After a sharp run up on Friday, the markets today were choppy. There is no sign weakness as of now
On Monday markets opened strongly but reacted almost soon after. The morning session was mostly positive while the afternoon session was mostly in the red. In the final session there was a sudden drop to the low of the day, immediately followed by a sharp pull back almost towards day’s high the fag end of the session.
The S&P BSE Sensex opened at 20,915 to touch intraday high of 20,971 and then hit an intra-day low of 20,768 before closing at 20,894 (up 11 points or 0.05%). Nifty opened at 6,202 hit a high of 6,219 then hit an intra-day low of 6,163 during early trade before closing at 6,205 (up 16 points or 0.25%).
The number of advances outpaced the number of declines by nearly 2:1. Out of 1,219 stocks, 764 were up, 393 were down and 62 were unchanged. The National Stock Exchange witnessed volumes at 69.21 crore shares.
All the sectoral indices finished in the green, except for FMCG and IT which were down 1.39% and 0.44% respectively. The strongest mover was CNX Media which rose 3.41%.
Of the 50 stocks in the Nifty, 36 stocks advanced and 14 declined. The top five gainers were Asian Paints (8.81%), L&T (6.20%), DLF (5.94%), IDFC (4.82%) and Maruti (3.55%). The top five losers were Jindal Steel (-3.54%), ITC (-2.67%), TCS (-2.07%), HCL Technologies (-1.68%) and BHEL (-1.52%).
The late pullback in the markets can be attributed to the fact that WTI Crude oil prices have declined below $100/barrel for the first time since July. This is a psychological threshold. This is expected to boost markets in the next one or two trading sessions as investors see this as a positive factor in easing the Indian current account deficit (CAD).
Investors are still cautious and not overtly optimistic in equities. Gold prices rose to $1,320 an ounce while silver rose 1.4% to $22.18 an ounce.
All Asian markets were up except for Taiwan which was 0.26% down. Majority of the European markets trading flat. The US futures were trading flat at time of writing this piece.
After the abrupt closure of Bhagwati Hospital in the suburbs, railway accident victims were again being shunted around during the crucial golden hour after the tragedy. Activist Samir Zaveri is working to ensure that Sion Hospital, Nair Hospital and KEM are onboard to help Mumbai’s railway commuters
Last week, media reports announced that Bhagwati Hospital in Mumbai’s suburbs, to which railway accident victims in the suburbs used to be rushed, had abruptly shut down. Media reports further said that the immediate consequence was that accident victims were being shunted from one hospital to another and often lost precious time or their lives, because of the uncertainty. Railway accident victims in the Mira Road to Virar stretch are either being sent to private hospitals or “stabilised” at the BMC-run Shatabdi Municipal Hospital in Kandivili or Bhagwati hospital in Borivali and then to bigger hospitals like KEM, Sion or Nair hospital at Mumbai Central for treatment. Unfortunately, the two municipal hospitals are not well equipped to deal with major injuries, while other bigger hospitals are reluctant to accept these patients.
The refusal by big hospitals to admit accident victims has always been a serious issue and one of the factors responsible for hundreds of lives being lost every year. This issue has also been the subject of a Bombay High Court order. For the record, nearly 3,500 persons die due to railway related deaths every year on the Mumbai suburban railway network alone.
The Samir Zaveri Railway Helpline, spearheaded by activist Samir Zaveri, who himself lost both his legs in a railway accident at the age of 16, has now sprung into action to get alternatives onboard. Activist Zaveri, whose contempt petition filed in the Bombay High Court led to the framing of details and charges to be paid to private hospitals for the treatment of accident victims, has wrote to the deans of KEM, Sion and Nair Hospital. Mr Zaveri is seeking their cooperation to ensure accident patients or victims are provided immediate treatment in coordination with the railway authorities.
The response has been extremely positive. Interestingly, Saifee Hospital at Marine Lines in south Mumbai has not only assured free and fast treatment for rail accident victims, but has also put up a board to this effect. Also Dr Supe, additional-in-charge of Sion Hospital, has verbally assured Mr Zaveri that railway accident victims will not be refused admission and treatment.
Speaking with Moneylife, Dr GK Singh, medical officer at the Divisional Railway Manager’s office at Mumbai Central said, “The population of the area stretching from Virar to Mira Road has increased by several folds within the past 20 years. The government and the municipal corporation should take a note of that and build hospitals in these areas. Also huge part of this population is poor who cannot afford treatment in private hospitals.”
M&M financial reported 18% growth in net profit at Rs221.16 crore, driven by 31% increase in its total revenues and 17% growth in sanctioned loans
Mahindra & Mahindra Financial Services Ltd (MMFSL), reported a 18% increase in its second quarter net profit on standalone basis due to higher revenues and 18% increase in sanctioned loan.
During the quarter to end-September, the vehicle finance company said its standalone net profit rose to Rs221.16 crore from Rs187.61 crore while total revenues increased 31% to Rs1,203.2 crore from a year ago period.
MMFSL, the country’s second largest NBFC, also reported a 31% growth in its total asset under management (AUM) to Rs31,146 crore during the second quarter compared with Rs23,770 crore a year ago period.
“During the September quarter company maintained healthy growth of business and profits despite slowdown in auto industry growth and continuing high cost of borrowings through control of transaction costs and maintaining high collection efficiency levels,” the Mahindra & Mahindra group company said.
MMFSL’s capital adequacy ratio (CAR) stood at 18% complying with the minimum requirement of 15% set by the RBI.
On Monday, M&M Financial closed 2.68% higher at Rs279.50 on the BSE, while the benchmark Sensex was marginally up at 20,893.9.