MARKET WRAP: Sensex rises 204 pts; YES Bank hits 52-week low; Jet gains 4%

 

The benchmark indices settled higher for the third consecutive session on Wednesday led by a rise in information technology (IT) and select bank stocks.

The S&P BSE Sensex ended at 35,717, up 204 points (0.57 per cent), while the broader Nifty50 index settled at 10,729, up 43 points.

Among the sectoral indices, the Nifty IT index settled 2.7 per cent higher led by a rise in MindTree, Infosys and Tata Consultancy Services (TCS) which rose in the range of 4 to 5.7 per cent.

In the broader markets, however, both the S&P BSE MidCap index and the S&P BSE SmallCap index fell 0.5 per cent each at 14,863 and 14,321 respectively.

Stocks that made news

YES Bank fell 11.3 per cent to Rs 162 on the National Stock Exchange (NSE), a day after Moody's Investors Service downgraded the private bank's ratings to non-investment grade and changed the outlook to negative from stable on the back of various resignations from the board.

The shares of Jet Airways settled 4.2 per cent higher at Rs 306 apiece on NSE. The stock had rallied as much as 9 per cent to Rs 320 in intra-day trade after a TV report said that airline's promoter Naresh Goyal has agreed to sell his controlling stake in the company.

Hotel Leela Venture surged 20 per cent to end at Rs 15.20 on the NSE on reports that a consortium, including Thailand’s Minor International, is considering an investment of about Rs 2.5 billion ($350 million) to acquire a majority stake in Indian hospitality firm. The stock zoomed 73 per cent in last three trading sessions from Rs 8.85 on November 22, 2018. It touched a multi-year low of Rs 8.61 last Friday in intra-day trade on the BSE.

Global Markets

Asian shares posted modest gains on Wednesday on hopes Beijing will take steps to support the economy and as investors tried to decipher conflicting signals on prospects for de-escalating the Sino-US trade dispute.

MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.7 per cent, led by advance in Taiwan and China. Japan's Nikkei gained 1 per cent. Hong Kong's Hang Seng index rose as much as 1.4 per cent to hit a more than seven-week high while mainland blue-chip shares climbed 1.3 per cent.

Oil Prices

Oil prices rose by more than 1 per cent on Wednesday, pushed up by a North Sea production outage and expectations in the market that OPEC will next week decide to implement some form of supply cut to counter an emerging glut.

US West Texas Intermediate (WTI) crude futures were at $52.36 per barrel, up 80 cents, or 1.6 per cent from their last settlement. International Brent crude oil futures were up 89 cents, or 1.5 per cent, at $61.10 per barrel.

(with Reuters input)

3:37 PM

Top sectoral gainers and losers on NSE

3:36 PM

S&P Sensex: Top gainers & losers

3:34 PM

Market at close

 

The S&P BSE Sensex gained 204 points or 0.57 per cent to settle at 35,717 while NSE's Nifty50 index added 43 points or 0.40 per cent to end the session at 10,729.

3:25 PM

Stock impact: Bank of Baroda falls over 3.5% on NSE

3:24 PM

NEWS ALERT BoB official: New merged entity likely to be operational from April 1

3:23 PM

NEWS ALERT BoB offcial says swap ratio of proposed merger with 2 PSU banks to be decided by December-end, reports CNBC-TV18

 

2:58 PM

OMCs fall on rise in crude prices

2:53 PM

Power Finance Corporation, REC fall 10% on merger reports

 

Shares of state-owned lenders to utilities REC and Power Finance Corporation (PFC) are down 10% each on BSE amid reports that the government is considering merger of these two companies. REC has slipped 10% to Rs 110, while PFC dipped 10.5% to Rs 91 on BSE in the intra-day trade on Wednesday. In comparison, the S&P BSE Sensex was up 0.61% at 35,730 points at 02:17 pm. Read more

2:40 PM

Why stock valuations don't matter much in global emerging markets

 

Like the Nasdaq, emerging markets are no strangers to booms and busts. Unlike the US market, valuations no longer matter much outside the developed world. That’s because sell-side analysts’ earnings estimates are unreliable. The 10 per cent correction in the Nasdaq 100 Index in October shouldn’t have surprised US analysts – they’ve been revising down earnings estimates since April, when trade tensions started to brew. READ MORE

2:20 PM

Nifty IT index gains 5% in three days; TCS, Infosys up over 4% in intra-day

Shares of information technology (IT) companies are trading higher for the third straight session, with the Nifty IT index gaining 5% so far during this period on value buying. Tata Consultancy Services (TCS) and Infosys, from the index, are up 4% each at Rs 1,961 and Rs 663, respectively. NIIT Technologies, Mindtree, Tata Elxsi, Tech Mahindra and HCL Technologies are up in the range of 1% to 3% on the National Stock Exchange (NSE). Read more

2:19 PM

GLOBAL MARKETS

European shares rebounded at the open on Wednesday as the trade war fears which had pushed indexes in the red during the previous session eased on the prospect of a meeting between the US and Chinese presidents at a G20 meeting in Argentina. The pan-European STOXX 600 benchmark was up 0.4 per cent by 0814 with most major bourses trading comfortably in positive territory.

 

Source: Reuters 

2:12 PM

NEWS ALERT YES Bank hits 32-month low of Rs 165.30, lowest level since March 23, 2016 on BSE

2:05 PM

S&P BSE Sensex top gainers and losers

1:49 PM

Motilal Oswal on Blue Star

 

CMP: Rs 634 

TARGET PRICE: Rs 610  

RATING: Neutral

 

We maintain our estimates and our target price of Rs 610 with a Neutral rating. Key upside risks to our rating are (a) faster-than-expected growth in the room AC segment, (b) a sharp revival in the residential and commercial real estate segment, and (c) significant easing in competitive intensity.

1:42 PM

Buzzing Stock Arvind rebounds 33% from day's low; stock trades ex-date for demerger

Shares of Arvind moved higher by 9% to Rs 120, bouncing back 33% from its early morning low of Rs 90 on BSE on back of heavy volumes. The stock of Lalbhai Group’s flagship company has turned ex-demerger for its branded apparels and engineering businesses. READ MORE