE's Nifty50 index ended at 11,603, up 329 points or 2.92 per cent. 

3:24 PM

NEWS ALERT | BSE-listed companies' m-cap rises by Rs 10.4 trn in two days

3:23 PM

Zee Entertainment slips for sixth straight day, loses 10% to hit a 5-yr low

In the past three days, the stock of Essel Group Company has plunged 19 per cent on reports that promoter Subhash Chandra was asked by a court to not sell his unpledged stake in the company till next month. READ MORE  

3:04 PM

BUZZING STOCK | Bajaj Finance gains nearly 9%

3:03 PM

NEWS ALERT | Govt is aiming for Rs 50,000-60,000 cr revenue via privatisation in FY20: sources to Reuters

--  PMO is looking for investment by foreign companies in PSUs under current norms

-- PMO expresses reservations on sale of PSUs to other PSUs

-- PMO wants BPCL, Concor, Air India's stake sale to be completed in FY20

3:00 PM

NEWS ALERT | Govt expects close to Rs 1.2 trillion direct tax collection shortfall: sources to CNBC TV18

-- Poor growth, demand slowdown, coporate tax cut some of the reasons for shortfall

2:56 PM

NEWS ALERT | New Direct Tax report recommends major overhaul in income tax: sources to CNBC TV18

-- New Direct Tax Report recommends introducing 35% tax for income of Rs 2 cr and above

 

-- Recommends continuing exemptions under 80c with certain changes in types of concessions

 

-- Recommends dropping surcharge and cess

 

-- Recommends removing tax rebate on principal payment of home loan 

 

-- Increase in threshold of Rs 2.5 lakh income not suggested

 

2:51 PM

NEWS ALERT | New Direct Tax report recommends major overhaul in income tax: sources to CNBC TV18

-- Income slab of Rs 5-20 lakh imp to revive consumption demand

 

-- Propose 10% tax rate (vs 20% rate) for Rs 5-10 lakh slab

 

-- Propose 20% tax rate (vs 30% rate) for Rs 10-20 lakh slab

 

-- Propose 30% tax rate for income of Rs 20 lakh and above

Alert: FM says Govt hasnt yet thought of rate rationalisation

2:38 PM

Buzzing | Sagar Cements locked in 20% upper circuit band

2:23 PM

NEWS ALERT | A lender has sold part of pledged shares of Zee Ent in open market: sources to CNBC TV18

-- Not clear if more shares could be sold

 

Alert: Lenders have received 50% dues from Zee

2:20 PM

How're corporation tax cuts going to be financed? Is this helicopter money?

Slashing the government’s take from corporate profits to 25.2 per cent from 34.9 per cent has given a boost to stock-market sentiment, while simultaneously seeding fresh doubts about fiscal profligacy in the bond market. READ MORE  

Nirmala Sitharaman | Photo: ANI (Twitter)

2:06 PM

MARKET CHECK | Stocks that hit 52-week low today

ADITYA ISPAT	3.27	3.27	3.27	20-SEP-2019	202
ADLABS ENTERT.	3.10	3.10	3.15	20-SEP-2019	14482
ADROIT INFO.	8.55	8.55	8.55	19-SEP-2019	50
ADVIK LABS.	0.85	0.85	0.88	16-AUG-2019	50
ALKA INDIA	0.19	0.19	0.19	18-SEP-2019	1
ALKA SECURITIES	0.19	0.19	0.19	16-SEP-2019	2000

1:56 PM

COMMENT :: HSBC on corporate tax rate cut impact

We believe the central government fiscal deficit could be around 3.7% of GDP in FY20, higher than the budgeted estimate of 3.3%, and our previous assumption of 3.5%. And, because India's states tend to get about a third of these taxes, their finances could also come under some pressure.

 

We are raising our estimate of FY20 GDP growth from 5.7% y-o-y to 5.9% on the back of improved sentiment that could enhance growth. We are also raising our FY21 GDP growth estimate from 6.4% to 6.5% y-o-y, as corporate tax cuts pave the way for a slight improvement in the investment outlook

1:54 PM

COMMENT :: Suyash Choudhary, Head – Fixed Income, IDFC AMC

With the prospects of monetary easing somewhat diminishing in incremental intensity, and accounting for the somewhat higher bond supply, we may expect some amount of curve steepening going forward. This may likely happen as market participants anchor themselves to three thoughts: One, liquidity will remain abundantly surplus. Two, repo rate is here or modestly lower. Three, prospects of a very large bond rally are somewhat diminished (although this view will evolve going forward depending also on how much net additional supply actually manifests for local absorption) . This will likely increase appeal for the front end of the curve versus the longer duration, hence creating steepening pressure. 

 

Reflecting the above thought, we have cut our recent duration elongation into the 10 – 14 year segment and are now refocussing on being overweight 5 – 7 year for government bonds in our active duration funds. For AAA corporate bonds, the relative value continues in up to 5 years. These segments could better align to what remains an environment of abundant surplus liquidity, a very attractive term spread, still general lack of credit growth, and continued global monetary easing.

 

1:53 PM

News you can use :: Franklin Templeton announces dividend in Templeton India Equity Income Fund

Franklin Templeton (India) has announced dividend in Templeton India Equity Income Fund (TIEIF) as given below. All investors registered in the Dividend Plan as on September 27, 2019 shall be entitled to receive this dividend

1:50 PM

IT shares trade weak in a strong market; TCS, Infosys down over 3%

Infosys tanked 8 per cent to Rs 742 on the National Stock Exchange (NSE) in early morning deal, logging the biggest single-day fall in two years. Currently, the stock was trading 4 per cent lower at Rs 773. Meanwhile, Tata Consultancy Services (TCS) was down 3 per cent at Rs 2,000, after hitting a low of Rs 1,975 in the intra-day trade so far. HCL Technologies, Wipro and Tech Mahindra, on the other hand, from the Nifty IT index were down in the range of 1 to 3 per cent. READ MORE  

1:46 PM

Why Petronet LNG slipped over 7% after hitting 52-week high in early trade

After hitting a 52-week high of Rs 302 apiece on the BSE, shares of Petronet LNG slipped over 7 per cent in the intra-day deals on Monday. The company on Sunday announced it will invest $2.5 billion for nearly 20 per cent equity stake in US energy major Tellurian Inc's Driftwood project to negotiate the purchase of 5 million tonnes of gas per annum. READ MORE  

1:35 PM

NEWS ALERT | New tariff Policy proposes phasing out of cross-subsidy, says Power Min

-- New Tariff Policy recommends Direct Subsidy Transfer

(As reported by CNBC TV18)

 

              

1:31 PM

Market check | Sensex trims gains

1:19 PM

Stocks that contributed most to Sensex's gains today

(Image source: BSE)

1:16 PM

STOCK ALERT :: Infosys dips nearly 8%; sees biggest ever single-day fall in 2 years

1:15 PM

NEWS ALERT | Essel Group chairman Subhash Chandra reaches Fin Min to meet officials: CNBC TV18

12:57 PM

MARKET ALERT | Nifty up nearly 1,000 pts in two sessions; sees biggest ever 2-day gain

-- Sensex adds 3,300 points in two sessions

-- Nifty Bank jumps more than 4,000 pts in two sessions

-- Nifty Midcap index up nearly 1,500 points in 2 days

12:53 PM

NEWS ALERT | US FDA issues 1 observation for Alembic Pharma's JV Aleor Derma's Gujarat unit: BSE Filing

-- US FDA had inspected the unit from September 16-20