Sensex, Nifty Snap Three-Day Winning Streak As Banks Drag
Indian equity benchmarks snapped their three-day winning streak led by losses in banking shares.
The S&P BSE Sensex fell 0.28 percent to 31,834 and the NSE Nifty 50 Index declined 0.32 percent to 9,985. The broader markets also came under selling pressure with the S&P BSE MidCap index declining 0.8 percent and the S&P BSE SmallCap Index falling 1 percent.
Fourteen out of 19 sector gauges compiled by BSE ended lower led by the S&P BSE Realty Index's 2 percent drop. On the other hand, the S&P BSE Telecom Index was the top sectoral gainer, up 2.8 percent.
Indian Energy Exchange IPO Hits Regulatory Glitch
Indian Energy Exchange Ltd.’s fund raise from anchor investors declined by more than half to Rs 130 crore after India’s largest power trading platform revised the pre-IPO allotment amid confusion over foreign investment norms.
Some of the custodians of foreign investors objected to the interpretation of regulatory norms regarding their investment, Satyanarayan Goel, managing director and chief executive officer at IEX, told BloombergQuint over the phone. IEX is awaiting clarification from the Securities and Exchange Board of India, Goel said.
Lakshmi Vilas Bank Falls As Asset Quality Worsens In Q2
Shares of the private sector lender fell as much as 6 percent, the most since September 25, to Rs 137.5 after it reported weak set of September quarter earnings.
Key Q2 Highlights:
- Net profit falls 84 percent to Rs 10.5 crore from Rs 64.84 crore during the same period last year
- Goss non-performing assets as a percentage of total advances rise to 5.5 percent compared with 3.78 percent in previous quarter
Jai Bala To BloombergQuint
- Bullish on markets and do not see Nifty going below 9,867
- Nifty can go up to 10,500-10,700 and the current dip is a welcome opportunity in the market
- Bullish on Tata Elxsi, the stock can go above Rs 1,100 and it is unlikely to go below Rs 790
- Bullish on Petron Engineering and as long as it holds Rs 110 on the downside it can go up to Rs 244
- DHFL can stage a correction in the near term and investors can look to book profits
Stocks Gaining On Heavy Volumes
- Bajaj Corp: The Rajasthan-based hair care product maker jumped as much as 3.35 percent, the most since September 29, to Rs 413. Trading volume was 31.6 times its 20-day average.
- Finolex Cables: The Pune-based electrical components maker rose as much as 9.14 percent, the most in over four months, to Rs 612. Trading volume was 22.2 times its 20-day average.
- Century Plyboard: The Kolkata-based plyboard and veneer maker gained as much as 11 percent, the most in two months, to Rs 2273. Trading volume was 16.6 times its 20-day average.
- Ingersoll Rand: The Bangalore-based industrial equipment maker jumped as much as 11 percent, the most in nearly five months, to Rs 858. Trading volume was 11.3 times its 20-day average.