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Market jumps on strong global cues

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Last Updated : Nov 10 2016 | 10:13 AM IST

Key benchmark indices jumped in early trade tracking strong leads from Asian markets and overnight rally on the Wall Street. At 9:20 IST, the barometer index, the S&P BSE Sensex, was up 285.47 points or 1.05% at 27,538. The Nifty 50 index was up 83.40 points or 0.99% at 8,515.40.

The market breadth indicating the overall health of the market was strong. On BSE, 1,205 shares rose and 134 shares fell. A total of 26 shares were unchanged. The BSE Mid-Cap index was currently up 1.91%. The BSE Small-Cap index was currently up 2.17%. Both these indices outperformed the Sensex.

In overseas stock markets, Asian stocks jumped the most in almost eight months to join a global rebound on speculation Donald Trump will pursue business-friendly policies. Japan's Nikkei 225 surged 5.80%. US stocks rallied Wednesday, 9 November 2016, led by a surge in financial, health-care and industrial stocks, as investors bet on the infrastructure spending policy promised by President-elect Donald Trump. Trump was declared as the 45th President of the United States yesterday, 9 November 2016.

Tata Consultancy Services (TCS) was up 1.36%. The company announced before market hours today, 10 November 2016, that the company has received a letter dated 9 November 2016 from Tata Sons nominating Ishaat Hussain as the chairman of the board of directors of the company in place of Cyrus P. Mistry with immediate effect. In view of this, Mistry has ceased to be the chairman of the board of directors of the company and Hussain is the new chairman of the company. The company has been further informed that Hussain shall hold office as chairman of the company until a new chairman is appointed in his place. Tata Sons has issued a special notice and a requisition for convening an extraordinary general meeting of shareholders of the company to consider a resolution for the removal of Cyrus P. Mistry as Director of the company. It may be recalled that Tata Sons, promoters of the company, had replaced Cyrus Mistry as chairman of Tata Sons with immediate effect. Ratan Tata was appointed as interim chairman of Tata Sons.

Cipla was up 4.57%. The company's consolidated net profit dropped 34.75% to Rs 354.34 crore on 8.39% rise in total income to Rs 3778.25 crore in Q2 September 2016 over Q2 September 2015. The result was announced after market hours yesterday, 9 November 2016.

Cipla said that Q2 September 2016 reflected improved profitability in base business driven by better product and geography mix. The company launched 6 new products during this quarter in the US market and continues to invest in building a niche and differentiated product portfolio, Cipla said. Commenting on the results, Umang Vohra, MD and Global CEO, Cipla said that the company continues to stay focused on building operational efficiencies and strengthening presence in priority markets.

Bosch was up 2.56%. The company's net profit rose 79.2% to Rs 703.74 crore on 9.59% rise in total income to Rs 3026.96 crore in Q2 September 2016 over Q2 September 2015. The result was announced after market hours yesterday, 9 November 2016.

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Power Grid Corporation of India was up 0.97%. The company's net profit rose 32.01% to Rs 1872 crore on 29.86% rise in total income to Rs 6480.20 crore in Q2 September 2016 over Q2 September 2015. The result was announced after market hours yesterday, 9 November 2016.

On the macro front, the figures for direct tax collections up to October 2016 show that net collections are at Rs 3.77 lakh crore which is 10.6% more than the net collections for the corresponding period last year. Till October 2016, 44.5% of the Budget estimates of direct taxes for financial year 2016-17 has been achieved.

The figures for indirect tax collections (Central Excise, Service Tax and Customs) up to October 2016 show that net revenue collections are at Rs 4.85 lakh crore which is 26.7% more than the net collections for the corresponding period last year. Till October 2016, 62.4% of the Budget estimates of indirect taxes for financial year 2016-17 has been achieved.

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First Published: Nov 10 2016 | 9:12 AM IST

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