We had mentioned in Wednesday’s closing report that Nifty, Sensex are directionless. The major indices of the Indian stock markets opened lower on Thursday and ended flat. On the NSE, there were 598 advances, 1,164 declines and 334 unchanged. The trends of the major indices in the course of Thursday’s trading are given in the table below:
Taking a cue from global markets, the key Indian equity market indices on Thursday opened lower. As many as 14 stocks advanced in the Nifty 50 index while 36 stocks declined. In the BSE Sensex, 20 stocks including Tata Steel, ITC were trading in red while 10 stocks including Coal India, HDFC were trading in green at 9.21 a.m.
Shares of YES Bank fell 13% after foreign brokerage UBS cut its target on the stock to Rs90 from Rs170 earlier, a drop of 47%. UBS maintained its sell rating on Yes Bank as it expects more asset-quality pressure than consensus, given the bank’s higher exposure to stressed corporates and lower recognition of these loans as gross non-performing loans.
Shares of Indiabulls Housing Finance and Indiabulls Ventures jumped around 12% after Abhay Yadav, who had filed a writ petition against promoter Sameer Gehlaut and the company over alleged fund misappropriation, withdrew his case in the Supreme Court. Yadav in his affidavit said that he was not aware of the contents and allegations mentioned in the complaints of the petition, Indiabulls said in a statement.
Shares of Jet Airways plunged more than 14% intraday after stock exchanges decided to impose trading restrictions on the troubled airline. According to a circular issued by NSE, the decision was taken as a part of preventive surveillance measures to curb excessive volatility.
Concerns over slowing growth along with the outflow of foreign funds pulled the Indian equity market lower on Wednesday.State-run Allahabad Bank is looking at a modest business growth of 9% during fiscal year 2019-20 through a focus on consolidating current account and savings accounts (CASA) base and increasing dependency under the retail sector, according to its latest annual report. The bank’s total deposits stood at Rs2,14,335 crore at the end of the last financial year registering a year-on-year (y-o-y) growth of 0.34%.
Foreign Direct Investment (FDI) in India grew by 6% to $42 billion last year, according to the UN Conference on Trade and Development (UNCTAD). UNCTAD's Director of Investment and Enterprise James Zhan, who led the report team, said that an impetus for FDIs came from the new development of India abolishing approval procedures for foreign companies in areas like defence, telecommunications, and private security that want "to open branch offices under certain conditions in the country".
The top gainers and top losers of the major indices are given in the table below:
The closing values of the major Asian indices are given in the table below: