Sensex, Nifty Halt Record Gaining Streak; Rupee Weakens

Indian shares ended their record closing streak, with the rupee poised for its biggest drop since mid-November, as concerns over President Donald Trump’s administration sapped investor’s risk appetite.

"Markets were looking tired as there were no fresh triggers to support the trend. We could see a correction of 300 to 400 points on the Nifty in the short term," said Yogesh Nagaonkar, fund manager at Bonanza Portfolio.

“9,000 levels would be the right time to deploy money," said Nagaonkar.

The S&P BSE Sensex fell 0.73 percent at 30,434 while the NSE Nifty declined 1.01 percent to 9,429. Both the indexes snapped three sessions of gains.

Among the sectoral indices, S&P BSE Realty fell 3.1 percent while the S&P BSE Metal shed 2.8 percent.

The market breadth was skewed in the favour of losers, with about 7 stocks declining to every 2 stocks that advanced.

Rupee Weakens Against Dollar

The rupee slid as much as 1.1 percent to 64.89 against the U.S. dollar, its lowest since April 2017, compared to previous close of 64.15. Currency was now down 0.8 percent at 64.67.

There have been some outflows from foreign investors, said a forex trader adding that a bulk of the market reaction was in response to what happened overnight in the U.S. markets.

There is a reasonably risk-off sentiment, which could lead to a further correction in the currency, trader with private bank said.

• Shares of power supplier fall as much as 17.3% to Rs 807, the most since October 2012
• Board approved demerger of some businesses into units; To merge infra unit, spencer retail, music world with self
• Q4 net income Rs 295 crore vs estimate Rs 211 crore

• Shares fall as much as 8.2% to Rs 69.70, the most since January 2016
• Q4 gross NPA 21.25% end-March vs 15.16% end-December
• Q4 provision Rs 5,330 crore vs Rs 186 crore last year
• Q4 loss at Rs 3,200 crore

• Stock rose as much as 20%, the highest intraday gain in nearly 6 months
• Volumes at 62 times its 20-day average
• Stock has gained 42% year-to-date
• The pharma company has a market cap of Rs 584 crore

• Q4 net profit Rs 862 crore vs estimate Rs 842 crore
• Q4 revenue Rs 5,213 crore vs estimate Rs 4,830 crore
• Declares dividend of Rs 55 a share
• Shares swing between gains and losses after margins miss estimates

• Shares recover from earlier losses to trade higher 1% at Rs 385
• Q4 net profit Rs 110 crore vs estimate Rs 41 crore
• Q4 revenue Rs 470 crore vs estimate Rs 478 crore

• Shares fell as much 2.1% to Rs 1,665, the most since March 2017
• Q4 net profit Rs 130 crore vs Rs 274 crore last year
• Q4 revenue Rs 4,370 crore vs Rs 3,770 crore last year
• Stock has gained 31% year-to-date vs 15% rise for the Sensex

• Shares fall as much 4.2% to Rs 112, the most since November 2016
• Gross NPA 3.58% end-March vs 2.66% end-December
• Q4 provisions Rs 218 crore vs Rs 55 crore last year

• Shares up as much as 9.2% to Rs 13.60, the most since February 2017
• Company may announce debt plan today, CNBC-TV18 reported citing unidentified sources
• Jaiprakash Associates had an outstanding debt of Rs 2,713.33 crore as of March 31, 2016: annual report
• Volume at 2.2 times its 30-day average

• Nifty IT index up as much as 2%, the most since February 2017
• Tech stocks rally: TCS (+3.9%), Tech Mahindra (+1.9%), Wipro (+2.7%)
• Indian rupee dropped for a third straight session; Currency lost 18 paise against the U.S. dollar to trade at Rs 64.33
• Weak rupee benefits technology outsourcing firms as they derive nearly 90% of their revenue from the overseas markets

• Stock falls as much as 3.6% to Rs 199.30, the most since March 27
• Shares have rallied nearly 6% over the past 4 sessions ahead of Q4 results
• S&P BSE Metal index down 1.4% tracking weak global commodities
• JSW’s Q4 net income beat estimates; company declared a dividend of Rs 2.25 a share

• Tyre maker was in the Futures & Options ban list for a week until May 17
• As of last closing price, the difference between Ceat's spot and futures prices peaked at Rs 139, the highest in over a month
• Analyst consensus price target at Rs 1,621, nearly 12% below the current price
• Company trading at an unusual 15% premium to its peers: Bloomberg data

• Shares list at a 1.2% premium to the offer price of Rs 102 on the BSE
• The IPO is the first from the InvIT space

Also Read: What IRB Infrastructure’s InvIT IPO Offers Investors

• Shares fall as much as 4.8% to Rs 773, the most since May 2016
• Q4 net income Rs 8.3 crore vs estimate Rs 44.3 crore
• Analyst consensus price target is 3% above current price
• Stock has gained 11% over past one year vs 21% gain for the Sensex

• An arm of Malaysian sovereign fund Khazanah Nasional Bhd sold its entire 4.78 percent stake in Apollo Hospitals
• Stake sale valued at Rs 838.5 crore
• Stock falls 2.7%

Read the full story HERE

• Bajaj Finserv: (-1.6%): Q4 net income Rs 535 crore vs estimate Rs 586 crore
• Indian Overseas Bank (-2.2%): Q4 net loss Rs 650 crore vs loss Rs 940 crore last year
• Mangalore Refinery (+5.4%): Q4 net income up 42.55% to Rs 1,942.4 crore
• Smartlink Network (-4.2%): Q4 net income Rs 70.2 lakh vs Rs 3.3 crore last year
• Hindustan Unilever (-0.9%): Q4 net income Rs 1,180 crore vs estimate Rs 1,080 crore

Indian shares retreated from record highs, inline with the fall in global equities as concerns over President Donald Trump’s administration spooked investors.

The S&P BSE Sensex fell 0.58 percent to 30,496, while the NSE Nifty shed 0.53 percent at 9,476.

Among the sectoral indices, S&P BSE Realty dropped 1.4 xx percent while S&P BSE Auto declined 0.8 percent.

The market breadth was skewed in the favour of losers, with about 8 stocks declining to every 2 stocks that advanced.

Inflation is slowing down but the central bank is likely to keep interest rates unchanged. This is the view from one of India's biggest bond houses, ICICI Securities Primary Dealership Ltd.

The RBI will continue to aim at achieving its target of 4% inflation and market will remain rangebound. Which is what is happening now with no fresh triggers in sight. The yield on the new ten-year note was steady at 6.68% and on the benchmark at 6.84%.

So where is the money?

ICICI PD favours the 5-7 year segment of the curve where yields have failed to match the decline.

In the currency market, most emerging market units have slipped into the red as Brazil plunges back into a political crisis, reducing the appetite for riskier currencies. We may see the rupee moving in a range of 64.10-64.40 a dollar in the day as investors seek the safety of the greenback.

Read the full story HERE

• Capital First: Says Warburg Pincus sold 25 percent stake in the company.
• Hindustan Organic: Cabinet approved restructuring for the company.
• Siemens India: Won order from Vedanta to digitally connect power units.
• Reliance Infrastructure: Filed petition for urgent payment of arbitration.
• Jindal Poly Films: To consider proposal to raise funds up to Rs 800 crore.
• Lupin, Wockhardt: Drug price regulator issued notices to companies for violating price control norms.

For a complete list of stocks, click HERE

• Hindustan Unilever: Cut to neutral at Nomura, price target Rs 1,057
• JK Cement: Cut to hold at Anand Rathi Securities, price target Rs 1,150
• NTPC: Raised to buy at Goldman
• Tata Steel: Raised to buy at India Infoline, price target Rs 557
• Tata Consultancy: Cut to hold at Morningstar
• Sobha: Raised to buy at HDFC Securities; prrice target Rs 500

• Bank of Baroda
• Aditya Birla Nuvo
• Cummins India
• CESC
• Bajaj Auto
• EID Parry India
• IDBI Bank
• Karur Vysya Bank
• Pidilite Industries
• Muthoot Finance
• Strides Shasun

• Cartica’s Barger says Indian stocks have "more to run"
• Inflation plunge unlikely to sway India’s hawkish central bank
• Bond-like securities lure top Indian fund to Road Builders
• India’s ICICI Primary Dealer says hard to repeat profit levels
• India monsoon likely to reach Kerala from May 30: IMD
• India bank loans of Rs 2.6 trillion may become stressed by FY19: Ind-Ra
• SEBI sets position caps for cross-currency F&O in IFSC exchanges
• Global funds sold Rs 731 crore of local stocks; domestic funds bought Rs 615 crore on May 17: Provisional data
• India, Peru coffee production seen increasing, USDA FAS says
• India approves coal supply auction policy for power plants

Also Read: Drug Firms Face NPPA Action For Violating Price Control Norm

Good Morning!

The Singapore traded SGX Nifty, an early indicator of Nifty’s performance in India, dropped 0.8 percent at 9,460.

Asian shares tumbled while the U.S. stocks notched their biggest one-day drop in nine months on mounting concerns over President Donald Trump’s administration.

Gold and the dollar steadied after a rush to asset havens on Wednesday. The yen retreated after the currency surged 2.1 percent, the most since November, in the previous session. Japan also posted its fifth straight quarter of growth, its longest in a decade.

Also Read: World’s 500 Richest People Lose $35 Billion From Trump Turmoil

The Trump administration is facing its toughest political turmoil yet, on reports that the president had asked the former head of the Federal Bureau of Investigation James Comey to drop a probe into former National Security Adviser Michael Flynn, as well as his handling of intelligence gathered by U.S. agencies.

The recent turmoil has raised doubts on Trump’s ability to deliver on his tax cut and fiscal stimulus promises.

Oil held gains near its highest close in almost three weeks as shrinking U.S. crude inventories raised optimism around the Organisation of Petroleum Exporting Countries-led production cuts finally showing results.