MARKET WRAP: Global cues see Sensex tumble 690 points; IT, auto worst hit

The S&P BSE Sensex crashed 690 points or 1.89 per cent to settle at 35,742. Out of 30 constituents on the index, 27 ended in the red and just three in the green.

4:07 PM

MARKET COMMENT Hemang Jani, Head - Advisory, Sharekhan by BNP Paribas

Volatility ruled Indian markets as key benchmark indices ended this week on a negative note. Sensex dropped by over 600 points led by profit booking in Index heavyweights. Market to  closely track GST council meet due tomorrow, likely to see reduction of tax slabs for several items. Global markets to brace more volatility from the ongoing trade tensions and slowdown in economies.

Back home movement in Crude oil prices, Currency, Corporate earnings due next month are likely to drive market in the near-term. Given improving macro-economic parameters, Investor needs to adopt stock specific approach. We prefer Apollo Tyres, as rubber prices have corrected from their recent highs in domestic and international markets, thereby improving earning visibility of tyre companies in near term. We prefer Hindustan Unilever, as government to focus on rural and farm sector spending to boost rural consumption

4:06 PM

Index watch (Image source: NSE)

4:05 PM

HEAT MAP :: Sensex - Maruti, Infosys, TCS among top losers

3:39 PM

MARKET AT CLOSE

 

The S&P BSE Sensex crashed 690 points or 1.89 per cent to settle at 35,742.07 while NSE's Nifty50 index dropped 198 points or 1.81 per cent to end at 10,754.

3:18 PM

NEWS ALERT | Bandhan Bank in talks with Gruh Fin to merge with itself, reports CNBC TV18; stock trades 2% lower

3:14 PM

HDFC Securities on International Paper APPM

 

Taking into the consideration of initiatives for efficient productivity with strong financials, and decent parentage, we have a positive view on the stock. We feel investors could buy the stock at the CMP, and add on dips to the Rs 410-415 band (8.75x FY20E EPS) for sequential targets of Rs 519 (11x FY20E EPS) and Rs 566 (12.0x FY20E EPS). At the CMP of Rs 460, the stock trades at 9.8x FY20E EPS.

2:55 PM

As many as 36 securities hit 52-week lows in today's trade

Symbol	Security	New 52W/L	Prev. Low	Prev. Low Date	LTP	Prev. Close	Chng	% Chng
ADHUNIK	Adhunik Metaliks Limited	2.10	2.10	20-Dec-2018	2.20	2.10	0.10	4.76
ADROITINFO	Adroit Infotech Limited	17.00	17.00	18-Dec-2018	17.10	18.00	-0.90	-5.00
ARSHIYA	Arshiya Limited	24.00	25.60	20-Dec-2018	31.10	25.95	5.15	19.85
CALSOFT	California Software Company Limited	24.10	24.40	14-Dec-2018	24.80	25.35	-0.55	-2.17
CHROMATIC	Chromatic India Limited	0.95	0.95	20-Dec-2018	1.00	.95	0.05	5.26
DCM	DCM Limited	69.05	69.05	19-Dec-2018	74.35	69.90	4.45	6.37
EASUNREYRL	Easun Reyrolle Limited	4.85	5.05	20-Dec-2018	5.00	5.05	-0.05	-0.99
EUROMULTI	Euro Multivision Limited	1.40	1.45	20-Dec-2018	1.40	1.45	-0.05	-3.45

2:45 PM

Market witnesses across-the-board selling

2:25 PM

Why allowing weak state-run banks to lend again could unwind RBI's autonomy

After sending two pesky central bank governors packing in a little over two years, Indian bureaucrats have turned their attention to unwinding the monetary authority’s autonomy.

 

Their first move, unveiled Thursday, is an innocuous – even laudable – infusion of Rs 410 billion ($5.9 billion) into troubled state-run lenders, bumping up this fiscal year’s outlay for bank recapitalization by 63 per cent to Rs 1.06 trillion. The fresh capital partially replaces a shortfall in the Rs 2.11 trillion bank recap announced in October last year. Read more

 

2:15 PM

Top losers on BSE500

COMPANY	PRICE( )	CHG( )	CHG(%)	VOLUME
I O C L	140.45	-7.35	-4.97	1356122
SHRIRAM TRANS.	1204.35	-62.35	-4.92	56028
PIDILITE INDS.	1146.00	-46.20	-3.88	50297
SREI INFRA. FIN.	34.90	-1.40	-3.86	367700
GLAXOSMI. PHARMA	1413.00	-56.10	-3.82	909

2:03 PM

Trend of buybacks offsetting shares entering market is worrying: Experts

 

Share buybacks in the domestic market have skyrocketed in the past three years, following the increase in dividend tax and impetus from government disinvestment. This has been to the extent that they are beginning to eat into the domestic equity float. READ MORE

1:54 PM

Market Check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	36,010.58	-421.09	-1.16
S&P BSE SENSEX 50	11,326.07	-133.70	-1.17
S&P BSE SENSEX Next 50	32,878.81	-326.21	-0.98
S&P BSE 100	11,120.62	-128.10	-1.14
S&P BSE Bharat 22 Index	3,469.77	-33.99	-0.97

1:39 PM

Web Exclusive How CLSA, UBS, Nomura, Morgan Stanley see global financial markets in 2019

 

Calendar year 2018 (CY18) turned out to be a choppy phase for the global financial markets that battled trade war fears, wild swings in oil prices, rise in bond yields and rate hikes by the US Federal Reserve.

 

Though most leading brokerages and research houses expect the emerging markets (EMs) to fare well in comparison to their developed market (DM) peers in CY19, they do caution that the next year will be marked with volatility. Read more
 

1:29 PM

Mutual funds hope India's mom-and-pop investors keep the faith in 2019

 

India’s $2 trillion stock market has been rattled in recent months by everything from high oil prices and tariff threats to a slumping rupee and a sell-off in non-bank lenders. The one thing that’s kept the gloom from worsening: robust flows from mom-and-pop investors.

 

That backstop is seen extending into 2019 after the bull market over the past five years helped ingrain a buy-the-dip mentality among locals. Consider this: equity funds bought a record 1.18 trillion rupees ($17 billion) of shares this year, negating sales of $4.5 billion by foreigners. Read more

1:16 PM

Nifty IT index extends decline for fourth day; Infosys, TCS fall up to 2%

 

Shares of information technology (IT) companies were under pressure with Nifty IT index falling fourth straight day, down 1% after the US indices extended falls as sentiment remained fragile. Tata Consultancy Services (TCS), Infosys, Wipro, NIIT Technologies, Larsen & Toubro Infotech, KPIT Technologies, Tata Elxsi and Sonata Software were down 1% to 2% on the National Stock Exchange (NSE). Read more

 

1:07 PM

Top gainers and losers on S&P BSE Sensex

12:48 PM

Mutual funds hope India's mom-and-pop investors keep the faith in 2019

 

India’s $2 trillion stock market has been rattled in recent months by everything from high oil prices and tariff threats to a slumping rupee and a sell-off in non-bank lenders. The one thing that’s kept the gloom from worsening: robust flows from mom-and-pop investors.

 

That backstop is seen extending into 2019 after the bull market over the past five years helped ingrain a buy-the-dip mentality among locals. Consider this: equity funds bought a record 1.18 trillion rupees ($17 billion) of shares this year, negating sales of $4.5 billion by foreigners. Read more

12:33 PM

How market has performed during election year

In two out of three occasions, the markets behaved indecisively five months prior to elections. In contrast, throughout the past three elections, both Nifty and Nifty 500 indices exhibited a robust performance seven months post the election phase with average returns of 27% and 33%, respectively. (Source: ICICI Direct Research)

12:26 PM

Trend of buybacks offsetting shares entering market is worrying: Experts

 

Share buybacks in the domestic market have skyrocketed in the past three years, following the increase in dividend tax and impetus from government disinvestment. This has been to the extent that they are beginning to eat into the domestic equity float.

 

Since 2016, shares worth Rs 1.1 trillion have been extinguished through share repurchase programmes. This is 85 per cent of the new equity paper that has entered the market during the same period. Read more

12:08 PM

Web Exclusive What does ban on transfer of physical shares mean for investors?

 

On July 08th 2018, SEBI issued regulations pertaining to Mandatory Dematerialization for transfer of securities. Please note that these regulations only pertain to transfer of securities. The guidelines will be effective from December 05th 2018 post which all requests for transfer of shares will have to be in Demat format only. Currently, you are permitted to send physical certificates for transfer to the registrar and get new certificates issued in your name. Click here to read more
 

 

12:01 PM

Market check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	36,029.54	-402.13	-1.10
S&P BSE SENSEX 50	11,328.28	-131.49	-1.15
S&P BSE SENSEX Next 50	32,889.86	-315.16	-0.95
S&P BSE 100	11,123.18	-125.54	-1.12
S&P BSE Bharat 22 Index	3,473.63	-30.13	-0.86

11:49 AM

Top losers in BSE500

COMPANY	PRICE( )	CHG( )	CHG(%)	VOLUME
I O C L	140.00	-7.80	-5.28	911355
BHARTI INFRA.	250.80	-10.95	-4.18	75681
SOBHA	457.45	-19.50	-4.09	1325
EDELWEISS.FIN.	192.40	-7.65	-3.82	106627
AVANTI FEEDS	393.25	-15.40	-3.77	43446

11:48 AM

NEWS ALERT| Jet Airways board likely to have approved raising $150 million from Etihad Airways as a soft loan guarantee. Etihad is in talks with two foreign banks to syndicate the loan, according to CNBC TV18 news

11:41 AM

OUTLOOK 2019 | Be cautious, bulk up on cash as 2019 may be more volatile than 2018: Pimco

Staying in cash and waiting for the right opportunities to come by could prove rewarding in the new year that’s likely to be more volatile than 2018, according to Pacific Investment Management Co. READ MORE

11:21 AM

INTERVIEW OF THE DAY Now is the true test of the SIP cycle: Franklin Templeton's A Radhakrishnan

A cautious Anand Radhakrishnan, Managing Director and Chief Investment Officer, Emerging Markets Equity (India), Franklin Templeton, says it's still too early to say if the market correction is over. In an interview to Hamsini Karthik, he affirms that now is the true test of the systematic investment plan cycle. Click here to read full interview

 

 

11:00 AM

Board meetings today

COMPANY	DATE	AGENDA
BEMCO HYDRAULICS	21-12-2018	BOARD MEETING
BINAYAKA TEX PR	21-12-2018	BOARD MEETING
GOKUL SOLUTIONS	21-12-2018	BOARD MEETING
MEERA INDUSTRIES	21-12-2018	BOARD MEETING
PVR	21-12-2018	BOARD MEETING

» More on Board

10:53 AM

NDTV freezes at 10% upper circuit on signing 5-year deal with Taboola

Shares of NDTV was locked in the upper circuit of 10% at Rs 39.25 on the BSE, with only buyers being seen on the counter, after the company and Taboola, the world’s largest content discovery/ platform, signed a five-year exclusive deal worth more than Rs 3 billion. 

“The five-year deal ties NDTV Convergence exclusively to Taboola and involves a minimum guarantee of more than Rs 3 billion for NDTV Convergence, making it one of the largest deals not just for digital content but for the media space in its entirely,” NDTV said in a press release. Read more

 

10:41 AM

Top gainers and losers of S&P BSE Sensex

10:23 AM

After tepid stake sale, Centre to receive Rs 32.87 bn more from Coal India

 

After the centre raised around Rs 84 billion from three rounds of stake sale in Coal India, it will again be receiving another Rs 32.87 billion from this Maharatna enterprise as interim dividend.

 

The company’s board, on Thursday, approved a payout of Rs 7.25 per share of the face value of Rs 10 each as recommended by its audit committee. The government, currently holds 72.92 per cent. Read more

10:16 AM

Web Exclusive Five key factors that are likely to impact Indian equity markets in 2019

 

As the curtains come down on an eventful calendar year 2018 (CY18) that saw the S&P BSE Sensex and the Nifty50 react to the rise in oil prices, fall in rupee, rate hikes, trade war fears, FII outflows, worsening macros (twin deficits – fiscal and current), confusion over long-term capital gains tax among the Budget proposals and the IL&FS crisis.

 

On a year-to-date (YTD) basis, the S&P BSE Sensex and the Nifty50 have gained nearly 7per cent and 4 per cent, respectively. Read more