Market wrap, Oct 10: Sensex dips 298 pts as banks slide; Nifty at 11,235

Top headlines of the day

>> Sensex settles nearly 300 points lower at 37,880 level amid brisk selling in banking stocks. The Nifty50, ended at 11,235 level, down 79 points.

>> Bombay High Court allows Edelweiss AMC's plea for disclosure of all assets and liabilities of DHFL. The HC also noted that the existing restraint on DHFL on making payments to third parties will continue.

>> IndusInd Bank on Thursday reported a 52 per cent rise in consolidated net profit at Rs 1,401 crore for September quarter. 

>> Finance Minister Nirmala Sitharaman met some depositors of the PMC Bank today. She said, the govt would consider introducing necessary amendments in the upcoming Winter Session of the Parliament w.r.t Co-operative Banks

The news in detail
 

Indian equities traded in the negative territory on Thursday as the RBI's rejection to the proposed Lakshmi Vilas Bank-Indiabulls Housing Finance merger pressed sell button at banking counters. The Nifty Bank index slipped over 800 points in the intra-day trade today, while the Nifty PSU Bank and Private bank indices, too, slipped nearly 3% in the intra-day trade.

The benchmark S&P BSE Sensex ended the day at 37,880 level, down 298 points or 0.78 per cent. Bharti Airtel was the top gainer today, settling over 4 per cent higher, while IndusInd Bank settled as the top loser, down 6 per cent, after the bank's Q2 result missed street estimates. Of the 30 shares listed at the Sensex, 8 stocks advanced and 22 stocks declined. 

Overall, market breadth remained in favour of declines, with approximately 8 stocks declining for every 1 stock that advanced at the BSE. However, despite the weakness in the market, nearly 38 stocks managed to hit 52-week high at the BSE.

On NSE, the Nifty50 index ended at 11,235 level, down 79 points or 0.7 per cent. Bharti Airtel, Grasim and Reliance Industries, which gained between 3-5 per cent, were the top gainers at the 50-share index. On the downside, IndusInd Bank, YES Bank and GAIL settled as top losers, down in the range of 4-6 per cent.

All the sectoral indices ended the day in the red. Nifty PSU bank index lost the most, down 3%, followed by Nifty Private Bank and Nifty Realty index. 

Moving on to the broader market. Mid-caps took greater knock today, with the S&P BSE mid-cap index closing the day with nearly a per cent cut. The S&P BSE small-cap index, however, closed 0.57 pr cent lower. 

Stocks that saw major movements today

>> Shares of Lakshmi Vilas Bank hit an all-time low and were locked in the lower circuit limit of 5 per cent at Rs 25.65 apiece on the BSE on Thursday after the RBI rejected the proposed amalgamation of lndiabulls Housing Finance (IBHFL) with the bank.

>> On the upside, shares of Bharti Airtel and Vodafone Idea jumped 7 per cent and 17 per cent respectively in the intra-day trade today after Reliance Jio (RJio) on Wednesday said it would charge 6 paise per minute on off-net calls. As a result, analysts at Motilal Oswal Financial Services, said that Bharti Airtel and Idea could see an increase in EBITDA by nearly Rs 2,800 crore.

Global cues
 

In the global markets, Asian shares recovered from early losses as news reports raised hopes that the United States and China would settle some economic disputes. MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.24 per cent while Japan's Nikkei rose 0.34 per cent. Shanghai shares also rose 0.49 per cent.