Sensex ends 130 pts lower, Nifty a tad above 10100; PSU banks, realty fall

Benchmark indices fell on Thursday, dragged by banking and financial stocks, ahead of the expiry of derivatives contracts and after the US Federal Reserve raised interest rates while retaining its view for three hikes this year.

The S&P BSE Sensex ended at 33,006, down 130 points while the broader Nifty50 index settled at 10,115, down 41 points.

Among sectoral indices, the Nifty PSU Bank index was trading over 2% lower led by a fall in the shares of State Bank of India and Syndicate Bank. The Nifty Realty index, too, slipped nearly 1% lower due to a fall in shares of Indiabulls Real Estate and Oberoi Realty.

In its first policy meeting under new Fed chief Jerome Powell, the US central bank indicated that inflation should finally move higher after years below its 2% target and that the economy had recently gained momentum.

The Fed also raised the estimated longer-term "neutral" rate, the level at which monetary policy neither boosts nor slows the economy, a touch, in a sign the current gradual rate hike cycle could go on longer than previously thought.

Globally, the US dollar was on the defensive on Thursday after posting its largest loss in two months when the Fed turned out to be less hawkish than anticipated.

Worries about a potential trade war between China and the United States kept gains in Asian shares in check. MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 per cent, with South Korea's Kospi hitting six-week high, while Japan's Nikkei gained 0.2 per cent in early trade.

(with Reuters inputs)

3:44 PM IST Nifty Realty index falls 1.21% COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME OBEROI REALTY 489.90 502.50 -12.60 -2.51 480670 H D I L 41.00 41.75 -0.75 -1.80 7612827 DLF 212.90 216.05 -3.15 -1.46 4818660 INDBULL.REALEST. 201.55 204.30 -2.75 -1.35 5315912 PHOENIX MILLS 600.65 607.45 -6.80 -1.12 18448

3:42 PM IST Nifty PSU Bank index ends 2.01% lower COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME ST BK OF INDIA 241.85 248.00 -6.15 -2.48 26301939 SYNDICATE BANK 58.10 59.55 -1.45 -2.43 3872671 ANDHRA BANK 42.00 43.00 -1.00 -2.33 5221799 BANK OF INDIA 101.70 103.60 -1.90 -1.83 6495975 ALLAHABAD BANK 48.60 49.50 -0.90 -1.82 3359345

3:38 PM IST Sectoral Trend

3:35 PM IST BSE Sensex gainers and losers of the day

3:32 PM IST Market at close   The S&P BSE Sensex ended at 33,006, down 130 points while the broader Nifty50 index settled at 10,115, down 41 points.

3:28 PM IST SBI hits 52-week low; down 22% in two months State Bank of India (SBI) hit a 52-week low of Rs 240.65, down 3% on the National Stock Exchange (NSE), falling below its previous low of Rs 241.15 touched on October 26, 2017 in intra-day trade. READ MORE

3:15 PM IST Tata Coffee, HCC among 61 stocks from BSE smallcap index hit 52-week lows Shares of smallcap companies were under pressure with 61 stocks from the S&P BSE Smallcap index hitting their respective 52-week lows, falling by upto 15% on the BSE in intra-day trade on Thursday. Hindustan Construction Company (HCC), Sunil Hitech Engineers, Diamond Power Infrastructure, Reliance Naval and Engineering, Gammon Infrastructure Projects and A2Z Infra Engineering were down in the range of 6% to 13%, touching their respective 52-week lows today. READ MORE

3:00 PM IST Private equity firm Xander Group builds entire office portfolio on its own Private equity firm Xander Group has built its entire office portfolio in the country on its own, as opposed to global peers such as Blackstone and GIC that have taken the joint venture (JV) route.   Xander has been investing in commercial assets since 2006 and owns over 6 million squre feet of office assets. The firm has operating assets across multiple cities, including Bengaluru, Chennai and Delhi. READ MORE

2:42 PM IST Volume Toppers COMPANY PRICE() CHG() CHG(%) VOLUME REL. COMM. 24.05 -1.15 -4.56 10485375 HIND.CONSTRUCT. 24.95 -3.95 -13.67 8062684 JP ASSOCIATES 18.70 -0.80 -4.10 5134401 UNITECH 5.97 -0.10 -1.65 3533175 I D F C 51.20 1.20 2.40 2251781

2:34 PM IST Capacity utilisation up in select sectors; may lead to investment revival   There are early signs of an uptick in capacity utilisation in select sectors, which could be a precursor to an investment revival.   Utilisation rates are on the rise in cement, automobile ancillaries, engineering, casting and sheet metals, industry players told Business Standard.   A gauge of capacity utilisation is also provided by the RBI data on working capital loans. In line with the trend of rising capacity utilisation rates, working capital loans grew 6.4 per cent in the July-September quarter of 2017-18, up from 4.8 per cent in the preceding quarter. It had plummeted to a low of 1 per cent in the fourth quarter of 2016-17. READ MORE

2:18 PM IST Churn in constituents to have negligible impact on Nifty's fundamentals Ambuja Cement, Aurobindo Pharma and Bosch will make way for Grasim Industries, Titan and Bajaj Finserv in Nifty 50 index from April 2. The churn, analysts say, will see the weightage of the consumer discretionary, non-banking finance companies (NBFCs) and cement sectors go up by 82 basis points (bps), 61 bps and 60 bps in the Nifty 50 index. READ MORE

2:01 PM IST Market Check   S&P BSE Sensex 33,056.53 -0.24%   Nifty 50 10,129.45 -0.25%   S&P BSE 200 4,429.88 -0.32%   Nifty 500 8,917.90 -0.35%   S&P BSE Mid-Cap 15,938.97 -0.58%   S&P BSE Small-Cap 17,102.64 -0.82%

LIVE UPDATES

Nifty Realty index falls 1.21%

COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME
OBEROI REALTY 489.90 502.50 -12.60 -2.51 480670
H D I L 41.00 41.75 -0.75 -1.80 7612827
DLF 212.90 216.05 -3.15 -1.46 4818660
INDBULL.REALEST. 201.55 204.30 -2.75 -1.35 5315912
PHOENIX MILLS 600.65 607.45 -6.80 -1.12 18448

Nifty PSU Bank index ends 2.01% lower

COMPANY LATEST PREV CLOSE LOSS() LOSS(%) VOLUME
ST BK OF INDIA 241.85 248.00 -6.15 -2.48 26301939
SYNDICATE BANK 58.10 59.55 -1.45 -2.43 3872671
ANDHRA BANK 42.00 43.00 -1.00 -2.33 5221799
BANK OF INDIA 101.70 103.60 -1.90 -1.83 6495975
ALLAHABAD BANK 48.60 49.50 -0.90 -1.82 3359345

Sectoral Trend


BSE Sensex gainers and losers of the day


Market at close
 
The S&P BSE Sensex ended at 33,006, down 130 points while the broader Nifty50 index settled at 10,115, down 41 points.
SBI hits 52-week low; down 22% in two months

State Bank of India (SBI) hit a 52-week low of Rs 240.65, down 3% on the National Stock Exchange (NSE), falling below its previous low of Rs 241.15 touched on October 26, 2017 in intra-day trade. READ MORE
Tata Coffee, HCC among 61 stocks from BSE smallcap index hit 52-week lows

Shares of smallcap companies were under pressure with 61 stocks from the S&P BSE Smallcap index hitting their respective 52-week lows, falling by upto 15% on the BSE in intra-day trade on Thursday.
Hindustan Construction Company (HCC), Sunil Hitech Engineers, Diamond Power Infrastructure, Reliance Naval and Engineering, Gammon Infrastructure Projects and A2Z Infra Engineering were down in the range of 6% to 13%, touching their respective 52-week lows today. READ MORE

Private equity firm Xander Group builds entire office portfolio on its own

Private equity firm Xander Group has built its entire office portfolio in the country on its own, as opposed to global peers such as Blackstone and GIC that have taken the joint venture (JV) route.
 
Xander has been investing in commercial assets since 2006 and owns over 6 million squre feet of office assets. The firm has operating assets across multiple cities, including Bengaluru, Chennai and Delhi. READ MORE

Volume Toppers

COMPANY PRICE() CHG() CHG(%) VOLUME
REL. COMM. 24.05 -1.15 -4.56 10485375
HIND.CONSTRUCT. 24.95 -3.95 -13.67 8062684
JP ASSOCIATES 18.70 -0.80 -4.10 5134401
UNITECH 5.97 -0.10 -1.65 3533175
I D F C 51.20 1.20 2.40 2251781

Capacity utilisation up in select sectors; may lead to investment revival
 
There are early signs of an uptick in capacity utilisation in select sectors, which could be a precursor to an investment revival.
 
Utilisation rates are on the rise in cement, automobile ancillaries, engineering, casting and sheet metals, industry players told Business Standard.
 
A gauge of capacity utilisation is also provided by the RBI data on working capital loans. In line with the trend of rising capacity utilisation rates, working capital loans grew 6.4 per cent in the July-September quarter of 2017-18, up from 4.8 per cent in the preceding quarter. It had plummeted to a low of 1 per cent in the fourth quarter of 2016-17. READ MORE
Churn in constituents to have negligible impact on Nifty's fundamentals

Ambuja Cement, Aurobindo Pharma and Bosch will make way for Grasim Industries, Titan and Bajaj Finserv in Nifty 50 index from April 2. The churn, analysts say, will see the weightage of the consumer discretionary, non-banking finance companies (NBFCs) and cement sectors go up by 82 basis points (bps), 61 bps and 60 bps in the Nifty 50 index. READ MORE

Market Check

 
S&P BSE Sensex 33,056.53 -0.24%
 
Nifty 50 10,129.45 -0.25%
 
S&P BSE 200 4,429.88 -0.32%
 
Nifty 500 8,917.90 -0.35%
 
S&P BSE Mid-Cap 15,938.97 -0.58%
 
S&P BSE Small-Cap 17,102.64 -0.82%

Despite record forex reserves, India's external finances at risk: UBS

India’s record foreign exchange reserves somewhat mask the country’s vulnerability on its external finances. That’s the takeaway from a note by UBS Group AG’s India economist Tanvee Gupta Jain.
 
Foreign exchange reserves at $421 billion cover 81 percent of external debt as of September 2017 and less than 11 months of imports. READ MORE

Vakrangee down 5% after surging 90% in four weeks

Vakrangee was locked in lower circuit of 5% at Rs 271 falling 8% from its early morning high of Rs 294 on the BSE with only sellers were seen on the counter. In past four weeks, the stock zoomed 90% from Rs 155 on March 1, 2018, as compared to 2.6% decline in the S&P BSE Sensex. READ MORE
Supreme Court refuses to lift stay on RCom asset sale to Reliance Jio
 
The Supreme Court on Thursday ordered that status quo be maintained on Reliance Communication's sale of assets to R-Jio on pleas by a consortium of banks. READ MORE
 
Stock impact: RCom down 5%

In a first, Goldman not among top 3 commodity banks as trading losses weigh

Goldman Sachs Group Inc, for decades Wall Street’s dominant commodities trader, has lost its place among the top three banks in the sector for the first time, according to research group Coalition Development Ltd.
Trading losses in natural gas and power dragged Goldman to its worst annual performance in commodities in its history as a public company last year, leading to a string of high profile exits from the bank’s raw-materials unit. READ MORE

INTERVIEW OF THE DAY Use volatility as a friend, increase allocation to equities: Rajesh Saluja

Indian equities may not see much action in 2018 given the various headwinds and elections ahead, but, Rajesh Saluja, managing director and chief executive officer, ASK Wealth Advisors, tells Vishal Chhabria that for a 3- to 5-year horizon, he is advising clients to use volatility as a friend and increase allocation to equities. He believes that stocks will get re-rated as earnings catch up, and that’s what equity investors should look at. READ MORE
Rajesh Saluja, Managing Director and Chief Executive Officer, ASK Wealth Advisors

Dealers suggest govt to issue more floating rate bonds of above 15 years

Ahead of the issuance of its borrowing calendar for the next financial year, central government representatives met bond dealers to gauge the market’s mood on the Rs 6 trillion loan plan. The meeting was customary but assumes significance as 10-year bond yields have risen 100 basis points in the two quarters since October, even as the Reserve Bank kept its policy rates unchanged. READ MORE

ONGC, Oil India gain; BPCL, IOC, HPCL dip as oil hits six-week high

Shares of oil exploration and production companies such as Oil and Natural Gas Corporation (ONGC), Oil India, Aban Offshore, Jindal Drilling & Industries, Hindustan Oil Exploration Deep Industries and Selan Exploration Technology Company have rallied by up to 16% on the BSE in intra-day trade after oil hit a six-week high on Wednesday. READ MORE
Market Check

 
S&P BSE Sensex 33,136.92 0.00%
 
Nifty 50 10,150.85 -0.04%
 
S&P BSE 200 4,438.76 -0.12%
 
Nifty 500 8,930.70 -0.21%
 
S&P BSE Mid-Cap 15,939.83 -0.57%
 
S&P BSE Small-Cap 17,133.93 -0.64%

HCC falls 15% on reports of subsidiary Lavasa Corp heading for bankruptcy
 
Hindustan Construction Company (HCC) hit 18-month low of Rs 24.60, down 15%, extending its Wednesday’s 5% decline on the BSE after the media report suggested that the company’s subsidiary Lavasa Corporation headed for bankruptcy.
 
Lavasa Corporation Ltd (LCL), a unit of HCC that's developing it, is considering approaching the National Company Law Tribunal (NCLT) owing to challenges faced in raising money for project completion, the DNA report suggested. READ MORE
Top BSE500 gainers

COMPANY PRICE() CHG() CHG(%) VOLUME
SOMANY CERAMICS 676.00 20.55 3.14 55
SUNDRAM FASTEN. 576.05 15.00 2.67 9923
ABAN OFFSHORE 165.75 4.25 2.63 267066
R C F 77.25 1.85 2.45 495318
OIL INDIA 338.25 7.95 2.41 87943
» More on Top Gainers
La Opala RG trades ex-bonus today; stock falls 12%
 
La Opala RG has dipped 12% to Rs 288 on the BSE as the stock adjusted for the bonus shares in the ratio of 1:1 (i.e. one bonus share for every one share held on the record date) with effect from today.
 
The Company has fixed Friday, March 23, 2018 as the record date in order to determine the eligible shareholders to receive bonus shares. The Members whose names will appear in the register of members of the Company and/or Register of beneficial owners maintained by the depositories at the close of business hours on March 23, 2018, will be entitled to receive the bonus shares. READ MORE
Equity mop up by PSUs at record this fiscal at Rs 535 bn through IPOs, QIPs

Public sector undertakings (PSUs) have mopped up about Rs 535 billion by way of initial public offerings (IPOs) and qualified institutional placements (QIPs) this financial year, a record high. The amount raised is more than the combined amount garnered in the previous 10 financial years. READ MORE
IPO analysis: Strong prospects for ICICI-Sec, but correlated to markets

At a time when the stock markets are near all-time highs, many would want to invest in ICICI Securities (I-Sec), the country's largest equity broker since 2013-14, based on brokerage revenue and active customers on the National Stock Exchange. READ MORE

Sebi tweaks risk management norms for commodity derivatives segment

Members of clearing corporations in commodity derivatives segment need to have a minimum liquid networth of Rs 50 lakh, Sebi said today. Tweaking the risk management norms for commodity derivatives segment, the regulator also said commodity derivatives exchanges should comply with provisions related to acceptance of Fixed Deposit Receipts (FDRs) by clearing corporations. READ MORE

Sebi may impose trading curbs on cos undergoing insolvency proceedings

The Securities and Exchange Board of India (Sebi) may impose trading restrictions on shares of companies that are undergoing insolvency proceedings. The move, which is also a demand by industry players, is aimed at reducing volatility in stock prices and curbing manipulation or misuse of price-sensitive information. READ MORE
Market Check

 
S&P BSE Sensex 33,252.66 0.35%
 
Nifty 50 10,194.50 0.39%
 
S&P BSE 200 4,456.77 0.29%
 
Nifty 500 8,977.80 0.32%
 
S&P BSE Mid-Cap 16,045.69 0.09%
 
S&P BSE Small-Cap 17,275.21 0.18%

Volume Toppers

COMPANY PRICE() CHG() CHG(%) VOLUME
REL. COMM. 26.00 0.80 3.17 2204386
PC JEWELLER 357.70 12.85 3.73 1435078
JP ASSOCIATES 19.35 -0.15 -0.77 915489
IDBI BANK 76.65 0.75 0.99 683623
HIND.CONSTRUCT. 27.60 -1.30 -4.50 656995

Sun Pharma gains on USFDA nod for psoriasis drug Ilumya

Sun Pharmaceuticals Industries was up 3% at Rs 522 on the BSE in early morning trade after the company on Wednesday post market hours announced US Food and Drug Administration (USFDA) approval for psoriasis drug Ilumya, its first biologic drug in the market. READ MORE
Sectoral Indices


Top gainers and losers 


Market at Open

At 9:15 am, the S&P BSE Sensex was trading at 33,188, up 52 points while the broader Nifty50 index was ruling at 10,167, up 12 points
Market at pre-open

Index Current Pt. Change % Change
 
S&P BSE SENSEX 33,305.66 +169.48 +0.51
 
S&P BSE SENSEX 50 10,665.51 +45.23 +0.43
 
S&P BSE SENSEX Next 50 32,898.96 -7.67 -0.02
 
S&P BSE 100 10,571.23 +39.39 +0.37
 
S&P BSE Bharat 22 Index 3,473.00 +5.70 +0.16

(Source: BSE)
Today's picks: From NTPC to Tata Motors, hot stocks to watch on Thursday

NTPC
Current price: Rs 170
Target price: Rs 174
 
Keep a stop at Rs 168 and go long. Add to the position between Rs 172 and Rs 173. Book profits at Rs 174. CLICK HERE TO READ MORE

Trading strategies for volatile banking space

Given turmoil in the banking sector, traders will be looking to profit from price swings, as well as trying to hedge high volatility. Every listed bank has highly liquid stocks, and most are available in F&O (futures and options) segment. Typically, a hedger will be looking to use an index like the Nifty or the Bank Nifty to offset volatile bank stock exposures. READ MORE
Top stocks to watch

BUY ASHOKA BUILDCON
CMP : Rs 246.65
TARGET : Rs 270
STOP LOSS : Rs 232
 
The stock has made a higher bottom formation pattern in the daily chart taking support at the 200 DMA which was at Rs 206 levels and has recovered gradually to indicate strength and has potential to rise further in the coming days. The stock has been currently maintaining at the significant moving average of 34 WMA which is at around Rs 225 levels and with the RSI showing a trend reversal has supported in our view of a positive bias.
With good volume participation witnessed, we recommend a buy in this stock for an upside target of Rs 270 keeping a stop loss of Rs 232.

CLICK HERE TO READ MORE
Nifty outlook for the day

Nifty has been oscillating between the levels of 10,050-10,250. Market players await the Fed outcome and we anticipate some volatility in the market. Since Nifty could not sustain above the 200 DMA level, the bias has turned negative. The support for the day is seen at 10,090 while the resistance would be at 10,210 levels.
US Fed raises key interest rate by 0.25%, sees two more hikes in 2018
 
The Federal Reserve raised interest rates on Wednesday and forecast at least two more hikes for 2018, signaling growing confidence US tax cuts and government spending will boost the economy and inflation and lead to more aggressive future tightening.
 
In its first policy meeting under new Fed chief Jerome Powell, the US central bank indicated that inflation should finally move higher after years below its 2% target and that the economy had recently gained momentum. READ MORE
Markets on Wednesday

 
S&P BSE Sensex 33,136.18 0.42%
 
Nifty 50 10,155.25 0.31%
 
S&P BSE 200 4,443.94 0.33%
 
Nifty 500 8,949.10 0.32%
 
S&P BSE Mid-Cap 16,031.70 0.22%
 
S&P BSE Small-Cap 17,244.42 0.31%

SGX Nifty

The SGX Nifty was at 10,186, up 0.07% from the previous close.
Asian Shares

Worries about a potential trade war between China and the United States kept gains in Asian shares in check.
 
MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 per cent, with South Korea's Kospi hitting six-week high, while Japan's Nikkei gained 0.2 per cent in early trade.
Wall Street

The US stocks ended slightly lower on Wednesday, with major indexes giving up gains in choppy trade after the Federal Reserve raised US interest rates, while a strong gain in the energy space helped limit losses.
 
The Dow Jones Industrial Average fell 44.96 points, or 0.18 per cent, to end at 24,682.31, the S&P 500 lost 5.01 points, or 0.18 per cent, to 2,711.93 and the Nasdaq Composite dropped 19.02 points, or 0.26 per cent, to 7,345.29.
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