F&O Expiry: Markets ends Dec series lower, Sensex down 298 pts; RIL dips 2%

Topics MARKET WRAP | Markets

Indian equity markets declined for the third straight session as investors adjusted their positions on expiry of Futures and options (F&O) contracts for the December series.  

Banking counters, led by YES Bank, HDFC Bank, and Punjab National Bank, coupled with heavyweights like Reliance Industries, L&T, and Infosys dragged the benchmark S&P BSE Sensex 297.50 points or 0.72 per cent lower to 41,163.76 level. Bharti Airtel, RIL, L&T, and Sun Pharma slipped over 2 per cent, and were the top drags on the 30-share index. On the upside, ONGC, Tata Steel, Bajaj Finance, and NTPC gained between 1 and 2 per cent. On the NSE, the broader Nifty50 settled with 88 points, or 0.72 per cent, cut at 12,126.55-mark. 

The Sensex and Nifty had hit an intra-day low of 41,139.63 and 12,118.85, respectively. 

Sectorally, all the indices on the NSE, barring Nifty Metal index (up 0.58 per cent), closed the day in the negative territory. Nifty PSU Bank index was the worst performer of the day, down 1.46 per cent at close, followed by Nifty Pharma index (0.94 per cent), and Nifty Private bank and Bank indices (0.8 per cent each). 

In the broader market, the mid-caps followed the frontline indices, with the S&P BSE mid-cap index down 0.16 per cent to 14,794.78- level by close. On the contrary, the S&P BSE small-cap index settled 0.41 per cent higher at 13,439.24.

GLOBAL CUES

Asian shares ended higher on Thursday with Japan's Nikkei index up 0.6 per cent, while South Korea's Kospi closed 0.36 per cent higher. 

In the commodity market, oil prices rose on Thursday, buoyed by a potential breakthrough in the Sino-US trade war and OPEC-led efforts to constrain supply. Brent crude was up 28 cents, or 0.4 per cent, at $67.48 a barrel. West Texas Intermediate was up 25 cents, also a 0.4 per cent gain, at $61.36 a barrel.

(With inputs from Reuters)


4:00 PM IST Market started-off on a flat note during the holiday-shortened week. Consolidation, however, extended on account of F&O expiry led volatility and concern over the fiscal math of the government due to possible delay in divestments planned this fiscal. Global markets seem to be in comfort zone fuelled by hopes of easing trade tension, while the domestic market is expected to wait for cues from the budget

3:44 PM IST

3:43 PM IST

3:42 PM IST >> The benchmark S&P BSE Sensex slipped 297.50 points or 0.72 per cent to 41,163.76 level >> On the NSE, the broader Nifty50 settled with 84.55 points, or 0.69 per cent, cut at 12,130-mark. 

3:25 PM IST Society of Indian Automobile Manufacturers (SIAM) data shows from January to November 2019, total automobile sale was down by 13.8 per cent to 21,667,672 from 25,141,388 units, a year ago.   Commercial vehicle declined by 22.12 % between April-November 2019, followed by passenger vehicles (-17.98%), two-wheelers (-15.74%) and three-wheelers (-4.97%). The slowdown resulted in 13 per cent production cuts and job losses to the tune of over 250,000.   Slowdown in the economy, price increase, regulatory changes, change in ownership model, slowdown in infrastructure spending, change in axle load norms are the key reasons. READ MORE

3:08 PM IST >> Market-cap down by Rs 54,454 crore

2:56 PM IST

2:46 PM IST Share owners in Reliance Retail Ltd. can exchange four shares for one of its listed parent Reliance Industries Ltd., according to a so-called scheme of arrangement posted on the group’s website. With the parent’s latest market capitalization at 9.8 trillion rupees ($137 billion), the share swap values the subsidiary at 2.4 trillion rupees, according to Bloomberg’s calculation. READ MORE  

2:37 PM IST

2:37 PM IST Manappuram Finance Ltd on Thursday said it plans to raise up to Rs 350 crore through issuance of non-convertible debentures on private placement basis.   The financial resources and management committee of the board of directors of the company on Thursday approved the issuance of rated, secured, redeemable non-convertible debentures having face value of Rs 10 lakh each for the amount of Rs 350 crores, Manappuram Finance said in a regulatory filing.   Furthermore, another meeting of the financial resources and management committee of the board of directors of the company will be held on December 31, to consider the proposed allotment for the said issue, the filing said.

2:28 PM IST COMPANY PRICE(rs) 52 WK LOW CHG(rs) CHG(%) ALLAHABAD BANK 18.55 18.55 -0.15 -0.80 DISHMAN CARBOGEN 79.25 71.00 7.15 9.92 EIH 138.00 137.80 -3.05 -2.16 INDIAN BANK 103.60 103.10 -1.20 -1.15 TCNS CLOTHING 590.00 590.00 -17.30 -2.85 » More on 52 Week Low

2:19 PM IST

LIVE UPDATES

Market Closing Comment :: Vinod Nair, Head of Research at Geojit Financial Services

Market started-off on a flat note during the holiday-shortened week. Consolidation, however, extended on account of F&O expiry led volatility and concern over the fiscal math of the government due to possible delay in divestments planned this fiscal. Global markets seem to be in comfort zone fuelled by hopes of easing trade tension, while the domestic market is expected to wait for cues from the budget

Sectoral trends at NSE at close


Top gainers and losers on S&P BSE Sensex at close


Closing Bell

>> The benchmark S&P BSE Sensex slipped 297.50 points or 0.72 per cent to 41,163.76 level

>> On the NSE, the broader Nifty50 settled with 84.55 points, or 0.69 per cent, cut at 12,130-mark. 

After a tough year, auto industry hopes for smooth drive from H2 2020

Society of Indian Automobile Manufacturers (SIAM) data shows from January to November 2019, total automobile sale was down by 13.8 per cent to 21,667,672 from 25,141,388 units, a year ago.
 
Commercial vehicle declined by 22.12 % between April-November 2019, followed by passenger vehicles (-17.98%), two-wheelers (-15.74%) and three-wheelers (-4.97%). The slowdown resulted in 13 per cent production cuts and job losses to the tune of over 250,000.
 
Slowdown in the economy, price increase, regulatory changes, change in ownership model, slowdown in infrastructure spending, change in axle load norms are the key reasons. READ MORE

NEWS ALERT | Reliance Industries down for fourth straight day, down 5% in 4 days

>> Market-cap down by Rs 54,454 crore


Market extends losses, at day's low now


Mukesh Ambani's Reliance Retail valued at $34 billion in share swap

Share owners in Reliance Retail Ltd. can exchange four shares for one of its listed parent Reliance Industries Ltd., according to a so-called scheme of arrangement posted on the group’s website. With the parent’s latest market capitalization at 9.8 trillion rupees ($137 billion), the share swap values the subsidiary at 2.4 trillion rupees, according to Bloomberg’s calculation. READ MORE  





Heatmap: S&P BSE Sensex


Manappuram Finance to raise up to Rs 350 crore through issuance of NCDs

Manappuram Finance Ltd on Thursday said it plans to raise up to Rs 350 crore through issuance of non-convertible debentures on private placement basis.
 
The financial resources and management committee of the board of directors of the company on Thursday approved the issuance of rated, secured, redeemable non-convertible debentures having face value of Rs 10 lakh each for the amount of Rs 350 crores, Manappuram Finance said in a regulatory filing.
 
Furthermore, another meeting of the financial resources and management committee of the board of directors of the company will be held on December 31, to consider the proposed allotment for the said issue, the filing said.

BSE500 stocks that hit 52-week low today

COMPANY PRICE(rs) 52 WK LOW CHG(rs) CHG(%)
ALLAHABAD BANK 18.55 18.55 -0.15 -0.80
DISHMAN CARBOGEN 79.25 71.00 7.15 9.92
EIH 138.00 137.80 -3.05 -2.16
INDIAN BANK 103.60 103.10 -1.20 -1.15
TCNS CLOTHING 590.00 590.00 -17.30 -2.85
» More on 52 Week Low

NEWS ALERT | CARE Ratings assigns 'AAA' rating to Can Fin Homes' NCDs worth Rs 8,300 cr: CNBC TV18


Sensex can hit 49,000 mark in 2020, technical charts suggest

As calendar year 2019 (CY19) draws to a close, investors are preparing to usher in the New Year with cautious optimism amid hope of a recovery in economic growth aided by cut in interest rates by the Reserve Bank of India (RBI). Here’s how key indices look on the technical charts.
 
S&P BSE Sensex: The index formed a strong bottom around 36,000 levels, which should act as a turning point in calendar year 2020 (CY20) in case the markets correct. READ MORE

MARKET CHECK | S&P BSE Oil & Gas index slides 0.85%


Market at day's low


Around 50 securities hit 52-week low on the NSE

BROKERAGE RADAR | Geojit Financial Services on HPCL

CMP: Rs 264 | TARGET: Rs 312 | RETURN: 18%

Future growth prospects look promising with capacity expansions projects and expected improvement in margins. Hence, we upgrade our rating on the stock to a BUY, with a revised TP of Rs 312 based on SOTP.

Rupee check


DoT to seek Trai's views on 5G; considers spectrum auction in 2020

The Department of Telecom will soon seek sector regulator Trai's recommendations on pricing and other modalities for coveted 5G bands of 24.75-27.25 GHz, and wants to put this new spectrum up for auction sometime next year, sources said. READ MORE 




Five-fold increase in dollar bonds in 2019, firms raise $23.6 billion

Indian companies raised $23.6 billion through dollar bonds in 2019, marking a nearly five-fold jump from the year before as access to funds narrowed in the country and borrowing in offshore markets became cheaper. Data shows that companies in infrastructure, power, metal and shadow banking issued a slew of such bonds. "Globally, the rates have been conducive. READ MORE

Contribution to S&P BSE Sensex's fall today


Cotton yarn spinners stare at 200-400 bps margin squeeze: CRISIL

Operating margin of domestic cotton yarn spinners is expected to shrink 200-400 basis points (bps) on-year in fiscal 2020 owing to a narrowed spread1 between cotton and yarn prices as compared to last fiscal. Higher domestic cotton prices compared with international prices during April-October 2019, a sharp fall in exports mainly to China and Pakistan, and the resultant domestic oversupply would lead to the squeeze.

FPI inflow in equity nears Rs 1 trillion in 2019, highest in six years

FPIs reposed faith in India in the fourth quarter of CY19, putting in Rs 43,781 crore during October – December CY19, after pulling out Rs 22,463 crore from Indian equities during the third quarter (July-September) of CY19 from the equity market, according to the latest available depository data. READ MORE 




Whirlpool of India up 4%


Top gainers on the BSE at this hour


Jet Airways hits upper circuit for 7th straight day, nears 3-month high

Shares of Jet Airways (India) were locked in 5 per cent upper circuit for the seventh straight day at Rs 28.25 on the BSE on Thursday as the creditors of the shuttered airline decided to seek fresh initial bids for the airline. The stock is trading at its highest level since September 30, 2019. The Committee of Creditors (CoC) would seek fresh Expression of Interest (EoI), according to a regulatory filing on Monday. READ MORE

BROKERAGE RADAR | Anand Rathi Research on HG Infra Engineering

Rating: Buy | Target Price: Rs 377
 
While management lowered its FY20 revenue guidance, our estimates already reflected our conservative stance and, thus, we retain our earlier estimates. At the ruling price, (excl.investments) the stock trades at PER of 7.6x FY20e and 6.3x FY21e. Risk: Slower-than-expected pace of execution.

Only 18% fresh capital raised in IPOs used to fund company's needs

Companies raising money from the market for the first time in 2019 largely looked to provide an exit to shareholders, rather than garner capital for the firm’s needs. Only 17.7 per cent of the Rs 11,115.6 crore raised through such initial public offerings (IPOs) in 2019 was in the form of fresh capital used to fund the company’s needs, shows an analysis of numbers from primary market tracker Prime Database. READ MORE   


Bharti Infratel slips 1.5% as merger with Indus Towers gets delayed

In October this year, Bharti Infratel had extended the deadline for merger by two months to December 24 as regulatory uncertainty loomed over the deal. As on September 30, 2019, Bharti Infratel and Vodafone India hold 42 per cent stake each in Indus. Vodafone Idea holds 11.15 per cent stake in the mobile tower firm. READ MORE   


Fertiliser stocks in focus; RCF, GNFC, Zuari, Chambal up over 4%

COMPANY LATEST PREV CLOSE GAIN(rs) GAIN(%) VOLUME
ZUARI AGRO CHEM. 96.75 86.65 10.10 11.66 12402
G N F C 177.20 166.80 10.40 6.24 59812
R C F 46.70 44.30 2.40 5.42 148671
NATL.FERTILIZER 25.95 24.80 1.15 4.64 20491
CHAMBAL FERT. 150.15 143.60 6.55 4.56 47026
Click here for the full list

Nifty sectoral indices at this hour


Market check | Index near day's low


Auto ancillaries in focus: Sterling Tools, Igarashi Motors up 40% in 2 days

Shares of auto ancillary companies charged ahead on Thursday, with Igarashi Motors (India), Sterling Tools, Rane (Madras), Rane Brake Lining, Rane Holdings, Sundaram Brake Linings, India Nippon Electricals, and Lumax Auto Technologies ralling up to 20 per cent on the BSE in the morning trade. In comparison, the benchmark S&P BSE Sensex was down 0.07 per cent at 41,433 points at 10:35 am. READ MORE

NEWS ALERT | ICRA cuts long-term rating of SML Isuzu to 'AA-' (negative) from 'AA' (stable): Exchange filing


Stocks of public sector banks decline

COMPANY NAME LATEST HIGH LOW CHG
(rs)
CHG(%)
PUNJAB NATL.BANK 63.10 63.75 63.05 -0.45 -0.71
BANK OF BARODA 99.30 100.35 98.95 -0.55 -0.55
ST BK OF INDIA 330.25 333.20 329.15 -1.05 -0.32
UNION BANK (I) 56.75 58.55 56.60 -1.60 -2.74
CANARA BANK 221.90 225.30 221.30 -3.90 -1.73
Click here for the full list

MARKET CHECK


Eveready Ind soars 10% after Delhi HC permits sale of Hyderabad property

"In a hearing on December 24, the High Court has vacated the adā€interim order of injunction, and has allowed to go ahead with the sale of the property at Hyderabad in terms of the Agreement for Sale dated August 30, 2019," the company said in an exchange filing on December 25. READ MORE

Dishman Carbogen gains 10% after I-T dept concludes searches

Shares of Dishman Carbogen Amcis Limited halted its losing run on Thursday to hit the 10 per cent upper circuit on the BSE at Rs 79.30, recovering 12 per cent from its early morning low after the company said the Income-Tax (I-T) department had concluded searches at its offices and manufacturing sites. The stock also hit an all-time low of Rs 71 in intra-day trade today. READ MORE

Adani Green hits upper circuit for 3rd straight day, zooms 272% in 2019

The stock of the Adani Group renewable power generation company is trading at its all-time high level on the bourses. It is the top gainer among the S&P BSE 500 index stocks in the calendar year 2019, with market price of the company zoom nearly four-times. READ MORE   


DHFL hits 5% upper circuit amid reports Co may resume lending in few weeks

Shares of Dewan Housing Finance Ltd (DHFL) were locked in the upper circuit band of 5 per cen,t at Rs 15.8 on the BSE, on Thursday after media report suggested that the housing finance firm is expected to resume lending after a gap of seven months.
 
The corporation, which is under insolvency resolution process, is planning to resumt lending to "stay relevant in the business". READ MORE

BUZZING STOCK | JSPL surges 2%


Momentum Picks by ICICI Securities


Rollover highlights for Nifty, Bank Nifty & marketwide


Metal stocks gain

COMPANY NAME LATEST HIGH LOW CHG
(rs)
CHG(%)
NMDC 126.40 126.45 124.25 1.70 1.36
VEDANTA 148.60 148.95 147.65 0.60 0.41
COAL INDIA 198.05 198.75 197.80 -0.80 -0.40
HIND.COPPER 38.70 38.80 38.35 0.40 1.04
TINPLATE CO. 142.25 142.50 140.50 1.95 1.39
Click here for the full list

Most active stocks by volume

COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME
VODAFONE IDEA 6.32 0.00 0.00 2377898
DISH TV 13.33 -0.01 -0.07 298046
RELIANCE POWER 3.36 -0.01 -0.30 287966
PUNJAB NATL.BANK 63.65 0.10 0.16 166738
BANK OF BARODA 99.90 0.05 0.05 155966
» More on Most Active Volume

Tata Steel trades higher


Emami Ltd gains 2%


Mahindra & Mahindra up 1%


Coffee Day Enterprises gains 4%

>> Lenders invoke 21 cr pledged shares


UPL edges higher


Dishman Carbogen jumps 10% from 52-wk low hit early today


CG Power and Industrial Sol gains 5%

>> As per reports, the company is to hive off and sell its overseas assets.


Canara Bank trades weaker


Reliance Industries slips in early trade

> Reliance Industries, as per reports, has proposed a scheme where it will offer one share of the company for four shares of unlisted Reliance Retail.


Bharti Infratel dips close to a per cent

>> Bharti Infratel on December 24 said it has extended the deadline for merger with mobile tower company Indus Towers by two more months to February 24, as it has not received the necessary government approvals so far.


YES Bank trades marginally in the red on rating's downgrade


Sectoral trends at NSE during Opening trade


Top gainers and losers on S&P BSE Sensex during Opening trade


Market at Open


Market at Open


UltraTech Cement: Street watchful on valuations of new acquisition

UltraTech Cement is in the news for being the frontrunner in the race for acquiring Emami group’s cement assets. The 8 million tonne (MT) of Emami’s cement capacities bode well for UltraTech, India’s largest cement maker, and would help the company strengthen its presence and market share in the eastern region. READ MORE

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


Market at Pre-open


Market at Pre-open


Rupee opening

Rupee opens flat at 71.27/$ vs Tuesday's close of 71.26 against the US dollar.

Piramal Enterprises to raise Rs 2,750 cr via bonds in multiple tranches

Piramal Enterprises on Wednesday said it will raise up to Rs 2,750 crore by issuing bonds on private placement basis. "A meeting of the Administrative Committee of the Board of Directors of the Company will be held on Saturday, 28th December, 2019, to consider and approve the issue of secured non-convertible debentures on private placement basis amounting up to Rs 2,750 crore," it said in a regulatory filing.
 
Piramal Enterprises said the money can be raised in one or more tranches from time to time.

Recovery of stressed assets improved marginally in FY19 driven by IBC: RBI

In 2018-19 (FY19), the recovery of stressed assets increased marginally, mainly driven by resolutions under the Insolvency and Bankruptcy Code (IBC). Cases referred for recovery under various mechanisms grew over 27 per cent in volume and tripled in value during the year, leading to a pile-up of bankruptcy proceedings. In FY19, around Rs 8.15 trillion worth of stressed assets were involved in the recovery process, up more than 200 per cent from Rs 2.70 trillion in 2017-18. The amount involved under IBC was Rs 1.66 trillion and more than Rs 70,819 crore was recovered, with a recovery rate of 42.5 per cent. However, recovery rates yielded by major resolution mechanisms (except Lok Adalats) declined in FY19, especially through the Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest mechanism.
Recovery of stressed assets improved marginally in FY19 driven by IBC: RBI

Only 18% fresh capital raised in IPOs used to fund company's needs

Companies raising money from the market for the first time in 2019 largely looked to provide an exit to shareholders, rather than garner capital for the firm’s needs. Only 17.7 per cent of the Rs 11,115.6 crore raised through such initial public offerings (IPOs) in 2019 was in the form of fresh capital used to fund the company’s needs, shows an analysis of numbers from primary market tracker Prime Database. READ MORE

Stocks to watch: Bharti Infratel, Airtel, YES Bank, CG Power, RIL, NTPC

Here's a look at the top stocks that may remain in focus today:
 
Bharti Infratel, Airtel: Bharti Infratel on December 24 said it has extended the deadline for merger with mobile tower company Indus Towers by two more months to February 24, as it has not received the necessary government approvals so far.
 
YES Bank: Brickwork Ratings has downgraded the ratings of YES Bank’s Lower Tier II Bonds, from ‘BWR AA-’ to ‘BWR A’, and of Upper Tier II Bonds, Hybrid Tier I Bonds and Innovative Perpetual Debt Instruments from ‘BWR A+’ to ‘BWR A-’. The outlook has been maintained as Negative. READ MORE

Sensex at all-time high, but real returns across asset classes just over 2%

The Bombay Stock Exchange Sensitive Index, or Sensex, might be at an all-time high of 41,000-plus points, but nominal returns from equities in the past decade, at 9 per cent compound annual growth rate (CAGR), are nothing to write home about. Returns from the mid- and small-cap indices have been lower than those of the Sensex during the period. READ MORE

Sensex can hit 49,000 mark in 2020, technical charts suggest

As calendar year 2019 (CY19) draws to a close, investors are preparing to usher in the New Year with cautious optimism amid hope of a recovery in economic growth aided by cut in interest rates by the Reserve Bank of India (RBI). Here’s how key indices look on the technical charts.
 
S&P BSE Sensex: The index formed a strong bottom around 36,000 levels, which should act as a turning point in calendar year 2020 (CY20) in case the markets correct. Also, the index has managed to hold ground above the 40,000 mark, which will remain an immediate support from a short-term viewpoint. READ MORE

Stock picks from HDFC Securities: Buy Sudarshan Chemical, Tata Metaliks

BUY SUDERSHAN CHEMICAL (405): | Target Rs. 460 | Stop-loss: Rs 385
 
For the last eight weeks, this stock has been consolidating in a narrow range. The 50 DMA has acted as a strong support in the recent past. On December 23, the stock price closed at a 8-week high with rise in volumes, indicating higher chances of breaking out from the recent consolidation. READ MORE

Nifty outlook and top trading ideas by CapitalVia Global Research Limited

Market witnessed profit booking at higher levels; Nifty likely to take support at 12,200
 
Market traded with negative sentiments on Tuesday on mixed global cues. The Nifty closed at 12214.50, shedding 48.30 points. Metal, realty, and pharma stocks traded with positive sentiments throughout the day and gained the most among indices. Nifty bank closed at 32,280.80, down 181.40 points from the previous day’s close. READ HERE

Weekly stock picks by Religare Broking: Buy IndusInd Bank, ICICI Pru Life

Buy INDUSIND BANK LIMITED
 
Last Close: Rs 1,516
 
Initiation range: Rs 1,510-1,515
 
Target: Rs 1,550
 
Stop loss: Rs 1,495
 
In the banking space, private banking majors are leading from the front and still looking buoyant. Indusind Bank has witnessed a fresh breakout from a consolidation range on December 24 and is likely to see fresh surge ahead. We advise creating fresh longs in the given range. READ MORE

Bulk deals on BSE as on Tuesday

Bulk deals on NSE as on Tuesday

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


Rupee Check

Source: Bloomberg


Oil Check

>> Oil prices rose on Thursday, buoyed by a potential breakthrough in the Sino-U.S. trade war and OPEC-led efforts to constrain supply, reported Reuters.

>> At 8:28 AM, Brent Crude Futures was at $66.35 per barrel-mark.

SGX Nifty

At 8:26 AM, the Singaporean Exchange for Nifty Futures was at 12,235.50 level, up 2 points.

Asian Market Check

Source: Reuters



US Market Check

Source: Reuters


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