Nifty has to close above 8,465 and Bank Nifty above 18,300 for the first signs that the current downtrend is temporarily over
We had mentioned in Wednesday’s closing report that NSE’s CNX Nifty may move higher and a close above 8,500 will take it further higher. The 50-stock index opened Thursday in the positive and within the first hour of trading reached above the 8,500 level. However, it could not sustain this level and moved lower to close in the red.
S&P BSE Sensex opened at 27,977 while Nifty opened at 8,478. Sensex moved lower to the level of 27,621 after hitting a high of 28,088 and closed at 27,735 (down 155 points or 0.56%). Nifty moved from the high of 8,505 to the level of 8,362 and closed at 8,399 (down 31 points or 0.37%). Bank Nifty witnessed a volatile session with no specific direction. It opened at 18,350 and moved from the high of 18,434 to the low of 18,144 and closed at 18,246 (up 2 points or 0.01%). NSE recorded a volume of 65.85 crore shares. India VIX rose 7.50% to close at 18.5000.
The latest clarification from the finance ministry means that foreign portfolio investors domiciled in countries that have signed double taxation avoidance treaties with India will not have to pay minimum alternate tax (MAT). Singapore and Mauritius have already signed double taxation avoidance treaties with India. Many foreign investors had received notices requesting their MAT calculations for financial year 2011-2012 and earlier years, according to reports. In the Union Budget 2015-16 presented in parliament on 28 February 2015, Finance Minister Arun Jaitley had announced that capital gains on sale of shares by foreign institutional investors (FIIs) will not be subject to the provisions of the MAT from 1 April 2015.
The finance minister was quoted as saying that there was a broad consensus that states are in support of a nationwide goods and services tax (GST).
The Indian government said that it has received a few complaints regarding "cartelisation" in bidding during the recent coal block auctions and investigations are being carried out in the matter.
The National Highways Authority of India (NHAI) will raise Rs28,000 crore in the current fiscal by issuing tax-free bonds.
The March quarter of this year has seen a 50% decline in new residential project launches across the country compared to the same quarter last year, according to property advisory firm Cushman & Wakefield. The quarter saw a total of 24,700 apartments being launched, the lowest in the last two years.
Coming back to Indian stock market, Yes Bank (6.99%) was the top gainer in ‘A’ group on the BSE. The bank on Wednesday posted an improved result of March 2015 quarter. Its board of directors have approved the proposal to seek final approval of shareholders for increase in the limit for the FII / FPI of up to 74% of the paid up share capital from the existing limit of 49% of the paid up share capital.
Gitanjali Gems (4.93%) was the top loser in ‘A’ group on the BSE. Its shareholding pattern as on 31 March 2015 showed that its FIIs holding reduced from 9.07% as on 31 December 2014 to 5.40% now, while retail shareholding increased from 50.69% to 54.38% for the relevant period.
Tata Steel (5%) was the top gainer in the Sensex 30 pack. it was recently in news that it is among other looking to buy Electrosteel Steel Ltd. In response to this news, the company has clarified to BSE that at present there is nothing to disclose, but, as and when, need arises it will make the required disclosures.
Sun Pharma (2.55%) was the top loser in the Sensex 30 stock.
On Wednesday, US indices closed in the green.
Asian indices showed mixed performance. Taiwan Weighted (1.92%) was the top gainer while NZSE 50 (0.62%) was the top loser.
In China, the HSBC/Markit 'flash' purchasing manager’s index slipped to 49.2 in April 2015 from 49.6 in March 2015. China factory PMI contracted to 1-year low in April
European indices were trading mostly in red. US Futures were trading lower.
Eurozone business activity growth pulled back from March's 11-month high, according to Markit flash PMI survey data for April. The slowdown reflected weaker rates of expansion in France and Germany.
The Markit Eurozone PMI fell from 54 in March to 53.5 in April. The seasonally adjusted Markit Flash France Composite Output Index recorded 50.2, down from 51.5 in March.
Markit Flash Germany Composite Output Index falling from March's eight-month high of 55.4 to 54.2 in April, latest data showed today.