Sensex ends 509 pts lower, Nifty slips over 1%; Nifty Metal index down 2%

The market ended lower  amid political upheaval after the Telugu Desam Party (TDP) formally decided to quit the NDA government.

The S&P BSE Sensex ended at 33,176, down 510 points while the broader Nifty50 index settled at 10,195, down 165 points.

The Telugu Desam Party (TDP) on Friday formally decided to quit the NDA, days after two of its ministers quit the Narendra Modi government protesting for Special Category Status to Andhra Pradesh. The party will also move a no-confidence motion against the Modi government over the injustice meted out to the state, an official communique said.
The YSR Congress Party on Thursday moved a no-confidence motion in the Lok Sabha against the Narendra Modi government. The no-confidence motion can be accepted only if it has the support of at least 50 members in the House. 
Among sectors, metal companies were under pressure falling by over 2% on the NSE on fears that the tariffs could disrupt growth. SAIL, Vendanta, Hind Copper were trading lower in the range of 3% to 5% on the NSE.
Globally, Asian stocks slid as reports of more chaos in the Trump administration tested investors’ nerves, already frayed by fears that US tariffs could hurt the global economy.
 

(With inputs from Reuters)

3:41 PM IST Top 5 losers in Nifty Metal COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME COAL INDIA 278.90 295.50 -16.60 -5.62 10203316 WELSPUN CORP 149.90 158.65 -8.75 -5.52 359496 HIND.COPPER 71.65 74.15 -2.50 -3.37 5829253 S A I L 72.80 75.30 -2.50 -3.32 11121078 MOIL 200.00 204.55 -4.55 -2.22 292548

3:37 PM IST Sectoral Trend

3:35 PM IST BSE Sensex: M&M is top gainer for the day, while Tata Motors is the top loser

3:32 PM IST Market at close   The S&P BSE Sensex ended at 33,176, down 510 points while the broader Nifty50 index settled at 10,195, down 165 points.

3:28 PM IST Tata Motors, Force Motors, BEML hit fresh 52-week lows Shares of Tata Motors, Tata Motors DVR, Force Motors, BEML, ICRA, Great Eastern Shipping Company and Max Financial Services were among nine stocks from the S&P BSE 500 index hitting their respective fresh 52-week lows in noon deal on the BSE. READ MORE

3:17 PM IST Nifty Metal index slips 2.5%. Coal India, Sail among top losers COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME COAL INDIA 277.95 295.50 -17.55 -5.94 7141900 WELSPUN CORP 153.70 158.65 -4.95 -3.12 249078 S A I L 73.10 75.30 -2.20 -2.92 9562551 HIND.COPPER 72.10 74.15 -2.05 -2.76 5485531 MOIL 199.90 204.55 -4.65 -2.27 244409

3:04 PM IST Maruti Suzuki zooms past M&M, set to emerge as top UV player this fiscal India's largest passenger car maker Maruti Suzuki India is all set to end this fiscal as the top utility vehicle (UV) player, toppling the erstwhile market leader in the segment Mahindra and Mahindra (M&M). For the April to February period, Maruti already has a lead of 21,700 units over M&M (which is equal to the average monthly volume of M&M), and thus it is expected to end the year with a lead over its closest rival. READ MORE

2:43 PM IST HPCL, GSPC deals to hit oil PSU dividends in FY18 by at least 17%   India’s largest hydrocarbon producer, Oil and Natural Gas Corporation (ONGC), has told the government it will not raise the dividend payout for 2017-18.   The reason is that it had to go for two major deals, both on government order. Of acquiring a majority stake in Hindustan Petroleum Corporation (HPCL) and Gujarat State Petroleum Corporation’s (GSPC’s) KG basin gas block.   According to multiple sources, this would mean a cut of about 17 per cent on the dividend collected from petroleum companies, to Rs 145 billion in 2017-18 from Rs 175 billion in 2016-17. READ MORE

2:27 PM IST OMCs under pressure   Shares of oil marketing companies (OMCs) were under pressure falling by upto 4% on the BSE in intra-day trade. Indian Oil Corporation (IOCL), Hindustan Oil Corporation (HPCL) and Bharat Petroleum Corporation (BPCL) were trading lower in the range of 3% to 4% on the BSE. READ MORE

2:10 PM IST ICICI Securities IPO: Public holidays may cost ICICI Bank Rs 3 bn in taxes ICICI Bank has been successful in launching the initial public offering (IPO) of its investment banking arm, ICICI Securities, before the end of this financial year but there remains a question on whether the private lender will be able to get the benefit of the long-term capital gains (LTCG) tax exemption on profits made on the sale of equity shares. READ MORE

2:00 PM IST Market Check   S&P BSE Sensex 33,403.28 -0.84%   Nifty 50 10,263.20 -0.94%   S&P BSE 200 4,499.11 -0.70%   Nifty 500 9,068.15 -0.72%   S&P BSE Mid-Cap 16,349.67 -0.28%   S&P BSE Small-Cap 17,722.06 -0.18%

1:46 PM IST BSE Smallcap: ITDC, MMTC among top gainers, Kwality top loser

LIVE UPDATES

Top 5 losers in Nifty Metal

COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME
COAL INDIA 278.90 295.50 -16.60 -5.62 10203316
WELSPUN CORP 149.90 158.65 -8.75 -5.52 359496
HIND.COPPER 71.65 74.15 -2.50 -3.37 5829253
S A I L 72.80 75.30 -2.50 -3.32 11121078
MOIL 200.00 204.55 -4.55 -2.22 292548

Sectoral Trend


BSE Sensex: M&M is top gainer for the day, while Tata Motors is the top loser


Market at close
 
The S&P BSE Sensex ended at 33,176, down 510 points while the broader Nifty50 index settled at 10,195, down 165 points.
Tata Motors, Force Motors, BEML hit fresh 52-week lows

Shares of Tata Motors, Tata Motors DVR, Force Motors, BEML, ICRA, Great Eastern Shipping Company and Max Financial Services were among nine stocks from the S&P BSE 500 index hitting their respective fresh 52-week lows in noon deal on the BSE. READ MORE
Nifty Metal index slips 2.5%. Coal India, Sail among top losers

COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME
COAL INDIA 277.95 295.50 -17.55 -5.94 7141900
WELSPUN CORP 153.70 158.65 -4.95 -3.12 249078
S A I L 73.10 75.30 -2.20 -2.92 9562551
HIND.COPPER 72.10 74.15 -2.05 -2.76 5485531
MOIL 199.90 204.55 -4.65 -2.27 244409

Maruti Suzuki zooms past M&M, set to emerge as top UV player this fiscal

India's largest passenger car maker Maruti Suzuki India is all set to end this fiscal as the top utility vehicle (UV) player, toppling the erstwhile market leader in the segment Mahindra and Mahindra (M&M). For the April to February period, Maruti already has a lead of 21,700 units over M&M (which is equal to the average monthly volume of M&M), and thus it is expected to end the year with a lead over its closest rival. READ MORE
HPCL, GSPC deals to hit oil PSU dividends in FY18 by at least 17%
 
India’s largest hydrocarbon producer, Oil and Natural Gas Corporation (ONGC), has told the government it will not raise the dividend payout for 2017-18.
 
The reason is that it had to go for two major deals, both on government order.
Of acquiring a majority stake in Hindustan Petroleum Corporation (HPCL) and Gujarat State Petroleum Corporation’s (GSPC’s) KG basin gas block.
 
According to multiple sources, this would mean a cut of about 17 per cent on the dividend collected from petroleum companies, to Rs 145 billion in 2017-18 from Rs 175 billion in 2016-17. READ MORE
OMCs under pressure
 
Shares of oil marketing companies (OMCs) were under pressure falling by upto 4% on the BSE in intra-day trade. Indian Oil Corporation (IOCL), Hindustan Oil Corporation (HPCL) and Bharat Petroleum Corporation (BPCL) were trading lower in the range of 3% to 4% on the BSE. READ MORE
ICICI Securities IPO: Public holidays may cost ICICI Bank Rs 3 bn in taxes

ICICI Bank has been successful in launching the initial public offering (IPO) of its investment banking arm, ICICI Securities, before the end of this financial year but there remains a question on whether the private lender will be able to get the benefit of the long-term capital gains (LTCG) tax exemption on profits made on the sale of equity shares. READ MORE
Market Check

 
S&P BSE Sensex 33,403.28 -0.84%
 
Nifty 50 10,263.20 -0.94%
 
S&P BSE 200 4,499.11 -0.70%
 
Nifty 500 9,068.15 -0.72%
 
S&P BSE Mid-Cap 16,349.67 -0.28%
 
S&P BSE Small-Cap 17,722.06 -0.18%

BSE Smallcap: ITDC, MMTC among top gainers, Kwality top loser


HDFC board approves HDFC AMC IPO, to hold 50% post public offer

The board of HDFC Asset Management Co Ltd on Thursday gave its approval to begin the process for launching an initial public offering (IPO) of India’s second-biggest mutual fund manager by assets, according to a stock exchange filing. READ MORE
HPCL, GSPC deals to hit oil PSU dividends in FY18 by at least 17%

India’s largest hydrocarbon producer, Oil and Natural Gas Corporation (ONGC), has told the government it will not raise the dividend payout for 2017-18. The reason is that it had to go for two major deals, both on government order. Of acquiring a majority stake in Hindustan Petroleum Corporation (HPCL) and Gujarat State Petroleum Corporation’s (GSPC’s) KG basin gas block. READ MORE

IDFC Bank allots 3.60 lakh equity shares

IDFC Bank has allotted 360,550 equity shares of Rs 10 each under ESOS. Post the aforesaid allotment, the Equity Share Capital of the Bank now stands at 3,404,074,905 equity shares of Rs.10 each, aggregating to Rs.34,040,749,050.

BSE Midcap: Shriram City, Canara Bank among top gainers, Reliance Infra top loser


JP Associates rallies 35% in two days on Rare Enterprises stake buy

Jaiprakash Associates has moved higher by 15% to Rs 22, extending its Thursday’s over 15% surge on the National Stock Exchange (NSE), after Rare Enterprises purchased 30 million shares of the company worth Rs 551 million through open market. READ MORE
Edelweiss ends deal to buy Religare Enterprises' securities unit

Edelweiss Financial Services Ltd said on Friday its acquisition of Religare Enterprises Ltd's securities business had been terminated for want of necessary approvals. READ MORE
Markets at noon

 
S&P BSE Sensex 33,444.44 -0.72%
 
Nifty 50 10,286.95 -0.71%
 
S&P BSE 200 4,505.39 -0.57%
 
Nifty 500 9,085.45 -0.53%
 
S&P BSE Mid-Cap 16,358.73 -0.22%
 
S&P BSE Small-Cap 17,771.93 0.10%

Nifty PSU Bank up 4% in one week;Canara, Syndicate, Dena Bank up over 15%

Shares of public sector banks (PSBs) were in focus with the Nifty PSU Bank index rising 4% thus far in current week, to record its biggest weekly gain since November 2017. READ MORE
Top Sensex losers

COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME
TATA MOTORS 346.50 353.05 -6.55 -1.86 183007
O N G C 178.60 181.50 -2.90 -1.60 133584
NTPC 167.45 169.85 -2.40 -1.41 648635
TATA MOTORS-DVR 193.85 196.30 -2.45 -1.25 38070
ASIAN PAINTS 1147.35 1160.95 -13.60 -1.17 12111

Jefferies on Shriram Transport Finance (SHTF)

We believe SHTF should benefit from stronger CV volumes, ticket size inflation and focus on widening distribution. Despite rising bond yields, NIMs should be broadly stable, given stronger pricing power in niche used CV segment, stable funding cost. Asset quality could improve and credit costs could fall driving 34% EPS CAGR and 430 bps ROE expansion over FY18-20E. At 2.1x FY19 BV, valuation appears reasonable. Buy.
Here's what Morgan Stanley expects from FOMC meeting next week

We expect the Fed to hike its target range by 25bp at its March meeting with a hawkish bias in its projections. While too early to call for 4 hikes this year, the FOMC moves decisively in that direction. Our strategists suggest maintaining UST 2s30s curve flatteners.

Under Chair Powell's leadership, weexpect theFOMC to adopt the practice of holdinga press conferencefollowingeach of its 8 meetings peryear, likely to comeasan announcementat the December2018 meeting(to begin in 2019). While previous Chairs Yellen and Bernanke focused on beinghighly prepared for every press conference (making each one quite an endeavor for Chair and staff alike), Chair Powell has already shown in testimony he may be more willing to speak off the cuff, taking a more casual approach.

 

IPO WATCH: HAL
 
Rating: Subscribe
 
Given strong balance sheet, robust order book and execution capabilities, we are constructive on HAL long term prospect. At an upper price band of Rs1,240, HAL is available at a reasonable valuation of 16x on FY17 EPS. As Indian defence industry is poised for growth, we recommend ‘Subscribe’ to the issue, with a long term perspective
 
(Source: Geojit Financial Services)
INTERVIEW OF THE DAY
 
Broader index earnings growth to be in high single-digits: SBI Life CIO
 
Gopikrishna Shenoy, chief investment officer, SBI Life, expects 15%-plus earnings growth for Nifty companies for the next two financial years. He adds the trajectory of interest rates is likely to be upward and volatility in the bond market may likely continue for some more time. Read full interview here

 

HAL IPO Analysis: Clear skies ahead for this public-sector defence major

India’s largest defence public-sector company Hindustan Aeronautics (HAL) has many things going for it. The maker of the indigenous light combat aircraft or the Tejas will be the biggest beneficiary of rising defence budgets and the ‘Make in India’ programme, as 60 per cent of India’s defence-related requirements are currently met through imports. READ MORE

MARKET COMMENT Chris Wood of CLSA

Equity investors should be aware that Libor rates have picked up in recent weeks resulting in a widening “Ted spread” and Libor-OIS spread. This presumably reflects primarily funding pressures created by repatriation of offshore US corporate cash. But whatever the reason, this will lead to rising costs for wholesale funding-dependent financial institutions. It remains a positive, as well as a relief, for investors in Asian and emerging markets that the US dollar is still weak.
CLSA Managing Director & Equity Strategist Christopher Wood

Gold policy likely to boost supply by Indian refineries
 
The government’s proposed gold policy, being finalised after recommendations from a NITI Aayog panel, should lead to a big rise in India’s sourcing of refined gold from local refineries.
 
Data compiled by the global gold miners’ body, World Gold Council, showed India’s total dore (unrefined gold) import was 245.7 tonnes for calendar year 2017, compared to 141.9 tonnes the previous year. READ MORE


HEG hits new high; stock zooms 1245% in one year
 
HEG hit a new high of Rs 3,148, up 4%, extending its past four days 18% rally on the BSE in otherwise weak market on Friday. The company engaged in graphite electrodes business has outperformed the market by surging 23%, as compared to 0.61% rise in the Sensex thus far in the current week.
 
In past one year, the market value of HEG zoomed 1,245% from Rs 234, against 13% rise in the benchmark index. READ MORE
Market Check

 
S&P BSE Sensex 33,528.75 -0.47%
 
Nifty 50 10,324.15 -0.35%
 
S&P BSE 200 4,519.02 -0.27%
 
Nifty 500 9,120.65 -0.15%
 
S&P BSE Mid-Cap 16,430.67 0.22%
 
S&P BSE Small-Cap 17,835.52 0.46%

NEWS ALERT PSBs plan tighter lending norms for corporate loans above Rs 2.5 billion
 
Public sector banks (PSBs) will discourage multiple banking arrangements for companies with exposure of more than Rs 2.5 billion in the banking system and will move all such loans under the consortium of banks for better monitoring.
 
“In case of multiple banking arrangements there is no discipline. There will, preferably, be consortium lending for loans above Rs 2.5 billion,” M S Sastry, deputy managing director and chief risk officer, State Bank of India, said on Thursday. READ MORE
Top losers in Nifty PSU Bank

COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME
IDBI BANK 77.35 78.85 -1.50 -1.90 5038225
CANARA BANK 262.00 264.45 -2.45 -0.93 681538
ANDHRA BANK 42.65 42.95 -0.30 -0.70 787504
ST BK OF INDIA 252.50 253.70 -1.20 -0.47 911372
SYNDICATE BANK 60.95 61.20 -0.25 -0.41 178007

VOLUME TOPPERS

COMPANY PRICE() CHG() CHG(%) VOLUME
JP ASSOCIATES 21.10 1.95 10.18 9580721
UNITECH 6.32 0.07 1.12 1386764
IDBI BANK 78.70 -0.20 -0.25 1186695
MMTC 67.60 5.50 8.86 937527
REL. COMM. 24.20 0.60 2.54 593613

Sectoral Trend


BSE Sensex gainers and losers


Market at open

At 9:16 AM, the S&P BSE Sensex was trading at 33,562, down 124 points while the broader  Nifty50 was ruling at 10,324, down 36 points.
Bharat Dynamics IPO oversubscribed 1.30 times
 
The initial public offer of defence company Bharat Dynamics was oversubscribed 1.30 times on the last day of bidding on Thursday. The IPO to raise Rs 960 crore received bids for 2,92,42,115 shares against the total issue size of 2,24,51,953 shares, data available with the NSE showed.
Markets at pre-open

Index Current Pt. Change % Change
 
S&P BSE SENSEX  33,703.21 +17.67 +0.05
 
S&P BSE SENSEX 50 10,847.81 +19.64 +0.18
 
S&P BSE SENSEX Next 50 33,410.93 +20.09 +0.06
 
S&P BSE 100 10,747.47 +17.44 +0.16
 
S&P BSE Bharat 22 Index 3,555.56 +4.55 +0.13

Hindustan Aeronautics IPO to open today
 
State-owned defence company Hindustan Aeronautics is set to open its initial public offering for subscription on March 16. Equity shares are proposed to be listed on the BSE and the NSE. SBI Capital Markets and Axis Capital are the book running lead managers to the offer that will close on March 20, 2018.
 
Hindustan Aeronautics' initial public offering of 3,41,07,525 equity shares is an offer for sale by the President of India, acting through the Department of Defence Production. The offer comprises a net offer of 3,34,38,750 equity shares and an employee reservation portion of up to 6,68,775 equity shares.
Sebi raises currency derivative trade limit to $100 mn
 
Sebi on Thursday raised the exposure limit under exchange-traded currency derivatives trading for residents and FPIs to USD 100 million across all currency pairs involving the Indian rupee. The move will help entities engaged in forex transactions to maintain their currency risks in a better manner.
 
"Domestic clients/FPIs may take long or short positions without having to establish existence of underlying exposure, up to a single limit of USD 100 million equivalent, across all currency pairs involving rupee, put together, and combined across all the stock exchanges," Sebi said in a circular.
Public debt rose to Rs 66.61 lakh crore at December-end
 
India's public debt rose to Rs 66.61 lakh crore at the end of December 2017, representing a quarter-on-quarter increase of 1.22 percent. The debt (excluding liabilities under the Public Account) of the government was Rs 65.80 lakh crore at the end of September last year.
 
Internal debt and marketable securities constituted 93.1 percent and 82.6 per cent, respectively of the total public debt, at the December-end 2017, according to the quarterly report on debt management released by the Finance Ministry on Thursday.
Markets on Thursday

S&P BSE Sensex 33,685.54 -0.44%
 
Nifty 50 10,360.15 -0.49%
 
S&P BSE 200 4,531.03 -0.30%
 
Nifty 500 9,133.90 -0.19%
 
S&P BSE Mid-Cap 16,394.99 0.49%
 
S&P BSE Small-Cap 17,754.55 0.80%

Top trading ideas by Prabhudas Lilladher:
 
BUY ASIAN PAINTS
CMP : Rs 1,160.80
TARGET : Rs 1,240
STOP LOSS : Rs 1,120
 
After making the bottom at around 1100 levels, the stock has bounced back significantly and has now given a breakout above the 200 DMA which is currently at 1155 levels. The indicators like RSI is on the rise and has shown a positive bias with more space further on the upside. With consistent volume participation witnessed, we recommend a buy in this stock for an upside target of 1240 keeping a stop loss of 1120.
Nifty outlook by Prabhudas Lilladher
 
Market continues to consolidate keeping the range of 10350 as support and 10440 as the crucial resistance. With the narrow range movement it has become a intraday play in the market. The support for the day is seen at 33,500/10,300 while resistance is seen at 33,860/10,410.
India's February trade deficit dips to 5-month low
 
India’s trade deficit narrowed to $12 billion in February, its lowest in five months, amid concern that a global trade war could hit its exports because of US President Donald Trump’s decision to hike import taxes on steel and aluminum.
 
SGX Nifty
 
Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 36.5 points or 0.35 per cent. Nifty futures were trading around 10,326-level on the Singaporean Exchange.
Asian shares on defensive as new political worries sour mood
 
Asian stocks were on the defensive on Friday as worries over the U.S. investigation into the Trump Organization tested investor nerves, already frayed by fears US tariffs could hurt the global economy and trigger a trade war.
 
MSCI's broadest index of Asia-Pacific shares outside Japan slipped 0.2 per cent in early trade. Japan's Nikkei was down 0.3 per cent.
S&P falls for fourth day 
 
The S&P 500 ended slightly lower on Thursday after a report that US Special Counsel Robert Mueller had issued a subpoena for documents related to US President Donald Trump’s businesses offset strong jobs and manufacturing data, Reuters reported.
 
The Dow Jones Industrial Average rose 115.54 points, or 0.47 per cent, to close at 24,873.66, the S&P 500 lost 2.15 points, or 0.08 per cent, to 2,747.33 and the Nasdaq Composite dropped 15.07 points, or 0.2 per cent, to 7,481.74.
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