Sensex, Nifty Resume Declines After One-Day Rally

Indian equity indices resumed declines after a one-day rally.

The S&P BSE Sensex ended 0.43 percent lower at 38,822.57 and the NSE Nifty 50 closed 0.51 percent lower at 11,512.40. The broader market Index represented by the NSE Nifty 500 Index 0.51 percent lower.

The 31-stock index and the 50-share gauge registered their best weekly gains in four months.

The market breadth was tilted in favour of sellers. About 1,128 stocks declined and 652 shares declined on National Stock Exchange.

All the 11 sectotal gauges compiled by NSE traded higher, led by the NSE Nifty Metal Index’s 2.64 percent fall.

Shares of Piramal Enterprises fell as much as 8.1 percent, the most since January, to Rs 1,710.

The stock declined in seven out of 10 trading sessions. The scrip traded at 17 times its estimated earnings per share for the coming year.

Shares of L&T Finance Holdings fell as much as 3.1 percent to 93.

The company’s board approved allotment of up to Rs 150 crore of preferential shares.

Of the shares traded, 44 percent were at the ask price and 50 percent were at the bid, according to Bloomberg data.

Manappuram Finance

• Stock rose as much as 6.5 percent to Rs 145.
• Volumes Trading at 2.5 times its 20-day average.

General Insurance Corporation

• Stock rose as much as 9.2 percent to Rs 222.75.
• SBI Cap Securities Reiterated ‘Buy’ rating with a price target of Rs 320.
• SBI Cap Securities said corporate tax rate reduction will results in higher earnings and post-tax fair value.

Sanghi Industries

• Stock rose as much as 11.8 percent to Rs 59.80.
• About 74.6 lakh share or 2.97 percent equity of the company changed hands in a large trade, Bloomberg data showed. Buyers and sellers were not known immediately.

Tata Global Beverages

• Stock rose as much as 2.8 percent to Rs 287.70.
• Fresh longs seen with high open interest of 46 percent.

The yield on the 10-year note rose two basis points to 6.74 percent. It rose nearly six basis points intraday.

The Indian rupee was trading near day’s high against the U.S. dollar. The home currency appreciated 0.16 percent to 70.76 against the greenback. The local legal tender had appreciated 0.25 percent intraday.

About 11 lakh shares of Yes Bank changed hands in a block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

Indian equity indices are heading for a volatile close as the gains in Reliance Industries Ltd. and ITC Ltd. were offset by losses in HDFC Ltd. and IndusInd Bank Ltd.

The S&P BSE Sensex fell 0.38 percent to 38,834.66 as of 3 p.m. and the NSE Nifty 50 fell 0.42 percent to 11,522. The broader markets represented by the NSE Nifty 500 Index fell 0.4 percent.

The market breadth was tilted in favour of sellers. About 1,097 stocks declined and 662 shares advanced on National Stock Exchange

Shares of the Indiabulls group companies declined to trade at day’s low. Shares of Indiabulls Housing Finance declined 5.1 percent while shares of Indiabulls Real Estate declined 6 percent.

The Delhi High Court agreed to hear petition on Indibulls Housing Finance, according to Bloomberg report.

Indian Railway Catering & Tourism Corporation Ltd. will on Monday launch a three-day initial public offering—the largest of the four IPOs from the railways’ stable so far—as its promoter, the central government, plans to offload a part of its stake.

The government plans to raise close to Rs 638 crore by selling 2 crore shares, or 12.6 percent stake, at Rs 315-320 apiece through the IRCTC IPO, according to a red herring prospectus. After the listing, the company will be valued at nearly Rs 5,120 crore, BloombergQuint’s calculations showed.

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Shares of Solara Active Pharma Science fell as much as 9 percent, the most since Aug. 22, to Rs 358.55.

“The Company has temporarily suspended production and distribution of Ranitidine Hydrochloride drug substance,” the drugmaker said in a stock exchange filing.

The pharmaceutical company received a request from the U.S. FDA for to provide test data on N-nitrosodimethylamine (NDMA) content in Ranitidine Hydrochloride drug substance, it added.

Strides Pharma Sciences

• Stock fell as much as 8.6 percent intraday to Rs 300.40 apiece.
• The trading volume was five times the 20-day average for this time of the day.

General Insurance Corporation of India

• Stock rose 5.8 percent to Rs 215.80 each.
• The trading volume was eight times the 20-day average.

DB Corp

• Shares fell 2.5 percent to Rs 144.55 each.
• The trading volume was four tumes the 20-day average.

Allcargo Logistics

• Shares rose 5.8 percent to Rs 115.90 each.
• The trading volume was seven times the 20-day average for this time of the day.
  
  (Source: Bloomberg)

Indian equity indices traded lower in afternoon trade led by losses in metal stocks.

The S&P BSE Sensex fell 0.24 percent to 38,8494.80 and the NSE Nifty 50 declined 0.42 percent to 11,533.60. The broader markets represented by the NSE Nifty 500 Index fell 0.3 percent.

The market breadth was tilted in favour of sellers as 1,011 stocks declined and 694 advanced. Eight of the 11 sectoral gauges compiled by the National Stock Exchange fell, led by the NSE Nifty Metal Index’s 2.71 percent loss. The NSE Nifty FMCG Index was the top gainer, up 0.31 percent.

U.S. stock futures were little changed, European contracts ticked higher ahead of U.S. inflation data.

In Asia, Japanese shares tumbled as a swathe of companies traded without the right to the next dividend payment. Shares in Seoul also tumbled, while Australian equities gained and China was flat.

• Japan’s Topix index lost 1.2 percent.
• South Korea’s Kospi slid 1.1 percent.
• Hong Kong’s Hang Seng fell 0.2 percent.
• The Shanghai Composite rose 0.3 percent.
• Australia’s S&P/ASX 200 Index rose 0.6 percent.
• Futures on the S&P 500 Index dipped 0.1 percent.
• Euro Stoxx 50 futures added 0.3 percent.

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Source: Bloomberg

Counsel for Gautam Thapar said that SEBI's order against Gautam Thapar and former CFO cannot stand as SEBI did not provide a hearing to them.

• Counsel argued that principles of natural justice have been degraded as Gautam Thapar and others have been accused of a quasi-criminal act without any proper investigation by SEBI.
• The alleged unauthorised transactions were approved by the Risk and audit committee of CG.
• SEBI has not made any reference to examination of the RAC minutes. This is dereliction of SEBI's duties towards protection of investor interest.

Source: SAT proceedings

The mid- and small-cap indices resumed declines after a one-day breather.

The mid-cap index represented by the NSE Nifty MidCap 100 Index fell 0.45 percent noon while the small-cap index represented by the NSE Nifty SmallCap 100 Index declined 0.55 percent.

About 43.4 lakh shares of NHPC changed hands in a large trade, Bloomberg data showed. Buyers and sellers were not known immediately.

Shares Of Phoenix Mills fell as much as 3.50 percent to Rs 690.00.

Promoters are planning to sell 38 lakh shares, or 2.5 percent stake, in the company in via secondary placement, as per terms for the deal obtained by Bloomberg.

The deal has option to upsize the offering to 55 lakh shares, or 3.6 percent stake in company. The offering floor price is set at Rs 665 per share. The base deal size at $36 million with an option to upsize up to additional $16 million, according to Bloomberg.

Nine out of 11 sectoral gauges compiled by NSE traded lower, led by the NSE Nifty Metal Index’s 2.5 percent fall. On the flipside, the NSE Nifty FMCG Index was the top sectoral gainer, up 0.24 percent

Indian equity benchmarks traded lower after a shaky start.

The S&P BSE Sensex fell 0.34 percent to 38,989 as of 11 a.m. and the NSE Nifty 50 fell 0.38 percent to 11,527. The broader markets represented by the NSE Nifty 500 Index fell 0.38 percent.

Shares of Lakshmi Vilas Bank hit their lower circuit of 5 percent at Rs 36.75.

The lender said that Economic Offences Wing has registered FIR under “complaint for offences of cheating, criminal breach of trust by banker, criminal misappropriation and criminal conspiracy upon the Directors of the Board.”

The FIR is based on a complaint filed by Religare Finvest pertaining to adjustment of their deposits to the dues of RHC Holding & Ranchem. The bank is considering appropriate measures to counter the same.

Of the shares traded, 59 percent were at the ask price and 37 percent were at the bid.

Nifty’s 11,600 put option contract was among the most active Nifty option contracts on National Stock Exchange.

Premium on the contract, which is set to expire on Oct. 3, fell 13.02 percent to Rs 85.85. Over 3.63 lakh shares were added to the open interest which stood at over 14.26 lakh shares.

Shares of Tata Motors fell as much as 4.5 percent to Rs 118.90.

Jaguar Land Rover plans to close its U.K. factories for a week in November to guard against disruption from a possible no-deal Brexit, Bloomberg reported quoting Chief Executive Officer Ralf Speth.

The shutdown will go ahead whether or not Britain seeks an extension to the Oct. 31 deadline for leaving the European Union. The decision means the unit of Tata Motors will lose production after its usual August maintenance closure was brought forward to April as part of preparations for the original March 29 Brexit date, the report added.

The stock declined 8.9 percent in the past five days. The scrip traded 19 times its estimated earnings per share for the coming year, according to Bloomberg data.

Indian equity indices staged a U-turn after opening lower.

The S&P BSE Sensex jumped nearly 300 points from opening lows to 39,107.37 and the NSE Nifty 50 rose 0.19 percent to 11,593.60. The broader markets represented by the NSE Nifty 500 Index rose as much as 0.23 percent.

Shares of Yes Bank fell as much as 5 percent to Rs 48.50. The stock extended declines for the third consecutive trading session and is the worst performer on Sensex and Nifty.

The Mumbai-based lender’s promoter Rana Kapoor sold more stake in the company to repay debt of his privately held firm, bringing down the family’s ownership in the private lender he co-founded.

Yes Capital (India) Pvt. Ltd. on Thursday sold a 1.82 percent stake in the bank for Rs 241.52 crore, according to a statement. The firm sold 4.65 crore shares at Rs 51.94 apiece, according to the bulk deals data on the National Stock Exchange’s website. It now holds 1.15 percent in the private lender.

According to BloombergQuint calculations, Kapoor family’s holding in the Yes Bank now stands at 5.58 percent.

The stock declined 76 percent in the past 12 months compared to a 7 percent advance in the Sensex.

The yield on the 10-year note rose as much as six basis points to 6.77 percent.

Indian bond investors are likely to focus on a central bank report released late Thursday which suggested that liquidity framework should be flexible to allow a surplus if financial conditions so demand.

The 10-year yield fell four basis points in the last session as prices gained on prospect of India’s inclusion in global debt indexes. For today, dealers see the benchmark yield trading between 6.70-6.75 percent in the session.

Nestle India Ltd. replaced mortgage lender Indiabulls Housing Finance Ltd. in the benchmark Nifty 50 Index and Nifty 50 Equal Weight Index.

The indices are reconstituted twice every year based on the data for six months ending January and July. The last change happened in February when Hindustan Petroleum Corporation Ltd. made way for Britannia Industries Ltd.

Shares of Nestle fell as much as 2.4 percent to Rs 13,600 while shares of Indiabulls Housing Finance fell as much as 3.06 percent to 401.10.

Shares of Sanghi Industries rose as much as 11.8 percent to Rs 59.80.

About 74.6 lakh share or 2.97 percent equity of the company changed hands in a large trade, Bloomberg data showed. Buyers and sellers were not known immediately.

Trading volume was 1,472 times its 20-day average, according to Bloomberg data. Of the shares traded, 38 percent were at the ask price and 43 percent were at the bid.

Indian equity indices opened lower led by the declines in ICICI Bank Ltd. and Reliance Industries Ltd.

The S&P BSE Sensex fell 0.38 percent to 38,847 and the NSE Nifty 50 declined 0.41 percent to 11,524. The broader markets represented by the NSE Nifty 500 Index fell 0.3 percent.

The market breadth, however, was tilted in favour of buyers. About 718 stocks declined and 586 shares advanced on National Stock Exchange.

Ten out of 11 sectoral gauges compiled by NSE traded lower, led by the NSE Nifty Private Bank Index’s 0.71 percent fall. On the flipside, the NSE Nifty IT Index was the only sectoral gainer, up 0.16 percent.

Futures

• Nifty October futures closed at 11630.8, premium of 59.6 points.
• Nifty futures across series open interest up 5 percent, adds 10.3 lakh shares in open interest.
• Nifty Bank October futures closed at 30,225, premium of 222 points.
• Nifty Bank futures across series open interest down 7.6 percent, sheds 1.3 lakh shares in open interest.
• Nifty Rollover at 73 percent, Bank Nifty Rollover at 58 percent.

Options

• Nifty PCR at 1.32 versus 1.50 (across all series).

Nifty Monthly Expiry: Oct. 3

• Max open interest on call side at 11,600 (10.6 lakh shares).
• Max open interest on put side at 11,500 (10.7 lakh shares).

Nifty Monthly Expiry: Oct. 31

• Max open interest on call side at 11,200 (17.2 lakh shares).
• Max open interest on put side at 11,000 (16.8 lakh shares).

• Tata Steel to meet IDFC Securities on Sept. 27
• India Energy Exchange to meet Affirma Capital on Sept. 27.
• Shriram Transport Finance to meet MFC International, Aberdeen Asset Management Asia and other investors on Sept. 27.
• Speciality Restaurants to meet Seers Advisors on Sept. 27.
• Thyrocare Technologies to meet Sundaram Asset Management and Fundsmith LLP from Sept. 30-Oct. 1.
• Lemon Tree Hotels to meet Goldman Sachs, UTI AMC and other investors from Sept. 30-Oct. 1.

The Indian rupee opened lower against the U.S. dollar. The home currency depreciated as much as 0.12 percent to 70.96 against the greenback.

Most Asian markets are trading in the red. Dealers see the pair trading in a range of 70.60-71.20 a dollar

Indian equity benchmarks are set for a tepid start.

The S&P BSE Sensex rose 0.4 percent to 39,140 during the pre-market trade and the NSE Nifty 50 fell 0.3 percent to 11,539.

• Tata Power promoter Tata Sons acquired 1.1 crore shares from Sept. 20-23.
• HEG promoter RSWM sold 62,000 shares from Sept. 24-25.
• Greenply Industries promoter SM Management acquired 2.4 lakh shares on Sept. 26.

• Supershakti Metaliks record date for bonus share issue at 1:1.
• Aarti Industries ex-date for bonus share issue at 1:1.
• Monsanto ex-date for amalgamation.
• Precision Camshafts to move into short term ASM Framework.
• DCM, Kridhan Infra, Man Industries, IL&FS Investment Managers to move out of short term ASM Framework.
• Reliance Infrastructure, Reliance Capital, Arvind, Birlasoft, Engineers India, Hindustan Zinc, IDBI Bank, Kajaria Ceramics, MCX, Oracle Financial Services Software, Raymond, DHFL price band revised to 20 percent.
• V2 Retail price band revised to 10 percent.

• Yes Bank promoter Rana Kapoor sold more stake in the company to repay debt of his privately held firm, bringing down the family’s ownership in the private lender he co-founded. Yes Capital (India) Pvt. Ltd. on Thursday sold a 1.82 percent stake in the bank for Rs 241.52 crore, according to a statement. The firm sold 4.65 crore shares at Rs 51.94 apiece, according to the bulk deals data on the National Stock Exchange’s website. It now holds 1.15 percent in the private lender. According to BloombergQuint calculations, Kapoor family’s holding in the Yes Bank now stands at 5.58 percent.
• Phoenix Mills: Promoters are planning to sell 38 lakh shares, or 2.5 percent stake, in the company in via secondary placement, according to terms for the deal obtained by Bloomberg. The deal has option to upsize the offering to 55 lakh shares, or 3.6 percent stake in company. The offering floor price is set at Rs 665 per share. The base deal size at $36 million with an option to upsize up to additional $16 million. (Bloomberg News)
• Tata Motors: Jaguar Land Rover plans to close its U.K. factories for a week in November to guard against disruption from a possible no-deal Brexit, Chief Executive Officer Ralf Speth said. The shutdown will go ahead whether or not Britain seeks an extension to the Oct. 31 deadline for leaving the European Union. The decision means the unit of Tata Motors Ltd. will lose production after its usual August maintenance closure was brought forward to April as part of preparations for the original March 29 Brexit date.
• Lakshmi Vilas Bank said that Economic Offences Wing has registered FIR under "complaint for offences of cheating, criminal breach of trust by banker, criminal misappropriation and criminal conspiracy upon the Directors of the Board.” The FIR is based on a complaint filed by Religare Finvest pertaining to adjustment of their deposits to the dues of RHC Holding & Ranchem. The bank is considering appropriate measures to counter the same.
• Sastasundar Ventures: Mitsubishi Corporation to invest Rs 100 crore in the company’s arm.
• Goodyear India to close its manufacturing operations in Haryana from Sept. 27-Oct. 2.
• Quess Corp allotted 7.54 lakh shares at Rs 676 per share aggregating to Rs 51 crore Amazon.com arm via preferential allotment.
• Morepen Laboratories has put its meeting on hold to consider preferential issue of fully convertible warrants to the promoter group.
• Minda Corp: Sanjay Aneja resigned from post of Chief Financial Officer with effect from Sept. 25. Laxman Ramnarayan appointed as the new CFO.
• ITI launched cloud services and digital solutions for public entities, SME and Startups in India.
• Unitech stated that it has received show cause notice from Noida Authority.
• Tobacco Stocks: DGFT said import of electronics cigarettes is prohibited. (Bloomberg News)
• MMTC has invited bids to import 2,000 tonnes of onions. (Bloomberg News)
• Greenply Industries: SBI MF decreased stake to 3.29 percent from 4.37 percent in the company.
• Sterling and Wilson Solar dissolved its Brazilian arm.
• Reliance Capital: Brickwork downgraded rating on company’s secured NCDs program, market linked debentures and subordinated debt to ‘D’ due to delay in interest payment for NCDs. According to the company, the payment could not go through due to technical glitch in bank servers and was delayed by one day.

• The S&P 500 Index slide for the fourth time in five days and was trading about 15 percent below the 30-day average.
• Stocks were under pressure after the release of a whistle-blower complaint central to the latest political drama and reports the U.S. is unlikely to extend a waiver allowing American firms to supply China’s Huawei Technologies.
• Oil reversed declines after the U.S. announced it would send air defense systems and troops to Saudi Arabia following attacks on the country’s oil production facilities that shut half of its output.

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Japanese shares tumbled as a swathe of companies traded without the right to the next dividend payment, while other equity benchmarks put in a mixed performance Friday.

Shares in Seoul and Hong Kong fell, while Australian equities gained and China was flat. The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, fell 0.22 percent to 11,604.50 as of 8:37 a.m.

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