Sensex, Nifty End Mixed After Volatile Trade

Indian equity benchmarks ended mixed after a topsy-turvy trading session as the gains HDFC Bank Ltd. and Kotak Mahindra Bank Ltd. were offset by the losses in Infosys Ltd. and IndusInd Bank Ltd.

The S&P BSE Sensex ended 0.04 percent or 15 points lower at 39,741.36 while the NSE Nifty 50 ended 0.07 percent higher at 11,914.05. The broader market index represented by the NSE Nifty 500 Index ended 0.03 percent lower.

The market breadth was tilted in favour of sellers. About 1,164 stocks declined and 598 shares advanced on National Stock Exchange.

Seven out of 11 sectoral gauges compiled by NSE ended lower, led by the NSE Nifty PSU Bank Index’s 1 percent fall. On the flipside, the NSE Nifty Media Index was the top sectoral gainer, up 1.15 percent.

In the currency market, the Indian rupee traded at day’s low against the U.S. dollar. The home currency depreciated 0.25 percent intraday to 69.35 against the greenback.

On the macro front, Brent crude traded 3.5 percent higher at $62.06 a barrel. The Asian crude benchmark jumped nearly 4.5 percent intraday. This after a report that a crude tanker caught fire in the Gulf of Oman.

Indiabulls Integrated Services

• Stock rose as much as 5 percent to Rs 215.40.
• Trading volume was more than eight times its 20-day average.

Yes Bank

• Stock fell as much as 13.9 percent to Rs 116.
• Trading volume was almost triple its 20-day average.

Music Broadcast

• Stock rose as much as 2.7 percent to Rs 59.
• Trading volume was almost 30 times its 20-day average.

SAIL

• Stock rose as much as 2.3 percent.
• About 14.3 lakh shares of SAIL changed hands in block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

Tata Sponge Iron

• Stock rose 2.6 percent.
• The company’s board approved rights issue of 3.3 crore shares amounting to Rs 1,650 crore. The rights entitlement ratio was at 15:7 and the issue price was set at Rs 500 apiece.

Mishra Dhatu Nigam

• Stock rose 2.8 percent.
• The company secured an order worth Rs 197 crore. Its total order book stood at Rs 1,900 crore.

Neogen Chemicals

• Stock rose 6.9 percent to hit an all-time high.
• Trading volume was 16 times its 20-day average, Bloomberg data showed.

Indian equity benchmarks are headed for a volatile close.

The S&P BSE Sensex traded 0.1 percent lower at 39,733 and the NSE Nifty 50 traded 0.1 percent higher at 11,911 as of 3 p.m. The broader market index represented by the NSE Nifty 500 Index traded little changed.

In the currency market, the Indian rupee traded at day’s low against the U.S. dollar. The home currency depreciated 0.24 percent intraday to 69.51 against the greenback.

Four large lenders in India have grown 30 percent in terms of market cap over the previous financial year. The stellar run may continue over the next 12 months, according to a Morgan Stanley research report.

“The big players become bigger and the weak ones will keep getting weaker,” said Anil Agarwal, head for Asian Financial Research of Morgan Stanley in an interview on the sidelines of its annual India Summit. “The big guys can just take away (market) share with a large chunk of them not being able to lend.”

Listen in to the conversation with Morgan Stanley here to find their top picks

The markets are showing intolerance towards corporate governance and provisioning issues, Market Expert Nipun Mehta Told BloombergQuint in an interaction.

The markets will continue to revolve around the companies which have balance sheets cheaper valuations., Mehta said, adding that there are certain mid caps which looks interesting in the sectors like auto, NBFCs real estate among others.

The Nifty is defending the 11,850-11,870 support zone and is seeing a resistance around 12,000-12,030 levels, IIFL’s Hadrien Mendonca said.

Ajit Mittal, executive director at Indiabulls Housing Finance told BloombergQuint in an interaction.

Here are the key highlights from the conversation:

• Four shares were bought for the petitioner to give the legitimacy of a whistleblower.
• Expect the mastermind behind the operation to be caught and dealt with according to the law.
• We chose to bite the bullet & take on the "blackmailers" in the court of law.

The Indian rupee traded at day’s low against the U.S. dollar. The home currency depreciated 0.2 percent intraday to 69.49 against the greenback.

European equities erased earlier losses and climbed, led by oil shares after a suspected tanker attack in the Gulf of Oman sent crude prices surging.

The NSE Nifty MidCap 100 Index fell 0.5 percent, led by the declines in DHFL, Reliance Power and Gujarat State Petronet.

Indian equity benchmarks traded off day’s low.

The S&P BSE Sensex traded 0.35 percent or 140 points lower at 39,617 as of 2 p.m. and the NSE Nifty 50 traded above 11,850.

Indiabulls Housing Finance was in focus after the housing finance firm said that the writ petition filed in the Supreme Court against company and Sameer Gehlaut has been withdrawn, according to tis statement on the exchanges. The stock rose nearly 11 percent intraday.

On the macro front, Brent crude traded 2.3 percent higher at $61.39 a barrel. The Asian crude benchmark jumped nearly 4.5 percent intraday. This after a report that a crude tanker caught fire in the Gulf of Oman.

The market breadth was tilted in favour of sellers. About 1,251 stocks declined and 478 shares advanced on National Stock Exchange.

Shares of Indiabulls Housing Finance rose as much as 10.9 percent to Rs 688.70. The stock fell 5.3 percent during the opening trade.

The housing finance firm said that the writ petition filed in the Supreme Court against company and Sameer Gehlaut has been withdrawn, according to tis statement on the exchanges.

Trading volume was more than double its 20-day average, Bloomberg data showed. The stock declined 50 percent in the past 12 months compared to a 11 percent gain in the Sensex.

Shares of IndusInd Bank fell as much as 8.3 percent to Rs 1,440.

Brokerage and research firm UBS downgraded the stock rating to ‘Sell’ from ‘Neutral’ and cut its price target to Rs 1,400 from Rs 1,700.

Here’s what UBS had to say:

• Credit costs likely to exceed current expectations.
• Lending to non-investment grade companies is higher than expectations.
• Proposed Bharat Financial merger to support near-term earnings.
• Downgrade to sell on unfavourable risk-reward.

The NSE Nifty 500 Index which represents the broader markets fell 0.6 percent, led by the declines in Jet Airways and Reliance Home Finance.

Indian equity benchmarks were off day’s low, but continued to remain under pressure.

The S&P BSE Sensex traded over 200 points lower at 39,537.55 as of 1 p.m. and the NSE Nifty 50 hovered around 11,840 levels.

Brent crude traded 2.8 percent higher at $61.72 a barrel. The Asian crude benchmark jumped nearly 4.5 percent intraday. This after a report that a crude tanker caught fire in the Gulf of Oman.

Besides, The Indian rupee traded lower after a shaky start. The home currency depreciated 0.1 percent to 69.42 against the U.S. dollar.

The Brent crude jumped over 4 percent to $62.64 per barrel today. It closed 3.7 percent lower yesterday. This after a report that a crude tanker caught fire in the Gulf of Oman.

The U.S. Fifth Fleet said two oil tankers were damaged in an incident in the Sea of Oman that one of the ships’ operators described as a suspected attack, according to a Bloomberg report.

The NSE Nifty SmallCap 100 Index fell 1.5 percent, led by the declines in Jet Airways, IRB Infrastructure Developers Ltd. On the flipside, Galaxy Surfactants Ltd. and Dr. Lal Pathlabs Ltd. were the best performers.

The non-banking financial sector is expected to return to normalcy soon as the liquidity crunch in the space settle down gradually, Gruh Finance Ltd.’s Sudhin Choksey told BloombergQuint.

“If players stick to the prudence of observing asset-liability management guidelines of the regulator and building some amount of liquidity with them, that will see them through this difficult period,” managing director of the lending firm said. “The dust will slowly and gradually settle down.”

Watch the full interaction here:

Indian equity benchmarks traded at day’s low, led by the declines in Reliance Industries Ltd. and IndusInd Bank Ltd.

The S&P NSE Sensex fell nearly 300 points to 39,470 as of noon and the NSE Nifty 50 traded near 11,800. The mid- and small-cap indices represented by the NSE Nifty MidCap Index and NSE Nifty SmallCap Index fell 1.5 percent and 1.2 percent respectively.

Yes Bank continued to be in focus. The private lender declined nearly 13 after brokerage and research firm UBS gave it the most bearish price target yet.

Shares of Yes Bank Extended fall and declined as much as 12.9 percent to Rs 117.40, the lowest in over four years.

Brokerage and research firm UBS cut Yes Bank’s price target to Rs 90 from Rs 170, implying a potential downside of 33 percent from the last regular trade. This was by far the lowest price target put out by any brokerage tracking the stock, Bloomberg data showed.

Here’s what UBS had to say about Yes Bank:

• Expectation of sharp turnaround less likely to fructify.
• NPL risks seem higher than current expectations.
• Metrics to deteriorate significantly in 2019-20.

Trading in the company's call options totalled 37,811 contracts, compared with the average of 25,512 over the past 20 days, Bloomberg data showed. Trading in the company's put options totalled 30,383 contracts, compared with the average of 13,578 over the same period. The Relative Strength Index on the stock was below 30, indicating that the stock may be oversold.

Shares of Jet Airways fell as much as 23.3 percent to hit an all-time low at Rs 84.60.

BSE Ltd. and National Stock Exchange will impose trading restrictions on carrier’s shares from June 28, as part of preventive surveillance measures to curb excessive volatility. (Read more here)

Trading in the company's call options totalled 1,314 contracts, compared with the average of 466 over the past 20 days, according to Bloomberg data. Trading in the company's put options totalled 1,190 contracts, compared with the average of 260 over the same period.

Shares of chemical products maker extended gains for the third consecutive trading session and rose as much as 9.9 percent to hit an all-time high at Rs 399.

The stock advanced 24 percent in the past five days and rallied over 79 percent since its listing on May 7. Trading volume was 16 times its 20-day average, according to Bloomberg data. The Relative Strength Index was above 70, indicating that the stock may be overbought.

The NSE Nifty PSU Bank Index fell 2.97 percent, led by the declines in Punjab National Bank and Jammu & Kashmir Bank.

Indian equity benchmarks struggled to recover as the gains in Larsen & Toubro Ltd. were offset by the losses in IndusInd Bank Ltd.

The S&P BSE Sensex fell 200 points to 39,543 as of 11 a.m. and the NSE Nifty 50 traded below 11,850.

Ten out of 11 sectoral gauges compiled by NSE declined, led by the NSE Nifty PSU Bank Index’s 3 percent fall. On the flipside, the NSE Nifty Realty Index was the only sectoral gainer, up 0.1 percent.

Shares of NMDC fell as much as 6.8 percent, the most in nearly three months to Rs 100.15.

Barring Kumaraswamy Mines in Karnataka, production of iron ore by NMDC came to a standstill as the state-owned company halted production at Bailadilla Range in Dantewada in Chhattisgarh also due to protest by tribals, according to a PTI report.

“The miner is losing 70,000 tonnes of iron ore production from Chhattisgarh and already losing 0.5 million tonnes per month from Donimalai mines in Karnataka since November last year”, official sources told the newsagency.

Shares of Tata Consultancy Services Ltd. extended gains for the fifth consecutive trading session and rose as much as 1.1 percent to hit an all-time high at Rs 2,285.

The stock rose 5 percent over the past five days, Bloomberg data showed. The scrip traded at 24.1 times its estimated forward earnings per share compared to a 20.9 percent for the two-year historical average.

Nifty’s 11,900 call option contract was among the most active Nifty option contracts on National Stock Exchange.

Premium on the weekly contract, which is set to expire today fell 79.2 percent to Rs 6.15. Over 27.18 lakh shares were added to the open interest which stood at over 42.78 lakh shares.

Confidence Petroleum India Ltd. made its debut on National Stock Exchange. The stock opened at Rs 41.40 on NSE. It fell to Rs 38.65 thereafter.

Indian equity benchmarks continued to traded lower tracking losses in their Asian peers after U.S. futures as investors assessed ongoing trade tensions alongside data that played into the hands of those gunning for looser U.S. monetary policy.

The S&P BSE Sensex fell 200 points to 39,552 and the NSE Nifty 50 traded below 11,850.

Yes Bank was the worst performer on Sensex and Nifty after the stock fell as much as 6.5 percent. This after brokerage and research firm UBS gave the stock its most bearish price target yet.

Besides, DHFL was in focus after the stock halted a three-day gaining streak and fell nearly 10 percent intraday.

Shares of Tata Motors fell as much as 1.8 percent to Rs 166.10.

The company’s Group global sales fell 23 percent on a yearly basis to 82,374 units in May. Besides, Jaguar Land Rover May total wholesales declined 18 percent year-on-year to 39,895 units.

The stock traded at 10 times its estimate earnings per share for the coming year, Bloomberg data showed.

Shares of the housing finance company fell as much as 9.6 percent to Rs 84.30, halting their three-day gaining streak.

The company paid Rs 962 crore in interest payments that were overdue on non-convertible debentures, it said in a statement Tuesday.

The stock declined 5.5 percent in the past five days and fell 20 percent in the past 30 days, Bloomberg data showed. Of the shares traded 35 percent were at the ask price and 38 percent were at the bid.

About 14.3 lakh shares of SAIL changed hands in block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

Shares of Yes Bank fell as much as 6.5 percent to Rs 126. The stock was the worst performer on Sensex and Nifty

Brokerage and research firm UBS cut Yes Bank’s price target to Rs 90 from Rs 170, implying a potential downside of 33 percent from the last regular trade. This was by far the lowest price target put out by any brokerage tracking the stock, Bloomberg data showed.

Here’s what UBS had to say about Yes Bank:

• Expectation of sharp turnaround less likely to fructify.
• NPL risks seem higher than current expectations.
• Metrics to deteriorate significantly in 2019-20.

Queensland’s Department of Environment and Science approved Adani’s Groundwater Dependent Ecosystem Management Plan for the Carmichael coal, according to Bloomberg report.

The decision means Adani can begin work on the first phase, which is expected to cost A$ 2 billion, the report added.

Indian equity benchmarks opened lower in today’s trade, led by the declines in Yes Bank Ltd. after it received its most bearish price target yet.

The S&P BSE Sensex fell as much as 138 points or 0.35 percent to 39,619.31 and the NSE Nifty 50 fell as much as 0.36 percent to 11,863.30. The broader market index represented b the NSE Nifty 500 Index fell as much as 0.36 percent.

The market breadth was tilted in favour of sellers. About 901 stocks declined and 556 shares advanced on National Stock Exchange.

Ten out of 11 sectoral gauges compiled by NSE traded lower, led by the NSE Nifty FMCG Index’s 0.58 percent fall. On the flipside, the NSE Nifty Financial Service Index was the only sectoral gainer, up 0.1 percent.

The Indian rupee fluctuated between gains and losses to trade little changed at 69.33 against the U.S. dollar during the opening trade.

Indian equity benchmarks witnessed fluctuations during the pre-market trade, suggesting a mixed start.

The S&P BSE Sensex and the NSE Nifty 50 were below 39,750 and 11,900 respectively.

June Futures

• Nifty futures closed at 11,916.7, premium of 10.5 points versus 11pts
• Nifty futures OI down 3.5 percent, sheds 6.6 lakh shares in OI
• Bank Nifty futures closed at 31,005, premium of 40 points versus discount of 18.5pts
• Bank Nifty futures OI down 2 percent, sheds 37,000 shares in OI

Options

• Nifty PCR at 1.32 versus 1.49 (across all series)

Nifty Weekly Expiry June 13

• Max OI on call side at 12,000 (29.6 lakh shares)
• Max OI on put side at 11,800 (18.2 lakh shares)
• OI addition seen at 12,000C (+10 lakh shares), 11,900C (+9 lakh shares)
• OI shedding seen at 11,900P (-5.8 lakh shares), 11,950P (-4.8 lakh shares)

Nifty Monthly Expiry June 27

• Max OI on call side at 12,500 (22.3 lakh shares)
• Max OI on put side at 11,500 (27 lakh shares)
• Max OI addition seen at 12,000C (+2.8 lakh shares), 11,900C (+1.5 lakh shares)

Stocks In F&O Ban

• In ban: IDBI, PC Jeweller, Reliance Capital, Reliance Infra
• Out of ban: Dewan Housing

UBS on Yes Bank

• Maintained ‘Sell’; cut price target to Rs 90 from Rs 170.
• Expectation of sharp turnaround less likely to fructify.
• NPL risks seem higher than current expectations.
• Metrics to deteriorate significantly in 2019-20.

UBS on IndusInd Bank

• Downgraded to ‘Sell’ from ‘Neutral’; cut price target to Rs 1,400 from Rs 1,700.
• Credit costs likely to exceed current expectations.
• Lending to non-investment grade companies is higher than expectations.
• Proposed Bharat Financial merger to support near-term earnings.
• Downgrade to sell on unfavourable risk-reward.

Edelweiss on Avenue Supermarts

• Maintained ‘Reduce’ with a price target of Rs 1,280.
• Everyday Low Pricing strategy to remain bedrock of the business model.
• Though competition has intensified, mgmt. confident that industry pie is large enough.
• Store expansion pace to gather momentum; mgmt. satisfied with current gross and Ebitda margins.

Motilal Oswal on Avenue Supermarts

• Maintained ‘Sell’ with a price target of Rs 1,115.
• Growth prospects strong, but margin headwinds blowing fiercely.
• SSSG expectations modest; pricing pressure persists.
• Margin headwinds still blowing; D-Mart Ready may pose a risk of increasing cost.

• Biocon record date for bonus at 1:1
• Symphony to move out of short term ASM Framework
• Mcleod Russel, Eros International Media , Indiabulls Integrated Services price band revised to 5 percent

• Hubtown promoters created pledge of 17.5 lakh shares in June 11
• JSW Energy promoter Indusglobe Multiventures created pledge of 41.3 lakh shares from June 7-10
• Sintex Industries promoter BVM Finance revoked and created pledge of 2cr shares, each from June 10-11
• India Cements promoter group Anna Investments revoked pledge of 52 lakh shares on June 10

• Hinduja Global Solutions: Fidelity Funds acquired 2.69 lakh shares (1.29 percent) at Rs 635 each.
• KPIT Technologies: Vanguard Funds sold 48.6 lakh shares at Rs 98 each (Shareholding Pattern not given)

Hindustan Foods

• West Bridge AIF acquired 4.09 lakh shares or 3 percent equity at Rs 425 each
• Sixth Sense India Opportunities sold 4.09 lakh shares or 3 percent equity at Rs 425 each.

• Tata Motors: May total wholesales down 23 percent on a yearly basis to 82,374 units. Jaguar Land Rover May total wholesales down 18 percent year-on-year to 39,895 units.
• Indiabulls Housing Finance moved the Supreme Court seeking urgent listing of a plea filed against it in which it has been alleged that the company misappropriated Rs 98,000 crore of public money. (Read more here)
• Reliance Nippon Life Asset Management: Promoter Reliance Capital plans to sell 2.86 percent stake in the company. The promoter will sell up to 1.75 crore shares at a floor price of Rs 212 apiece—a discount of about 3 percent to current market price—through an offer-for-sale. This move will help to speed up the sale process as Reliance Capital intends to sell its entire stake to Nippon Life, which already holds 42.88 percent stake in the company and at maximum can hold 75 percent stake as promoter as per SEBI Norms.
• Jet Airways: BSE Ltd. and National Stock Exchange will impose trading restrictions on carrier’s shares from June 28, as part of preventive surveillance measures to curb excessive volatility. (Read more here)
• Adani Ports and SEZ: Company has suspended its vessel operation at Tuna and Mundra port from June 12-13. Company stated in the press release that it will continue to monitor development at Dahej and Hazira Port. Suspension of vessel operations is being done in view of an advisory issued by of India Metrological Department that the cyclone can knock Gujarat with the speed of 110-120 kmph on the morning of June 13.
• Kotak Mahindra Bank: Interest rate on savings balance up to Rs 1 lakh stands reduced by 50 basis points to 4 percent. Interest rate on savings balance over 1 lakh, up to 1 crore remains at 6 percent on daily balances above 1 crore remains at 5.5 percent.
• DHFL paid Rs 5.88 crore in dues on NCDs which fell due on June 6.
• Mangalore Chemicals & Fertilizers has restarted ammonia, urea and ABC production with effect from June 12 in view of onset of monsoon and normalization of water supply. Production had stopped on May 14.
• Allahabad Bank has decreased MCLR across various tenors by 5 basis points with effect from June 14. One-month MCLR at 8.15 percent and one-year MCLR at 8.55 percent.
• Edelweiss Financial Services arms signed agreement Bank of Baroda to co-lend SMEs.
• NTPC signed joint venture deal with East Delhi Municipal Corporation to develop waste management and energy generation facility. Company will hold 74 percent stake in the JV, while the remaining stake to be held by the Municipality.
• Music Broadcast entered into a definitive agreement for acquisition of Reliance Broadcast Network. Board had earlier approved this deal on May 27, where the company will acquire 24 percent stake before July 31 for Rs 202 crore and for the remaining stake purchase will happen after March 2020 for a consideration which will be derived from enterprise value of Rs 1,050 crore.
• Norwegian Government in its parliamentary meeting decides to sell shares in all global energy stocks. Norway’s Government Pension Fund Global will be selling stake in Indian Oil Corporation Ltd., ONGC Ltd., Oil India Ltd. and Reliance Industries Ltd. The fund owns less than 1 percent stake in each of the four companies

• Brent crude traded 0.32 percent higher at $60.16 per barrel. It fell 3.7 percent yesterday.
• West Texas Intermediate crude added 0.3% to $51.28 a barrel.
• Gold held at $1,333.58 an ounce.

London Metal Exchange

• Copper halted a two-day gains, closed 0.4 percent lower.
• Zinc ended higher for the second day, up 0.1 percent.
• Nickel halted a two-day rally, closed 0.37 percent lower.
• Aluminium ended higher for the third day, down 0.67 percent.
• Lead halted a two-day gains, closed 0.78 percent lower.
• Tin ended 0.73 percent higher.

Good Morning!

The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, fell 0.22 percent to 11,899as of 8:20 a.m.

Asian stocks dropped with U.S. futures as investors assessed ongoing trade tensions alongside data that played into the hands of those gunning for looser U.S. monetary policy.

Equities fell for a second day, with shares in Tokyo and Hong Kong leading declines.

Short on time? Well, then listen to this podcast for a quick summary of tALl You Need To Know before the opening bell.