Sensex ends 416 pts higher as financials gain on Rs 50k cr lifeline for MFs

Topics Markets | MARKET WRAP

On the NSE, the frontline Nifty50 index ended at 9,282, up 128 points or 1.40 per cent.
Equity market rallied on Monday, thanks to solid buying in financial stocks after the Reserve Bank of India (RBI) announced it will open a special liquidity window of Rs 50,000 crore to ease pressure on mutual funds, which are facing liquidity strains due to heightened volatility in capital markets in the wake of the Covid-19 outbreak. READ MORE

Nifty Bank surged 494.50 points or 2.52 per cent to 20,081 levels while Nifty Private Bank index climbed 315 points or 3 per cent to 10,857.55. Among individual names, IndusInd Bank gained 6.56 per cent per cent to Rs 408 apiece on the NSE. The lender is scheduled to announce its March quarter results later in the day. 

Axis Bank surged around 5.5 per cent to Rs 426, while ICICI Bank gained 3.42 per cent. READ MORE 

At the index level, the S&P BSE Sensex rose 416 points or 1.33 per cent to settle at 31,743. During the day, the index hit a high and low of 32,103.70 and 31,651.58, repectively. On the NSE, the frontline Nifty50 index ended at 9,282, up 128 points or 1.40 per cent. India VIX declined 3 per cent to 37.93 levels.

In the broader market, the S&P BSE MidCap index settled at 11,630, up 1.44 per cent and the S&P BSE SmallCap index climbed 1.37 per cent to 10,780 levels. 

On the sectoral front, all the indices on the NSE ended in the green with Nifty Private Bank advancing the most. 

Buzzing stocks

Shares of Mindtree rallied 13 per cent to Rs 881.40 on the BSE after the company posted 4.3 per cent quarter on quarter (QoQ) revenue growth at Rs 2,050 crore for the quarter ended March 2020 (Q4FY20). Besides, it posted a net profit of Rs 206.2 crore, a rise of 4.7 per cent sequentially. READ MORE

ICICI Prudential Life Insurance Company (ICICI Pru) ended over 12 per cent to Rs 377.55 apiece on the BSE even as its net profit declined 31 per cent for the March quarter of FY20 (Q4FY20) to Rs 179 crore impacted by weak business trends due to the lockdown in March. the company had net profit of Rs 261 crore in the year-ago period.

Shares of Pfizer zoomed over 11 per cent to Rs 4891.25 on the BSE after its board declared a special dividend of Rs 320 per equity share of Rs 10 each i.e. 3200 per cent for the financial year ended March 31, 2020.

Global Markets

Asian shares bounced on Monday as the Bank of Japan (BOJ) announced more stimulus steps to help cushion the economic impact of the coronavirus, but the recent weak run in the global oil price showed no signs of ending. 

MSCI's broadest index of Asia-Pacific shares outside Japan rose 1.8 per cent, taking back a chunk of last week's 2.6 per cent decline. Japan's Nikkei gained 2.6 per cent, and Chinese blue chips 1 per cent.

After a soft start, E-Mini futures for the S&P 500 climbed 0.85 per cent, while EUROSTOXX 50 futures added 2.6 per cent and FTSE futures 1.35 per cent.

In commodities, oil prices fell on concerns about scarce storage capacity and global economic doldrums from the coronavirus pandemic.

US oil futures led losses, falling by more than $2 a barrel on fears that storage at Cushing, Oklahoma, could reach full capacity soon.

US West Texas Intermediate June futures fell $2.42, or 14.3%, to $14.52 a barrel at the time of writing of this report. Brent crude was down 90 cents, or 4.2 per cent, at $20.54 a barrel. The June Brent contract expires on Thursday.

(With inputs from Reuters)


Technical view by Nagaraj Shetti - Technical Analyst, HDFC Securities

After witnessing a sharp weakness on Friday, Nifty bounced up smartly on Monday amidst a range bound action, closed the day higher by 127 points. A small positive candle was formed on Monday with gap up opening and upper shadow. The opening upside gap remains unfilled. This candle pattern signals an upside bounce from a support of 9,150, but struggling to sustain the highs.
On the upper side 9,350-9,390 levels continue to act as a key overhead resistance for the short term. A sustainable move above 9,400 levels could be considered as an upside breakout attempt of the present range movement.
The rising wedge pattern in Nifty as per daily timeframe is still intact and Nifty is currently facing resistance near the upper area of this wedge at 9,400-9,500.
The short term trend of Nifty is positive amidst a range movement.The upper area of 9,400 could offer strong resistance on any upmove from here. Immediate support is placed at 9,150 for the next session.

Market closing comment :: Vinod Nair, Head of Research at Geojit Financial Services

Markets closed positive in sync with the global markets. News regarding the RBI liquidity facility for Mutual Funds and stimulus packages from central banks around the world provided some positivity to the markets. Investors are looking towards earnings results coming out later and during the week for more clarity on the specific sectors. Credit risk concerns remain and investors are advised to remain cautious.

Sectoral trends on NSE at Close | Nifty Bank, Nifty Private Bank indices rally

Sensex Heatmap at Close | IndusInd Bank, Axis Bank settle as top gainers


>> Benchmark S&P Sensex settles at 31,743.08 level, up 415.86 points or 1.33 per cent

>> NSE;s Nifty50, meanwhile, gains 128 points to close at 9,282.3 level.

BROKERAGE VIEW:: Emkay Global Fin Services on Bharti Infratel

TP: Rs 145 (12 months) | Rating: SELL
  • The 13% EBITDA miss was primarily on account of provision for doubtful debts of Rs1.93bn accounted in other expenses. Energy margin continued to be volatile and stood at 5.9%, (+430bps qoq), while it was in-line with estimates.
  • Although gross additions improved, higher exits impacted net tenancy additions, with standalone net tenancies declining by 607. Overall, net tenancies were up 1%, supported by Indus. We are factoring in 5k and 5.5k net tenancy additions for FY21E and FY22E.
  • Rising working capital requirements due to increase in receivables days, as well as the lower end of energy margin guidance of 3%, indicates the pressure from operators due to their weak financial health.
  • Dividend from Indus and clarity on merger can provide a trading opportunity, in our view. Overhang to remain until clarity emerges on VIL. We maintain Sell with a revised TP of Rs145 (4x FY22 EV/EBITDA) as we cut our target multiple with recent market correction.

MARKET CHECK :: Indices pare gains; up 400 pts

Pfizer surges 10% on special dividend of Rs 320 per share

The company has fixed May 8, 2020 as the record date for ascertaining eligible shareholders to get the said special dividend and will be given electronically through bank transfer on Tuesday, May 19, 2020. READ MORE

Govt needs clear 'entry and exit plan' on fiscal expansion: Shaktikanta Das

The coronavirus pandemic will expand the government’s fiscal deficit beyond 3.5 per cent of India’s gross domestic product (GDP), said Reserve Bank of India (RBI) governor Shaktikanta Das as he called for a "well calibrated roadmap” to manage finances. “The 3.5 per cent fiscal deficit target for this year will be very challenging to meet,” Das told news agency Cogencis in an interview. READ MORE

MARKET CHECK | Top 5 gainers on the BSE at this hour

Franklin Templeton MF committed to return investors money: Sanjay Sapre

"We are committed to doing all we can to return money in the schemes that are wound up at the earliest to investors, and to regain your trust in our brand," Franklin Templeton Asset Management (India) President Sanjay Sapre said in a note to investors.
The asset manager shut down its six schemes Franklin India Low Duration Fund, Franklin India Dynamic Accrual Fund, Franklin India Credit Risk Fund, Franklin India Short Term Income Plan, Franklin India Ultra Short Bond Fund and Franklin India Income Opportunities Fund on Thursday. The six debt schemes had assets under management of over Rs 25,000 crore. READ MORE

EXPERT COMMENT | Ashish Shanker, Head of Investments, Motilal Oswal on RBI announcing Rs 50K cr lifeline for MFs

“This is more of a confidence-boosting measure. Most debt MFs invest in AA or higher rated paper and A or below is a very small part of their portfolios. There is enough liquidity in the market for a good quality paper. However, it was important for RBI to issue this communication and support to calm nerves. This should help settle some of the panics that was caused over the weekend over the FT news. Even in 2008 when this measure was introduced, none of the MFs actually utilised it. So this is more of a backstop”.

Stocks that hit 52-week high on BSE today

ALEMBIC PHARMA 813.00 839.00 7.07
ALKYL AMINES 1810.00 1879.50 9.36
CIPLA 614.85 632.05 2.54
LAURUS LABS 517.65 524.10 4.70
LUPIN 892.00 906.35 1.68
» More on 52 Week High

Navin Fluorine rallies 12%, hits new high; zooms 71% from March low

Navin Fluorine International had re-commenced its operations of manufacturing operations at the company’s facilities at Bhestan, Gujarat and Dewas, Madhya Pradesh from April 14, 2020 after obtaining requisite permissions, as applicable, from concerned Government authorities. READ MORE

NEWS ALERT | Have to give importance to economy as well as continue the fight against COVID -19: PM Modi to CMs

>> Impact of Coronavirus will remain visible in the coming months, he says

>> He emphasized on the importance of usage of technology as much as possible and also to utilize time to embrace reform measures

(Via ANI)

Rupee closing

Rupee ends higher at 76.23/$ vs Friday's close of 76.45 against the US dollar

BROKERAGE VIEW:: JM Financial on Cummins India

RATING: BUY | Target Price: Rs 440
We attended Cummins India (KKC)’s conference call, which gave an overview of Covid-19’s impact on its business. Key takeaways are as follows: a) While it is difficult to assess the length of the slowdown, management expects operations to normalise in 6-12 months; b) Cummins is ahead of the curve in initiating cost-cutting measures and will further accelerate these moves; c) its distribution segment is slated to see the fastest recovery followed by industrials and then exports; d) power-gen will continue to witness weak demand, but specific areas such as data centres and telecom will see a pick-up; e) a weakening INR and manufacturing shift from China is likely to improve India’s positioning in the global supply chain; and f) supply chain ramp-up is a bigger issue than labour migration for KKC. CPCB-4+ norms are likely to be delayed but capex plans will continue, albeit with a few months’ delay. We maintain BUY with a TP of INR 440 and KKC remains our top pick in India industrials.

BROKERAGE VIEW:: ICICI Securities on Mahindra CIE

We expect sales, EBITDA PAT to grow at a CAGR of -3%, -5.4%, 3.5%, respectively, in CY19P-21E. We feel the CMP bakes in much of the negatives and present valuations look attractive from a medium to long term standpoint. Accordingly, we upgrade MCI to BUY with a revised target price of Rs 100, valuing it at 5.5x CY21E EV/EBITDA (implied 10x P/E of CY21E EPS). The company’s track record of consistent CFO and FCF generation combined with strong MNC parentage and purchase of additional 0.03% stake by parent group CIE lend us additional comfort in our stance. 

NEWS ALERT | Pfizer India declares special dividend of Rs 320/share

European indices trade higher in early deals

Why Franklin-type fiasco will keep repeating

Franklin will neither accept fresh subscriptions, nor allow exit. It will liquidate the portfolio as and when the debt papers mature, or earlier if it can sell. Whatever it collects, it will return to investors. How much will that be? No one knows. Investors are trapped. Those who had put in money in other mutual fund (MF) schemes are deeply worried. What went wrong? Is there a systemic flaw? Is there a role for the regulator here? Can this happen again? What should you do to avoid such accidents? READ MORE

EXPERT COMMENT | Deepak Jasani, HoR, HDFC Securities on RBI announcing Rs 50K cr liquidity support to MFs

The RBI’s special package for providing liquidity to Mutual funds will alleviate the fears in the minds of investors and also dissuade many from getting into the redemption mode. It will help stabilize sentiments across debt and equity markets at least for a few days/weeks.

For Mutual funds this will be an additional window for liquidity. However borrowing against investment grade paper for redemption may not be a good idea generally (except occasionally and for a limited period). Also this will do little to halt the NAV hit due to possible downgrade of papers held by the Mutual funds due to the economic slowdown and the resultant sluggishness in economic activity emanating from the pandemic.

For the time being the sentiments may have stabilized, but going by the way the corporate health could deteriorate due to the pandemic, there is some probability that RBI might have to step in again after a few weeks. In the meanwhile investors in debt mutual funds will do well to review the investment by the schemes in which they have invested and in case they feel the need, shift to safer (even if they yield lesser) categories of mutual fund schemes or in extreme cases other safer instruments including Bank FD (subject to limit of Rs.5 lakhs per Bank) or Govt savings schemes

Defensive stocks soar as investors choose safety over uncertainty

The sell-off in the equity markets since the coronavirus disease (Covid-19) pandemic started and the subsequent rally have changed the relative weightings of key sectors in the benchmark indices on Dalal Street.
The composition of the Nifty50 has now tilted in favour of defensive sectors and away from cyclicals such as banks, non-banking finance companies, metals and mines, and automakers. READ MORE

NEWS ALERT | PM calls for massive reform push, says this is the time to plan reform: CNBC TV18

-- Govt not in favour of opening up red and orange zones post May 3

-- Govt in favour of further relaxations in green zones post May 3

BROKERAGE VIEW:: Centrum Broking on Building Materials

The Indian Tiles and Ceramic industry has undergone a challenging phase recently (FY16-19). Nonetheless, it was also the period during which the inorganic segment (~50% of the overall industry) was forced shifted on a level playing platform with its organic counterparts following the introduction of GST and measures like banning the use of coal gasifiers. Further, the consolidation in the inorganic segment has also aided the organised segment to gain structural strength. Notwithstanding the current short/medium term challenges posed by the COVID 19 pandemic, we expect fundamentally strong companies focused on earnings growth and balance sheet (cash) conservation to emerge even stronger.

Kajaria Ceramics (KJC) with 21% market share in the organised segment and 11% in the overall market is poised well to take advantage of the changed environment. KJC’s focus on product quality, wide product range with even wider distribution network coupled with strong brand recall aides its sustained performance even in challenging conditions; Initiate coverage with a BUY rating and target price of Rs 508/sh. CERA Sanitaryware (CRS) is expected to improve its EBIT margin to ~15% from 13.9% and ROCE is estimated at ~19% in the most challenging period (from FY18-22) post GST introduction, demonetisation impact and the current COVID 19 pandemic. CRS continues to outsource manufacturing, hence its capex requirement will be limited leading to asset light model; Initiate coverage with a Buy rating and target price of Rs 3,073, up 47% from the CMP.

Q&A :: Biggest challenge for small firms is surviving the next 3-6 months: Holland

It has been an eventful week for the markets that negotiated oil prices falling into negative terrain and Franklin Templeton closing six mutual fund schemes.
ANDREW HOLLAND, chief executive officer at Avendus Capital Alternate Strategies, tells Puneet Wadhwa that once stability comes to the global markets and fundamentals can be accessed more clearly, flows will come back into emerging market funds. READ FULL INTERVIEW HERE
Andrew Holland, CEO, Avendus Capital Alternate Strategies

Cummins India shares slip 7% on concerns of Covid-19 impact on biz

For the first nine months (April-December) of the financial year 2019-20 (FY20), Cummins India had posted 21.9 per cent year-on-year (YoY) decline in its consolidated profit before tax (PBT) at Rs 642 crore. It had PBT of Rs 822 crore during the same period of FY19. Operational revenues during the period had declined 4.3 per cent to Rs 4,029 crore on a YoY basis. READ MORE

NEWS ALERT | Govt working on economic package to tackle Covid-19: RBI Governor

-- Fiscal measures key to combat Covid-19 economic impact: RBI Governor

-- Have not taken a view on deficit monetisation

-- FY21 fiscal gap going beyond 3.5% becomes unavoidable
(as reported by Cogencies)

BROKERAGE VIEW:: HDFC Securities on ICICI Pru Life

We like IPRU’s re-engineered business model which is focused on a more diversified product mix along with an increased protection share. We expect VNB to grow at FY19-22E CAGR of 2.8%. We however remain wary of the current Covid-19 situation and believe that outlook for FY21E remains hazy. Lower than expected growth in FY21E may delay goal of doubling VNB by FY23E. We rate IPRU a BUY with a TP of Rs 460 (Mar- 21E EV + 21.1x Mar-22E VNB).

PVR, Inox Leisure hit 52-wk lows in a firm market; tank over 50% in 2 mths

Shares of multiplex operators including PVR and Inox Leisure hit their respective 52-week lows on the BSE on Monday, in an otherwise firm market, on reports that about six states want lockdown extended beyond May 3. Individually, Inox Leisure slipped 6 per cent to hit a low of Rs 202, while PVR declined 3 per cent to hit Rs 924 on the BSE in the intra-day trade today. In comparison, the S&P BSE Sensex was up 2 per cent at 31,989 points at 11:08 am. READ MORE

NEWS ALERT | Tata Steel board approves allotment of debentures worth Rs 1,000 cr at 7.7% to identified investor on private placement basis

MARKET VOICE | Shyam Sekhar on management commentaries amid Covid-19 woes

NEWS ALERT :: Glad to see prompt action by RBI, says P Chidambaram

BROKERAGE VIEW:: Emkay Global Fin Services on ICICI Pru Life

TP: Rs 374 | Rating: HOLD

Though we remain comfortable on the valuation, we are resuming ICICI Pru Life with a Hold rating and a revised TP of Rs 374 at 1.8x March’22E EV (earlier Rs 540 at 2.4x Sep’21E EV). We believe that a better product mix and diversified distribution channels would be vital in the coming year amid the current lockdowns and social distancing. We expect VNB margins to decline to ~19.1%/20.4% for FY21/22E against ~21.7% currently on the back of the rising share of ULIPs
and consistently elevated dependence on bancassurance channels.

Heatmap: All Sensex constituents in the green

EXPERT COMMENT | Dr. Joseph Thomas, HoR - Emkay Wealth on RBI’s announcement of Rs 50K cr special liquidity facility for MFs

“The closure of its six debt schemes by FT has resulted in eroding the confidence of investors to a large extent . This usually results in more redemptions and may lead to liquidity problems for the mutual fund industry, when many of them already have negative cash in debt funds. So, more than a crisis of liquidity,  it is a crisis of confidence. In order to bring back confidence the RBI has announced the liquidity support measures for the mutual funds specifically. This will serve to alleviate the fears in the minds of investors and also dissuade many from getting into the redemption mode. Even then, the after effects of the low-rated credit risk fund portfolios may haunt the mutual funds for some more time to come because of the economic slowdown and the resultant sluggishness in economic activity emanating from the pandemic. A timely and extremely laudable action from the RBI.”

NEWS ALERT | Dr Reddy's launches Fenofibrate tablets in the US market: BSE filing

BROKERAGE VIEW:: Edelweiss Securities on Mindtree

Mindtree’s Q4FY20 numbers topped expectations—revenue, up 1.2% QoQ USD, outclassed Street’s 0.3% estimate while adjusted EBIT margin, up 150bps QoQ to 13.5%, also beat the forecast. Top-line growth was again driven by the top account while the Hi-tech vertical masked the softness in other verticals. The constant improvement in delivery capabilities is mainly due to almost zero supply-side snags in a quarter marred by operational challenges for the industry at large. Given its strong deal-wins (record USD393mn), Mindtree looks better positioned than mid-cap peers to weather the imminent near-term storm as demand may hit its nadir in H1FY21E. This coupled with an expanding margin trajectory, not to mention a strong USD (weak INR), underpins our unchanged 18x Q2FY22E EPS. The stock is trading at 17.6x FY21E EPS. Retain ‘BUY’ with a TP of Rs 945.

BROKERAGE VIEW:: Anand Rathi Shares on Infrastructure

The recent relaxation of the lockdown augurs well, but the extent of resumption of work would depend on workers available (fear of further migration once the lockdown is lifted), raw material available (disrupted supply-chains need to come back) and local Covid-19 spread.   
Top picks: KNR Constructions, PNC Infratech and Ahluwalia Contracts. With their strong balance sheets, they are likely to emerge from this stronger than ever. 

BROKERAGE VIEW:: Motilal Oswal Financial Services on NBFCs

We believe that companies under our coverage would be comfortable over the next 3-6 months in terms of liquidity, assuming no moratorium on bank funding and all fixed expenses being taken care off. However, funding cost is likely to remain high due to risk aversion from the banking system and tight capital markets. With some normalcy returning, we expect securitization/assignment transactions to likely pick up first from a funding perspective. We continue to prefer companies with low leverage, strong product class and parentage. HDFC Ltd remains a preferred pick in NBFC. We believe the business model of vehicle financiers is extremely sound and has limited competition from the banking system; also, current valuations are attractive for long-term investors. However, near-term volatility is likely to continue due to uncertainty in the underlying product segment and significant disruption in cash flow of customers that they cater to. In the descending order, our preference is Cholamandalam Investment and Finance Co (CIFC), Shriram Transport Finance (SHTF) and Mahindra & Mahindra Financial Services (MMFS).

NEWS ALERT | Lincoln Pharma gets nod to manufacture HCQ and HCQ tablets to fight COVID-19: BSE filing

-- Gets nod from fom Food and Drug Control Administration, Gujarat for HCQ Mfg

BROKERAGE VIEW:: Edelweiss Securities on ICICI Prudential Life

RATING | BUY | Target Price: Rs 500

The stock is trading at 2.0x FY21E P/EV—by far the cheapest among the Big Three private life insurers—in the wake of its recent market share loss. I Pru Life’s balance sheet is protected by its steadfast refusal to join the deferred guarantee non-par savings bonanza last fiscal. While opinions differ on suitability and adequacy of interest rate hedges assumed by its top private competitors, the company’s balance sheet health remains assuredly indifferent to interest rate drops. We maintain ‘BUY/SO’.

BROKERAGE VIEW:: ICICI Securities on Mindtree

The company has seen strong execution in Q4FY20 while it has seen strong deal wins. MindTree’s long term strategy of annuity type deal wins, long run margins in the range of 17-18% and robust deal wins makes us positive on the stock from a long run perspective. However, the current price factors in most of the positives. Hence, we maintain our HOLD rating on the stock with  a target price of Rs 885/share.

NEWS ALERT :: India Ratings cuts India's FY21 GDP growth forecast to 1.9% from 3.6%

>> The growth projection is lowest in 29 years

>> India-Ra expects growth to come back to Q4FY20 levels only in Q3FY21

Alert: Assuming partial lockdown to continue till May 2020

         Last lowest GDP of 1.1% was in FY92

After strong FY20, Alembic Pharma's FY21 outlook, too, remains firm

The domestic market growth revival helped steady the ship for the company, which has continued to see regular traction in the US. The branded India sales (28 per cent of overall) grew 13 per cent year-on-year, ahead of India pharma market growth. The supply chain streamlining is now over and strategic changes made by the company are beginning to show results. The company expects its diverse portfolio with a steady pipeline of speciality medicines to support growth. Analysts thus expect double-digit growth to continue with market share increases. READ MORE


RIL's m-cap increases by Rs 1.5 trillion in four days post Facebook deal

A sharp rally in stock price has seen the market captialisation (market-cap) of RIL increase by Rs 1.5 trillion in four trading days. The company’s market-cap stood at Rs 9.35 trillion in the intra-day trade today, from Rs 7.83 trillion on April 21, 2020, the exchange data shows. READ MORE

Franklin MF fiasco: RBI rolls out Rs 50k crore liquidity window for MFs; Bank stocks gain

Financial stocks including Axis Bank, ICICI Bank, and IndusInd Bank surged up to 6 per cent on the BSE on Monday after the Reserve Bank of India announced a Special Liquidity Facility (SLF) for Mutual Funds worth Rs 50,000 crore. "Under the SLF-MF, the RBI shall conduct repo operations of 90 days tenor at the fixed repo rate. The SLF-MF is on-tap and open-ended, and banks can submit their bids to avail funding on any day from Monday to Friday," the RBI said in a statement. READ MORE

MARKET UPDATE:: Sensex at day's high, reclaims 32k

Nifty Bank index jumps over 2% post RBI announcements

NEWS ALERT | RBI's announcement is a confidence-boosting measure: AMFI chairman Nilesh Shah

-- Mutual funds will continue to function normally

-- In 2013, when RBI announced similar measures, funds didn't use the credit line

(as told to CNBC TV18)

The SLF-MF details

  • This special repo window will be available to all LAF eligible banks against eligible collateral and can be availed only for on-lending to Mutual funds.
  • The eligible banks may place their bids electronically on the CBS platform between 9 AM and 12.00 Noon every day. An LAF Repo issue will be created every day for the amount remaining under the scheme (Amount remaining = Rs 50,000 crores-cumulative amount availed up to the previous day). The bidding process, settlement and reversal of SLF-MF repo would be similar to the existing system being followed in case of LAF/MSF.
  • In case of over-subscription of the notified amount on any given day, the allotment will be done on pro-rata basis. RBI will, however, reserve the right to inject marginally higher amount than the notified amount due to rounding effects.
  • The minimum bid amount would be Rupees one crore and multiples thereof. The allotment would be in multiples of Rupees one crore.
  • A market participant can place bids of amount less than or equal to the notified amount of the issue announced on a given day. RBI will reject bids of the participant if the total bid amount submitted by the participant exceeds the notified amount of the issue. The amount utilized as on previous date will be informed to market participants in the Money Market Operations (MMO) press release.

NEWS ALERT :: RBI announces Special Liquidity Facility worth Rs 50,000 cr for MFs

ICICI Prudential gains 10% upper circuit even as Q4 net profit declines 31%

For the month of March, the insurer’s new business premium fell 32 per cent to Rs 983 crore compared to Rs 1,451 crore in March, 2019. New business received premium of the company saw a healthy growth of 20 per cent to Rs 12,348 crore in FY20 compared to Rs 10,252 crore in FY19. The annuity new business premium registered a growth of 52 per cent to Rs 1,043 crore in FY20 compared to Rs 685 crore in FY19. READ MORE

Motherson Sumi surges over 5%

Mindtree leaps 9% on better-than-expected Q4 earnings amid Covid-19 woes

The mid-tier IT firm reported revenues at $278.4 million, a 1.9 per cent rise in constant currency term over the previous quarter. Operating margin, meanwhile, improved 150 basis points sequentially to 17.1 per cent in Q4FY20. The company reported earnings before interest, taxes, depreciation, and amortization (Ebitda) margin expansion of 250 basis points QoQ, and record deal wins of $393 million during the quarter despite the Covid-19 disruption. READ MORE

Change in the air: Nifty50 could see one of its biggest rejig, say analysts

The Nifty50 could see one of its biggest rejig, predict analysts at ICICI Direct. The sharp correction in equities because of the Covid-19 pandemic has seen the market cap of several existing components fall sharply.
The free-float market cap of many other stocks, which are currently not part of the index, has surged past them. Index inclusion prospects are tied to free-float market cap (total market cap minus value of shares held by promoters or those under lock-in). READ MORE

IRB Infra rallies 4% on fund raising proposal

IRB Infrastructure on Sunday said its board has approved raising up to Rs 2,500 crore to fund ongoing and planned capex and for general corporate purposes in the wake of lockdown due to COVID-19 pandemic.

Mindtree surges over 7% post Q4 nos

IndusInd Bank gains 3% ahead of Q4 result

BEML advances 4% on order win from Coal India

ICICI Prudential Life jumps 10% despite weak Q4 nos

>> Private sector ICICI Prudential Life on Saturday said a staggering Rs 18,898 crore loss on its investments and a robust growth in the cash-burning protection policy sales have led to an over 31 per cent dip in net income for the March quarter at Rs 179.5 crore.

Sectoral trends on NSE at open | Auto, Realty indices gain

Sensex Heatmap at Open | HDFC, RIL gains over 2%

FIRST TRADE | Nifty50 nears 9,300-mark in opening deals

FIRST TRADE | Sensex opens over 1.5% higher

Result today :: IndusInd Bank's Q4FY20 profit may dip 95% QoQ on exposure to telecom sector

Analysts at Motilal Oswal Financial Services peg the bank’s profit after tax (PAT) at Rs 61.7 crore, down from Rs 360.1 crore logged in the corresponding quarter of the previous fiscal (Q4FY19). The same was Rs 1,300.2 crore in the December quarter of FY20 (Q3FY20), translating into a 95.3 per cent sequential erosion. READ MORE

Top gainers and losers on S&P BSE Sensex at Pre-open

Market at Pre-open

Market at Pre-open

Stocks to watch: IndusInd Bank, HDFC Life, Mindtree, Tata Steel, ICICI Pru

Earnings today: Adani Power, Ambuja Cements, HDFC Life Insurance Company, IndusInd Bank, and Sasken Technologies are slated to release their March quarter results later in the day. IndusInd Bank’s net profit may plunge by as much as 95 per cent sequentially when it reports its March quarter earnings for financial year 2019-20 (FY20) on Monday, April 27. The number, analysts fear, may drop on the back of higher provisioning amid asset quality concerns in the wake of coronavirus (Covid-19) outbreak, and weak loan disbursement.
IRB Infra: IRB Infrastructure on Sunday said its board has approved raising up to Rs 2,500 crore to fund ongoing and planned capex and for general corporate purposes in the wake of lockdown due to COVID-19 pandemic. READ MORE

Bulk deals on NSE as on Friday

Bulk deals on BSE as on Friday

FII/FPI & DII trading activity on NSE, BSE and MSEI

Rupee check

Source: Bloomberg

Oil check

>> Brent crude futures firmed 45 cents to $21.89 a barrel, while US crude fell 52 cents to $16.42.

SGX Nifty indicates positive start for indices

>> At 8:31 am, the index was at 9,223 level, up 73.25 points or 0.80 per cent.

Asian market check

Source: Reuters

US market check

Source: Reuters

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