MARKET WRAP: Sensex slips 216 pts as IT shares plunge; Nifty ends at 11,914

Extending its slide for the second consecutive day, the domestic equity market ended with nearly half a per cent loss on Friday, mainly dragged by information technology (IT) shares. Besides, uncertainty on US-China trade deal talks, too, hurt sentiment. 

The S&P BSE Sensex lost 216 points or 0.53 per cent to end at 40,359 levels. During the day, the index hit a high and low of 40,653.17 and 40,276.83, respectively. Tata Steel (up over 4 per cent) was the top gainer on the index while IT major Infosys (down around 3 per cent) was the biggest loser.

On the NSE, the broader Nifty50 index ended at 11,914, down 54 points or 0.45 per cent with 29 constituents declining and 21 advancing.

In the broader market, the Nifty Midcap 100 index ended flat at 16,868, up just 5 points or 0.03 per cent while Nifty Small Cap 100 index ended at 5,702, down over 4 points or 0.08 per cent. 

India VIX declined over a per cent to 14.82 levels. 

Sectorally, IT stocks declined the most with the Nifty IT index ending 2 per cent lower at 14,996 after reports said Goldman Sachs has downgraded counters such as Tata Consultancy Services (TCS), Wipro, and Mphasis. The brokerage, as per reports, noted that the IT sector, as a whole, will face cyclical hiccup ahead and the current valuation of the sector is at premium to historical average. READ MORE

Financial and FMCG stocks, too, ended in the negative territory. On the flip side, metal stocks witnessed sharp rally in the fag-end of the session. Nifty Metal index added over 2 per cent to 2,521 levels.

BUZZING STOCKS

Eicher Motors gained nearly 4 per cent to Rs 22,786 on the BSE, its highest level in the last eight months. 

Shares of Essel Propack advanced 6 per cent on the BSE to hit a record high level of Rs 164. The container & packaging company's stock has rallied 41 per cent in the past two weeks after reporting a strong set of numbers for the quarter ended September 2019 (Q2FY20). Shares of the company ended at Rs 154.65 apiece on the BSE. 

Network18 Media & Investments rallied 15.50 per cent to Rs 32 on the BSE, thereby surging over 24 per cent in the past two trading days on media reports that Sony was eyeing up to 30 per cent stake in Mukesh Ambani's media and entertainment company.

GLOBAL MARKETS 

A broad gauge of Asian equities made a slight recovery on Friday from three-week lows hit the previous day, with gains limited by investors’ uncertainty over chances of China and the United States striking a preliminary deal soon to end their trade war. Chinese blue-chip shares, which had opened higher, turned negative, and were last down 0.68 per cent. Australian shares gained 0.55 per cent and Japan's Nikkei was up 0.46 per cent. MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.2 per cent. 

In early European trades, pan-region Euro Stoxx 50 futures were up 0.14 per cent at 3,687, German DAX futures were up 0.15 per cent at 13,178, and FTSE futures were up 0.35 per cent at 7,255. US S&P 500 e-mini futures ESc1, were 0.16 per cent higher at 3,109.

In commodities, oil prices were toppled from their highest in nearly two months by doubts over future demand for crude as uncertainty continues to shroud a potential US-China trade deal, and along with it the health of the global economy.

(With inputs from Reuters)


4:08 PM IST

4:08 PM IST

3:40 PM IST The S&P BSE Sensex lost 216 points or 0.53 per cent to end at 40,359 levels while NSE's Nifty50 index ended at 11,914, down 54 points or 0.45 per cent. 

3:26 PM IST

2:54 PM IST

2:47 PM IST

2:32 PM IST

2:32 PM IST

2:27 PM IST We see the two acquisitions as a strategic fit into NTPC’s big renewable aspirations. Watch out for the following though: government’s stake sale below 51%; and; final acquisition price for THDC and NEEPCO The stock is trading at an attractive implied P/BV of 1.0x FY21E. Maintain ‘BUY/SO’ with a TP of Rs 150.

2:20 PM IST

2:11 PM IST

2:02 PM IST COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME GAYATRI PROJECTS 62.50 -6.90 -9.94 60647 UCO BANK 19.37 -1.77 -8.37 351032 I T D C 344.00 -31.30 -8.34 41677 TEJAS NETWORKS 93.50 -8.20 -8.06 76317 BHARTI INFRA. 228.45 -13.35 -5.52 320440 » More on Top Losers

LIVE UPDATES

SECTOR WATCH | Losers and gainers on the NSE


Top losers and gainers on the S&P BSE Sensex


CLOSING BELL

The S&P BSE Sensex lost 216 points or 0.53 per cent to end at 40,359 levels while NSE's Nifty50 index ended at 11,914, down 54 points or 0.45 per cent. 

MARKET CHECK


Indiabulls Housing Finance up over 4%


BUZZING STOCK:: Bosch gains over 3%


BUZZING STOCK:: RBL Bank zooms 5%


MARKET UPDATE | Bharti Airtel slips over 1%


BROKERAGE RADAR | Edelweiss Securities on NTPC

We see the two acquisitions as a strategic fit into NTPC’s big renewable aspirations. Watch out for the following though:
  • government’s stake sale below 51%; and;
  • final acquisition price for THDC and NEEPCO
The stock is trading at an attractive implied P/BV of 1.0x FY21E. Maintain ‘BUY/SO’ with a TP of Rs 150.

BUZZING STOCK:: Jindal Steel & Power Ltd up 5%


Metal stocks on the rise


Top losers on BSE500 today

COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME
GAYATRI PROJECTS 62.50 -6.90 -9.94 60647
UCO BANK 19.37 -1.77 -8.37 351032
I T D C 344.00 -31.30 -8.34 41677
TEJAS NETWORKS 93.50 -8.20 -8.06 76317
BHARTI INFRA. 228.45 -13.35 -5.52 320440
» More on Top Losers

BUZZING STOCK:: Eicher Motors up 2%


Zee Entertainment extends gain after promoter's stake sale

Shares of Zee Entertainment Enterprises (ZEEL) were up 5 per cent to Rs 363 on Friday, extending its previous day’s 12 per cent rally on the National Stock Exchange (NSE), after the promoters offloaded around 16 per cent stake in the company via open market on Thursday. In the past three trading days, the stock of ZEEL has rallied 27 per cent, as compared to a 0.25 per cent decline in the Nifty 50 index. READ MORE

Global markets check

A broad gauge of Asian equities made a slight recovery on Friday from three-week lows hit the previous day, with gains limited by investors’ uncertainty over chances of China and the United States striking a preliminary deal soon to end their trade war. European shares were expected to rise as well. In early European trades, pan-region Euro Stoxx 50 futures were up 0.14 per cent at 3,687, German DAX futures were up 0.15 per cent at 13,178, and FTSE futures were up 0.35 per cent at 7,255.

U.S. S&P 500 e-mini futures ESc1, were 0.16 per cent higher at 3,109. On Friday afternoon, MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.2 per cent.

(Reuters)

Nifty Bank index extends fall


BSE500 stocks that hit 52-week high today

COMPANY PRICE(rs) 52 WK HIGH CHG(rs) CHG(%)
ESSEL PROPACK 158.95 163.85 5.00 3.25
HDFC AMC 3705.00 3844.00 -64.95 -1.72
JM FINANCIAL 96.40 100.00 3.85 4.16
PERSISTENT SYS 687.95 700.00 0.60 0.09
PFIZER 4080.00 4199.00 -47.80 -1.16
» More on 52 Week High

NEWS ALERT | RBI sets up 3-member panel to assist DHFL administration: CNBC TV18

-- Rajiv Lall, NS Kannan and NS Venkatesh are the members of the advistory panel

Eclerx Services Ltd zooms 15%


There's greater comfort in owning pvt banks: Deepak Jasani, HDFC Securities

Optically, the markets do not look cheap. However technical factors (liquidity, no alternative asset class etc) means that equities could continue to do well for some more time. However, investors have to be alert for sentiments changing down. They need to review/rebalance their portfolio continuously to weed out the non-performers and be prepared to reduce the weight of equities at the first signs of a large definite negative change in sentiments. In the meanwhile, they could do some trading in happening stocks. However, if we witness a recovery in corporate earnings growth soon, then investors can afford to be a little less cautious/alert. READ MORE  

Deepak Jasani - HDFC Securities



Rupee near day's low


BROKERAGE RADAR | Motilal Oswal Financial Services on Eicher Motors

We are estimating ~13% decline in FY20 volumes to ~719k (implying residual run-rate of ~60k/month) and ~15.6% growth in FY21 to ~832k (v/s 826k in FY19). FY21 volumes should be driven by the upgraded Classic/Thunderbird and the success of the 650cc Twins in India and the export market. The stock is now trading at 30.1x/23.7x FY20/FY21 consol. EPS, which is at ~22% discount to its 5-year average P/E and is factoring in the moderate volume recovery (and 450 bps decline in margins from peak). Buy with TP of Rs 25,000 (Sep’21 SOTP-based – 22.5x S/A EPS + VECV @ 10x EV/EBITDA).
 

CSB IPO: Issue subscribed 22% so far on Day 1


Contributions to S&P BSE Sensex's fall today


Sensex down over 200 pts


MARKET CHECK:: Nifty slips below 11,900-mark


Essel Propack hits record high; surges 41% in 2 weeks on strong Q2 results

Shares of Essel Propack gained 6 per cent on the BSE on Friday to hit a record high level of Rs 164 in an otherwise range-bound market. The container & packaging company's stock has rallied 41 per cent in the past two weeks after reporting a strong set of numbers for the quarter ended September 2019 (Q2FY20). Essel Propack reported EBITDA (earnings before interest, tax, depreciation and amortisation) margin expansion by 270 bps year on year (YoY) to 20.9 per cent in Q2FY20, driven by favorable mix shift and productivity improvement.  READ MORE

Market check | Indices slip on trade war fears


NEWS ALERT | Not afraid of trade war (with US), will not flinch from such a fight: Chinese President

-- Want to work out phase -1 of trade deal with US with mutal respect

(As reported by Reuters)

Gayatri Projects plunges 28% in two days on invocation of pledged shares

Shares of Gayatri Projects hit an over four-year low of Rs 62.5, and were locked in the lower circuit band of 10 per cent on the BSE on Friday, after the lenders to the company invoked pledged shares. The stock of construction & engineering company tanked 28 per cent in past two trading days, and was trading at its lowest level since July 2015. Till 10:27 am, a combined 577,855 shares have changed hands, with pending sell orders for 120,003 shares on the NSE and BSE. READ MORE

IT stocks tumble; Nifty IT index falls over 2%, Infosys plunges 4%

Information technology (IT) stocks came under heavy selling pressure on Friday after reports said Goldman Sachs has downgraded counters such as Tata Consultancy Services (TCS), Wipro, and Mphasis. The brokerage, as per reports, noted that the IT sector, as a whole, will face cyclical hiccup ahead and the current valuation of the sector is at premium to historical average. READ MORE

RITES slips 3% as govt's stake sale via offer for sale opens today

Shares of state-owned RITES slipped 3.4 per cent to Rs 295.35 apiece on the BSE on Friday after the government announced to sell up to 15 per cent of its holding in the railways' firm, at a discounted price of Rs 293.5 per share via offer for sale (OFS) route. The sale would fetch the government Rs 1,100.6 crore. READ MORE

Market check


Infosys extends fall


Zee Entertainment off day's low, up 3%


Network18 Media surges 23% in two days as Sony eyes stake in company

Shares of Network18 Media & Investments rallied 14 per cent to Rs 31.70 on the BSE on Friday, thereby surging 23 per cent in past two trading days on media reports that Sony is eyeing up to 30 per cent stake in Mukesh Ambani's media and entertainment company. The stock was trading at its highest level since June 4, 2019 on the BSE. READ MORE

Indraprastha Gas Ltd dips 4%


Market check | Sensex extends decline


Most active stocks by volume

COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME
VODAFONE IDEA 6.42 -0.22 -3.31 7418415
YES BANK 65.20 0.95 1.48 1244408
EDELWEISS.FIN. 124.60 0.30 0.24 747362
DISH TV 15.83 0.00 0.00 629155
INDIABULLS HOUS. 239.70 8.05 3.48 596321
» More on Most Active Volume

Bharti Infratel dips over 2%


Reliance Industries continues upmove


IT stocks trade lower


RITES Ltd dips 3% on govt's OFS plans


Nifty Pharma index is trading 0.4% higher


Infosys under pressure in early trade


NTPC up 3%, top gainer on Sensex


Bharti Airtel dips 1%


Heatmap: S&P BSE Sensex at open


Nifty sectoral indices at open


First trade

At 9:16, the S&P BSE Sensex was trading 78 points, or 0.2 per cent, higher at 40,653, and the broader Nifty50 index was down 13 points, or 0.1 per cent, at 11,954.

Market at open


Lack of clarity over Numaligarh refinery, investments key concerns for BPCL

The Bharat Petroleum Corporation (BPCL) stock scaled fresh heights on Thursday, after the Cabinet Committee on Economic Affairs approved the strategic disinvestment of the Centre’s entire stake in the fuel-retailing and -refining company. At first glance, investor euphoria in the counter seemed justified, given that divestment by the government would mean value unlocking and possibility of the company garnering higher valuations. READ MORE

Market at pre-open


Rupee opening

Rupee opens flat at 71.75/$ vs Thursday's close of 71.76 against the US dollar

IPO ALERT | CSB Bank's IPO opens today; should you subscribe?

On Thursday, the bank mopped up Rs 184 crore from 24 anchor investors including Omers Administration Corporation OAC Custody Account (SCV6), ICICI Prudential MF, SBI MF, Aditya Birla Sun Life Trustee, Axis MF, Sundaram MF, HSBC, and Ashoka India Opportunities Fund.
 
According to a regulatory filing, the lender has finalised the allocation of 94,54,080 equity shares at Rs 195 per share. READ REPORT HERE

Stocks to watch: Wipro, DHFL, BPCL, ONGC, BHEL, NTPC, telecom firms

Here's a look at the top stocks that may remain in focus today -
 
RITES: The government has proposed to sell 2.50 crore shares of RITES, representing 10 per cent of the total paid-up equity capital of the company, to non-retail investors on Thursday, and on Friday to retail investors, via OFS on the BSE and the NSE.
 
Telcos: The Cabinet decision to give a two-year moratorium to telecom companies for spectrum payment is too little, too late, senior executives said a day after the government announcement. READ MORE


NEWS ALERT | Govt to sell up to 3.75 cr shares (15% equity) via OFS: RITES

-- To sell equity on November 22 & 25 at Rs 293.50/sh

Click here for OFS details

NEWS ALERT | Morgan Stanley adds ITC & Motherson Sumi to it's 'Focus List'

-- Removes Asian Paints & CONCOR

(As reported by CNBC TV18)

OIL, IOC may get Numaligarh refinery as govt 'wants to keep it' with a PSU

The strategic sale of 53.29 per cent in Bharat Petroleum Corporation (BPCL) would be done without Numaligarh Refi-nery (NRL), Finance Minister Nirmala Sitharaman said on Wednesday. So, the first hurdle before the government in the strategic sale of BPCL, for which it is running against time, would be the fast demerger of the Northeast-based refinery. READ MORE

NEWS ALERT | Bharti & Voda Idea likely to file review applications against the AGR judgment of SC: sources to CNBC TV18

-- To file petition today at 4 pm

Today's picks

Gail
 
Current: Rs 122
 
Target: Rs 119
 
Keep a stop at 124 and go short. Add to the position between 119 and 120. Book profits at 119.
 
BPCL
Current: Rs 514
 
Target: Rs 502
 
Keep a stop at 520 and go short. Add to the position between 505 and 507. Book profits at 502. READ MORE


Commodity outlook by Tradebulls Securities:Buy crude, natural gas

Indian Rupee: For the past three trading session, the Indian rupee has traded in a subdued note. The range is getting smaller which means we might see a breakout from range soon. Trend still looks weak for the rupee as a majority of EM currencies are weakening against US Dollar. Indian rupee may only trade strong if it manages to close below 71.50 levels. Expect rupee to trade in a range of 71.60-72.40 in the near term. READ MORE

Top stock recommendations by Anand Rathi: Buy Lupin, Zensar Tech

NIFTY: BUY | TGT: 12,070 | SL: 11,865
 
Nifty closed in the negative territory in the last trading session; however, it seems to be forming an ending diagonal pattern on the hourly charts of which last leg i.e. wave E is still pending. So, in anticipation of wave E up one can buy Nifty for the target of 12,070 with a stop loss of 11,865. READ MORE

Bulk deals on BSE as on Thursday

Bulk deals on NSE as on Thursday

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


Rupee Check

Source: Bloomberg


Oil Check

At 8:05 AM, Brent Crude Futures were at $63.61 per barrel, down 0.56 per cent from last close.

SGX Nifty

At 8:00 AM, the Singaporean Exchange for Nifty Futures was trading 3 points lower at 11,974 level.

Asian Market Check

Source: Reuters


US Market Check

Source: Reuters


Track all the latest, markets-related updates here.
Good Morning!

Welcome to Business Standard's LIVE blog.