Stocks
Sensex, Nifty struggle to recover: Friday Closing Report

If today’s low on the Nifty is broken, it may hit 5,490

The Indian market settled lower for the third straight day on selling by overseas investors in fast moving consumer goods, consumer durables and capital goods sectors. If today’s low on the Nifty is broken, the index may touch 5,490. The National Stock Exchange (NSE) recorded a volume of 55.99 crore shares and advance-decline volume of 770:773.

 

The Indian market opened in the negative despite supportive global cues. Markets in Asia were trading higher in opening deals on the back of the Bank of Japan’s pledge to support its stimulus programme and on the European Central Bank president Mario Draghi announcement on Thursday to continue with the loose monetary policy for an “extended period”. Overnight, US markets settled marginally higher on optimism from Japan.

 

The Nifty opened seven points lower at 5,568 and the Sensex started off at 18,494, a cut of 16 points over its previous close. The market witnessed sideways movement till late-morning trade in the absence of any domestic triggers.

 

However, selling pressure from fast moving consumer goods, power, capital goods and banking stocks pushed the Sensex lower in noon trade. But select buying in the auto and metal sectors helped the market pare its losses in post-noon trade.

 

Volatile trade continued till the end of the trading session keeping the indices in the red. A negative opening of the key European markets added to woes of the domestic market. The Nifty traded in the range of 5,535 and the Sensex oscillated between 18,389 and 18,525 today.

 

The market settled in red for the third day in a row on unimpressive economic indicators and cautiousness ahead of the quarterly earnings season, which kicks off next week.

 

The Nifty fell 22 points (0.39%) to 5,553 and the Sensex ended the session at 18,450, down 59 points (0.32%).

 

The broader indices settled mixed today. The BSE Mid-cap index added 0.02% while the BSE Small-cap index fell 0.15%.

 

The top sectoral gainers were BSE Oil & Gas (up 1.65%; BSE Auto (up 0.55%); BSE Metal (up 0.31%; BSE PSU (up 0.14%) and BSE Healthcare (up 0.06%). The main losers were BSE Fast Moving Consumer Goods (down 1.74%); BSE Consumer Durables (down 0.78%); BSE Capital Goods (down 0.72%); BSE Power (down 0.56%) and BSE Bankex (down 0.36%).

 

Sixteen of the 30 stocks on the Sensex closed in the positive. The chief gainers were Maruti Suzuki (down 7.23%); ONGC (up 2.20%); Wipro (up 2.17%); Reliance Industries and Sterlite Industries (up 1.77% each). The top losers were HDFC (down 2.84%); ITC (down 2.79%); NTPC (down 2.42%); Bharti Airtel (down 1.13%) and ICICI Bank (down 1.11%).

 

The top two A Group gainers on the BSE were—Indraprastha Gas (up 11.45%) and Maruti Suzuki (up 7.23%).

The top two A Group losers on the BSE were—NMDC (down 4.48%) and Indian Bank (down 4.07%).

 

The top two B Group gainers on the BSE were— Shimoga Technologies (up 25%) and Thiru Arooran Sugars (up 20%).

The top two B Group losers on the BSE were—Garware Polyester (down 18.69%) and IOL Chemicals (down 14.53%).

 

Of the 50 stocks on the Nifty, 21 ended in the green. The key gainers were Maruti Suzuki (up 7.18%); ONGC (up 2.23%); HCL Technologies (up 2%); Sesa Goa (up 1.80%) and Hindalco (up 1.69%). The major losers were NMDC (down 4.94%); ITC (down 2.90%); HDFC, NTPC (down 2.87% each) and Ambuja Cement (down 2.51%).

 

Markets across Asia closed mixed as the Bank of Japan’s move to continue with its loose policy propped up some indices. On the other hand,     markets in China, Hong Kong, Singapore and South Korea were lower on concerns about the global economy.

 

The Jakarta Composite rose 0.07%; the KLSE Composite added 0.01% and the Nikkei 225 surged 1.58%. Among the losers, he Hang Seng tumbled 2.73%, the Straits Times fell 0.24% and the Seoul Composite tanked 1.64%. Markets in China and Taiwan were closed for a local holiday.

 

At the time of writing, markets in Europe were down between 1.27% and 1.82% and the US stock futures were trading lower, indicating a lower opening for US stocks lower in the day.

 

Back home, foreign institutional investors were net sellers of equities amounting Rs326.21 crore on Thursday while domestic institutional investors were net buyers of shares totalling Rs64.73 crore.

 

UK-based Diageo Plc will kick launch its over Rs5,441-crore open offer to acquire an additional acquire 26% in United Spirits from 10th April. The open offer will close on 26th April. In a filing with the exchanges, United Spirits said the offer price shall remain at Rs1,440 per equity share. United Spirits closed 4.20% lower at Rs1,749.15 on the NSE.

 

Real estate major DLF today said that it will sale its windmills in Tamil Nadu and Rajasthan to two different companies as part of its stated objective of divesting its non core assets.  While the Tamil Nadu windmill project is expected to fetch Rs189 crore, the windmill in Rajasthan will be sold for lump sum of Rs52 crore. The stock declined 0.77% to close at Rs232.90 on the NSE.

 

Uttam Galva Steels, in which the world’s largest steel maker ArcelorMittal has 33.80% stake, today said it has raised Rs76.14 crore through placement of shares to Mauritius-based Albula Investment Fund. Uttam Galva declined 4.51% to close at Rs69.80 on the NSE.

User

HC denies interim relief to US drug firm Merck Sharp & Dohme

MSD, in its plea, alleged that the Indian pharma company has violated its intellectual property right over its anti-diabetes medicines, Januvia and Janumet, by coming in the market with its own drugs containing the same salts

The Delhi High Court today refused to grant interim relief on a patent row to US pharmaceuticals major Merck Sharp & Dohme (MSD) which sought to restrain Indian firm Glenmark Pharmaceuticals to manufacture and market anti-diabetes drugs Zita and Zita-Met.

 

Justice Rajiv Sahai Endlaw dismissed the interim application of the multinational pharma major that the Mumbai-based firm be restrained from manufacturing and selling the anti-diabetes medicines on the grounds that the salt used in the drugs were not of generic nature.

 

MSD, in its plea, alleged that the Indian pharma company has violated its intellectual property right (IPR) over its anti-diabetes medicines, Januvia and Janumet, by coming in the market with its own drugs containing the same salts.

 

The development assumes significance as on Monday the Supreme Court had rejected the plea of Novartis AG for patent protection of its anti-cancer drug Glivec.

 

The high court, however, kept the main petition of the US firm pending for filing of evidence and other subsequent legal proceedings before its joint registrar on 16 July.

 

According to market sources, a strip of seven tablets of Januvia (50 mg and 100 mg) is priced at Rs300 while Glenmark's version costs around 30% less.

 

Reacting to the order, the US firm expressed disappointment over the decision and said it is considering all options including filing an appeal. “MSD is extremely disappointed with the decision of denial of injunction by the Delhi High Court against Glenmark for patent violation of our drugs Januvia and Janumet,” a company spokesperson said, adding that “MSD is considering all options, including an appeal of the decision.”

User

Who is responsible for the deaths in Thane building collapse?

The unholy nexus between builders, politicians and officials must be held fully responsible for illegal constructions and subsequent loss of lives and revenues

Till the time of writing this report, 40 people have lost their lives and over 69 are injured when a seven-storey building collapsed at Daighar area in Shil Phata near Thane. However, this has raised some serious questions about the unholy nexus between fly-by-night builders, local political leaders and government officials.

 

The point in this case is that the area between Kalwa-Mumbra (near Daighar) and Diva and Dombivali is notorious for illegal construction activities. This area full of marshland and anyone who wants to be a builder buys truckloads of debris and empties it on the marshy land, thus killing the protection of mangroves. Soon after, a new building is erected on the land. The surprising factor is the speed at which the builders (less than three months for a four to five storeyed building) are now constructing these illegal structures.

 

The collapsed seven-storey building in Lucky Compound was built in just two months! While the Daighar police registered a case against builders Salil and Khalil Jamadar under Indian Penal Code (IPC) Section 304 (culpable homicide not amounting to murder), the brothers have become untraceable immediately after the incident.

 

Civic officials had said that the building was unauthorised and was built on forestland. Some local residents claim that the building was built over a nullah. This raises further questions.

 

How were the builders allowed to develop the land that is not suitable for residential purpose? What were the civic officials doing for over two months while the building was being erected from ground zero? And who provided water and electricity for the construction activities? Aren't these people also responsible for the deaths?

 

In the 1990s, this area was less populated than nearby places like Dombivali. In fact, Mumbra had a population of less than 45,000. In 2012, the small-time village has grown into a city with a population of over nine lakh. However, since majority of people are outsiders, Mumbra has only 1.75 lakh registered voters.

 

This overcrowding has led to ever-increasing demand for houses, with basic amenities and not spacious flats. This explains the sudden increase in chawl structures on marshy lands near Diva. While small flats are available for Rs4-Rs5 lakh each, newer flats cost between Rs16 lakh and Rs22 lakh. However, one can still find a room (obviously in illegal structure) for less than Rs2 lakh.

 

Another interesting aspect about these illegal construction activities is this use of the maximum available space. All such illegal buildings and chawls are built in such a way that there is no space in between them for any movement. In fact, there are no roads, so not even an auto-rickshaw can pass between these buildings. This serves two purposes, one the builder gets more money and second, in case the civic authorities decide to demolish it, their machinery simply cannot reach the spot.

 

Neither the civic officials nor the police attempt to stop this illegal construction because the builders are shielded by political godfathers. In addition, everybody is kept happy with payoffs too, but no one wants to take any action. Sometimes, even if they want, either the police fail to provide any cover to them, or the builder gets the shield from his political godfather. Therefore, everybody tries to make some moolah by ignoring the illegal activities, until some mishap happens.

 

In the current case also, the absconding builders would surrender before the police after making some settlement using their political connections. Then the case would go to court and the builders would be out of jail to start constructing another illegal building in some other corner of the city. In addition, we all will forget about it until the next mishap.

 

The only way to stop all this is to hold the civic officials and local elected representative also responsible along with the builder for such mishaps and deaths.

User

COMMENTS

manoharlalsharma

4 years ago

It is widly known facter all Knows...disguised inthe form of NAGER-SEVAK opratedby political party for ELECTION-FUNDING.

REPLY

ashwin bahl

In Reply to manoharlalsharma 4 years ago

Jungle Raj!

Arun Mehta

In Reply to manoharlalsharma 4 years ago

The local MLA has already come out in full support of illegal constructions and his party's No One has already declared his support.This clearly ,means funds collection drive is on with the election round the corner,for sure.

Arun Mehta

In Reply to manoharlalsharma 4 years ago

The local MLA has already come out in full support of illegal constructions and his party's No One has already declared his support.This clearly ,means funds collection drive is on with the election round the corner,for sure.

jaideep shirali

4 years ago

To add insult to injury, we find these bureaucrats temporarily suspended and then reinstated by their political bosses, to continue killing more people ! And we have to pay for their increased salaries and benefits, Pay Commission and all. Instead we should have fast track courts and award death sentences to the guilty, because this is murder. We also talk a lot about corruption, but when Kejriwal or for that matter any other anti corruption activist takes up issues, we do not have the time to contribute, instead we enjoy ridiculing them.

Arun Mehta

4 years ago

The following are the Promoters/Shareholders of an hypothetical enterprise called"Makefastbuck construction Pvt Ltd"

1. Illegal plot sourcer
2.Concerned Revenue official/Forest Official
3.Local Corporator
4.Local ward Incharge
5.Local Police Chief
6.MSEB Official
7.Water supply Official
8.Occupancy Certificate Provider

They all share the dividends (Many get for just not looking at things they are paid to do) much before the occuupancy takes place and windup/dissolve the enterprise

Note:Since this is a purely "Illegal" enterprise they are not covered by CLB 'Company "Law" Board'

Shadi Katyal

4 years ago

This is India and money is more important than lives. Beside everyone is corrupt and as one of the authirtymperson said on the TV, we donot have enough officers and equipment to keep track and that is in this age of internet or are our engineers are unable to write any program???
Unfortunately we know how to bend and ignore and buy the Law.
Why hs the nation become so Lawless???

REPLY

ashwin bahl

In Reply to Shadi Katyal 4 years ago

Bro, mantra is get rich quick at any cost. Laws are meant to be broken and if we get caught we know hot to buy our way out. The whole system has collapsed but will we admit it openly ? There is no fear at all while we break a law, tell me have we all paid cash component to the builders when we bought our flat, gala, shop etc, perhaps these builders can tell us where is this cash distributed, sure some is kept by him also !

Arun Mehta

4 years ago

Why not make it mandatory for all real estate ads in all form of media,print Outdoor,electronic to carry the sanction/approval reference # /date and issuing authority name /phone # which will make easy for public to notice /record/report any illegal/unauthorised activities.This should bring down such activities considerably.

Vaidya Dattatraya Vasudeo

4 years ago

Now that Government know the number of illegal structures, why should they not make the list public.

Vaidya Dattatraya Vasudeo

4 years ago

Now that the builders have been caught, they should be forced to disclose the entire modus operendi, names of all the people who are involved and the amount paid to them. Their property should be confiscated forthwith and should not be released until the case is over.

ashwin bahl

4 years ago

Can some one tell us when there are cash payments made to buy any real estate, where does this cash component go to ?

1. some to profit to the Builders undeclared assets.
2. The Govt officials whose palms are greased to get thru these plans and permission, to local goondas, mlas etc etc

Why do we have to have Probes and all other time wasting tactics, ? the glaring truth is right in front of every one, start with the payment plans of every individual ?

HG Sharma

4 years ago

The fact that these are illegal construction is an open secret,even chief minister admits it.To day it may be little emberessing for an honest politician ,but soon all political classes will find it a convinient excuse saying that it was going on for ages ` I have only been `Trying to clean this Ganga, saying so they will wash their hands'.The saying `Bahati Ganga mein hath dhoeye' aptly fits many of our politicians.Politics in its purity is a sacered virtue /skill , calling these elected locals as politician is an insult to the craft of politics.
Pity it is , democracy in our country permits them to be elected , even though they are leading part of this Systemic failure. Are we not all responsible for this `MURDER'? may be some way , however collectively we elect the same faces ,when it comes to VOTING.

ashwin bahl

4 years ago

All of us because we are also a part of this corrupt system and blindly pay bribes left, right and center? The whole system is rotten and there is no way out. We make a big hue and cry when ever these unfortunate mishaps happen, why ? We all have to do do soul searching perhaps for answers because tragedies will keep on happening. We are a Banana Republic, but have we guts to admit it ?

Shashikant Koppikar

4 years ago

Mumbai and surroundings have been killed by the "Nexus" . This has been known sincew the days of Antulay and Naik. The question is what we the people are doing about it? Why do we vote the same people back in power?

REPLY

Vinay Joshi

In Reply to Shashikant Koppikar 4 years ago

Have you ever exercised your option of 49[O]?

Regards,

Arun Mehta

In Reply to Shashikant Koppikar 4 years ago

Its same nexus which feeds the election time voters with freebies through the vote bank agents and gets elected.This is the vicious eternal cycle of the Kaliyug we are living through.

MK Gupta

4 years ago

Thank you again for this bold piece. Yes, without the unholy and naked nexus among the classes mentioned herein, this building and the resultant accident would not have taken place. But will anyone be exposed and punished? Doesn't this incident call for death penalty for all those responsible for the ghastly episode and so many deaths? Will the politicians and the highly placed officials be held responsible and punished?

MK Gupta

4 years ago

Thank you again for this bold piece. Yes, without the unholy and naked nexus among the classes mentioned herein, this building and the resultant accident would not have taken place. But will anyone be exposed and punished? Doesn't this incident call for death penalty for all those responsible for the ghastly episode and so many deaths? Will the politicians and the highly placed officials be held responsible and punished?

PRABHAT

4 years ago

IN SUCH TYPE OF ILLEGAL CONSTRUCTION , FIRSTLY GOVT. AGENCIES ARE RESPONSIBLE LIKE CORPORATION , ELECTRICITY & WATER DEPTTS. LAND OWNER DEPTT. , IF IT IS APUBLIC LAND ETC., POLICE DEPTT. LASTLY THE BUILDER AND STATE GOVT. BECAUSE IN INDIA AN ORDINARY MAN CANT DARE TO DO SUCH THINGS UNLESS HE IS BACKED BY POLITICAL POWER .THE GUILT SHOULD BE PUNISHED HEAVILY AND COMPENSATION SHOULD BE PAID BY THEM AND NOT FROM PUBLIC FUNDS.

Vinod Kumar Agarwal

4 years ago

Everybody involved in construction right from financier, broker,contractor,material supplier, engineer, must be booked for abetment in crime causing death of innocent people.

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