Sensex ends flat, Nifty below 9950; M&M top loser ahead of GST Council meet

All that happened in today's trade

3:54 PM

Vinod Nair, Head of Research, Geojit Financial Services 

 

The market continued to consolidate amid lack of fresh triggers for a decisive up-move. The global uncertainties are not completely out of the wood but the degree of threat is narrowing which will keep the long term outlook intact.

3:49 PM

Nifty Auto slips 0.5% ahead of GST Council meet on car cess

Source: NSE

3:43 PM

Sensex heatmap at close

Source: BSE

3:40 PM

Broader markets

 

Broader markets underperformed with BSE Midcap and the BSE Smallcap indices losing 0.4% and 0.1%, respectively. 

3:39 PM

Markets at close

 

The Sensex ended at 31,687, up 24 points, while the broader Nifty50 settled at 9,934, up 5 points. 

3:22 PM

Saudi Aramco IPO

 

When oil giant Saudi Aramco discloses its financials for the first time next year, it must either surprise investors with world record profits or reduce its aspirations for a $2 trillion valuation in its initial public offering (IPO). READ FULL REPORT

3:19 PM

European markets

European markets were trading lower as the stronger euro - a hit to exporters’ profits - continued to take the shine off one of the most favoured trades from earlier this year. The pan-European Stoxx 600 was down by around 0.29% after the opening bell, with almost all sectors and major bourses trading in the negative territory. FTSE 100 was down by 0.23% at 7,380. CAC 40 also was down by 0.21% at 5,103. DAX also reduced by 0.15% at 12,278. 

3:13 PM

Buzzing stock

Mahindra and Mahindra slipped over 3% and was the top index loser ahead of the GST Council meet to decide the quantum of cess hike in each variety of car on SUVs and luxury cars.

3:05 PM

Top five losers on Nifty

Source: BSE

3:03 PM

Markets check

 

At 3:00 pm, the Sensex was trading at 31,704, up 41 points, while the Nifty50 was ruling at 9,936, up 7 points. 

2:45 PM

Buzzing stock

8K Miles Software Services hit 52-week low of Rs 436, down 9%, extending its Thursday’s 3% fall on BSE. CLICK HERE FOR FULL REPORT

2:34 PM

Motilal Oswal on Shree Cement

 

SRCM is the most cost-efficient cement producer in India. Its superior execution capability enables it to achieve RoIC of over ~50% (FY19E). SRCM’s gross-block-to-capacity (GB/capacity)-currently at ~USD53/tonne – has been structurally trending downward, as the proportion of brownfield expansion has increased. Its GB/capacity is at 28% discount to peers, which is also reflected in its superior RoCE. 

 

We believe SRCM deserves to trade at premium valuations; we value the cement business at 15x FY20E EV/EBITDA to arrive at a target price of Rs 22,360. Buy.

2:12 PM

China August imports beat forecasts 

 

China posted stronger-than-expected import growth in August, reinforcing views that the world's second-largest economy is still expanding at a healthy pace despite tighter policy. 

 

China's imports grew 13.3% from a year earlier, official data showed on Friday, handily beating analysts' forecast of 10%, after rising 11% in July. READ MORE

1:58 PM

Buzzing stock

Tata Metaliks surged 5.57% to Rs 808 on BSE, with the stock extending its recent rally on sustained buying interest. CLICK HERE FOR MORE

1:35 PM

Broader markets off day's high

 

The BSE Midcap and the BSE Smallcap indices were down 0.5% and 0.2%, respectively. 

1:32 PM

Markets check

At 1:30 pm, the Sensex was trading at 31,659, down 3 points, while the broader Nifty50 was ruling at 9,926, down 3 points. 

1:23 PM

60 stocks rally over 25% so far this week 

Bombay Dyeing and Manufacturing Company, Himachal Futuristic Communications (HFCL), Career Point, NDTV, Aarvee Denims, Jai Corp and Kolte Patil Developers are among 60 stocks that have rallied over 25% during the current week. At 12:39 AM; the S&P BSE Sensex was trading at 31,691, falling 0.63% thus far in the week. READ MORE

12:58 PM

Sebi explores blockchain use for share market

 

The Securities and Exchange Board of India (Sebi) is exploring how blockchain technology could be used in the stock market.

 

Blockchain is a digital ledger technology, gaining popularity worldwide in the supply chain industry and for financial transactions. The technology is considered the backbone for use of crypto currencies such as Bitcoin.
 

According to sources, information technology major IBM, one of the pioneers of blockchain, gave a detailed presentation to Sebi on how the system could be put to use in stock markets. The meeting was attended by top Sebi officials. They were briefed on how blockchain could improve efficiency and transparency in the stock markets, sources add. READ MORE

The logo of the Securities and Exchange Board of India (SEBI) is pictured on the premises of its headquarters in Mumbai (Photo: Reuters)

12:35 PM

Window for small businesses: Composition scheme under GST may return

 

The composition scheme, which is applicable to specific categories of small businesses whose turnover is Rs 75 lakh and below and had been closed on August 16, may return soon.

 

With just about a million taxpayers opting for the scheme, the goods and services tax (GST) Council will consider reopening the window in its meeting on Saturday in Hyderabad, giving another opportunity to small players to avail of it.

 

“Smaller players reportedly faced challenges with respect to registration. Some wanted more time to evaluate their business models to comply with the requirements of the composition scheme. So, we want to give them another chance,” said a senior government official.

 

Click to read full report

12:20 PM

Why voluntary PF is the best plan for salaried employees

 

With interest rates on bank deposits (both fixed and savings) and small savings instruments headed downward, fixed-income investors are on the lookout for a product that can give them an attractive rate of return without having to court risk. One instrument is Voluntary Provident Fund (VPF).

 

If you are a salaried employee, 12 per cent of your basic salary plus dearness allowance would already be going into the Employees' Provident Fund (EPF) each month. Your employer would be making a matching contribution. In addition, you can also invest up to 100 per cent of your basic salary plus dearness allowance in VPF. READ MORE

Photo: Shutterstock

12:06 PM

Dr Reddy’s Laboratories slumps

Dr Reddy’s Laboratories dipped 7% to Rs 2,066 on the National Stock Exchange (NSE) in intra-day trade after the company said its formulations manufacturing facility in Duvvada, Vishakhapatnam, got zero critical and six major observations from the Regulatory Authority of Germany.

 

“The products manufactured at the facility are not currently exported to EU. The company will be submitting a corrective and preventive action plan (CAPA) to the authorities,” Dr Reddy’s Laboratories said in a statement. READ MORE

11:51 AM

Fund Pick: DSP BlackRock Opportunities Fund

Launched in May 2000, DSP BlackRock Opportunities Fund is classified under the diversified schemes of CRISIL Mutual Fund Ranking. The fund's quarterly average assets under management (AUM) tallied at Rs 2,450 crore in June 2017 under the guidance of Rohit Singhania.

 

Consistently ahead

 

The fund has consistently outperformed the benchmark (Nifty 500) and its category (funds ranked under the diversified category in June 2017 CRISIL Mutual Fund Ranking) in all time frames under analysis.

 

Out of six market phases, the fund outperformed the category in the two recent phases of Chinese slowdown and global liquidity, and the domestic reforms-driven rally. However, it outperformed the benchmark in all the market phases. During the recent rally, the fund outdid the benchmark and its peers with a significant margin. READ MORE
 

11:38 AM

Buzzing Stock

Shares of Vista Pharmaceuticals was locked at 5% upper circuit on the back of EIR received from USFDA. 

 

The company's formulation facility situated at Telangana has received Establishment Inspection Report (EIR) from USFDA, thereby confirming the closure of the inspection.

11:21 AM

L&T up over 4%

L&T surged over 4%, becoming the top gainer on benchmark indices, on hopes of new defence contracts. arsen and Toubro (L&T) is planning to bid for $28 billion of orders, including warships and submarines, in India as Prime Minister Narendra Modi breaks with tradition to embrace private, local suppliers.

 

India’s new defence purchase policy that allows non-state local firms to compete for orders from the military is helping the nation’s biggest engineering firm to become more ambitious, Jayant Patil, head of L&T’s defence business, said in an earlier interview. The company is building on its success with a $700-million order for artillery guns in May, unprecedented in size for a local contractor, he added. READ THE EARLIER INTERVIEW HERE

 

11:14 AM

Emami - Buy Target price – Rs. 1316

 

With flagship brands such as Navratna, Boroplus, Fair & Handsome and Zandu, Emami is the leading player in the FMCG sector with market leadership in all four categories. Some of its flagship brands have demand that is seasonal in nature.

 

We believe that adverse impact of GST is transitory in nature and will correct itself in coming quarters with steady up-stocking by the trade, good monsoons and other favourable macroeconomic factors. We expect the Company to witness a gradual recovery in 2QFY18 and a full-fledged recovery from 3QFY18 onwards.

 

Based on estimated adjusted EPS of Rs35.3, the stock currently trades at reasonable valuation of 31.7x FY19E earnings. We maintain our BUY recommendation on the stock with a revised rolled forward Target Price of Rs1316, based on 35x June’19 earnings.

 

(Source: Reliance Securities)

 

11:11 AM

Broader Markets

In broader markets, the BSE Midcap was trading 0.1% lower while  the BSE Smallcao index was up 0.22%

11:05 AM

Market Check

Equity benchmarks were off opening highs due to lack of global as well as domestic cues.

 

At 11:04 pm, the S&P BSE Sensex was trading at 31,656, down 6 points while the Nifty50 index was trading at 9,937, up 7 points.

10:57 AM

Bombay Dyeing extends rally

 

Bombay Dyeing and Manufacturing Company is locked in upper circuit for the third straight trading session, up 5% at Rs 161.05 on BSE.

 

The stock, trading at its fresh 52-week high, has gained more than double in past one month. It rallied 101% from Rs 80.20 on August 8, as compared to 1% decline in the S&P BSE Sensex. READ MORE

10:44 AM

Focus on infra, power, exports to boost growth: Raghuram Rajan to govt

 

Former Reserve Bank of India governor Raghuram Rajan said the Centre should focus on the levers it has control over — namely infrastructure, power, and exports — to boost growth.

 

“Let us focus on things we have control over. Let us ensure that the infrastructure we have built actually gets completed. That is a lever that the government can push harder. Can we solve impediments like land acquisition, given the political capital this government has?” Rajan said at the launch of his new book I Do What I Do in New Delhi on Thursday. READ MORE

Raghuram Rajan

10:28 AM

Punj Lloyd surges

Shares of Punj Lloyd sorged over 9% in early trade after the company received a letter of award for Rs 870 crore. 

 

The company has been issued the letter of award (LOA) in respect of construction and commissioning of balance/left out canal work including cross drainage structures & design for Gosikhurd National Project in Bhandara, Nagpur and Chandrapur districts of Maharashtra for VIDC, Phase - I / Pkg - I.