MARKET WRAP: Nifty ends May F&O expiry above 10,700, Sensex gains 416 pts

Nifty Pharma fell over 1%  COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME SUN PHARMA.INDS. 480.35 494.55 -14.20 -2.87 18785199 DR REDDY'S LABS 1927.85 1961.80 -33.95 -1.73 1859410 CADILA HEALTH. 361.30 367.50 -6.20 -1.69 3115317 AUROBINDO PHARMA 556.30 565.65 -9.35 -1.65 4277149 BIOCON 665.40 674.90 -9.50 -1.41 5112021

Nifty Bank index gains over 2%: Top gainers in the pack COMPANY LATEST PREV CLOSE GAIN() GAIN(%) VOLUME HDFC BANK 2147.40 2048.35 99.05 4.84 9107110 INDUSIND BANK 1959.40 1884.85 74.55 3.96 3620127 ST BK OF INDIA 270.60 267.15 3.45 1.29 29605103 KOTAK MAH. BANK 1319.65 1303.25 16.40 1.26 6320209 IDFC BANK 40.55 40.05 0.50 1.25 138009862

Nifty chart for the day

Sectoral Trend

Top Sensex gainers and losers

Markets at Close The S&P BSE Sensex ended the day at 35,322, up 416 points while the broader Nifty50 index settled at 10,736, up 121 points

What is China's A-share MSCI inclusion on June 1?   Global market research and index company MSCI Inc will add roughly 230 China-listed shares to its emerging market benchmark in a two-step process starting on June 1, a move expected to drive a surge of foreign money into the country's stock markets.   MSCI's decision a year ago to include yuan-denominated Chinese stocks, or "A-shares", into its emerging market (EM) index triggered a rally in Chinese blue-chips in 2017, though the market has corrected this year amid rising borrowing costs and fears of a Sino-US trade war. READ MORE

The quiet upheaval in Indian broking that's taking a bite out of revenues   The nearly 200-billion rupee Indian broking industry is going through a bit of turbulence. And its roots can be traced all the way to Europe.   The European Union has introduced new rules that are already taking a bite out of revenues and is changing how research and execution services are offered to some of India’s largest foreign investors. The resulting pressure on earnings is likely to mirror the tumult seen elsewhere in the world, according to experts. READ MORE

ANALYSIS Debt-free firms make up 57% of all market cap; Why Dalal Street loves them   In a world awash with debt, Dalal Street shows special preference for companies that stay away from borrowings and fund their operations largely from internal accruals. Debt-free companies (on net debt basis) account for 57 per cent of all market capitalisation of listed non-financial companies even though they are in minority in terms of revenues, assets and net profits.   In all, 209 non-financial companies out of a total sample of 594 companies were debt-free at the end of FY18 and together they accounted for 25.6 per cent of the sample companies’ combined net sales, 22.7 per cent of all assets and 46.5 per cent of their net profit. The analysis is based on a common sample of companies that part of BSE 500, BSE Midcap and BSE Smallcap indices. READ MORE

31 stocks from smallcap index fall over 25% in May   Manpasand Beverages, Jet Airways (India), Avanti Feeds, Atlanta, Hindustan Construction Company (HCC), Waterbase, Rolta India and Dilip Buildcon were among 31 stocks from the S&P BSE Smallcap index falling more than 25% in the month of May.   Mangalam Drugs, Asian Oilfield, Sunil Hitech, Tamil Nadu Petroproudcts, Kitex Garments, Nandan Denim, Bhansali Engineering Polymers, Rain Industries, Granules India and Thirumalai Chemicals too slipped an over 25% during the month. READ MORE

Investors worried PM Modi may sacrifice fiscal prudence ahead of 2019 polls   The rupee is the worst performing currency in Asia this year, flirting with an all-time low on worries that India is headed for problems as rising oil prices rewrite the once-shining fundamentals of Asia’s third-largest economy.   India had been in a sweet spot since Prime Minister Narendra Modi came to power in 2014. Its economic expansion is outpacing even China’s, inflation is in check, its budget deficit seemed to be shrinking and its popular prime minister had looked unbeatable. It’s now the world’s fastest-growing large economy. READ MORE