Street signs: Was Aditya Ghosh's exit from IndiGo expected? Stock falls 6%

Was Aditya Ghosh’s exit expected?
 

On Friday evening, Interglobe Enterprises, the company that runs IndiGo, informed the stock exchanges that the company’s president Aditya Ghosh was quitting the firm. However, the company’s stock price had reacted to the possibility of this news earlier. On a day, when the Bombay Stock Exchange Sensitive Index, or Sensex, rose 250 points to close just short of 35,000 points, Interglobe shares fell 6.31 per cent. In the past month, the stock had risen by 16 per cent to Rs 1,498 – before taking the knock on Friday to close at Rs1,404 . Market players say there was some anticipation of change in management.
 

                                                                                                                                                                              Joydeep Ghosh

Lost decade for RIL’s FII investors
 

Reliance Industries (RIL) could soon join Tata Consultancy Services (TCS) in the $100-billion market capitalisation club. The Mukesh Ambani-led company’s current market value is $95 billion. RIL’s peak dollar market cap was $104.6 billion in October 2007. In local currency terms, shares of the oil-to-telecom behemoth are up more than 40 per cent since then, but in dollar terms, they are down nearly 10 per cent. So, a foreign institutional investor whose currency is the dollar is still out of the money even after a decade on his 2007 investment in the stock in terms of capital though he would have received dividends.

                                                         
                                                                                                                                                                                 Samie Modak

No ‘sell in May’ this year? 
 

Contrary to the popular adage ‘sell in May, go away’, the market has delivered positive returns in May in the past five years. The benchmark Nifty has risen an average three per cent in the previous five May series derivatives. Typically, new monthly derivatives series starts on the last Friday of every month. The May 2018 derivatives series began on Friday when the benchmark indices closed nearly one per cent higher. The Nifty gained 4.9 per cent in the April series. Many derivatives analysts expect the market to continue to rise given the bullish rollover trends.

                                                                                                                                                                     Mayank Patwardhan