We had mentioned in Friday’s closing report that Nifty, Sensex were headed lower. The major indices of the Indian stock markets suffered a deep correction.
On the NSE, there were 387 advances, 1,382 declines and 324 unchanged. The trends of the major indices in the course of Monday’s trading are given in the table below:
Disappointment over the budget proposals led the Sensex to log the heaviest fall in seven months on Monday. Both the key equity indices -- Sensex and Nifty -- fell over 2%, as did Bank Nifty.
Shares of Punjab National Bank (PNB) fell by over 10% on Monday, two days after the bank announced that it was defrauded by Bhushan Power & Steel Ltd. (BPSL) to the tune of Rs3,805.15 crore. "On the basis of Forensic Audit Investigation findings and CBI filing FIR, on suo moto basis, against the Company and its Directors, alleging diversion of funds from banking system, a fraud of Rs3805.15 core is being reported by Bank to RBI," PNB said in a regulatory filing.
Finance Minister Nirmala Sitharaman will brief the RBI’s central board on Monday on Budget measures and sources said the upcoming sovereign bonds, NBFC issues and RBI dividend will figure in the discussion at the Central Board meeting.
Though the meeting is taking place under the customary Budget brieing, the discussion will take place on the Government’s intent to raise debt overseas in foreign currency. The debt will be anchored by RBI and the groundwork preparation will also be done with consultation with the Central Bank on size, timing and market of the proposed float. The RBI gives the dividend to government in August usually.
Yes Bank shares jumped 5% after it clarified about management stability and appointed two management leaders. The bank appointed Anurag Adlakha as senior group president and head financial management and strategy. The bank said over the past few weeks, there has been a lot of unfounded speculation about board & management stability, asset portfolio, future growth prospects amongst other things. The financial position is sound and stable and its liquidity and operating performance continue to be robust, said the board of YES Bank.
Shares of Bajaj Finance tanked 8% on slowdown concerns. The non-banking finance company's stock had consistently outpaced the market in past more than seven years.
The production of steel by Jindal Steel and Power Ltd (JSPL) rose 16% to 1.57 million tonne (MT) during April-June period of the ongoing fiscal. JSPL had produced 1.35 MT steel in the year- ago period, JSPL said in a BSE filing.
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: